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Committee Reports

109th Congress (2005-2006)

House Report 109-495

House Report 109-495 1 of 1

This Report: To Accompany H.R.5576     Printer Friendly: HTML  |  PDF




{link: 'http://www.congress.gov:80/cgi-bin/cpquery?',title: 'THOMAS - Committee Report - House Report 109-495' }

DEPARTMENTS OF TRANSPORTATION, TREASURY, AND HOUSING AND URBAN DEVELOPMENT, THE JUDICIARY, DISTRICT OF COLUMBIA, AND INDEPENDENT AGENCIES APPROPRIATIONS BILL, 2007

28-003

109TH CONGRESS

Report

HOUSE OF REPRESENTATIVES

2d Session

109-495
DEPARTMENTS OF TRANSPORTATION, TREASURY, AND HOUSING AND URBAN DEVELOPMENT, THE JUDICIARY, DISTRICT OF COLUMBIA, AND INDEPENDENT AGENCIES APPROPRIATIONS BILL, 2007

June 9, 2006- Committed to the Committee of the Whole House on the State of the Union and ordered to be printed

Mr. KNOLLENBERG, from the Committee on Appropriations, submitted the following

R E P O R T

together with

ADDITIONAL VIEWS

[To accompany H.R. 5576]

The Committee on Appropriations submits the following report in explanation of the accompanying bill making appropriations for the Departments of Transportation, Treasury, and Housing and Urban Development, the Judiciary, District of Columbia, and independent agencies for the fiscal year ending September 30, 2007.

INDEX TO BILL AND REPORT
Page number
Bill Report
Operating plan and reprogramming procedures 2
Relationship with budget offices 3
The effect of guaranteed spending 3
Tabular summary 4
Committee hearings 4
Program, project, and activity 5
Title I--Department of Transportation 2 5
Title II--Department of the Treasury 63 90
Title III--Department of Housing and Urban Development 80 109
Title IV--The Judiciary 134 163
Title V--District of Columbia 142 168
Title VI--Executive Office of the President and Funds
Appropriated to the President 176 177
Title VII--Independent Agencies:
Architectural and Transportation Barriers Compliance Board 189 185
Consumer Product Safety Commission 189 186
Election Assistance Commission 190 186
Federal Deposit Insurance Corporation 190 187
Federal Election Commission 190 187
Federal Labor Relations Authority 191 188
Federal Maritime Commission 192 188
General Services Administration 192 189
Merit Systems Protection Board 203 198
Morris K. Udall Foundation 204 198
National Archives and Records Administration 205 199
National Credit Union Administration 206 201
National Transportation Safety Board 207 202
Neighborhood Reinvestment Corporation 208 203
Office of Government Ethics 208 203
Office of Personnel Management 208 204
Office of Special Counsel 212 207
Selective Service System 212 207
United States Interagency Council on Homelessness 213 208
United States Postal Service 213 208
United States Tax Court 214 209
Title VIII--General Provisions--This Act 215 209
Title IX--General Provisions: Departments, Agencies, and Corporations 222 210
House of Representatives Report Requirements:
Constitutional authority 213
Statement of general performance goals and objectives 214
Appropriations not authorized by law 214
Transfers of funds 216
Compliance with rule XIII, clause 3(e) (Ramseyer rule) 219
Comparison with the budget resolution 266
Five-year outlay projections 267
Financial assistance to state and local governments 267
Rescissions 233
Changes in the application of existing law 233
Full Committee votes
Tabular summary of the bill

OPERATING PLAN AND REPROGRAMMING PROCEDURES

The Committee continues to have a particular interest in being informed of reprogrammings which, although they may not change either the total amount available in an account or any of the purposes for which the appropriation is legally available, represent a significant departure from budget plans presented to the Committee in an agency's budget justifications and supporting documents, the basis of this appropriations Act.

Consequently, the Committee directs the departments, agencies, boards, commissions, corporations and offices funded at or in excess of $100,000,000 in this bill, to consult with the Committee prior to each change from the approved budget levels in excess of $500,000 between programs, activities, object classifications or elements unless otherwise provided for in the Committee report accompanying this bill. For agencies, boards, commissions, corporations and offices funded at less than $100,000,000 in this bill, the reprogramming threshold shall be $250,000 between programs, activities, initiatives object classifications or elements unless otherwise provided for in the Committee report accompanying this bill. Additionally, the Committee expects to be promptly notified of all reprogramming actions which involve less than the above-mentioned amounts. If such actions would have the effect of significantly changing an agency's funding requirements in future years, or if programs or projects specifically cited in the Committee's reports are affected by the reprogramming, the reprogramming must be approved by the Committee regardless of the amount proposed to be moved. Furthermore, the Committee wishes to be consulted regarding reorganizations of offices, programs, and activities prior to the planned implementation of such reorganizations.

The Committee also directs that the Departments of Transportation, Treasury and Housing and Urban Development, as well as the Judiciary, the General Services Administration, and the Office of Personnel Management, shall submit operating plans, signed by the respective secretary, administrator, or agency head, for the Committee's review within 60 days of the bill's enactment.

RELATIONSHIP WITH BUDGET OFFICES

Through the years, the Committee has channeled most of its inquiries and requests for information and assistance through the budget offices of the various departments, agencies, and commissions. The Committee has often pointed to the natural affinity and relationship between these organizations and the Committee which makes such a relationship workable. The Committee reiterates its longstanding position that while the Committee reserves the right to call upon all offices in the departments, agencies, and commissions, the primary conjunction between the Committee and these entities must normally be through the budget offices. The Committee appreciates all the assistance received from each of the departments, agencies, and commissions during the past year. The workload generated by the budget process is large and growing, and therefore, a positive, responsive relationship between the Committee and the budget offices is absolutely essential to the appropriations process.

THE EFFECT OF GUARANTEED SPENDING

Over the objections of the Appropriations and Budget Committee, in 1998 the Transportation Equity Act for the 21st Century (TEA-21) amended the Budget Enforcement Act to provide two new additional spending categories or `firewalls', the highway category and the mass transit category. The Safe, Accountable, Flexible, Efficient, Transportation Equity Act: A Legacy for Users (SAFETEA-LU) extended the highway and mass transit firewalls through fiscal year 2009. The Wendell H. Ford Aviation Investment and Reform Act for the 21st Century (AIR-21) provided a similar treatment for certain aviation programs, which were later extended in the Vision-100 Century of Aviation Reauthorization Act. These Acts have produced the same results: they significantly raised spending, and they have had the effect of prohibiting the Appropriations Committee from reducing those spending levels in the annual appropriations process. As the Committee noted during deliberations on these bills, the Acts essentially created mandatory spending programs within the discretionary caps. This undermines Congressional flexibility to fund other equally important programs not protected by funding guarantees and to address emerging priorities, such as homeland security and overseas military requirements, within projected budget totals. In addition, the reorganization of the Committee in the 109th Congress posed additional challenges in this regard, because funding guarantees for selected transportation programs compete in the budget process against funding for non-transportation agencies such as the Department of Housing and Urban Development, Office of National Drug Control Policy, enforcement of anti-terrorism and money laundering activities in the Treasury Department, the Internal Revenue Service, the General Services Administration, and the Judiciary. In addition, funding guarantees skew transportation priorities inappropriately, by providing increases to highway, transit, and airport spending while leaving safety-related operations in the FAA, FRA and Amtrak to scramble for the remaining resources. As in past years, the Committee has done all in its power, considering this environment, to produce a balanced bill providing adequately for all modes of transportation as well as all non-transportation programs under the jurisdiction of this bill.

QUALITY OF BUDGET DOCUMENTS

For years, the Committee has directed departments and agencies to improve the budget justification document quality and presentation by including relevant and specific budget information. While the Committee has seen some improvement in a few submissions, most justifications continue to be filled with references to the Program Assessment Rating Tool (PART), drowning in pleonasm, and yet still devoid of useful information. The Committee strongly encourages the administration to use a meaningful system of evaluation to justify proposed program funding levels, as long as the basis for the evaluations will also be shared with the Committee. The Committee finds little use for a budget justification which does not reveal specific details of the measurable indicators and standards used to evaluate a program's performance, relevance, or adherence to underlying authorization statute. Further, the Committee has little patience for secretaries and administrators who cannot explain the rationale behind a program's funding level other than `the PART score,' `getting to green,' or `this is what OMB provided.' The Committee welcomes the input from the agencies, and is very interested in the methodologies used by the administration to fund various program priorities.

TABULAR SUMMARY

A table summarizing the amounts provided for fiscal year 2006 and the amounts recommended in the bill for fiscal year 2007 compared with the budget estimates is included at the end of this report.

COMMITTEE HEARINGS

The Committee has conducted extensive hearings on the programs and projects provided for in this bill. Pursuant to House rules, each of these hearings was open to the public. The Committee received testimony from cabinet officers, agency heads, inspectors general, and other officials of the executive branch in areas under the bill's jurisdiction. In addition, the Committee has considered written material submitted for the hearing record by Members of Congress, private citizens, local government entities, and private organizations. The bill recommendations for fiscal year 2007 have been developed after careful consideration of all the information available to the Committee.

PROGRAM, PROJECT, AND ACTIVITY

During fiscal year 2007, for the purposes of the Balanced Budget and Emergency Deficit Control Act of 1985 (Public Law 99-177), as amended, with respect to appropriations contained in the accompanying bill, the terms `program, project, and activity' shall mean any item for which a dollar amount is contained in an appropriations Act (including joint resolutions providing continuing appropriations) or accompanying reports of the House and Senate Committees on Appropriations, or accompanying conference reports and joint explanatory statements of the committee of conference. This definition shall apply to all programs for which new budget (obligational) authority is provided, as well as to capital investment grants, Federal Transit Administration. In addition, the percentage reductions made pursuant to a sequestration order to funds appropriated for facilities and equipment, Federal Aviation Administration shall be applied equally to each `budget item' that is listed under said accounts in the budget justifications submitted to the House and Senate Committees on Appropriations as modified by subsequent appropriations Acts and accompanying committee reports, conference reports, or joint explanatory statements of the committee of conference.

TITLE I--DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $84,051,000 
Budget request, fiscal year 2007    92,742,000 
Recommended in the bill             92,558,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +8,507,000 
  Budget request, fiscal year 2007    -184,000 
-----------------------------------------------

COMMITTEE RECOMMENDATION

The bill provides $92,558,000 for the salaries and expenses of the various offices comprising the office of the secretary. The Committee's recommendation includes individual funding for all of the offices within the office of the secretary, as has been done in past years, rather than consolidating them as proposed in the budget request. The following table compares the fiscal year 2006 enacted level to the fiscal year 2007 budget estimate and the Committee's recommendation by office:


--------------------------------------------------------------------------------------------------------------------------------
                                                           Fiscal year 2006 enacted Fiscal year 2007 estimate House recommended 
--------------------------------------------------------------------------------------------------------------------------------
Immediate office of the secretary                                        $2,176,000                $2,255,000        $2,255,000 
Office of the deputy secretary                                              691,000                   717,000           717,000 
Office of the executive secretariat                                       1,428,000                 1,478,000         1,478,000 
Office of the under secretary of transportation for policy               11,534,000                11,934,000        11,684,000 
Board of contract appeals                                                   690,000                   707,000           707,000 
Official of small and disadvantaged business utilization                  1,252,000                 1,286,000         1,286,000 
Office of the chief information officer                                  11,776,000                12,281,000        12,281,000 
Office of the assistant secretary for governmental affairs                2,270,000                 2,319,000         2,319,000 
Office of the general counsel                                            15,031,000                15,681,000        15,681,000 
Office of the assistant secretary for budget and programs                 8,400,000                10,002,000        10,002,000 
Office of the assistant secretary for administration                     21,811,000                25,108,000        25,108,000 
Office of public affairs                                                  1,891,000                 1,932,000         1,932,000 
Office of intelligence and security                                       2,013,000                 2,655,000         2,722,000 
Office of emergency transportation                                        3,089,000                 4,386,000         4,386,000 
Total                                                                   $84,051,000               $92,742,000       $92,558,000 
--------------------------------------------------------------------------------------------------------------------------------

Office of the under secretary of transportation for policy- The Committee provides a total of $11,684,000 for the office of the under secretary of transportation for policy, a reduction of $250,000 below the requested level. The adjustment to the request is shown below.

Deny transfer of two full-time equivalent positions (FTE) -$250,000

The Committee denies the request to create a new office, the security policy office, within the office of the under secretary of transportation for policy. In addition, the Committee denies the transfer of two FTEs from the office of intelligence and security (OIS) to this office. The Committee does not understand the need for the new office or how creation of a new office will enhance security or operations. Further, the Committee is concerned that the dissection of OIS security functions and the creation of a new bureaucratic layer between the secretary and some of those functions will create inefficiencies and duplication of effort. The Committee is concerned that this proposal will result only in the dilution of security.

Office of intelligence and security- The Committee provides $2,722,000 for the office of intelligence and security, an increase of $67,000 above the requested level. Adjustments to the request are detailed below.

Deny transfer of two FTEs +$250,000
Deny funding for one FTE -187,000

Deny transfer of two FTEs- As mentioned above, the Committee denies the transfer of two existing FTEs from OIS to the office of the under secretary of transportation for policy. OIS has served as the Department of Transportation's (DOT) primary point of contact with the Department of Homeland Security (DHS), the Homeland Security Council, and various security-related working groups since the Transportation Security Administration (TSA) was transferred to DHS. OIS advises DOT executives on policy issues related to intelligence, information sharing, and national security strategies coordinated in the Homeland Security Council. Further, OIS coordinates across all elements of DOT. Rapidly emerging threats against the transportation system may require quick decisions and immediate implementation of protective measures. The Committee believes that a robust security function should include all elements of security in a single office with a direct line of communication to the Secretary of Transportation, and therefore, denies that budget request to add needless layers of bureaucracy to this vital function.

Deny funding for one FTE- In addition, the Committee denies $183,000 in funding that was not addressed, justified, or reflected in the fiscal year 2007 budget appendix or the Office of the Secretary of Transportation's (OST) congressional justification for a `senior management position associated with reorganization.' The Committee is confused as OST's own congressional budget justification stated that no additional FTEs were required or necessary for this office. In addition, OST requested that this Committee include a provision in the fiscal year 2006 supplemental allowing OST to obtain detailees from modal agencies, free of charge, to help staff OIS. It is inconsistent that an office that requests funding for an additional FTE and detailees from the modes would also seek to transfer two existing FTEs to another office.

Disadvantaged business enterprise- The Committee is aware that the Department of Transportation recently promulgated a new rule revising and updating its regulations concerning the participation of disadvantaged business enterprises (DBEs) in concessions activities of airports receiving federal financial assistance from the airport improvement program. One of the issues addressed in the new rule is a personal net worth standard for program eligibility purposes. The Committee is also aware that certain industry groups and others have raised concerns regarding the standard and its implementation and have petitioned the department to initiate additional rulemaking on this matter. The Committee urges the department to carefully review these concerns and the basis for the standard.

Congressional budget justifications- The Committee urges the department to improve the quality of the budget submissions and to include the same level of detail that was provided in the congressional justifications presented in fiscal year 2003. Some of the budget documents submitted for fiscal year 2007 did not adhere to that standard. Therefore, the Committee again directs the department to submit its congressional justification materials at the same level of detail provided in the congressional justifications presented in fiscal year 2003. Further, the department is directed to include in the budget justification funding levels for the prior year, current year, and budget year for all programs, activities, initiatives, and program elements. Each budget submitted by the department must also include detailed justification for the incremental funding increases and additional FTEs being requested above the enacted level, by program, activity, or program element.

In addition, the Committee notes that many general provisions included in the President's budget request are not justified, addressed, nor presented in any DOT justification. Therefore, the Committee directs DOT to justify each general provision proposed either in its relevant modal congressional justification, or in the OST congressional justification.

OST currently includes a helpful discussion in its justification of changes from the current year to the request. To ensure that each adjustment is identified, the Committee directs OST in future congressional justifications to include detailed information in tabular format which identifies specific changes in funding from the current year to the budget year for each office, including each office within the office of the secretary.

Operating plan- The Committee directs the department to submit an operating plan for fiscal year 2007, signed by the secretary for review by the Committees on Appropriations of both the House and Senate within 60 days of the bill's enactment. The operating plan should include funding levels for the various offices, programs and initiatives detailed down to the object class or program element covered in the budget justification and supporting documents or referenced in the House and Senate appropriations reports, and the statement of the managers.

Bill language- The bill continues language that permits up to $2,500,000 of fees to be credited to the office of the secretary for salaries and expenses.

OFFICE OF CIVIL RIGHTS


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $8,465,000 
Budget request, fiscal year 2007    8,821,000 
Recommended in the bill             8,821,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    +356,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The office of civil rights is responsible for advising the secretary on civil rights and equal opportunity matters and ensuring full implementation of civil rights opportunity precepts in all of the department's official actions and programs. This office is responsible for enforcing laws and regulations that prohibit discrimination in federally operated and federally assisted transportation programs. This office also handles all civil rights cases related to Department of Transportation employees.

COMMITTEE RECOMMENDATION

The Committee provides $8,821,000 for the office of civil rights, the same as the budget request.

TRANSPORTATION PLANNING, RESEARCH, AND DEVELOPMENT


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $14,850,000 
Budget request, fiscal year 2007     8,910,000 
Recommended in the bill             13,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   -1,850,000 
  Budget request, fiscal year 2007  +4,090,000 
-----------------------------------------------

This appropriation finances those research activities and studies concerned with the planning, analysis, and information development needed to support the secretary's responsibilities in the formulation of national transportation policies. It also finances the staff necessary to conduct these efforts. The overall program is carried out primarily through contracts with other federal agencies, educational institutions, nonprofit research organizations, and private firms.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $13,000,000 for transportation planning, research and development, a decrease of $1,850,000 below the fiscal year 2006 enacted level and $4,090,000 above the budget request.

WORKING CAPITAL FUND


---------------------------------------------------
---------------------------------------------------
Limitation, fiscal year 2006        ($116,834,000) 
Budget request, fiscal year 2007 1           - - - 
Recommended in the bill              (120,000,000) 
Bill compared with:                                
  Limitation, fiscal year 2006        (+3,166,000) 
  Budget request, fiscal year 2007  (+120,000,000) 
---------------------------------------------------

The working capital fund (WCF) was created to provide common administrative services to the various modes and outside entities that desire those services for economy and efficiency. The fund is financed through negotiated agreements with the department's operating administrations and other governmental elements requiring the center's capabilities.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $120,000,000 on the working capital fund. The budget request proposed a limitless program level for the fund in fiscal year 2007. The Committee's recommendation is appropriate considering the funding levels of the operations and administrative accounts.

Modal usage of WCF- Consistent with past practice, the Committee directs the department, in its fiscal year 2007 congressional justifications for each of the modal administrations, to account for increases or decreases in WCF billings based on planned usage requested or anticipated by the modes rather than anticipated by WCF managers.

MINORITY BUSINESS RESOURCE CENTER PROGRAM


------------------------------------------------------------------------------
                                 Appropriation Limitation on guaranteed loans 
------------------------------------------------------------------------------
Appropriation, fiscal year 2006       $891,000                  ($18,367,000) 
Budget request, fiscal year 2007       891,000                   (18,367,000) 
Recommended in the bill                891,000                   (18,367,000) 
Bill compared to:                                                             
Appropriation, fiscal year 2006          - - -                        (- - -) 
Budget request, fiscal year 2007         - - -                        (- - -) 
------------------------------------------------------------------------------

The minority business resource center of the office of small and disadvantaged business utilization provides assistance in obtaining short-term working capital and bonding for disadvantaged, minority, and women-owned businesses. The program enables qualified businesses to obtain loans at prime interest rates for transportation-related projects.

COMMITTEE RECOMMENDATION

The recommendation fully funds the budget request of $495,000 to cover the subsidy costs for the loans, not to exceed $18,367,000, and $396,000 for administrative expenses to carry out the guaranteed loan program.

MINORITY BUSINESS OUTREACH


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $2,970,000 
Budget request, fiscal year 2007    2,970,000 
Recommended in the bill             2,970,000 
Bill compared with:                           
  Appropriation, fiscal year 2006       - - - 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

This appropriation provides contractual support to assist minority business firms, entrepreneurs, and venture groups in securing contracts and subcontracts arising out of projects that involve federal spending. It also provides grants and contract assistance that serves DOT-wide goals.

COMMITTEE RECOMMENDATION

The Committee provides $2,970,000 for this program, equal to both the fiscal year 2006 funding level and the budget request.

NEW HEADQUARTERS BUILDING


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006 1  $49,500,000 
Budget request, fiscal year 2007    59,400,000 
Recommended in the bill                  - - - 
Bill compared with:                            
  Appropriation, fiscal year 2006  -49,500,000 
  Budget request, fiscal year 2007 -59,400,000 
-----------------------------------------------

The President's budget included funds for the new Department of Transportation headquarters building, which would consolidate all of the department's headquarters operating administration functions (except for the Federal Aviation Administration) from various locations around the Washington, DC metropolitan area into a leased building within the central employment area of the District of Columbia.

COMMITTEE RECOMMENDATION

Without prejudice, the Committee does not provide funding in fiscal year 2007 for the new headquarters building due to budget constraints.

PAYMENTS TO AIR CARRIERS

(AIRPORT AND AIRWAY TRUST FUND)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $59,400,000 
Budget request, fiscal year 2007         - - - 
Recommended in the bill             67,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +7,600,000 
  Budget request, fiscal year 2007 +67,000,000 
-----------------------------------------------

The Essential Air Service (EAS) program was originally created by the Airline Deregulation Act of 1978 as a temporary measure to continue air service to communities that had received federally mandated air service prior to deregulation. The program currently provides subsidies to air carriers serving small communities that meet certain criteria.

The Federal Aviation Administration Reauthorization Act of 1996 (Public Law 104-264) authorized the collection of user fees for services provided by the Federal Aviation Administration (FAA) to aircraft that neither take off from, nor land in the United States, commonly known as overflight fees. In addition, the Act permanently appropriated these fees for authorized expenses of the FAA and stipulated that the first $50,000,000 of annual fee collections must be used to finance the EAS program. In the event of a shortfall in fees, the law requires FAA to make up the difference from other funds available to the agency.

The fiscal year 2007 budget proposes to fund the EAS program at a total of $50,000,000, solely from new overflight fee collections credited to the Airport and Airway Trust Fund and changes the program to require communities share in the cost of air service. The Committee finds the budget proposal unrealistic considering that in fiscal year 2006 the department came to the Committee seeking additional funding for the EAS program as several communities were in jeopardy of losing air service.

COMMITTEE RECOMMENDATION

The Committee recommends a total program level of EAS in fiscal year 2007 of $117,000,000, a $7,600,000 increase above the level provided in fiscal year 2006. This funding consists of an appropriation of $67,000,000 and $50,000,000 to be derived from overflight fee collections. In addition, bill language is included that allows the secretary to transfer up to $10,000,000 to the EAS program from the small community air service development program, if needed.

The Committee notes that workload has increased significantly as the number of EAS subsidized communities has increased by more than 50 percent since 1996, from 97 to 151. The changing structure of the industry is also having dramatic effects on services at small communities and creates challenges. In addition, VISION 100 resulted in new responsibilities for the department and established six new pilot programs. To help meet these responsibilities, the Committee provides this office with two new FTE, representing half of the request.

The Committee includes language (sec. 101) to ensure prompt availability of funds for obligation to air carriers providing service under the EAS program. The language removes an unintended penalty whereby if $50,000,000 is made immediately available by the FAA to the EAS program at the beginning of each fiscal year, the FAA must take that amount from its appropriations, without the ability to credit back amounts transferred from the FAA once sufficient overflight fees are available. Without this language, the result would be a permanent reduction in the appropriations to the FAA. The Committee has also included language that allows the secretary to take into consideration the subsidy requirements of carriers when selecting between carriers competing to provide service to a community.

The bill includes a provision (sec. 104) prohibiting the use of funds to implement an essential air service program that requires local participation.

COMPENSATION FOR AIR CARRIERS

(RESCISSION)


------------------------------------------------
------------------------------------------------
Rescission, fiscal year 2006              - - - 
Budget request, fiscal year 2007   -$50,000,000 
Recommended in the bill             -50,000,000 
Bill compared with:                             
  Rescission, fiscal year 2006      -50,000,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Air Transportation Safety and System Stabilization Act (Public Law 107-42) provided $5,000,000,000 to compensate air carriers for direct losses incurred during the federal ground stop of civil aviation after the September 11, 2001 terrorist attacks, and for incremental losses incurred between September 11 and December 31, 2001. To date, of the $5,000,000,000 appropriated, $4,603,452,933 of direct compensation payments have been made (net of repayments from carriers including a $29,000,000 repayment from Federal Express). Also to date, a total of $325,000,000 has been rescinded by Congress as surplus to need leaving a current balance of approximately $71,000,000 in the fund.

COMMITTEE RECOMMENDATION

The Committee includes language that rescinds $50,000,000 from the compensation for air carriers, consistent with the budget request. The Department of Transportation has recalibrated its litigation risk in outstanding administrative and court cases. The rescission leaves a balance of approximately $21,000,000, which DOT states will cover any potential liabilities from unresolved claims or contingent liabilities.

ADMINISTRATIVE PROVISIONS--OFFICE OF THE SECRETARY OF TRANSPORTATION

Section 101. The Committee continues a provision allowing reimbursement for fees collected and credited under 49 U.S.C. 45303.

Section 102. The Committee continues a provision allowing the Secretary of Transportation to transfer unexpended sums from `office of the secretary, salaries and expenses' to `minority business outreach'.

Section 103. The Committee continues the provision prohibiting the Office of the Secretary of Transportation from approving assessments or reimbursable agreements pertaining to funds appropriated to the modal administrations in this Act, unless such assessments or agreements have completed the normal reprogramming process for Congressional notification.

Section 104. The Committee continues the provision prohibiting the use of funds to implement an essential air service local cost share participation program.

FEDERAL AVIATION ADMINISTRATION

The Federal Aviation Administration (FAA) is responsible for the safety and development of civil aviation and the evolution of a national system of airports. The Federal Government's regulatory role in civil aviation began with the creation of an Aeronautics Branch within the Department of Commerce pursuant to the Air Commerce Act of 1926. This Act instructed the Secretary of Commerce to foster air commerce; designate and establish airways; establish, operate, and maintain aids to navigation; arrange for research and development to improve such aids; issue airworthiness certificates for aircraft and major aircraft components; and investigate civil aviation accidents. In the Civil Aeronautics Act of 1938, these activities were subsumed into a new, independent agency named the Civil Aeronautics Authority.

After further administrative reorganizations, Congress streamlined regulatory oversight in 1957 with the creation of two separate agencies, the Federal Aviation Agency and the Civil Aeronautics Board. When the Department of Transportation began its operations on April 1, 1967, the Federal Aviation Agency was renamed the Federal Aviation Administration (FAA) and became one of several modal administrations within the department. The Civil Aeronautics Board was later phased out with enactment of the Airline Deregulation Act of 1978, and ceased to exist at the end of 1984. FAA's mission expanded in 1995 with the transfer of the Office of Commercial Space Transportation from the Office of the Secretary, and decreased in December 2001 with the transfer of civil aviation security activities to the new Transportation Security Administration.

OPERATIONS

(AIRPORT AND AIRWAY TRUST FUND)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $8,104,140,000 
Budget request, fiscal year 2007    8,366,000,000 
Recommended in the bill             8,360,000,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    +255,860,000 
  Budget request, fiscal year 2007     -6,000,000 
--------------------------------------------------

This appropriation provides funds for the operation, maintenance, communications, and logistical support of the air traffic control and air navigation systems. It also covers administrative and managerial costs for the FAA's regulatory, international, medical, engineering and development programs as well as policy oversight and overall management functions.

The operations appropriation includes the following major activities: (1) operation on a 24-hour daily basis of a national air traffic system; (2) establishment and maintenance of a national system of aids to navigation; (3) establishment and surveillance of civil air regulations to assure safety in aviation; (4) development of standards, rules and regulations governing the physical fitness of airmen as well as the administration of an aviation medical research program; (5) administration of the acquisition, research and development programs; (6) headquarters, administration and other staff offices; and (7) development, printing, and distribution of aeronautical charts used by the flying public.

COMMITTEE RECOMMENDATION

The Committee recommends $8,360,000,000 for FAA operations, an increase of $255,860,000 above the level provided in fiscal year 2006, and $6,000,000 below the budget request.

A comparison of the fiscal year 2007 budget request to the Committee recommendation by budget activity is as follows:


-----------------------------------------------------------------------------------------
Budget activity                 Fiscal year 2007 request Fiscal year 2007 recommendation 
-----------------------------------------------------------------------------------------
Air traffic organization                  $6,704,223,000                  $6,698,728,000 
Aviation safety                              981,668,000                     997,718,000 
Commercial space transportation               11,985,000                      11,985,000 
Financial services 1                                                          92,227,000 
Human resources 1                                                             87,850,000 
Region and center operations 1                                               272,821,000 
Staff offices 1                              668,125,000                     175,392,000 
Information services                                                          36,779,000 
Adjustments                                                                  -14,000,000 
Total                                     $8,366,000,000                  $8,360,000,000 
-----------------------------------------------------------------------------------------

TRUST FUND SHARE OF FAA BUDGET

The bill derives $11,787,000,000 of the total appropriation from the airport and airway trust fund. The balance of the appropriation ($3,516,000,000) will be drawn from the general fund of the Treasury. Under these provisions, 77 percent of the FAA's costs will be borne by air travelers and industries using those services. The remaining 23 percent will be borne by the general taxpayer, regardless of whether they directly utilize FAA services.

STATE OF THE AIRPORT AND AIRWAY TRUST FUND

According to Administration estimates, fiscal year 2007 will continue the recent trend where necessary outlays for FAA programs outstrip the revenues from aviation users deposited into the airport and airway trust fund. The following table compares trust fund revenue to trust fund outlays for the past three fiscal years. As the table indicates, under current estimates the Federal Government is not only spending all the revenues coming into the trust fund, it is going beyond that, and spending down the cash balance. The Administration estimates that, at the end of fiscal year 2007, the uncommitted cash balance in the trust fund will be approximately $2,706,000,000.


-------------------------------------------------------------------------
                      Fiscal year 2005 Fiscal year 2006 Fiscal year 2007 
-------------------------------------------------------------------------
Trust fund revenue 1   $10,830,000,000  $11,241,000,000  $11,997,000,000 
Trust fund outlays      11,209,000,000   12,332,000,000   12,167,000,000 
Difference                -379,000,000   -1,091,000,000     -170,000,000 
-------------------------------------------------------------------------

It is imperative for the agency to lower its operating costs and find ways to be more efficient in all its operations. For several years, the Committee has indicated that improvement was needed in the area of personnel costs. The average full-time equivalent (FTE) workyear cost for fiscal year 2006 was $142,587 and expected to increase to $145,450 for fiscal year 2007. FAA's workyear costs have historically been and remain among the highest of all federal agencies. Average sick leave costs historically have been 20 percent higher than the government average, raising the agency's staffing costs. Although FAA has made progress in this area, the current average yearly sick leave consumed is 10.80 days per FAA employee. In addition, special pays will cost the agency $349,740,000 in fiscal year 2007.

Given the severe budget constraints facing the nation, the Committee directs FAA to continue focusing on ways to reduce sick leave, to improve productivity and lessen the need for additional staffing resources in future years.

AIR TRAFFIC ORGANIZATION

The bill provides $6,698,728,000 for air traffic services, a reduction of $5,495,000 from the budget request. These resources would be managed by FAA's air traffic organization. Recommended adjustments to the budget estimate are listed and described below:

Amount
Contract tower base program +$3,242,000
Contract tower cost-sharing program +263,000
BTS aviation statistics -2,000,000
NAS handoff -7,000,000

Contract tower program.--The bill includes $97,500,000, an increase of $3,242,000 above the budget estimate of $94,258,000, to continue the contract tower base program. The President's budget does not reflect estimates for operations at 12 new towers entering the program during fiscal year 2007.

In addition, the bill provides $8,000,000, an increase of $263,000 above the budget estimate, to continue the contract tower cost-sharing program. The Committee continues to believe this is a valuable program that provides safety benefits to small communities. Communities in this program as of January 1, 2006 are shown below:


----------------------------------
----------------------------------
King Salmon                    AK 
Fayetteville                   AR 
Rogers Municipal-Carter Field  AR 
Springdale                     AR 
Laughlin/Bullhead City         AZ 
Hawthorne                      CA 
Waterbury/Oxford               CT 
Bloomington                    IN 
Columbus Municipal             IN 
Gary Regional                  IN 
Muncie/Delaware County         IN 
Garden City                    KS 
Barkley regional (Paducah)     KY 
Sawyer                         MI 
Jefferson City                 MO 
Joplin Regional                MO 
Smith Reynolds (Winston-Salem) NC 
Lebanon Municipal              NH 
Lea County/Hobbs               NM 
Elko                           NV 
Latrobe                        PA 
Williamsport/Lycoming County   PA 
Greenville Donaldson Center    SC 
Grand Strand/Myrtle Beach      SC 
Walla Walla Regional           WA 
Morgantown                     WV 
----------------------------------

The Committee recognizes that the number of airports participating in the cost sharing program fluctuates regularly because of changes in air traffic activity. In order to prevent program disruptions and provide more certainty, the Committee allows FAA to use unsubscribed funds from the contract tower base line program to avoid elimination of communities from the cost share towers program. However, FAA should only employ this flexibility with surplus funds in the base line contract tower program, after all baseline contract tower obligations have been fulfilled.

Controller staffing.--According to FAA, the agency expects that over the next 10 years, 72 percent of its 15,000 controllers will become eligible to retire. The FAA is currently updating its staffing plan submitted in December 2004. This update will be based on a refined methodology and will incorporate new estimates of future traffic and retirement projections, and recent productivity gains. Consistent with the plan and with FAA's request, the bill provides $18,220,000 for salaries, benefits, training, and ancillary support costs associated with 1,136 new hires, for a net increase of at least 132 in controller work force in fiscal year 2007.

The Committee agrees with FAA that a one for one replacement of retiring controllers is not prudent, as it would not assume productivity improvements from procedural changes, facility consolidation, or even new technology. The business-like mindset of the air traffic organization has begun to make productivity improvements a reality, and further productivity will continue to lessen the need for additional personnel. Currently, FAA is taking steps to achieve savings of 10 percent by 2010 in controller staff costs through productivity improvements, and realized the first three percent of this goal in 2005. In addition, the Committee believes that the ability to waive the mandatory retirement age is a good hedge against the retirement surge in future years.

Bureau of transportation statistics studies.--The Committee provides $2,000,000, half of the requested amount for the aviation statistical studies to be conducted by the bureau of transportation statistics (BTS), under the Research and Innovative Technology Administration. The Committee directs BTS to perform only those functions and studies that are relevant to FAA's mission. Further, the Committee directs DOT to provide to the House and Senate Committees on Appropriations an accounting of how the funds were spent and how FAA uses that data to fulfill its mission.

National airspace system handoff.--The Committee recommends a reduction of $7,000,000 below the budget estimate, for a total of $87,400,000 in NAS handoff funding.

New York/New Jersey airspace redesign.--The Committee notes that the executive summary of the FAA's Draft Environmental Impact Statement (DEIS) for the redesign of the New York/New Jersey/Philadelphia regional airspace states, `Mitigation measures to avoid, minimize, rectify, reduce, eliminate, or compensate for these (noise) impacts will be considered in the Final EIS.' The Committee directs the FAA to provide a letter report to the House and Senate Committees on Appropriations by January 7, 2007 on the specific mitigation measures that will be considered to address noise impacts of the redesign.

AVIATION SAFETY

The bill provides $997,718,000 for aviation safety, an increase of $16,050,000 above the budget request. Recommended adjustments to the budget are described below.

Additional safety inspectors and engineers +$16,000,000
Professional aerial application support system +50,000

Aviation safety inspectors and aircraft certification staff.--The Committee provides $48,711,612 for aviation safety, an increase of $16,000,000 over the budget request to increase safety critical staff in the office of aviation flight standards (AFS) and the office of aircraft certification (AIR).

The fiscal year 2006 Act provided an additional $12,000,000 above the fiscal year 2006 budget request for 238 new safety personnel, of which $8,000,000 was for AFS inspectors, and $4,000,000 for AIR safety inspectors, engineers, pilots, and scientists. The FAA states that after accounting for the fiscal year 2006 across the board cut and mandatory pay raise, only 87 new safety staff, 55 for AFS and 32 for AIR, could be hired. The additional $16,000,000 provided in this bill, together with a $4,000,000 reprogramming request, will enable the FAA to increase safety personnel to the full 238, as intended.

Although the Committee did not specify the number of staff for each office, it did provide clear direction regarding the distribution of funding. The carefully negotiated agreement stated that $4,000,000, or one-third of the total increase provided in fiscal year 2006 was for AIR and $8,000,000, or two-thirds of the increase was for AFS. Based on these figures, FAA states that the total new hires would have been 182 for AFS and 56 for AIR. The Committee directs the FAA to hire AFS and AIR staff consistent with the direction in the fiscal year 2006 Act to ensure that the funding increases provided in fiscal years 2006 and 2007 appropriations, plus the 2006 reprogramming result in the same proportional increase, for a total increase of 182 new staff in AFS safety staff and 56 new AIR staff. This funding should not affect FAA's plans for filling existing vacant positions in either AIR or AFS.

Further, funds provided for the offices of aircraft certification and flight standards are designated congressional items of interest. The Committee prohibits the reprogramming of funds between the two offices, or for any other purpose within or outside of the aviation safety office, including the hiring of other types of personnel within aviation safety. The Committee directs the Secretary to provide a summary by March 1, 2007 regarding the use of the funds provided, including, but not limited to the total full-time equivalent staff years in the offices of aircraft certification and flight standards, total employees, vacancies, positions under active recruitment to the House and Senate Committees on Appropriations.

The Committee notes that loss of certification staff has negatively impacted the domestic aviation industry's ability to bring new products to the marketplace, which directly affects the aviation industry's global leadership and competitiveness.

Professional Aerial Application Support System.--The recommendation includes $50,000 to continue the National agricultural aviation research and education foundation's professional aerial application support system.

COMMERCIAL SPACE TRANSPORTATION

The Committee recommends $12,000,000 for the office of commercial space transportation, consistent with the budget request.

BASE TRANSFERS

Total funding for staff offices increased significantly from the fiscal year 2006 funding level. However, a significant portion of the increase results from a number of proposed activity and personnel transfers from other offices within the air traffic organization. The budget also proposed transfers among the staff offices. The Committee agrees that these transfers will properly align functions and positions among the offices.

FINANCIAL SERVICES

The Committee recommends $92,227,000 for the office of financial services, a reduction of $2,482,000 from the budget request. The President's budget proposed $16,200,000 for unanticipated increases in Delphi maintenance and operation costs. The Committee is concerned that DOT did not foresee an increase of this magnitude for the complex department-wide financial management system. Therefore, the Committee provides a total funding level of $13,800,000 for Delphi, and urges DOT to explore ways to maintain and operate the system more efficiently. In addition, the Committee provides a total of $482,000 to support 5 new positions at half-year funding for expanded contract oversight.

HUMAN RESOURCES

The Committee recommends $87,850,000, consistent with the budget request. The increase from fiscal year 2006 is due to base transfers for labor relations positions, payroll services, and human resources positions from other FAA offices. The Committee notes that FAA is expanding a successful pilot program began in fiscal year 2003 to better contain workers' compensation costs for the agency. FAA's target goal is to increase the total one-year workers compensation cost avoidance by two percent in fiscal year 2007.

REGION AND CENTER OPERATION

The Committee recommends $272,821,000 for the region and center operations, as requested.

STAFF OFFICES

Office of General Counsel.--The Committee recommends $38,186,000 for this office. The funding level provides a total of $229,890 for four new positions for expanded contract oversight at half year funding, representing a reduction of $575,000 below the budget request.

ACCOUNT-WIDE ADJUSTMENTS

Personnel compensation and benefits.--The recommendation includes a reduction of $8,000,000 in agency-wide personnel compensation and benefits costs due to budget constraints.

Unfilled executive positions.--The Committee recommends a reduction of $5,000,000, reflecting the unfilled roster of 18 executive positions in the agency, including 7 which were not under active recruitment. Past hearing records indicate that, at any given time, the agency is likely to have between 10 and 20 unfilled executive positions. For an agency with 159 executive positions, this level of openings may not be problematic. However, it does indicate excess costs are being budgeted for positions that are not likely to be filled in the entirety of the fiscal year.

Working capital fund costs.--The recommendation allows $23,913,000 for working capital fund costs, a reduction of $1,000,000 below the budget estimate.

BILL LANGUAGE

Manned auxiliary flight service stations.--The bill includes the limitation prohibiting funds from being used to operate a manned auxiliary flight service station in the contiguous United States. The FAA budget includes no funding to operate such stations during fiscal year 2007.

Second career training program.--Once again this year, the bill includes a prohibition on the use of funds for the second career training program. This prohibition has been in annual appropriations Acts for many years, and is included in the President's budget request.

Sunday premium pay.--The bill retains a provision begun in fiscal year 1995 which prohibits the FAA from paying Sunday premium pay except in those cases where the individual actually worked on a Sunday. The statute governing Sunday premium pay (5 U.S.C. 5546(a)) is very clear: `An employee who performs work during a regularly scheduled 8-hour period of service which is not overtime work as defined by section 5542(a) of this title a part of which is performed on Sunday is entitled to . . . premium pay at a rate equal to 25 percent of his rate of basic pay.' Disregarding the plain meaning of the statute and previous Comptroller General decisions, however, in Armitage v. United States, the Federal Circuit Court held in 1993 that employees need not actually perform work on a Sunday to receive premium pay. The FAA was required immediately to provide back pay totaling $37,000,000 for time scheduled but not actually worked between November 1986 and July 1993. Without this provision, the FAA would be liable for significant unfunded liabilities, to be financed by the agency's annual operating budget. This provision is identical to that in effect for fiscal years 1995 through 2006.

Aviation User Fees.--The bill includes a limitation carried for several years prohibiting funds from being used to finalize or implement any new unauthorized user fees.

Nonprofit safety standard setting organization.--The Committee retains a provision that allows the use of funds to enter into an agreement with a nonprofit standard setting organization to develop safety standards.

Aeronautical charting and cartography.--The bill maintains the provision which prohibits funds in this Act from being used to conduct aeronautical charting and cartography (AC&C) activities through the working capital fund (WCF). Public Law 106-181 authorized the transfer of these activities from the Department of Commerce to the FAA, a move which the Committee supported. The Committee believes this work should continue to be conducted by the FAA, and not administratively delegated to the WCF.

Store gift cards and gift certificates- The bill maintains the limitation in effect since fiscal year 2004 prohibiting FAA from using funds to purchase store gift cards or gift certificates through a government-issued credit card. This provision responds to abuses documented by the U.S. Government Accountability Office.

FACILITIES AND EQUIPMENT

(AIRPORT AND AIRWAY TRUST FUND)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $2,514,600,000 
Budget request, fiscal year 2007    2,503,000,000 
Recommended in the bill             3,110,000,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    +595,400,000 
  Budget request, fiscal year 2007   +607,000,000 
--------------------------------------------------

The Facilities and Equipment (F&E) account is the principal means for modernizing and improving air traffic control and airway facilities. The appropriation also finances major capital investments required by other agency programs, experimental research and development facilities, and other improvements to enhance the safety and capacity of the airspace system.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $3,110,000,000 for this program, an increase of $595,400,000 above the level provided for fiscal year 2006 and $607,000,000 above the budget estimate. The bill provides that of the total amount recommended, $2,662,100,000 is available for obligation until September 30, 2008, and $447,900,000 (the amount for personnel and related expenses) is available until September 30, 2007. These obligation availabilities are consistent with past appropriations Acts.

ENGINEERING, DEVELOPMENT, TEST AND EVALUATION

Automatic Dependent Surveillance-Broadcast (ADS-B).--The Committee acknowledges that FAA has established the ADS-B technology as the basis of a future surveillance system. However, the Committee is concerned that under the newly established program office, too much focus is being placed on interim ground-based solutions instead of further accelerating the implementation of ADS-B technology. The Committee recommends $100,000,000 for the funding of the ADS-B, of which $20,000,000 shall be directed to the Safe Flight 21 office for continuing research and development of air-to-air applications. The remaining amount is directed to the ADS-B program office. Provisions should be made for ensuring that this air-to-air research is translated into implementation across the national airspace system (NAS).

Chicago O'Hare.--The Committee is concerned that the FAA has not acted on its recommendations to improve the overall efficiency of operations at Chicago's O'Hare International Airport that impacts the NAS. While long-term solutions to airport congestion at O'Hare continue to be developed, immediate operational improvements can be implemented to ease flight departures, arrivals and ground movement of aircraft particularly in times of inclement weather. Therefore, the FAA shall make the following improvements to operations at O'Hare International Airport: 1) expeditiously deploy ASDE-X radar system to improve ground handling of aircraft; and 2) design procedures that allow for RNAV departures and arrivals.

ENROUTE PROGRAMS

Airport Surface Detection System--Model X (ASDE-X)- The Committee provides funding and provides $73,600,000 for ASDE-X, for an increase of $10,000,000 over the budget request. The additional funds will enable FAA to expedite site implementation and commission ASDE-X systems earlier than currently planned. Deploying ASDE-X earlier at these sites will make it possible to realize safety and efficiency benefits sooner, including better controller situational awareness in all weather conditions and reduced risk of Category A and B runway incursions.

Detroit Metropolitan Airport, Michigan.--The FAA is currently implementing multilateration technology to improve capacity in inclement weather conditions at Detroit Metropolitan Airport. The Committee provides $8,000,000 to complete implementation at this airport.

Integrated control and monitoring system.--The Committee recommends $3,000,000 for continued procurement and installation, including site preparation, of the integrated control and monitoring system (ICMS). FAA is currently using ICMS in Denver, Seattle, Newark, Minneapolis, Salt Lake City, and Phoenix, and is installing the system in six additional locations shortly. This system would offer significant benefits to other operational evolution plan (OEP) airports as well as others with substantial landing aids and lighting systems. The Committee expects the agency to obligate these funds within six months of enactment, and to install such systems at airports with the highest need.

TERMINAL PROGRAMS

Terminal air traffic control facilities replacement.--The Committee provides a total of $127,250,000 for this program, an increase of $3,250,000 over the budget request. Funds shall be distributed as follows:

Kalamazoo, Michigan $1,800,000
West Palm Beach, Florida 10,000,000
Reno, Nevada 2,500,000
Cleveland, Ohio 3,700,000
Memphis, Tennessee 22,400,000
Jeffco, Colorado 4,200,000
Houston, Texas 2,000,000
Gulfport, Mississippi 5,200,000
Las Vegas, Nevada 55,000,000
Pensacola, Florida 1,100,000
Dayton, Ohio 2,200,000
Saint Louis, Missouri 1,250,000
Palm Springs, California 2,000,000

FLIGHT SERVICE PROGRAMS

Wide Area Augmentation System (WAAS) and GPS approaches- The Committee notes that the fiscal year 2007 budget request of $122,400,000 for the wide area augmentation system includes $17,000,000 for the development of additional approaches and flight procedures at the nation's non-part 139 certified airports. The Committee supports this effort, and has provided $132,400,000 for WAAS, an increase of $10,000,000 above the budget request. Additional funds are provided to publish WAAS approaches at airports at non-Part 139 airports without an existing ILS approach.

Loran-C- The Coast Guard has proposed terminating the LORAN C program in the President's budget request because this system is no longer necessary for a secondary means of navigation. The Committee understands that a decision to terminate LORAN C is dependent upon agreement by the Department of Transportation, which has not yet occurred. The Committee assumes the continuation of LORAN C since this decision has not been fully coordinated within the Executive Branch.

Terminal air modernization replacement (TAMR phase II).--The Committee provides a total of $36,450,000 for TAMR phase II. The $6,000,000 increase over the budget request will ensure full funding and accelerate the upgrade of nine high-risk sites, including the four Full Digital ARTS Display (FDAD) sites identified as critical to the NAS by the inspector general. These four sites are located in Chicago, Saint Louis, Denver, and Minneapolis.

LANDING AND NAVIGATION AIDS

Instrument landing system establishment.--The Committee provides $4,900,000 for this program, an increase of $900,000 over the budget request. Funds shall be distributed as follows:

Nationwide $4,000,000
Completion of ILS at Northeastern Regional Airport, Edenton, North Carolina 500,000
Nationwide surveys 400,000

The Committee directs the FAA to complete surveys to determine if the Hazard Airport, Kentucky; Boise Airport, Idaho; Orlando International Airport, Florida; and the March Air Force Base, California (consistent with the existing cooperative agreement) meet the FAA criteria for establishment or upgrade of an ILS in terms of cost and feasibility.

Approach lighting system improvement program.--The Committee provides $14,000,000 for this program, an increase of $2,000,000 over the budget request. Funds shall be distributed as follows:

Nationwide $12,000,000
Continuation of ALS at Lehigh Valley International Airport, Pennsylvania 1,000,000
Continuation of MALSR at Arlington Municipal Airport 1,000,000

MISSION SUPPORT

NAS information systems.--The Committee provides $14,000,000 to enable the agency to implement FAA requirements for logical access control to align with the common identification standards. This funding will allow the agency to meets its flight plan goal to defend the FAA NAS systems and networks against intrusion by unauthorized personnel. The Committee directs the FAA to provide the House and Senate Committees on Appropriations a summary of how the FAA plans to use the funds.

Center for advanced systems development.--The Committee provides $86,000,000 for the center for advanced systems development, an increase of $16,000,000 above the budget estimate, and equal to the fiscal year 2007 level.

Frequency and spectrum engineering.--The Committee recommendation includes $7,000,000 for frequency and spectrum engineering, an increase of $2,500,000 over the budget request. The additional funds are for the continued implementation of the NAS interference, detection, location, and mitigation for the purpose of monitoring, detecting and locating radio and digital signals affecting the NAS, including such signals as Ultra Wide Band and GPS.

PERSONNEL AND RELATED EXPENSES

The Committee recommends $447,900,000 for personnel and related expenses. This appropriation finances the installation and commissioning of new equipment and modernization of FAA facilities.

BILL LANGUAGE

Capital investment plan.--The bill continues to require the submission of a five year capital investment plan.

RESEARCH, ENGINEERING, AND DEVELOPMENT

(AIRPORT AND AIRWAY TRUST FUND)


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $136,620,000 
Budget request, fiscal year 2007    130,000,000 
Recommended in the bill             134,000,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    -2,620,000 
  Budget request, fiscal year 2007   +4,000,000 
------------------------------------------------

This appropriation provides funding for long-term research, engineering and development programs to improve the air traffic control system and to raise the level of aviation safety, as authorized by the Airport and Airway Improvement Act and the Federal Aviation Act. The appropriation also finances the research, engineering and development needed to establish or modify federal air regulations.

COMMITTEE RECOMMENDATION

The Committee recommends $134,000,000, and a decrease of $2,620,000 below the fiscal year 2006 enacted level and $4,000,000 above the President's budget request.

A table showing the fiscal year 2006 enacted level, the fiscal year 2007 budget estimate, and the Committee recommendation follows:

RESEARCH, ENGINEERING AND DEVELOPMENT


-------------------------------------------------------------------------------------------------------------------
Program                                   Fiscal year 2006 enacted Fiscal year 2007 estimate Committee recommended 
-------------------------------------------------------------------------------------------------------------------
Improve Commercial Aviation Safety:                    $96,040,000               $88,162,000           $88,162,000 
Fire research and safety                                 6,182,000                 6,638,000             6,638,000 
Propulsion and fuel systems                              5,741,000                 4,048,000             4,048,000 
Advanced materials/structural safety                     5,881,000                 2,843,000             5,843,000 
Atmospheric hazards/digital system safety                3,407,000                 3,848,000             3,848,000 
Aging aircraft                                          19,807,000                18,621,000            18,621,000 
Aircraft catastrophic failure prevention                 3,306,000                 1,512,000             1,512,000 
Flightdeck safety/systems integration                    8,099,000                 7,999,000             7,999,000 
Aviation safety risk analysis                            4,883,000                 5,292,000             5,292,000 
ATC/AF human factors                                     9,558,000                 9,654,000             9,654,000 
Aeromedical research                                     8,800,000                 6,962,000             6,962,000 
Weather research                                        20,376,000                19,545,000            19,545,000 
Unmanned aircraft system                                                                                 1,200,000 
Improve Efficiency of the ATC System:                   20,192,000                21,166,000            21,166,000 
Joint program and development office                    17,919,000                18,100,000            18,100,000 
Wake turbulence                                          2,273,000                 3,066,000             3,066,000 
Reduce Environmental Impacts:                           15,840,000                16,008,000            16,008,000 
Environment and energy                                  15,840,000                16,008,000            16,008,000 
Mission Support:                                         4,548,000                 4,664,000             4,664,000 
System planning and resource mgmt                        1,189,000                 1,234,000             1,234,000 
Technical laboratory facilities                          3,359,000                 3,430,000             3,430,000 
-------------------------------------------------------------------------------------------------------------------

Advanced Materials/Structural Safety.--Within the funds provided for advanced material/structural safety, $3,000,000 is for the National Institute for Aviation Research to continue critical aviation research.

Joint Planning and Development Office.--The bill includes $18,100,000, as requested, for FAA's contribution to the multi-agency Joint Planning and Development Office (JPDO). This office involves the Departments of Defense, Commerce, and Homeland Security, FAA, and the National Aeronautics and Space Administration in developing a national plan for the transformation of air transportation. This plan is expected to establish a vision for the future air transportation system, set national aerospace goals, and provide a forum to engage industry and customer input. It is an advisory committee as defined in the Federal Advisory Committee Act.

GRANTS-IN-AID FOR AIRPORTS

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(RESCISSION OF CONTRACT AUTHORIZATION)

(AIRPORT AND AIRWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                         $3,399,000,000          ($3,514,500,000) 
Budget request, fiscal year 2007                         4,000,000,000           (2,750,000,000) 
Recommended in the bill                                  4,171,000,000           (3,700,000,000) 
Bill compared with:                                                                              
Appropriation, fiscal year 2006                           +772,000,000            (+185,500,000) 
Budget request, fiscal year 2007                          +171,000,000            (+950,000,000) 
-------------------------------------------------------------------------------------------------

The bill includes a liquidating cash appropriation of $4,171,000,000 for grants-in-aid for airports, authorized by the Airport and Airway Improvement Act of 1982, as amended. This funding provides for liquidation of obligations incurred pursuant to contract authority and annual limitations on obligations for grants-in-aid for airport planning and development, noise compatibility and planning, the military airport program, reliever airports, airport program administration, and other authorized activities. This is $171,000,000 above the amount requested in the President's budget and $772,000,000 above the level enacted for fiscal year 2006.

LIMITATION ON OBLIGATIONS

The bill includes a limitation on obligations of $3,700,000,000 for fiscal year 2007. This is $950,000,000 above the President's budget request and $185,000,000 above the fiscal year 2006 level.

DISCRETIONARY GRANTS

Within the overall obligation limitation in this bill, funding of about $965,000,000 is available for discretionary grants to airports.

ADMINISTRATION AND RESEARCH PROGRAMS

The bill provides that, within the overall obligation limitation, $74,971,000 is available for administration of the airports program by the FAA. In addition, $10,000,000 is for the airport cooperative research pilot program, and up to $17,870,000 for the airport technology research. These levels are consistent with the request level. Of the funds provided for airport technology research, $1,000,000 is for alkali silica research.

HIGH PRIORITY PROJECTS

Of the funds covered by the obligation limitation in this bill, the Committee directs FAA to provide not less than the following funding levels, out of available resources, for the following projects in the corresponding amounts. The Committee agrees that state apportionment funds may be construed as discretionary funds for the purposes of implementing this provision. To the maximum extent possible, the administrator should work to ensure that airport sponsors for these projects first use available entitlement funds to finance the projects. However, the FAA should not require sponsors to apply carryover entitlement to discretionary projects funded in the coming year, but only those entitlements applicable to the fiscal year 2007 obligation limitation. The Committee further directs that the specific funding allocated above shall not diminish or prejudice the application of a specific airport or geographic region to receive other AIP discretionary grants or mulityear letters of intent.

Access Control System, Chattanooga Airport, TN $500,000
Airport Expansion Master Plan, Council Bluffs, IA 1,000,000
Airport, Taxiway Alpha, Albany, GA 750,000
Airside Improvements, Jacksonville Airport, FL 1,000,000
Alamance County Regional Airport Runway Extension, NC 1,000,000
Albert Whitted Airport Ramp Design/Construction, FL 200,000
Alliance Airport Runway Extension Project, TX 500,000
Alliance Airport Runway Extension, Fort Worth, TX 2,000,000
Altus/Quartz Mountain Regional Airport Runway Rehabilitation, OK 150,000
Anson County Airport Improvements, NC 1,000,000
Atlantic City International Airport Terminal Apron, NJ 1,000,000
Aurora Airport, IL, Various Improvements 2,000,000
Bemidji Regional Airport Development, MN 500,000
Bishop Airport, Cargo Apron Expansion, MI 1,500,000
Chattanooga Airport Runway Project, Feasibility Study, TN 1,000,000
Cherokee County Airport Authority Improvements, GA 1,500,000
Cherokee County North Carolina Airport Improvement 2,000,000
City of Detroit Airport Gateway Plan, MI 1,500,000
Concord Regional Airport Improvements and Land Acquisition, NC 1,500,000
Cuyahoga County Airport Pavement Maintenance and Rehabilitation, OH 800,000
Devils Lake Airport, ND 800,000
DuPage Airport, Various Improvements, IL 1,500,000
Gary/Chicago Airport, Gary, IN 1,000,000
Greenwood County Airport Runway Extension Study, SC 100,000
Halifax Northampton Regional Airport, NC Runway 500,000
Houma-Terrebonne Airport Taxiway and Runway, LA 750,000
Houston George Bush Intercontinental Airport Noise Project, TX 750,000
Huron County Regional Airport Taxiway Construction, MI 150,000
Indianapolis Metropolitan Airport Study, IN 750,000
Jackson International Airport Improvements, MS 500,000
Kalamazoo Battle Creek Airport Terminal, MI 750,000
L.O. Simentstad Municipal Airport, Osceola, WI 1,500,000
Lafayette Airport, Upgrades, LA 1,000,000
Lawrence-Vincennes Municipal Airport Terminal Development, IL 750,000
Lewis Airport Improvements and Land Acquisition, Romeoville, IL 1,000,000
Lincoln Regional Airport Arrival/Departure Building, CA 350,000
Louisville Airport Authority Capacity Enhancements, KY 2,000,000
Mangham Regional Airport Expansion, Nacogdoches, TX 200,000
Manitowoc County Airport Improvements, Manitowoc, WI 750,000
McAllen-Miller Airport Mission Pilot Channel Reroute, TX 700,000
Middle Georgia Regional Airport, GA 800,000
Midfield Replacement Terminal, Springfield, MO 2,500,000
Mobile Downtown Airport Apron Rehabilitation, Mobile, AL 500,000
Monroe Regional Airport, New Terminal, LA 2,000,000
New Bedford, MA Airport Safety Upgrades 100,000
New River Valley Airport, Runway Rehabilitation, VA 600,000
NFIA Circulatory Road and Apron, Niagara County, NY 1,000,000
Parallel Runway, Kellogg Airport, Battle Creek, MI 750,000
Parallel Runway, St. Lucie International Airport, FL 1,000,000
Parallel Taxiway Construction Ogden-Hinckley Airport, UT 750,000
Pellston Regional Airport Expansion, Pellston, MI 350,000
Phoenix Sky Harbor Airport Noise Reduction, AZ 1,700,000
Reconstruct West Apron, Harlingen Airport, TX 600,000
Rehabilitate Runway, CVG, Cincinnati/Northern Kentucky Airport, Boone, KY 2,000,000
Resurface Runway, Philadelphia International Airport, Philadelphia, PA 1,500,000
Rochester Airport Ramp and Safety Improvements, NC 1,000,000
Rockingham County Airport Improvements, NC 500,000
Runway 13-31E Reconstruction at BNA, TN 500,000
Runway 7-25 Rehabilitation, NNWIA, VA 1,000,000
Runway Upgrade Phase I, Garfield County Regional Airport, CO 1,500,000
Sacramento County Airport System Master Plan, CA 300,000
Saline County Airport, AR 700,000
San Jose International Airport Guard Lights, CA 400,000
Sawyer County Airport, WI 1,500,000
Sheboygan County Memorial Airport Improvements, Sheboygan, WI 500,000
Somerset Airport Land Acquisition for Obstruction Removal, KY 1,000,000
St. Cloud Airport Improvements, MN 150,000
St. Petersburg-Clearwater International Airport Terminal Renovation, FL 500,000
Stanly County Airport Improvements, NC 1,000,000
Statesville Airport Improvement Project, NC 750,000
Subsurface Wetland Glycol Treatment, Buffalo, NY 1,250,000
Taylor County Airport, Medford, WI 2,000,000
Terminal Improvements Roberts Field--Redmond, OR 950,000
Terminal Improvements, Augusta Regional Airport, GA 2,000,000
Texarkana Regional Airport Passenger Terminal, TX 750,000
Toledo Express Airport, Air Cargo Operations, OH 750,000
Turner County Airport Revitalization, GA 250,000
Tuscaloosa Regional Airport Master Plan Update, AL 200,000
Twin County Airport, Airport Safety Area, Carroll County, VA 200,000
Williams Gateway Airport Taxiway Improvements, AZ 2,000,000

BILL LANGUAGE

Runway incursion prevention systems and devices.--Consistent with the provisions of Public Law 106-181 and the fiscal year 2004 through 2006 Appropriations Acts, the bill allows funds under this limitation to be used for airports to procure and install runway incursion prevention systems and devices.

Small community air service development program.--The bill specifies that $20,000,000 of the total amount limited is available to continue the small community air service development program.

Administration and research programs.--The bill provides that, within the overall obligation limitation, $74,971,000 is available for administration of the airports program by the FAA. The Committee also provides $10,000,000 is for the airport cooperative research pilot program, and up to $17,870,000 for the airport technology research.

(RESCISSION OF CONTRACT AUTHORIZATION)


---------------------------------------------------
---------------------------------------------------
Rescission, fiscal year 2006       -$1,032,000,000 
Budget request, fiscal year 2007    -1,582,000,000 
Recommended in the bill                -25,000,000 
Bill compared with:                                
  Appropriation, fiscal year 2006   -1,007,000,000 
  Budget request, fiscal year 2007  -1,557,000,000 
---------------------------------------------------

The Committee recommendation includes a rescission of contract authorization of $25,000,000 from contract authority in fiscal year 2006 that `popped-up' above the obligation limitation available for that fiscal year due to the 1 percent across the board cut. Therefore, this rescission has no effect on any grants-in-aid program. The proposed rescission is a result of section 107 of AIR-21 (P.L. 106-181). This section specified that, in the event appropriations for the facilities and equipment program were less than authorized in a given fiscal year, additional contract authorization would automatically be made available for the grants-in-aid for airports program. The Committee understands that the legislative committees intended to provide flexibility in meeting the funding guarantees, by allowing the Appropriations Committees to meet the guarantee by providing a single, combined total of funding for the F&E and grants-in-aid programs rather than hitting the precise authorized amounts for each as specified in the authorization Act. Because the Appropriations Committees are not provided an allocation of budget authority for the grants-in-aid program, section 107 provided automatic budget authority for this purpose. The Committee continues to disagree with the Congressional Budget Offices' scoring of this provision.

ADMINISTRATIVE PROVISIONS--FEDERAL AVIATION ADMINISTRATION

Section 110. The Committee retains a provision requiring FAA to accept landing systems, lighting systems, and associated equipment procured by airports, subject to certain criteria.

Section 111. The Committee retains, with modification, a provision limiting the number of technical workyears at the Center for Advanced Aviation Systems Development. The modification raises the limitation from 375 in fiscal year 2006 to 380 in fiscal year 2007.

Section 112. The Committee retains a provision prohibiting FAA from requiring airport sponsors to provide the agency `without cost' building construction, maintenance, utilities and expenses, or space in sponsor-owned buildings, except in the case of certain specified exceptions.

Section 113. The Committee retains a provision allowing reimbursement of funds for providing technical assistance to foreign aviation authorities to be credited to the operations account.

Section 114. The Committee retains a provision prohibiting funds to change weight restrictions or prior permission rules at Teterboro Airport, Teterboro, New Jersey.

Section 115. The Committee continues a provision extending the current terms and conditions of FAA's aviation insurance program, commonly known as the `war risk insurance' program, for one additional year, from December 31, 2006 to December 31, 2007. Although the underlying program is authorized until March 2008, certain provisions including premium price caps were set to expire at the end of this calendar year. The Committee recommendation preserves the status quo under this program, a savings of $125,000,000 from the budget estimate. Savings accrue because the bill's provisions result in additional revenue from insurance premiums, which were assumed to be zero in the budget estimate for fiscal year 2007.

Section 116. The Committee retains a provision that prohibits funds for engineering work related to an additional runway at Louis Armstrong International Airport in New Orleans, Louisiana.

FEDERAL HIGHWAY ADMINISTRATION

The Federal Highway Administration (FHWA) provides financial assistance to the states to construct and improve roads and highways, and provides technical assistance to other agencies and organizations involved in road building activities. Title 23 of the United States Code and other supporting legislation provide authority for the various activities of the FHWA. Funding is provided by contract authority, with program levels established by annual limitations on obligations set in Appropriations Acts.

The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU), enacted August 10, 2005, provides for increased transportation infrastructure investment, strengthens transportation safety and environmental programs, and continues core research activities. SAFETEA-LU also amended the Budget Enforcement Act to continue two discretionary spending categories, one of which is the highway category. This category is comprised of all federal-aid highways funding, the Federal Motor Carrier Safety Administration's motor carrier safety funding, National Highway Traffic Safety Administration's (NHTSA) highway safety grants funding and NHTSA highway safety research and development funding. If appropriations action forces highway obligations to exceed this level, the resulting difference in outlays is charged to the discretionary spending category. In addition, beginning in fiscal year 2007 if receipts into the highway account of the highway trust fund exceed levels specified in SAFETEA-LU, automatic adjustments are made to increase or decrease obligations and outlays for the highway category accordingly. Additional resources provided by this automatic spending mechanism are called revenue-aligned budget authority (RABA).

SUMMARY OF FISCAL YEAR 2007 PROGRAM

SAFETEA-LU caps the highway category obligations at $39,460,710,516 in fiscal year 2007 and federal-aid highway obligations at $38,244,210,516. In addition, the provisions of SAFETEA-LU require an increase of $842,254,167 in fiscal year 2007 in federal-aid highway funding due to RABA. This combined total highway funding level of $39,086,464,683 represents almost a 10% increase over the fiscal year 2006 enacted level of $35,550,788,034.

The Committee's recommendation is consistent with the levels guaranteed by SAFETEA-LU, as adjusted for RABA. The following table summarizes the program levels within the FHWA for fiscal year 2006 enacted, the fiscal year 2007 budget request and the Committee's recommendation:


---------------------------------------------------------------------------------------------------------------------
Program                                     Fiscal year 2006 enacted Fiscal year 2007 request Recomended in the bill 
---------------------------------------------------------------------------------------------------------------------
Federal-aid highways                              $35,550,788,034 1           $38,244,210,516        $38,244,210,516 
Revenue aligned budget authority (RABA)                        - - -              842,254,167            842,254,167 
Subtotal                                              35,550,788,034           39,086,464,683         39,086,464,683 
Exempt contract authority                                739,000,000              739,000,000            739,000,000 
Subtotal                                              36,289,778,034           39,825,464,683         39,825,464,683 
Emergency relief program--P.L. 109-148 (GF)            2,750,000,000                    - - -                  - - - 
Appalachian development highway system (GF)               19,800,000                    - - -                  - - - 
Rescission of contract authority                      -3,142,999,000                    - - -         -2,164,453,027 
Total                                                 35,916,589,034           39,825,464,683         37,661,011,656 
---------------------------------------------------------------------------------------------------------------------

LIMITATION ON ADMINISTRATIVE EXPENSES


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    ($360,991,620) 
Budget request, fiscal year 2007    (372,504,000) 
Recommended in the bill             (372,504,000) 
Bill compared with:                               
  Appropriation, fiscal year 2006   (+11,512,380) 
  Budget request, fiscal year 2007        (- - -) 
--------------------------------------------------

This limitation controls spending for the salaries and expenses of the FHWA required to conduct and administer the federal-aid highway program, highway-related research, and most other federal highway programs.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $372,504,000, consistent with the budget request and $11,512,380 above the fiscal year 2006 level. This funding level is sufficient to fund 2,430 full time equivalent staff years (FTE).

Congressional budget justifications- The Committee is disappointed by the poor quality of the FHWA's budget submission for fiscal year 2007, particularly with the lack of information provided for the agency's research and technology programs. For example, the budget submission fails to include basic descriptive budgetary data, such as tables showing funding amounts for each research program, as well as justifications and descriptions for these programs. The budget submission also fails to identify changes in legislative language being requested by the agency. The Committee cannot evaluate the merit of bill language if the language is not included; a short description with little to no information is unacceptable. The Committee understands that the FHWA recently hired a new budget officer and is optimistic that this new hire will bring about positive changes. The Committee expects to see improved budget justifications next year and, to this end, directs the FHWA to submit its fiscal year 2008 Congressional justification materials at the same level of detail provided in the fiscal year 2003 Congressional justifications. Furthermore, the Committee directs the FHWA to include funding levels for the prior year, current year, and budget year for all programs, activities, initiatives, and program elements. The budget submission must also include detailed justification for requested FTE and funding increases, by program, activity, and program element, as well as legislative language for all proposed programs and provisions.

Unobligated balances in miscellaneous accounts- The Committee is concerned that the FHWA is doing little to identify unneeded balances of unobligated highway project funds. These no-year funds, which have been designated for specific purposes and geographic locations, cannot be used for another project without legislative action. As a result, these funds remain unobligated indefinitely. In a 2004 report, the Government Accountability Office (GAO) noted that the FHWA was not routinely reviewing these unobligated project funds and identified $16,407,909 that could be rescinded. In a subsequent May 2006 report, GAO identified an additional $12,177,194 for rescission. The Committee is concerned that the FHWA is not routinely reviewing projects with unneeded balances and is instead waiting for outside parties to initiate reviews. Therefore, the Committee directs the FHWA to submit a report to the House and Senate Committees on Appropriations by February 1, 2007, detailing how the agency is addressing GAO's recommendations. The report should describe the process for reviewing unobligated project funds, as well as notifying Congress of those projects where legislative action is needed.

In addition, the Committee understands that section 1603 of SAFETEA-LU addresses the use of excess funds and funds for inactive projects that were allocated before fiscal year 1991. The Committee directs the FHWA to include with the fiscal year 2008 budget submission a description of any action taken under that section in fiscal year 2006.

George Washington Memorial Parkway feasibility study.--The Committee directs the FHWA to work with the National Park Service to determine the feasibility of extending a third southbound lane of the George Washington Memorial Parkway from the Key Bridge to the Roosevelt Memorial Bridge in Arlington, Virginia. The FHWA shall assist the National Park Service in the preparation of a report which must be submitted to the House and Senate Committees on Appropriations, not later than six months after the date of enactment of this Act, on the feasibility of such an extension.

LIMITATION ON TRANSPORTATION RESEARCH


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    ($425,502,000) 
Budget request, fiscal year 2007    (429,800,000) 
Recommended in the bill             (429,800,000) 
Bill compared with:                               
  Appropriation, fiscal year 2006    (+4,298,000) 
  Budget request, fiscal year 2007        (- - -) 
--------------------------------------------------

This limitation controls spending for the transportation research and technology contract programs of the FHWA. It includes a number of contract programs including surface transportation research, training and education, university transportation research, and intelligent transportation systems research. Funding for the Bureau of Transportation Statistics (BTS) is also included within this limitation even though BTS is organizationally placed within the Research and Innovative Technology Administration (RITA). Additional information regarding BTS is included in the RITA section of this report.

COMMITTEE RECOMMENDATION

The recommendation includes an obligation limitation for transportation research of $429,800,000 in fiscal year 2007 for the following transportation research programs:


---------------------------------------------------------
---------------------------------------------------------
Surface transportation research             $196,400,000 
Training and education                        26,700,000 
Bureau of transportation statistics           27,000,000 
University transportation research            69,700,000 
Intelligent transportation systems research  110,000,000 
  Total                                      429,800,000 
---------------------------------------------------------

FEDERAL-AID HIGHWAYS

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(HIGHWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                        $36,032,343,903      ($35,550,788,034) 1  
Budget request, fiscal year 2007                        39,086,000,000          (39,086,464,683) 
Recommended in the bill                                 39,086,464,683          (39,086,464,683) 
Bill compared to:                                                                                
Appropriation, fiscal year 2006                         +3,054,120,780          (+3,535,676,649) 
Budget request, fiscal year 2007                              +464,683                   (- - -) 
-------------------------------------------------------------------------------------------------

The federal-aid highways (FAH) program is designed to aid in the development, operations and management of an intermodal transportation system that is economically efficient, environmentally sound, provides the foundation for the nation to compete in the global economy, and moves people and goods safely.

All programs included within FAH are financed from the highway trust fund and most are distributed via apportionments and allocations to states. The FAH program is funded by contract authority in SAFETEA-LU and liquidating cash appropriations are subsequently provided to fund outlays resulting from obligations incurred under contract authority.

COMMITTEE RECOMMENDATION

The Committee recommends a liquidating cash appropriation of $39,086,464,683. This is the amount required to pay the outstanding obligations of the highway program at levels provided in this Act and prior appropriations Acts.

LIMITATION ON OBLIGATIONS

The bill includes language limiting fiscal year 2007 federal-aid highways obligations to $39,086,464,683, consistent with the SAFETEA-LU highway funding guarantees as adjusted for RABA. Of the amount provided under RABA, an amount to be calculated is available to the Federal Motor Carrier Safety Administration (FMCSA) for the motor carrier safety grant program and bill language is included to transfer this funding to FMCSA.

The Committee has also included bill language, as was enacted last year, that allows the secretary to charge and collect fees from the applicant for a direct loan, guaranteed loan, or line of credit to cover the cost of the financial and legal analyses performed on behalf of the department. These fees are not subject to any obligation limitation or the limitation on administrative expenses set for the transportation infrastructure finance and innovation program under section 608 of title 23, United States Code.

Although the following table reflects an estimated distribution of obligations by program category, the bill includes a limitation applicable only to the total of certain federal-aid spending. The following table indicates estimated obligations by program within the $39,086,464,683 provided by this Act and additional resources made available by permanent law:

FEDERAL-AID HIGHWAYS ESTIMATED OBLIGATION LIMITATION BY PROGRAM
[In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------
Programs                                                     FY 2005 limitation FY 2006 limitation FY 2007 est.limitation 
--------------------------------------------------------------------------------------------------------------------------
Subject to limitation:                                                                                                    
Surface Transportation Program                                       $5,475,931         $5,139,465              6,143,138 
National Highway System                                               4,678,055          4,879,210              4,853,549 
Interstate Maintenance                                                3,829,247          3,994,609              4,776,773 
Bridge Program                                                        3,271,421          3,412,935              4,081,561 
Congestion Mitigation and Air Quality Improvement                     1,336,163          1,393,288              1,665,247 
Highway Safety Improvement Program                                        - - -            866,641              1,014,618 
Equity Bonus                                                          6,828,645          5,858,197              7,359,857 
Surface Transportation Research Program                                 152,453            169,159                188,811 
University Transportation Research, Training and Education               52,086             83,029                 92,675 
ITS Standards, Research and Development                                  85,386             94,743                105,750 
ITS Deployment                                                           94,701              - - -                  - - - 
Bureau of Transportation Statistics                                      26,263             26,730                 27,280 
Federal Lands Highways                                                  630,538            701,440                854,650 
High Priority Projects                                                2,536,272          2,554,960              2,851,782 
Projects of National and Regional Significance                          152,105            306,451                427,565 
National Corridor Infrastructure Improvement Program                    166,554            335,562                468,183 
Transportation Improvements                                             218,473            440,165                614,126 
Appalachian Development Highway System                                  385,374            395,296                446,970 
Transportation, Community, and System Preservation Program               21,375             52,755                358,883 
Other Programs                                                        4,032,584          4,380,083              2,265,255 
Transportation Infrastructure Finance and Innovation (TIFIA)            104,310            105,079                117,286 
Administration                                                          341,485            360,992                372,504 
Total Subject to Obligation Limitation                               34,419,420         35,550,788             39,086,465 
Emergency Relief Program                                                100,000            100,000                100,000 
Equity Bonus                                                            639,000            639,000                639,000 
Total Exempt Programs                                                   739,000            739,000                739,000 
37,095,492                                                           39,039,788         39,825,465                  - - - 
--------------------------------------------------------------------------------------------------------------------------

The following table reflects the estimated distribution of the federal-aid limitation by state:

ESTIMATED FY 2007 OBLIGATION LIMITATION
[In thousands of dollars]
-------------------------------------------------------------------------------------------------------------------------------------------------
State                  Formula Obligation Limitation Formula Obligation Limitation RABA Equity Bonus Appalachian Development Highways      Total 
-------------------------------------------------------------------------------------------------------------------------------------------------
Alabama                                     $548,200                             $6,932      $49,514                          $27,803   $632,448 
Alaska                                       234,629                              4,058       44,953                                0    283,640 
Arizona                                      531,148                              9,833       54,387                                0    595,368 
Arkansas                                     368,026                              4,539       28,040                                0    400,605 
California                                 2,778,209                             50,276      145,364                                0  2,973,850 
Colorado                                     386,101                              7,192       18,226                                0    411,519 
Connecticut                                  390,861                              4,716       34,746                                0    430,324 
Delaware                                     122,165                              1,507        3,464                                0    127,136 
District of Columbia                         129,766                              1,442            0                                0    131,208 
Florida                                    1,345,091                             26,230      171,589                                0  1,542,910 
Georgia                                      971,216                             18,912      113,040                           17,040  1,120,208 
Hawaii                                       130,372                              1,608        4,694                                0    136,674 
Idaho                                        210,115                              2,636       21,033                                0    233,784 
Illinois                                   1,013,190                             19,098       65,256                                0  1,097,544 
Indiana                                      703,075                             13,379       76,653                                0    793,106 
Iowa                                         339,393                              6,186        3,012                                0    348,591 
Kansas                                       326,808                              3,639        1,201                                0    331,648 
Kentucky                                     445,166                              6,027       29,265                           65,207    545,665 
Louisiana                                    474,012                              5,526       18,002                                0    497,540 
Maine                                        147,155                              1,820            0                                0    148,975 
Maryland                                     464,625                              8,769       24,454                            6,099    503,947 
Massachusetts                                514,054                              5,834       15,592                                0    535,479 
Michigan                                     910,643                             16,515       59,244                                0    986,401 
Minnesota                                    494,480                              9,441       32,938                                0    536,858 
Mississippi                                  351,018                              5,157       17,376                            5,042    378,593 
Missouri                                     699,480                              8,215       39,809                                0    747,505 
Montana                                      270,304                              3,383       28,177                                0    301,863 
Nebraska                                     229,456                              2,647        3,000                                0    235,103 
Nevada                                       195,480                              3,948       10,750                                0    210,178 
New Hampshire                                139,154                              1,607        6,610                                0    147,371 
New Jersy                                    767,970                             14,227       52,968                                0    835,165 
New Mexico                                   282,590                              3,365       18,444                                0    304,399 
New York                                   1,366,034                             16,028       58,046                           21,467  1,461,574 
North Carolina                               779,871                             15,308       75,757                           36,363    907,299 
North Dakota                                 192,539                              2,233        4,198                                0    198,970 
Ohio                                       1,047,877                             19,884       81,721                           19,517  1,169,000 
Oklahoma                                     465,604                              8,380       19,266                                0    493,250 
Oregon                                       354,111                              4,219        6,124                                0    364,454 
Pennsylvania                               1,263,460                             15,672       75,171                           98,347  1,452,651 
Rhode Island                                 155,474                              1,883            0                                0    157,356 
South Carolina                               456,633                              8,686       39,627                            2,762    507,707 
South Dakota                                 200,028                              2,483       10,343                                0    212,854 
Tennessee                                    605,013                             12,060       47,765                           33,257    698,095 
Texas                                      2,330,764                             43,408      228,337                                0  2,602,509 
Utah                                         214,770                              2,682        9,396                                0    226,848 
Vermont                                      134,835                              1,617            0                                0    136,452 
Virginia                                     743,028                             14,357       64,750                           31,796    853,930 
Washington                                   530,117                              9,319        5,358                                0    544,794 
West Virginia                                241,452                              3,848       15,979                           82,269    343,548 
Wisconsin                                    550,530                              6,782       57,813                                0    615,125 
Wyoming                                      206,506                              2,378        8,552                                0    217,436 
Subtotal                                  28,752,597                            469,890    2,000,000                          446,970 31,669,457 
High Priority Projects                     2,821,046                             30,736            0                                0  2,851,782 
Allocated Programs                         4,223,597                            341,629            0                                0  4,565,226 
Total Limitation                          35,797,241                            842,254    2,000,000                          446,970 39,086,465 
-------------------------------------------------------------------------------------------------------------------------------------------------

Federal-aid highways and bridges are managed through a federal-state partnership. States and localities maintain ownership and responsibility for maintenance, repair and new construction of roads. State highway departments have the authority to initiate federal-aid projects subject to FHWA approval of plans, specifications, and cost estimates. The federal government provides financial support for construction and repair through matching grants, the terms of which vary with the type of road.

There are almost four million miles of public roads in the United States and approximately 594,000 bridges. The federal government provides grants to states to assist in financing the construction and preservation of about 971,000 miles (24 percent) of these roads, which represents the National Highway System plus key feeder and collector routes. Highways eligible for federal aid carry about 85 percent of total U.S. highway traffic.

Under SAFETEA-LU, federal-aid highways funds are made available through the following major programs:

Surface transportation program (STP)- STP is a flexible program that may be used by states and localities for projects on any federal-aid highway, bridge projects on any public road, transit capital projects, and intracity and intercity bus terminals and facilities. A portion of STP funds are set aside for transportation enhancements and state sub-allocations are provided. The federal share for STP is generally 80 percent, subject to the sliding scale adjustment, with a four-year availability period.

National highway system (NHS)- The NHS program provides funding for a designated National Highway System consisting of roads that are of primary federal interest. The NHS consists of the current Interstate, other rural principal arterials, urban freeways and connecting urban principal arterials, and facilities on the Defense Department's designated Strategic Highway Network, and roads connecting the NHS to intermodal facilities. Legislation designating the 161,000 mile system was enacted in 1995 and the Transportation Equity Act for the 21st Century (TEA-21) added to the system the highways and connections to transportation facilities identified in the May 24, 1996 report to Congress. The federal share for the NHS program is generally 80 percent, subject to the sliding scale adjustment, with an availability period of four-years.

Interstate maintenance (IM) program.--The IM program finances projects to rehabilitate, restore, resurface and reconstruct the Interstate system. Reconstruction that increases capacity, other than HOV lanes, is not eligible for IM funds. The federal share for the IM program is 90 percent, subject to the sliding scale adjustment, and funds are available for four years.

Funds provided for the Interstate maintenance discretionary program in fiscal year 2007 shall be available for the following activities in the corresponding amounts:

Alameda County I-580 HOV Lane, CA $1,000,000
Cactus Avenue, NV 500,000
Depression of Belt Line Road Below Grade at I-35, TX 750,000
I-10--Grove Avenue, Ontario, CA 750,000
I-10 Improvement Project, Western Maricopa County, AZ 750,000
I-10 Ramon Road/Bob Hope Interchange, CA 500,000
I-15 Bluff Interchange, St. George, UT 1,000,000
I-15, Mile Post 4 Interchange, Bloomington, UT 500,000
I-15/Base Line Road Interchange, Rancho Cucamonga, CA 750,000
I-20 in Ouachita Parish, LA 500,000
I-20 Transportation Corridor Program, Lincoln Parish, LA 1,000,000
I-205 and MacArthur Interchange Improvement, Tracy, CA 1,250,000
I-225 at Colfax (US40) and 17th Avenue, Aurora, CO 500,000
I-235 Reconstruction in Des Moines, IA 1,250,000
I-235 Stormwater Management, Des Moines, IA 500,000
I-25 and Lincoln Avenue Interchange, Douglas County CO 250,000
I-25, through Northeastern Colorado, from Highway 52 to Highway 14, CO 500,000
I-25/SH 16 Interchange, Colorado Springs, CO 500,000
I-265 Rehl Road Interchange Planning and Development, KY 400,000
I-29/52nd Avenue South Interchange Reconstruction, ND 500,000
I-35 Bridge Repair at Midway Road, MN 500,000
I-35 Snake River Bridge, MN 500,000
I-40 and Coors Interchange, NM 1,750,000
I-40 Reconstruction from I-240 East to Choctaw Road, Oklahoma City, OK 1,100,000
I-40 Rehabilitation and Improvements, NC 500,000
I-430/630 Interchange Improvements, Little, Rock, AR 300,000
I-471 Interchange KY8, Campbell, KY 1,600,000
I-5 and Ortega Highway (SR-74) Interchange Reconstruction, San Juan Capistrano, CA 750,000
I-5 Trade Corridor, OR 500,000
I-5/Cosumnes River Boulevard Extension, CA 1,000,000
I-5/Louise Avenue Interchange Improvements, CA 400,000
I-5/North Macadam Freeway Ramp Improvements OR 1,000,000
I-540 Interchange Improvements, Northwest AR 500,000
I-540 Western Wake Freeway, NC 600,000
I-55 at Weber Road, St. Louis County, MO 400,000
I-65/222 Interchange in Cullman County, AL 1,500,000
I-66 Northern Bypass of Somerset, KY 1,000,000
I-66 Pike County, KY 500,000
I-66 Somerset to London, KY 1,500,000
I-69, TN 750,000
I-70 at SH 340, CO 500,000
I-70 West at Empire Junction in Clear Creek County, CO 500,000
I-73 Construction, NC Border to I-95, SC 600,000
I-75 Corridor between Exits 38 and 41, KY 500,000
I-75/Griffin Road Interchange, FL 500,000
I-76 Corridor from Fort Morgan to the Nebraska State Line, CO 500,000
I-77 Interchange, Cornelius, NC 500,000
I-84, US-93 Interchange, State 2, ID 500,000
I-85 New Interchange, Troup County, GA 250,000
I-93 P&D Construction, Andover, Tewksbury, and Wilmington, MA 500,000
I-95 and SC-327 Interchange Improvement Project, SC 2,000,000
I-95/I-495 New Greenbelt Metro Station Access Interchange, MD 1,200,000
I-95/Lewistown road, Hanover, VA 1,650,000
Improvements to I-35 Access and Local roads, from the Red River North 7 miles, Love County, OK 500,000
Intersection of US50 and I-275, Dearborn County, IN 1,500,000
Intersection, I-49 and Highway 190, St. Landry Parish, LA 500,000
Latson Road and I-96 Interchange, Brighton, MI 500,000
Lee County I-20 Frontage road, US-15 to SC-341, SC 1,000,000
Mesa del Sol I-25 Interchange, NM 1,000,000
Noise Wall between I-285 and Lantern Ridge, GA 500,000
North Ontario Interchange, OR 500,000
Southern Nevada Beltway Interchanges, NV 500,000
Stapleton I-70 Interchange, Denver, CO 500,000
TH 169 and I-494 Interchange, MN 500,000
Widen I-66 Westbound Inside the Capital Beltway, VA 2,000,000

Bridge replacement and rehabilitation program.--The bridge program enables states to improve the condition of their bridges through replacement, rehabilitation, and systematic preventive maintenance. The funds are available for use on all bridges, including those on roads functionally classified as rural minor collectors and as local. Bridge program funds have a four-year period of availability with a federal share for all projects, except those on the Interstate System, of 80 percent, subject to the sliding scale adjustment. For those bridges on the Interstate System, the federal share is 90 percent, subject to the sliding scale adjustment.

There is a set-aside of $100,000,000 from the fiscal year 2007 funding for the bridge program that is designated for specific projects listed in SAFETEA-LU.

Congestion mitigation and air quality improvement program (CMAQ)- The CMAQ program directs funds toward transportation projects and programs to help meet and maintain national ambient air quality standards for ozone, carbon monoxide, and particulate matter. A minimum 1/2 percent of the apportionment is guaranteed to each state.

Highway safety improvement program (HSIP).--The new HSIP (previously funded by a set-aside from STP) was established as a core program beginning in 2006. The program, which features strategic safety planning and performance, devotes additional resources and supports innovative approaches to reducing highway fatalities and injuries on all public roads.

Appalachian development highway system.--This program makes funds available to construct highways and access roads under section 201 of the Appalachian Regional Development Act of 1965. Under SAFETEA-LU, funding is authorized at $470,000,000 for each of fiscal years 2005 through 2009; is available until expended; and is distributed among the 13 eligible states based on the latest available cost-to-complete estimate prepared by the Appalachian Regional Commission.

Equity bonus program.--The equity bonus (replaces TEA-21's minimum guarantee) provides additional funds to states to ensure that each state's total funding from apportioned programs and for High Priority Projects meets certain equity considerations. Each state is guaranteed a minimum rate of return on its share of contributions to the highway account of the highway trust fund, and a minimum increase relative to the average dollar amount of apportionments under TEA-21. Certain states will maintain the share of total apportionments they each received during TEA-21. An open-ended authorization is provided, ensuring that there will be sufficient funds to meet the objectives of the equity bonus.

Emergency relief (ER).--The ER program provides funds for the repair or reconstruction of federal-aid highways and bridges and federally-owned roads and bridges that have suffered serious damage as the result of natural disasters or catastrophic failures. The ER program supplements the commitment of resources by states, their political subdivisions, or federal agencies to help pay for unusually heavy expenses resulting from extraordinary conditions.

Federal lands.--This category funds improvement for forest highways; park roads and parkways; Indian reservation roads; and refuge roads. The federal lands highways program provides for transportation planning, research, engineering, and construction of highways, roads, parkways, and transit facilities that provide access to or within public lands, national parks, and Indian reservations.

Funds provided for the federal lands program in fiscal year 2007 shall be available for the following activities in the corresponding amounts:

14th Street Bridge/GW Parkway Improvements, VA $2,000,000
Baltimore/Washington Parkway Gateway, Baltimore, MD 700,000
Bear River Access Road, Brigham City, UT 1,250,000
Boulder City Bypass, NV 1,000,000
Chassahowitzka Refuge Access Road Improvement, FL 400,000
Chesapeake and Delaware Canal Recreation Trail, DE 1,700,000
City of Rocks Back Country Byway, ID 2,000,000
Doyle Drive Replacement, Golden Gate Bridge Access, CA 4,000,000
FH-24, Banks to Lowman, ID 1,700,000
Forest Service Highway #2 in Winston County, AL 1,200,000
Fort Baker Park Access and Transportation Improvements, CA 300,000
Fort George Island Access Road, FL 2,000,000
Going-to-the-Sun Road, Glacier National Park, MT 3,000,000
Golden Gate NRA Park Access and Trails, CA 1,000,000
Hatch Trading Post Road, San Juan County, UT 590,000
Hoover Dam Bypass Bridge, AZ 2,130,000
Lake Mead Highway Improvements, NV 1,000,000
Lowell Riverwalk Phase II Construction, Lowell, MA 750,000
MD 4 Suitland Parkway Interchange, MD 4,500,000
Natchez Trails Project, Natchez, MS 650,000
National Park Service, Sandy Hook Multi-Use Path, NJ 450,000
Navajo Route 35, San Juan County, UT 1,000,000
Needles Highway, San Bernardino County, CA 1,000,000
Paving of US 212 East of Eagle Butte, SD 500,000
Paving of Young Road (FS 512), AZ 1,250,000
Pyramid Highway Corridor in Sparks and Reno, NV 500,000
Recreational Park Road, KY 180,000
Route 1 and 619 Traffic Circle, Prince William County, VA 1,700,000
SH 14 between Ault and Sterling, Weld County, CO 500,000
Sharpes Ferry Bridge Replacement in Marion County, FL 1,900,000
State Route 160 Expansion and Safety, NV 500,000
Stones River National Battlefield Tour Route, TN 2,000,000
Three Affiliated Tribes Wells Road, ND 500,000
Trail Ridge Road, US 34 Resurfacing, CO 1,000,000
US 34, Big Thompson Canyon between Loveland and Estes Park, Larimer County, CO 500,000
US 491 in Montezuma County, CO 750,000
US 50-A, Fernley to Fallon, NV 500,000
US 93 Interim Improvements, NV 500,000
Valentine National Wildlife Refuge Roads, NE 500,000

The Committee directs that the funds allocated above are to be derived from the FHWA's public lands highways discretionary program and not from funds allocated to the National Park Service's regions.

Ferry boats and ferry terminal facilities.--SAFETEA-LU reauthorized funding for the construction of ferry boats and ferry terminal facilities and requires that $20,000,000 from each of fiscal years 2005 through 2009 be set aside for marine highway systems that are part of the National Highway System for use by the states of Alaska, New Jersey and Washington. In fiscal year 2007, SAFETEA-LU provides $60,000,000 for the ferry boat program.

Funds provided for the ferry boats and ferry terminal facilities program in fiscal year 2007 shall be available for the following activities in the corresponding amounts:

Camden Town Center Ferry Terminal Building, NJ $750,000
Ferry Boat Service, Berkeley/Albany, CA 750,000
Ferry Infrastructure Improvement, Hokes Bluff, AL 600,000
Ferry System Dock Repairs, Sapelo Island, GA 600,000
Fort Gates and Drayton Terminals, Putnam County, FL 1,080,000
Glen Cove Ferry Terminal, NY 2,000,000
Landing Craft for Mackinac Island State Park, MI 250,000
Mayport Ferry, Jacksonville, FL 1,144,000
Mukilteo Multimodal Terminal Redevelopment, WA 650,000
Oak Harbor Municipal Pier Project, WA 1,000,000
Port Aransas Ferryboat Expansion, TX 750,000
Provincetown Intermodal Center/Marine Gateway, MA 850,000
Staten Island Barberi Class Ferry Replacement, NY 1,100,000
Staten Island Fast Ferry Purchase, NY 800,000
Staten Island Ferry Rack Reconstruction, NY 1,100,000
Vallejo Baylink Ferry Intermodal Facility, CA 1,750,000
Vashon Island Passenger Only Ferry, WA 500,000
Voyae Data Recorders for Staten Island Ferry, NY 1,000,000
Water-Based Transport, Medord, MA 750,000

National scenic byways program.--This program provides funding for roads that are designated by the Secretary of Transportation as All American Roads (AAR) or National Scenic Byways (NSB). These roads have outstanding scenic, historic, cultural, natural, recreational, and archaeological qualities. In fiscal year 2007, SAFETEA-LU provides $35,000,000 for this program.

Transportation, community, and system preservation (TCSP) program.--SAFETEA-LU continues the TCSP program to provide grants to states and local governments for planning, developing, and implementing strategies to integrate transportation, community and system preservation plans and practices. These grants may be used to improve the efficiency of the transportation system; reduce the impacts of transportation on the environment; reduce the need for costly future investments in public infrastructure; and provide efficient access to jobs, services, and centers of trade.

Funds provided for the TCSP program in fiscal year 2007 shall be available for the following activities in the corresponding amounts:

1 Toll Road Project, LA $1,500,000
12th and 14th Avenue Road Reconstruction, Madawaska, ME 150,000
19th Street SW Grade Separation, Mason City, IA 1,000,000
315 Research Corridor Transportation Improvements, OH 500,000
36th Street Extension Project, San Antonio, TX 200,000
40th Street Revitalization Project, FL 500,000
45th Street Improvements in Munster, IN 1,200,000
4-County Transportation Needs Study, Kane County, IL 1,000,000
4th Street Underpass, Monroe, LA 500,000
63rd Street Downtown Bridge Replacement, Raytown, MO 500,00
Agoura Road Widening, CA 400,000
Agri-Center Interchange, Tulare, CA 250,000
Airport Boulevard Highway 101 Interchange, Monterery, CA 250,000
Airport Industrial Drive in Gadsden, AL 400,000
Alabama Avenue Safety Improvments, Stark County, OH 1,000,000
Alameda Corridor-East, San Gabriel Valley, CA 1,500,000
Almaden Expressway Pedestrian Improvement Project, CA 300,000
Alpine Traffic Relief Route Study, TX 250,000
Ambassador Bridge/Port of Detroit Multimodal Transportation Initiative, MI 500,000
Antelope Valley Transportation Improvements, NE 1,000,000
Atlantic Boulevard Bridge Replacement, Pompano Beach, FL 2,000,000
Avenue P Rancho Vista Boulevard Improvements, Palmdale, CA 500,000
Battlefield Parkway Loudon County, VA 900,000
Bay Ridge Trail Bike and Pedestrian Path, CA 300,000
Bay Road Stormwater Improvements East Palo Alto, CA 200,000
Beaver Street Reconstruction Project, CT 100,000
Belleview Bypass and Baseline Road Project, FL 250,000
Belleville Road and Ecorse Road Intersection, MI 500,000
Bensalem Township Delaware Valley Regional Plan, PA 1,000,000
Big 4 Bridge Access Project, Jeffersonville, IN 500,000
Blossom Hill/Monterey Grade Crossing, CA 200,000
Boot Road Extension, Dowingtown, PA 3,500,000
Bosque Bike Trails, NM 300,000
Boston Street Traffic Improvement Study, Baltimore, MD 400,000
Bouldercrest Road Widening, Dekalb County, GA 300,000
Bowery Street Streetscape and Repair, Akron, OH 300,000
Brannon Stand Road Bridge Replacement, AL 500,000
Brays Bayou Hike and Bike Trail, Houston, TX 150,000
Brazos Valley Transportation Management Center, TX 600,000
Bremerton Pedestrian-BTC Tunnel Project, WA 5,000,000
Bridge to Dennings Point in Beacon, NY 500,000
Bridgeview Bridge Bike Path, MI 500,000
Briggs-DeLaine-Pearson Connector, SC 1,500,000
Bristol Street Widening, Orange County, CA 350,000
BRPC-Western Scenic Byway Tourism Program, MA 500,000
Brush College Road and William Street, Decatur, IL 100,000
Bruton Smith Parkway, Henry County, GA 250,000
Buffalo Bolt Office Park Access Road, NY 930,000
Buffalo Road, Town of Orangeville, Wyoming County, NY 350,000
Butterfield Road Grade Separation, Lake County, IL 200,000
Campus Drive West, City of Hancock, MI 200,000
Campus Parkway, Merced, CA 400,000
CARTA Intelligent Transportation System, Chattanooga, TN 2,000,000
Cascade Deck Northbound Connection, Akron, OH 500,000
C-B-S Corridor, Toledo, OH 500,000
Cedar Bluff, AL 200,000
Center Street Bridge and Riverwalk, Des Moines, IA 500,000
Central Avenue/49th Street Bridge, Columbia Heights, MN 1,200,000
Central City, Trinity River Vision, Fort Worth, TX 2,000,000
Central Expressway Auxiliary Lanes, Santa Clara County, CA 300,000
Central Ohio Innovation Center, OH 1,000,000
Chambers County, AL 125,000
Chattahoochee Hill Country and Greenway Trails, GA 200,000
Chicago Park District, DuSable Park, IL 500,000
Chicago Transit Authority Purple Line Viaducts, IL 300,000
Chicora Bridge Safety Improvements, PA 500,000
Chinatown Streetscape Los Angeles, CA 200,000
Cidra-Cayey Connector, Puerto Rico 500,000
City of Lafayette, AL 50,000
City of Rio Vista Highway 12 Safety Project, CA 250,000
City of Tarrant Downtown Revitalization, AL 300,000
City of Woodland, AL 39,000
City-Wide Integrated Transportation Planning, Detroit, MI 250,000
Cleveland Road Improvements, St. Joseph County, IN 750,000
Clifton Corridor Transit Study, Atlanta, GA 500,000
Coal Creek Parkway Completion, Newcastle, WA 1,000,000
Coconut Creek Education Corridor, FL 1,000,000
Community Transportation Association of America Nationwide Joblinks, MA 2,300,000
Commack Road Bypass Study, NY 400,000
Construct Park Row Bypass in Houston, TX 1,500,000
Construction of Eldamain Road, IL 3,000,000
Construction of Four Lane US 20 Sac County, IA 500,000
Construction/Enhancement of Motts Lane, Penfield, NY 100,000
County Road 17 Project, IN 500,000
County Road 357 South Repaving, Dixie County, FL 750,000
County Route 113, Washington County, NY 759,600
CR 78 from Lee/Hendry Line to SR29 Hendry County, FL 1,500,000
Crooks Road, from 14 Mile Road to Elmwood Road/Meijer Drive, Clawson, MI 1,600,000
Crossroads Initiative, Boston, MA 300,000
CSAH 21, Scott County, MN 250,000
Cumberland Avenue Improvements, TN 500,000
Dallas Woodall Rodgers Deck Plaza, TX 250,000
Delaware County Route 7, NY 500,000
Dentville-Jack Road Project, Copiah County, MS 600,000
Denver Streetcar Feasibility Study, Denver, CO 500,000
Design and Reconstruct of Beacham Street, Everett, MA 400,000
Dexter Road Connector East Providence, RI 350,000
Diley Road Improvements, Pickerington, OH 1,000,000
Dobbs Ferry Parking Expansion, NY 250,000
Dominion Boulevard Bridge Replacement, Chesapeake, VA 500,000
Dorsey Drive Interchange in Grass Valley, CA 500,000
Downtown Redevelopment Plan, Joplin, MO 500,000
Downtown Revitalization Project, Somerset, KY 500,000
Downtown Traffic Movement Plan, Lexington, KY 400,000
Drury Lane Extension Project, NY 1,500,000
Dundee Road (IL Route 68)/New Road Intersection, IL 1,300,000
East 14th Street Streetscape Improvements, San Leandro, CA 200,000
East Burnside Corridor Street Improvements, OR 500,000
East Lake Sammamish Parkway, Sammamish, WA 500,000
East Point Roadway Improvement Project, GA 250,000
East Washington Connector, Greenville, SC 750,000
Echo Park Streetscape and Safety Improvements, Los Angeles, CA 250,000
Edinger Corridor Improvements, Huntington Beach, CA 250,000
El Paso River Trail, TX 200,000
Elliot/Spring Street Improvement Springfield, MA 500,000
Ellis Preserve at Newtown Square, PA 250,000
Enhancement of the Fruit Belt Corridor, Buffalo, NY 900,000
Evacuation Route Widening, FL 1,000,000
Expansion of Ashburton Avenue, NY 500,000
Expansion of Southfield Road, Southfield, MI 450,000
Exposition Line Crenshaw Crossing Station District, CA 400,000
Fairfax Parkway at Fair Lakes Boulevard and Monument Drive, VA 1,500,000
Fairmont Gateway Connector System, WV 1,700,000
Fall Mountain Water Project, CT 100,000
FAST Corridor Grade Separations, Auburn, Kent, and Puyallup, WA 1,000,000
Figueroa Boulevard Streetscape, Highland Park, CA 200,000
Flats East Bank Project, Cleveland, OH 400,000
FM3071 from SH107 to FM1925, Hidalgo County, TX 200,000
Four Mile Run Improvements, VA 250,000
Franklin Streetscape, WV 200,000
Fraser Street, State College, PA 1,000,000
Fredrick Douglas Bridge/Property Acquisition, DC 300,000
Friends of Cheat Rails-To-Trails program, WV 300,000
Fulton Drive and Wales Avenue Intersection Improvement, OH 500,000
Gallipolis Farm Road Phase II Project, OH 300,000
Galveston Causeway Railroad Bridge, TX 1,000,000
Georgetown Southwest Bypass between SH29 and FF2243, TX 500,000
Gessner Road Grade Separation at US90A, TX 200,000
Glennwillow Multi-Use Trail, OH 300,000
Global Reach Interchange, El Paso, TX 300,000
Grade Separations in Riverside, CA 500,000
Grand Avenue Improvements, Poughkeepsie, MI 500,000
Grand Rapids Passenger Rail and Station Relocation, MI 500,000
Grant County Economic Corridor, IN 250,000
Great Barrington Streetscape, Great Barrington, MA 1,000,000
Greater Jamaica Development Corporation Atlantic Avenue Improvement, NY 500,000
Green Circle Project, Winchester, VA 100,000
Gwynedd-Mercy College Street Improvements, PA 200,000
Hametown Bridge Replacement, Wooster Township, OH 400,000
Harlem Hospital Garage and Access Improvements, New York, NY 500,000
Harrisburg Grade Separation, Houston, TX 300,000
Hayward County Road S/Dombeck Road Improvements, WI 600,000
Hiawatha/46th Pedestrian Bridge, Minneapolis, MN 300,000
Highway 10 Marshfield-Stevens Point, WI 1,800,000
Highway 15 State Route 609 Connector, MS 500,000
Highway 17-A from US 176, Moncks Corner, SC 250,000
Highway 217 Improvement Project OR 300,000
Highway 29 Conversion to Full Access Freeway, NJ 400,000
Highway 37 On/Off Ramp, Vallejo, CA 200,000
Highway 45 Columbus Bypass, Columbus, MS 2,000,000
Highway 51/Highway 29, Wausau, WI 1,900,000
Highway 53 Safety Improvements Haugen and Spooner, WI 1,000,000
Highway C, Bayfield County, WI 2,000,000
Highway/Bridge Improvement Route 116, Penobscot, ME 250,000
Highway-Rail Grade Cross Bypass, Silver Springs, NY 720,000
Hollywood Boulevard Roadway Improvements, FL 200,000
Holy Cross Road Safety Project, Worcester, MA 500,000
Hot Springs, East-West Arterial, AR 500,000
Houghton Road Corridor, Pima County, AZ 1,000,000
Houston Computerized Traffic Signal System, TX 500,000
Houston Freeway Landscaping and Maintenance, TX 500,000
I-210 Soundwall, La Canada Flintridge, CA 500,000
I-215/University Interchange, San Bernardino, CA 500,000
I-285/Peachtree Industrial Boulevard, GA 200,000
I-35 Southwest Connector Interchange, Warren County, IA 275,000
I-44 Widening Yale to the Arkansas River, Tulsa, OK 250,000
I-5 Consortium Cities Joint Powers Authority, CA 750,000
I-565 West Extension in Decatur, AL 1,000,000
I-70 Frederick County, MD 250,000
I-710 Corridor/Gerald Desmond Bridge Gateway Program, CA 750,000
I-74 and Northern Beltway, Eastern Extension, NC 500,000
I-75, Collier Boulevard, and SR 84 Interchange, FL 500,000
I-95 Slip Ramp/Dedham Street, Town of Westwood, MA, 750,000
Illinois Route 120 Corridor Initiative, IL 2,000,000
Imperial Avenue Corridor Master Plan, CA 300,000
Improvements to US Highway 199 at Gasquet in Del Norte County, CA 80,000
Improvements to NH 12 through Charleston, NH 1,000,000
Improvements to Route 266 and Interchange with I-44, Springfield, MO 1,750,000
Improvements to SR 101 in South Bend, WA 400,000
Improvements to Streetscape in Enfield, CT 295,000
Indian Bend Road Improvements Scottsdale, AZ 1,500,000
Interchange and Mainlanes on SH121, TX 750,000
Interchange at SR120/McKinley Avenue, CA 750,000
Interstate 70 Viaduct Realignment, KS 500,000
Isanti Bike Trail, Cambridge, MN 600,000
Jack Dame Road Extension, City of Rochelle, IL 500,000
Jimmy Davis Bridge (LA 511), LA 500,000
Kaycee Main Street Project, WY 250,000
Keystone Trail Extension, Omaha, NE 250,000
Knowlton Township, Warren County, NJ 500,000
LA 406 Widening, Plaquemines Parish, LA 200,000
LA 63, Livingston Parish, LA 500,000
Lac Qui Parle Lakes Association, Montevideo, MN 450,000
Lea County Roads, MN 500,000
Lemon Street Project, Tarpon Springs, FL 250,000
Library Lane-Coles Lane Improvements, Bronx, NY 700,000
Lincoln Bypass on SR 65 in Placer County, CA 1,000,000
Lincoln Center Streetscape, New York, NY 200,000
Lincoln/Belmont Ashland Streetscape, Chicago, IL 3,000,000
Little Neck Parkway Railroad Crossing Safety Upgrade, NY 250,000
Lockport Flight of Five, Niagara County, NY 500,000
Long Island Expressway Sound Barrier, NY 500,000
Luther Forest Road Improvements, Saratoga County, NY 1,610,400
Madison County Highway 21, TX 1,000,000
Mahoning Avenue Safety/Capacity Improvement, Youngstown, OH 200,000
Main Street Bridge, Buffalo, NY 500,000
Mallard Fox West Industrial Complex-Crossover, AL 400,000
Mannington Rails-to-Trails program, WV 200,000
Marin-Sonoma Narrows Highway 101, CA 300,000
Market Street Gateway Project in Upper Darby, PA 250,000
Martin Luther King Jr. Streetscape, St. Louis, MO 100,000
Mass Commute Traffic Congestion Initiative, MA 100,000
Mattern Avenue Drainage Project, Dormont Borough, PA 230,000
McClintock Bridge, Venango County, PA 400,000
McClurg Road Extension Project, OH 200,000
MD 246, MD 235 to Saratoga Drive, MD 1,200,000
Merrill Bypass, Highway 51 Repaving, WI 1,800,000
Miami Beach Atlantic Corridor, Greenway, FL 500,000
Midtown Greenway, Minneapolis, MN 400,000
Miller Road Widening in McHenry County, IL 300,000
Milwaukee Avenue Corridor Improvement, Niles, IL 200,000
Moline River Tech Boulevard, IL 300,000
Mon/Fayette Expressway, Uniontown to Brownsville, PA 2,000,000
Monterey Bay Sanctuary Scenic Trail, Monterey, CA 500,000
Muscle Shoals-Peach Tree Street Extension to Industrial Park, AL 300,000
Nash Road/Route AB, Cape Girardeau County, MO 1,000,000
NC 211 Interchange at US 74, NC 200,000
NC 3 Widening in Kannapolis, NC 1,000,000
NE 120th Street Roadway Extension, Kirkland, WA 400,000
Nebraska Highway 35, NE 1,000,000
New Germany-Trebein Road Improvements, OH 1,000,000
New Glarus Crossing at State Highway 69, WI 200,000
New York Hall of Science Pedestrian Walkway and Safety Improvements, NY 150,000
Newberg-Dundee Transportation Improvement Project, OR 200,000
Newport Seawall and Road Construction, RI 500,000
NH 16 Improvement Project, Ossippe, NH 1,000,000
NH 1A Bridge Replacement, Hampton, NH 750,000
North Hollywood Streetscape Enhancements, CA 300,000
North I Road, Hildago County, TX 500,000
Northern Grimes County CR 172 Asphalt Paving, TX 400,000
Northfield Streetscape, MA 600,000
Northwestern Highway Extension Roundabout, Oakland County, MI 2,000,000
Norwalk Center-West Avenue Redevelopment Area, CT 1,000,000
NW Butler Transportation Improvement, Millville, OH 3,220,000
NW Intermodal Terminal with Ports of Indiana 1,250,000
NY State Route 9 Bridges, Central and Hudson Peekskill, NY 1,000,000
Oak Ridge Cemetery, Springfield, IL 1,000,000
Ocmulgee Heritage Trail, Macon, GA 300,000
OKI Council of Government Technology Planning Initiative, OH 280,000
Otay Mesa Port of Entry, CA 150,000
PA 706, Susquehanna County, PA 750,000
PA Route 19 from Pine Creek to Wallace Road, PA 500,000
Pali Puamana Parkway and Honoapi'ilani Highway Realignment, HI 400,000
Palm Bay Parkway, Palm Bay, FL 3,000,000
Park Avenue Relocation Project, Kokomo, IN 1,000,000
Park Place Extension and Railroad Grade Separation, Los Angeles County, CA 500,000
Park Street Streetscape Improvement, Alameda, CA 300,000
Parking Lot Repairs at Asnuntuck CC in Enfield, CT 700,000
Paving of SD 34 East from Madison, SD 250,000
PD&E for widening Florida SR 46 from SR 415 to US Highway 1, FL 726,000
Pearl Street Road Enhancements, FL 200,000
Pedestrian Bridge at Honey Creek, Appanoose County, IA 500,000
Pedestrian Bridge at Pullman Square, WV 500,000
Pedestrian Overpass US 441, Habersham, GA 410,000
Pedestrian Trail Extension, Hammond, IN 400,000
Pedestrian Walkway/Streetscaping, Ellenville, NY 300,000
Pennsylvania Route 93 Expansion in Columbia County, PA 250,000
Peters Road Extension, Plaquemines Parish, LA 300,000
Pico Rivera SR 19/Slauson Avenue Intersection, CA 400,000
Pindell School Road Bridge in Howard County, MD 500,000
Pinellas Bicycle Trail Extension, FL 1,500,000
Pittsfield Downtown Streetscape, Pittsfield, MA 1,820,000
Plantation Multi-Use Recreational Trail (MURT), FL 500,000
Plymouth Transportation Park Gateway/Harbor Walk MA 500,000
Port of Albany Security/Operational Improvements, NY 100,000
Port of Gold Beach Dock Renovation, OR 500,000
Port of Orange Intermodal Project, Orange, TX 500,000
Quadral Drive Extension, City of Wadsworth, OH 1,100,000
Quakertown Interection Alignments, PA 500,000
Rail Grade Separation Highway 77, Marion, AR 500,000
Rail Traffic Mitigation Planning for Brookings, SD 500,000
Railroad Crossing on S Curve in Pierre, SD 1,000,000
Railroad Quiet Zone, Hamburg, NY 80,000
Railroad Relocation, Terre Haute, IN 500,000
Raleigh Street Extension, WV 1,000,000
Ranchero Road Underpass/Corridor Project, CA 1,250,000
Reconstruct Depot Street Bridge, Beacon Fall, CT 1,000,000
Reconstruction of Alexander Street, Chippewa Falls, WI 700,000
Reconstruction of Long Point Road in Houston, TX 1,000,000
Reconstruction of New Highway Road, NY 500,000
Reconstruction of Pearl Street in Enfield, CT 980,000
Reconstruction of US-169, Montgomery County, KS 1,500,000
Reconstruction US-50, Harvey County, KS 1,000,000
Rehabilitate Kapiolani Boulevard and Atkinson Drive, HI 500,000
Relocation of Boston College Transit Stop, MA 200,000
Relocation of SR 794 in Springfield, OH 1,250,000
Repaving of Rocky Point Landing Road, NY 250,000
Replace the KY7 Bridge at Beechy Creek, Boyd, KY 550,000
Rickenbacker Intermodal Rail Spur, OH 750,000
Rio Bravo and El Cenizo Streetscape Project, TX 300,000
River Walk and Resurfacing Project, Hudson, WI 100,000
RM 1431 Improvements, Cedar Park, TX 400,000
Roger Sneden Drive Grade Separation Boone, IA 725,000
Ronald Reagon Parkway, Hendricks County, IN 750,000
Rose Crossing Connection, Kingston, TN 500,000
Route 1 and SR 452 Redevelopment, Middletown Township, PA 250,000
Route 1 Bridge Rehabilitation, Portsmouth, NH 750,000
Route 10/202 Southwick, MA 1,560,000
Route 116, Amherst, MA 2,000,000
Route 12 and Vicinity of Murray Center, Elmira, NY 500,000
Route 22 Sustainable Corridor, NJ 500,000
Route 22 Sustainable Corridor, Somerset County, NJ 2,000,000
Route 23 Realignment, Sussex, NJ 1,500,000
Route 24 Additional Lanes, Raynham and Taunton, MA 750,000
Route 267, St. Louis County, MO 400,000
Route 287 and Route 17 Intersection Improvements, NJ 500,000
Route 30 and Mount Pleasant Road Interchange Improvement, PA 400,000
Route 309 Intelligent Transportation Systems, PA 2,000,000
Route 31 (Ashby State Road), Fitchburg, MA 750,000
Route 356 Buffalo Signals, PA 500,000
Route 495 Southbound Ramp, Mansfield and Norton, MA 500,000
Route 5 and Route 10, Bernardston, MA 2,530,000
Route 50 East Widening-Poland Road to Route 28, VA 500,000
Route 60/422 Interchange in Union Township, PA 500,000
Route 63 in Howell and Oregon Counties, MO 500,000
Route 67, Butler County, MO 500,000
Route 88/Route 837 Intersection Improvement New Eagle, PA 1,000,000
Route Y, Stoddard County, MO 500,000
Safety and Traffic Improvements, Ardsley, NY 150,000
Safety Improvements to Highway 69, AZ 1,000,000
Safety Upgrades for I-376 Designation, PA 1,000,000
San Fernando Valley Streetlight Enhancements, CA 500,000
San Gabriel Valley Gold Line Foothill Extension, CA 500,000
Sandoval County Northwest Loop Access Road, NM 500,000
Santa Anita and Fern-Elliot Signal Improvements, South El Monte, CA 160,000
Santa Clara County Montague Expressway, CA 200,000
Santa Clarita Cross Valley Connector, CA 500,000
Santa Rosa Intelligent Transportation System, CA 200,000
Sarasota-Manatee Intelligent Transportation System, FL 500,000
Scott Ranch Road Extension, AZ 750,000
SE Connector Project, Des Moines, IA 500,000
Seaview Avenue Corridor Project, Bridgeport, CT 1,000,000
Second Bridge to Oak Island, NC 300,000
SEPTA Villanova Station Intermodal Project, PA 250,000
SFgo Market Street Improvements, CA 300,000
SH 9, Tecumseh to Seminole, OK 900,000
Shaw Road Extension, Puyallup, WA 400,000
Sheffer Bridge Replacement, Columbia County, NY 630,000
Sierra College Boulevard Interchange in Rocklin, CA 500,000
Signal Improvements, Huntington Park, CA 200,000
Signal System Upgrade on Lahser Road in Southfield, MI 300,000
Signal/Intersection Improvement, Pittsburgh, PA 400,000
Skidaway Narrows Bridge Replacement, GA 1,500,000
Somerset Street Traffic Mitigation, Portland, ME 250,000
Soundwall Improvements, Rosemead, CA 100,000
South Airport Road, Boone County, KY 1,170,000
South Bronx Greenway, Randall's Island Connector, NY 520,000
South La Brea Avenue and Imperial Highway Roadway, CA 300,000
South Orient Railroad Rehabilitation, TX 1,000,000
Southwest 11th Way, Deerfield Beach, FL 300,000
Spring Hill College Campus Access Project, AL 500,000
Spruce Street Bridge Replacement, City of Wooster, OH 500,000
SR 100 and Kernsville Road, Lowhill Township, Lehigh County, PA 500,000
SR 109 Division Street to S of SR-24, Wilson County, TN 200,000
SR 113 and Old Alabama Road Relocation, GA 500,000
SR 417 at Boggy Creek Road Interchange Orlando, FL 1,000,000
SR 688 and Ulmerton Road, FL 2,500,000
SR 982/Talbotton Road to Hilton Avenue, Columbus, GA 500,000
St. Croix River Bridge and Approaches, WI 500,000
St. Lawrence and Atlantic Railroad at Danville, ME 200,000
St. Mary's College Route 5 Overpass, River Center, MD 500,000
Stage Road, Tate County, MS 475,000
Stamford Rail Underpass Access Project, CT 1,500,000
State Highway 25, Barron County, WI 1,800,000
State Highway 6 Barron Rd Interchange, TX 500,000
State Highway 77, Ashland County, WI 1,000,000
State Line Road Reconstruction Dearborn County, IN 1,000,000
State Road 37 to Sare Road, Monroe County, IN 500,000
State Road 87 Expansion, Santa Rosa County, FL 250,000
State Route 180 Improvements, CA 500,000
State Route 21 Improvements and Upgrades, PA 1,000,000
State Route 21, Intersection at Junction Deli, PA 1,000,000
State Route 397 (Mack Hatcher Parkway East) Extension, State Route 96 East of Franklin to State Route 6, North of Franklin, Williamson County, TN 750,000
State Route 4 Widening (Brentwood Boulevard), CA 500,000
State Route 52 East/West Improvements, San Diego, CA 500,000
State Route 60/Potrero Road Interchange, Beaumont, CA 500,000
State Route 76 San Diego, CA 500,000
State Street Improvements, Madison, WI 1,000,000
Stonestreet Avenue Corridor-Park Road, Rockville, MD 500,000
Stony Run Township Road in Yellow Medicine County, MN 100,000
Street Improvements, Glenwood, IL 150,000
Street Reconstruction, Wyandotte, MI 750,000
Streetscape Development, Prairie du Chien, WI 500,000
Streetscape Lighting in Floosmoor, IL 150,000
Stuttgart, Arkansas Overpass at Highway 165, AR 1,000,000
Suitland Parkway/Martin Luther King Avenue Interchange, MD 500,000
Suitland Road Gateway, MD 1,200,000
Sunport Boulevard Extension, NM 400,000
Suspension Bridge, Warsaw, MO 500,000
Syracuse Connective Corridor, Syracuse, NY 2,000,000
Theodore Berry Way, Cincinnati, OH 500,000
Thorn Run Road Interchange, Moon Township, PA 1,200,000
To Add Lanes on I-55 from Weber to I-80, IL 500,000
To Widen Walton Bridge over I-75, Oakland County, MI 400,000
Tolt Bridge Replacement, King County, WA 1,000,000
Torrington Gateway Initiative, CT 100,000
Towamencin Township Street Improvements, PA 300,000
Town Center Streetscape Improvements, Eastchester, NY 250,000
Town of Casey Engineering and Road Improvements, WI 1,100,000
Town of LaPointe Bike Trail, WI 450,000
Town of Turtle Lake Resurfacing of 1/2 Street, WI 250,000
Town Street Bridge Repairs, Columbus, OH 1,500,000
Townline Road, Wheatfield and Pendleton, Niagara County, NY 500,000
Traffic Calming Measures in Windermere, FL 500,000
Traffic Signal Modernization, Lakewood, CA 250,000
Trailways Station Revitalization in Macon, GA 400,000
Tremont Avenue Bridge Replacement, City of Massillon, OH 500,000
Trunk Highway 36, North St. Paul, Ramsey County, MN 250,000
Tucson Railroad Safety and Access, Tucson, AZ 1,500,000
Turnaround at Hester's Crossing, Round Rock, TX 700,000
Twin Bridge Road, Decatur, IL 1,000,000
Twin Peaks Corridor Project, Marana, AZ 1,500,000
Twin Peaks Corridor, Marana, AZ 1,500,000
University of Southern Indiana Campus Perimeter Project, IN 1,000,000
University of Virginia South Lawn Project, VA 2,000,000
University Parkway Project, Vanderburgh County, IN 2,000,000
Upgrade of NH 16 in the Towns of Milan and Dummer, NH 1,500,000
Upgrade Route 94, from East of Harvestor Road to West of Mid-Rivers Drive, St. Charles County, MO 750,000
Upgrade Signals and Install SCATS/FAST-TRAC Technology on Maple Road from Orchard Lake to Cranbrook, Oakland County, MI 1,000,000
Upgrade U.S. 70 in Conover, NC 500,000
US 15 Central Susquehanna Valley Thruway, PA 1,250,000
US 17 and 92-US 192 (Vine) to Portege, Osceola County, FL 1,000,000
US 190 and Collins Boulevard Widening, LA 500,000
US 2 Safety and Mobility Enhancements, WA 500,000
US 271 Relief Route from US 67 to FM 3417, TX 500,000
US 278 Corridor, SC 750,000
US 287 Bypass Expansion, Ennis, TX 500,000
US 290 and SH 36 Improvements, Brenham, TX 500,000
US 31 at Lincoln Highway, Marshall County, IN 500,000
US 36 Connection to South Shelby High School, MO 500,000
US 377 Expansion from SH 144 to Acton Highway, TX 500,000
US 385 Expansion South of Crane to McCamey, TX 750,000
US 401 in Cumberland, Harnett and Wake Counties, NC 250,000
US 422 Interim Improvement Project, PA 250,000
US 441 Highway Improvements, FL 300,000
US 441/SR 7 Interchange, City of Lauderhill, FL 300,000
US 63 in Waterloo, IA 500,000
US 69 Ramp Access, Durant, OK 450,000
US 9W and NY 81 Intersection, NY 750,000
US Highway 14 Expansion from West of Waseca to I-3, MN 750,000
US Highway 301 and I-95 Interchange, SC 2,500,000
US Highway 90 East Widening, FL 250,000
US Hwy 190, Reliever Route, Copperas Cove, TX 400,000
US Route 1 and Route 123 Interchange, Prince William County, VA 500,000
US Route 35, WV 1,300,000
US-34 Corridor Missouri River Bridges Pair, NE 1,000,000
US-395 North Spokane Corridor, WA 500,000
US-50, Gray County, KS 500,000
Ventura County Farm Crossings, CA 500,000
Village of Hempstead, Revitalization, NY 100,000
Waco 574 Loop, TX 250,000
Wadsworth Interchange/State Highway 128, CO 500,000
Walden Rail Trail Connection, Orange County, NY 200,000
Walerga Road Bridge Project in Roseville, CA 500,000
Walker Street Grade Separation Project, Cary, NC 500,000
Warwick Intermodal Station Improvements, RI 400,000
Wausau Bridge Street Interchange, WI 2,600,000
Wayne County Bridge Project in Roseville, CA 500,000
Webber Canyon Road Realignment, Benton County, WA 750,000
Wells Highway Extension/Sheep Farm Road, SC 500,000
Westbury Avenue Streetscape and Small Business Revitalization, NY 400,000
Westside Parkway, Alpharetta, GA 500,000
White Bluff Intersection Widening Project, TX 200,000
Whittier and Sycamore Street Bridge, Columbus, OH 500,000
Widen Route 82 in Norwich, CT 1,525,000
Widen US 60 between Bartlesville and Pawhuska, OK 500,000
Widening and Improvements, I-405, CA 250,000
Widening of Loop 281, Longview, TX 250,000
Winter Haven Dundee Road, FL 500,000
Xerox Area Road Improvements, Monroe County, NY 1,000,000
Yucca Loma Bridge/I-15 Congestion Relief Project, CA 750,000

Transportation infrastructure finance and innovation (TIFIA) program.--The TIFIA credit program provides funds to assist in the development of surface transportation projects of regional and national significance. The goal is to develop major infrastructure facilities through greater non-federal and private sector participation, building on public willingness to dedicate future revenues or user fees in order to receive transportation benefits earlier than would be possible under traditional funding techniques. The TIFIA program provides secured loans, loan guarantees, and standby lines of credit that may be drawn upon to supplement project revenues, if needed, during the first 10 years of project operations. As required by the Federal Credit Reform Act of 1990, this account records, for this program, the subsidy costs associated with the direct loans, loan guarantees, and lines of credit obligated in 1992 and beyond (including modifications of direct loans or loan guarantees that resulted from obligations or commitments in any year), as well as administrative expenses of this program. The subsidy amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis.

Federal highway research, technology and education.--Research, technology, and education programs develop new transportation technology that can be applied nationwide. Activities include surface transportation research, including intelligent transportation systems; development and deployment, training and education; university transportation research.

High priority projects.--Funds are provided for specific projects identified in SAFETEA-LU. A total of 5,091 projects are identified, each with a specified amount of funding over the five years of SAFETEA-LU.

Projects of national and regional significance.--Provides funding for specific projects of national or regional importance. All the funds authorized for this program from the highway trust fund are designated for projects listed in SAFETEA-LU.

(RESCISSION)

(HIGHWAY TRUST FUND)

The bill includes a rescission of $2,000,000,000 of the unobligated balances of funds apportioned to the states under chapter 1 of title 23, United States Code, excluding safety programs and funds set aside within the state for population areas. The Committee directs the FHWA to administer the rescission by allowing each state maximum flexibility in making adjustments among the apportioned highway programs.

ADMINISTRATIVE PROVISIONS--FEDERAL HIGHWAY ADMINISTRATION

Section 120. The Committee includes a provision that distributes obligation authority among federal-aid highways programs.

Section 121. The Committee continues a provision that credits funds received by the Bureau of Transportation Statistics to the federal-aid highways account.

Section 122. The Committee includes a provision that provides additional funding to the transportation, community, and system preservation program.

Section 123. The Committee includes a new provision that clarifies funding for a Monterey, California, highway bypass included in Public Law 102-143.

Section 124. The Committee includes a provision that rescinds unobligated balances associated with completed demonstration or high priority projects from previous laws. The specific authorizations and amounts to be rescinded were identified in information provided to GAO and referenced in a GAO report dated May 11, 2006.

Section 125. The Committee includes a provision that rescinds unobligated funds authorized for the TIFIA program.

Section 126. The Committee includes a provision that rescinds unobligated contract authority authorized for administrative expenses of the FHWA that will not be available for obligation because of the limitation on administrative expenses imposed in this Act and prior Acts.

Section 127. The Committee includes a provision that rescinds unobligated contract authority authorized for fiscal year 2005, under title 5 of Public Law 109-59, for transportation research that will not be available for obligation because of the limitation on obligation imposed on those funds under title 5 of such law for fiscal year 2005.

Section 128. The Committee includes a new provision that clarifies funding for a Marlboro Township, New Jersey, highway project included in section 378 of Public Law 106-346.

Section 129. The Committee includes a new provision that prohibits any of the funds provided in or limited by this Act from being used by the State of Alaska to develop, plan, design, or construct a bridge connecting the Island of Gravina and the community of Ketchikan or the Knik Arm Bridge. The provision also prohibits the FHWA from reimbursing the State of Alaska for these expenses.

FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION

The primary mission of the Federal Motor Carrier Safety Administration (FMCSA) is to improve the safety of commercial vehicle operations on our nation's highways. To accomplish this mission, the FMCSA is focused on reducing the number and severity of large truck accidents. Agency resources and activities contribute to ensuring safety in commercial vehicle operations through enforcement, including the use of stronger enforcement measures against safety violators; expedited safety regulation; technology innovation; improvements in information systems; training; and improvements to commercial driver's license testing, record keeping, and sanctions. To accomplish these activities, the FMCSA works closely with federal, state, and local enforcement agencies, the motor carrier industry, highway safety organizations, and individual citizens. In addition, the FMCSA has the responsibility to ensure that Mexican commercial vehicles, entering the U.S. in accordance with the North American Free Trade Agreement (NAFTA), meet all U.S. hazardous material and safety regulations.

The FMCSA's scope was expanded in fiscal year 2003 by the U.S.A. Patriot Act (Public Law 107-56), which called for new security measures. In addition, beginning in fiscal year 2002, Appropriations Acts (Public Law 107-87, Public Law 108-7, Public Law 108-199, and Public Law 108-447) have funded border enforcement and safety related activities associated with implementation of NAFTA, and activities associated with permitting of hazardous materials.

The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU), enacted August 10, 2005, reauthorizes the motor carrier safety activities of FMCSA through fiscal year 2009 and provides increased funding for many of the agency's programs. Funding for the FMCSA is also included within a highway discretionary spending category in the Budget Enforcement Act that is adjusted annually beginning in fiscal year 2007 based on receipts into the highway account of the highway trust fund. Additional resources provided by this automatic spending mechanism are called revenue-aligned budget authority (RABA) and a portion of this adjustment is added to FMCSA's motor carrier safety grants.

MOTOR CARRIER SAFETY GRANTS

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(HIGHWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                           $282,000,000            ($279,180,000) 
Budget request, fiscal year 2007                           294,000,000             (294,000,000) 
Recommended in the bill                                    294,000,000             (294,000,000) 
Bill compared to:                                                                                
Appropriation, fiscal year 2006                            +12,000,000             (+14,820,000) 
Budget request, fiscal year 2007                                 - - -                   (- - -) 
-------------------------------------------------------------------------------------------------

The FMCSA's motor carrier safety grants program was authorized by the Transportation Equity Act for the 21st Century, amended by the Motor Carrier Safety Improvement Act of 1999, and continued through fiscal year 2009 by SAFETEA-LU. This account provides the necessary resources to the motor carrier safety assistance program (MCSAP) state grants. Grants are used to support compliance reviews in the states; identify and apprehend traffic violators; conduct roadside inspections; and support safety audits on new entrant carriers. Grants are also provided to states for enforcement efforts at both the southern and northern borders to ensure that all points of entry into the U.S. are fortified with comprehensive safety measures; for improvement of state commercial driver's license (CDL) oversight activities to prevent unqualified drivers from being issued CDLs; and for improving the linkage between state motor vehicle registration systems and carrier safety data in order to identify unsafe commercial motor carriers.

COMMITTEE RECOMMENDATION

The Committee recommends $294,000,000 in liquidating cash for this program.

LIMITATION ON OBLIGATIONS

The Committee recommends a limitation on obligations of $294,000,000 for the grant programs of FMCSA. This level is consistent with SAFETEA-LU and is $14,820,000 above the fiscal year 2006 level. In addition, consistent with SAFETEA-LU, the highway funding guarantees are adjusted for RABA in fiscal year 2007. Of the amount provided under RABA, an amount to be calculated is available to FMCSA for the motor carrier safety grant program and bill language is included under the Federal Highway Administration to transfer this funding to FMCSA.

The bill also provides separate obligation limitations for the following funding allocations:

Motor carrier safety assistance program ($197,000,000)
Commercial driver's license improvements program (25,000,000)
Border enforcement grants (32,000,000)
Performance and registration information system management program (5,000,000)
Commercial vehicle information systems and networks deployment program (25,000,000)
Safety data improvement program (3,000,000)
Commercial driver's license information system modernization program (7,000,000)

New entrant audits.--Section 31104(f)(5) of title 49, United States Code, as amended by SAFETEA-LU, provides the secretary the discretion to deduct up to $29,000,000 of the funds made available for motor carrier safety grants for audits of new entrant motor carriers. The interim final rule for the new entrant safety assurance process was published on May 13, 2002, with an effective date of January 2003. This rule requires all new entrants to pass a safety audit within the first 18 months of operations in order to receive permanent DOT registration. Therefore, the Committee strongly urges the department to use this authority to fund the new entrant program to the full extent allowable.

MOTOR CARRIER SAFETY OPERATIONS AND PROGRAMS

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(HIGHWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                           $213,000,000            ($210,870,000) 
Budget request, fiscal year 2007                           223,000,000             (223,000,000) 
Recommended in the bill                                    223,000,000             (223,000,000) 
Bill compared to:                                                                                
Appropriation, fiscal year 2006                            +10,000,000             (+12,130,000) 
Budget request, fiscal year 2007                                 - - -                   (- - -) 
-------------------------------------------------------------------------------------------------

This limitation controls spending for salaries and operating expenses and for motor carrier research by the FMCSA. It provides the necessary resources to support motor carrier safety program activities and maintain the agency's administrative infrastructure. Funding supports nationwide motor carrier safety and consumer enforcement efforts, including federal safety enforcement activities at the U.S./Mexico border to ensure that Mexican carriers entering the U.S. are in compliance with Federal Motor Carrier Safety Regulations. Resources are also provided to fund motor carrier regulatory development and implementation, information management, research and technology, safety education and outreach, and the safety and consumer telephone hotline.

COMMITTEE RECOMMENDATION

The Committee recommends $223,000,000 in liquidating cash for the operations and research activities of the FMCSA, consistent with the amount of contract authority provided under SAFETEA-LU.

LIMITATION ON OBLIGATIONS

The Committee recommends a limitation on obligations of $223,000,000 for the implementation, execution, and administration of the motor carrier safety program, motor carrier safety research, and motor carrier outreach and education programs by the FMCSA. This funding level is consistent with SAFETEA-LU and represents a $12,130,000 increase over fiscal year 2006.

Bill language is included that makes the $10,296,000 provided for research and technology programs available until September 30, 2009.

The Committee also continues bill language that prohibits any funds relating to outreach and education from being transferred to another agency.

Safety compliance reviews.--The Committee continues to be concerned that only a very small percentage of registered motor carriers undergo a safety compliance review each year. FMCSA's own fiscal year 2007 budget submission estimates that only 10,000 compliance reviews will be conducted by the agency in fiscal year 2006 out of approximately 685,000 registered interstate motor carriers--less than 1.5 percent of registered motor carriers. In addition, the National Transportation Safety Board (NTSB) has included truck safety on its current list of `Most Wanted Transportation Safety Improvements' because FMCSA's entire safety fitness regime operates too leniently with criteria that do not result frequently enough in dangerous, unsafe motor carriers being shut down or drivers having their licenses revoked, and that FMCSA's compliance review standards actually allow unsafe motor carriers to continue to operate. The Committee directs FMCSA to submit a report to the House and Senate Committees on Appropriations no later than March 1, 2007, on how it will revise the compliance review process to improve detection of motor carriers with poor safety practices and cease their operations.

Entry level truck driver training.--The Committee notes that earlier this year, a U.S. Court of Appeals rendered a unanimous decision remanding the FMCSA's final rule on entry level truck driver training. The Court found that FMCSA did not adequately address the recommendations of a DOT contracted adequacy report and independent model curriculum on driver training. According to the Court, FMCSA `entirely failed to consider important aspects of the CMV training problems before it; it largely ignored the evidence in the adequacy report and abandoned the recommendations of the model curriculum without reasonable explanation; and it adopted a final rule whose terms have almost nothing to do with an `adequate' CMV training program.' The Committee is concerned that 15 years has elapsed without the issuance of a comprehensive entry-level driver training standard. The Committee believes that FMCSA should expedite its revisions to the driver training rule and carefully consider the obvious benefits of a comprehensive training requirement that includes on-street, behind-the-wheel skills training for entry-level truck drivers.

Motor coach accessibility.--The Committee is concerned about reports that a number of curbside motor coach operators are not in compliance with the department's regulations requiring accessibility to over-the-road buses for people with disabilities (49 CFR part 37, Subpart H). The Committee understands that the Department of Justice has general enforcement authority for violations of the Americans with Disabilities Act. However, it is the DOT that is responsible for ensuring that only bus companies that are willing and able to comply with DOT regulations receive, and retain, interstate registration. The Committee urges the secretary to give serious consideration to withholding interstate registration from a motor coach operator that is not willing and able to comply with the department's regulations on providing access for the disabled. The Committee directs the Secretary of Transportation to provide a letter report on what specific actions DOT will take to improve accessibility for the disabled to the House and Senate Committees on Appropriations by February 15, 2007.

The Committee includes bill language that rescinds unobligated contract authority authorized for the old `Motor Carrier Safety' and `National Motor Carrier Safety Program' accounts that will not be available for obligation because of limitations on obligations imposed on those funds in previous acts.

ADMINISTRATIVE PROVISION--FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION

Section 130. The Committee continues a provision subjecting funds appropriated in this Act to the terms and conditions of section 350 of Public Law 107-87, including a requirement that the secretary submit a report on Mexico-domiciled motor carriers.

NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION

The National Highway Traffic Safety Administration (NHTSA) was established as a separate organizational entity in the Department of Transportation in March of 1970. It succeeded the National Highway Safety Bureau, which previously had administered traffic and highway safety functions as an organizational unit of the Federal Highway Administration.

NHTSA's current programs are authorized in five major laws: (1) the National Traffic and Motor Vehicle Safety Act (chapter 301 of title 49, United States Code (U.S.C.)); (2) the Highway Safety Act (chapter 4 of title 23, U.S.C.); (3) the Motor Vehicle Information and Cost Savings Act (MVICSA) (Part C of subtitle VI of title 49, U.S.C.); (4) the Transportation Recall Enhancement, Accountability, and Documentation (TREAD) Act; and (5) the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU).

The National Traffic and Motor Vehicle Safety Act provides for the establishment and enforcement of safety standards for vehicles and associated equipment and the conduct of supporting research, including the acquisition of required testing facilities and the operation of the national driver register, which was reauthorized by the National Driver Register Act of 1982.

The Highway Safety Act provides for coordinated national highway safety programs (section 402 of title 23, U.S.C.) to be carried out by the states and for highway safety research, development, and demonstration programs (section 403 of title 23, U.S.C.). The Anti-Drug Abuse Act of 1988 (Public Law 100-690) authorized a new drunk driving prevention program (section 410 of title 23, U.S.C.) to make grants to states to implement and enforce drunk driving prevention programs.

MVICSA provides for the establishment of low-speed collision bumper standards, consumer information activities and odometer regulations. Amendments to this law established the responsibility for the administration of mandatory automotive fuel economy standards, theft prevention standards for high theft lines of passenger motor vehicles, and automobile content labeling requirements.

In 2000, the TREAD Act amended the National Traffic and Motor Vehicle Safety Act. Changes included numerous new motor vehicle safety and information provisions, including a requirement that manufacturers give NHTSA notice of safety recalls or safety campaigns in foreign countries involving motor vehicles or items of motor vehicle equipment that are identical or substantially similar to vehicles or equipment in the United States; higher civil penalties for violations of the law; a criminal penalty for violations of reporting requirements; and a number of rulemaking directions that include developing a dynamic rollover test for light duty vehicles, updating the tire safety and labeling standards, improving the safety of child restraints, and establishing a child restraint safety rating consumer information program.

SAFETEA-LU, which was enacted on August 10, 2005, either reauthorized or added new authorizations for the full range of NHTSA programs for fiscal years 2005 through 2009. These include highway safety programs (section 402 of title 23, U.S.C.), highway safety research and development (section 403 of title 23, U.S.C.), occupant protection incentive grants (section 405 of title 23, U.S.C.), alcohol-impaired driving countermeasures incentive grants (section 410 of title 23, U.S.C.), and the national driver register (chapter 303 of title 49, U.S.C.). SAFETEA-LU also enacted new initiatives, such as the high visibility enforcement program (section 2009 of SAFETEA-LU), motorcyclist safety grants (section 2010 of SAFETEA-LU), and child safety and child booster seat safety incentive grants (section 2011 of SAFETEA-LU). Finally, SAFETEA-LU adopted a number of new motor vehicle safety and information provisions, including rulemaking directions to reduce vehicle rollover crashes, reduce complete and partial ejections of vehicle occupants, and enhance passenger motor vehicle occupant protection in side impact crashes.

COMMITTEE RECOMMENDATION

The Committee provides $821,500,000 for NHTSA to maintain current programs and continue its mission to save lives, prevent injuries, and reduce vehicle-related crashes.

The following table summarizes the Committee's recommendations:


---------------------------------------------------------------------------------
                              2006 enacted 2007 request Committee recommendation 
---------------------------------------------------------------------------------
Operations and research       $230,132,430 $227,250,000             $229,750,000 
National driver register         3,960,000    4,000,000                4,000,000 
Highway traffic safety grants  572,394,240  583,750,000              587,750,000 
Total                          806,486,670  815,000,000              821,500,000 
---------------------------------------------------------------------------------

The Committee's recommendation provides $6,500,000 over the budget request.

OPERATIONS AND RESEARCH


------------------------------------------------------------------------------------
                                   (General fund) (Highway trust fund)        Total 
------------------------------------------------------------------------------------
Appropriation, fiscal year 2006 1           - - -         $234,092,430 $234,092,430 
Budget request, fiscal year 2007            - - -          231,250,000  231,250,000 
Recommended in the bill               122,000,000          111,750,000  233,750,000 
Bill compared to:                                                                   
Appropriation, fiscal year 2006      +122,000,000         -122,342,430     -342,430 
Budget request, fiscal year 2007     +122,000,000         -119,500,000   +2,500,000 
------------------------------------------------------------------------------------

The operations and research appropriations support research, demonstrations, technical assistance, and national leadership for highway safety programs conducted by state and local government, the private sector, universities, research units, and various safety associations and organizations. These programs emphasize alcohol and drug countermeasures, vehicle occupant protection, traffic law enforcement, emergency medical and trauma care systems, traffic records and licensing, state and community traffic safety evaluations, motorcycle riders, pedestrian and bicycle safety, pupil transportation, distracted and drowsy driving, young and older driver safety programs, and development of improved accident investigation procedures.

COMMITTEE RECOMMENDATION

For fiscal year 2007, NHTSA requested a total of $231,250,000 for operations and research activities to be funded entirely using contract authority from the highway trust fund. This is contrary to current law. Under NHTSA's proposal, SAFETEA-LU would be modified to provide additional contract authority in place of the current general fund authorization. This funding would then be allocated from two different accounts. First, NHTSA requested $227,250,000 of contract authority from the highway trust fund to finance operations and research activities under section 403 of title 23, U.S.C., as well as to carry out the provisions of section 301 of title 49, U.S.C. and part C of subtitle VI of title 49, U.S.C. Under SAFETEA-LU, only section 403 of title 23, U.S.C. is authorized with contract authority out of the highway trust fund. This funding is also included within the budgetary firewall guarantee for highway spending. Second, the budget included $4,000,000 for the national driver register, which is authorized by SAFETEA-LU with contract authority from the highway trust fund and is included within the highway guarantee.

The Committee recommends new budget authority and obligation limitations for a total program level of $233,750,000, less than a one percent decrease below fiscal year 2006. Of this total, $122,000,000 is for operations and research from the general fund; $107,750,000 is for section 403 of title 23, U.S.C., activities from the highway trust fund; and $4,000,000 is for the national driver register from the highway trust fund. The funding shall be distributed as follows:


------------------------------------------------
------------------------------------------------
Salaries and benefits               $75,813,000 
Travel                                1,364,000 
Operating expenses                   22,355,000 
Contract programs:                              
  Safety performance (rulemaking)    14,155,000 
  Safety assurance (enforcement)     18,277,000 
  Highway traffic safety programs    52,390,000 
  Research and analysis              66,473,000 
  General administration                673,000 
Grant administration reimbursements -17,750,000 
  Total                             233,750,000 
------------------------------------------------

Highlights of and adjustments made to the budget request by the Committee's recommendation are described in the following paragraphs.

ADMINSTRATIVE EXPENSES

The Committee recommends $99,532,000 for salaries and benefits, travel, rent, and other operating expenses of NHTSA.

Additional full time equivalent staff years (FTE).--Included within these funds, the Committee approves an increase of $224,000 to fund two additional FTE--one for the emergency medical services program to perform the work required in Section 10202 of SAFETEA-LU and one for the E9-1-1 initiative. The Committee denies the additional FTE and associated increase in funding for the behavioral international activities program until such time as the agency can adequately explain the need for this increase.

SAFETY PERFORMANCE (RULEMAKING)

NHTSA's safety performance standards (rulemaking) programs support the promulgation of federal motor vehicle safety standards for motor vehicles and safety-related equipment; automotive fuel economy standards required by the Energy Policy and Conservation Act; international harmonization of vehicle standards; and consumer information on motor vehicle safety, including the new car assessment program. Consistent with the budget request, the Committee provides $14,155,000 for these activities.

New car assessment program (NCAP).--Within the funds provided, the Committee recommends $10,500,000 for NCAP.

SAFETY ASSURANCE (ENFORCEMENT)

The Committee recommends $18,277,000, as requested, for safety assurance (enforcement) programs to provide support to ensure compliance with motor vehicle safety and automotive fuel economy standards, investigate safety-related motor vehicle defects, enforce federal odometer law, encourage enforcement of state odometer law, and conduct safety recalls when warranted. The Committee expects NHTSA to use these funds as reflected in its budget justification.

HIGHWAY SAFETY PROGRAMS

NHTSA provides research, demonstrations, technical assistance, and national leadership for highway safety programs conducted by state and local governments, the private sector, universities, research units, and various safety associations and organizations. These programs emphasizes alcohol and drug countermeasures, vehicle occupant protection, traffic law enforcement, emergency medical and trauma care systems, traffic records and licensing, state and community evaluation, motorcycle riders, pedestrian and bicycle safety, pupil transportation, young and older driver safety programs, and development of improved accident investigation procedures. The Committee recommends $52,390,000 for these programs.

Mitigating human trauma in vehicle collisions.--Within the funds provided, the Committee directs $350,000 to the Worcester Polytechnic Institute's Center for Impact Protection Systems to continue research focused on mitigating human trauma in vehicle collisions through the use of advanced impact attenuation design.

Impaired driving mobilization.--The Committee is greatly concerned that the preliminary assessment of the 2005 motor vehicle fatality data projects that overall fatalities increased by 1.3-percent over 2004. Even more alarming is that the early assessment for alcohol-related fatalities increased by 278 fatalities, or 1.7 percent, after two consecutive years of declining fatalities. The Committee directs NHTSA to redouble its efforts to reduce the number of fatalities and, in particular, to reduce the number of impaired driving fatalities. In that regard, the Committee is aware that NHTSA is in the process of developing a new theme for the impaired driving high visibility enforcement mobilization which will occur in the weeks surrounding the Labor Day holiday. The Committee understands that NHTSA has conducted outreach and focus groups to identify and select a new theme which should emphasize both the danger and consequences of impaired driving. Once a new theme is selected, the Committee directs NHTSA to develop and implement a comprehensive plan to introduce this new theme to the general public. The Committee expects NHTSA's inauguration of the new impaired driving theme to receive at least an equal level of attention and effort as the agency provides to the annual launch of the seat belt enforcement mobilization.

RESEARCH AND ANALYSIS

The Committee recommends $66,473,000 for research and analysis activities to provide motor vehicle safety research and development in support of all NHTSA programs, including the collection and analysis of crash data to identify safety problems, develop alternative solutions, and assess costs, benefits, and effectiveness. Research will continue to concentrate on improving vehicle crash worthiness and crash avoidance, with emphasis on increasing safety belt use, decreasing alcohol involvement in crashes, decreasing the number of rollover crashes, improving vehicle-to-vehicle crash compatibility, and improved data systems.

Fatality analysis reporting system (FARS).--The Committee includes $7,813,000 for FARS, an increase of $750,000 above the budget request in order to improve the quality of the data collected by FARS. NHTSA is directed to utilize this increase to conduct quality control workshops and to establish quality control procedures to improve the reporting of restraint usage, blood alcohol concentration levels, fires, rollovers and other important data.

National automotive sampling system (NASS).--The NASS general estimates system data identifies trends of vehicle crashes and the NASS crashworthiness data system provides more in-depth and descriptive data in order to quantify the relationships between the occupants and vehicles in the real-world crash environment. The Committee is concerned that the number of crashes in which data is collected has dropped to about 4,500 cases and therefore provides $12,980,000, an increase of $750,000 above the budget request, in order to increase the number of cases where data is collected.

Counterfeit automobile parts.--The Committee is concerned about the safety risks posed by the influx of counterfeit automobile parts into the U.S. marketplace. The Committee provides $1,000,000 for a demonstration project to research promising technologies to combat counterfeit auto parts that are non-compliant with federal regulations and pose safety risks. This project should include measures to track the importation of counterfeit and non-compliant auto parts and an analysis of supply chains to identify entry points for these parts. The Committee encourages NHTSA to work with other federal agencies as appropriate, including the U.S. Customs and Border Protection.

National motor vehicle crash causation survey (NMVCCS).--The Committee provides $7,000,000 for the NMVCCS, which is equal to the fiscal year 2005 funding level as requested.

GENERAL ADMINISTRATION

The Committee recommends $673,000, as requested, for the general administration account to provide program evaluation, strategic planning, and economic analysis for agency programs. Objective quantitative information about NHTSA's regulatory and highway safety programs is gathered to measure their effectiveness in achieving objectives. This activity also funds development of methods to estimate economic consequences of motor vehicle injuries in forms suitable for agency use in problem identification, regulatory analysis, priority setting, and policy analysis.

OPERATIONS AND RESEARCH


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006           - - - 
Budget request, fiscal year 2007          - - - 
Recommended in the bill            $122,000,000 
Bill compared with:                             
  Appropriation, fiscal year 2006  +122,000,000 
  Budget request, fiscal year 2007 +122,000,000 
------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends a total of $122,000,000 for operations and research funding as an appropriation from the general fund.

OPERATIONS AND RESEARCH

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(HIGHWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                           $232,457,000         ($230,132,430) 1  
Budget request, fiscal year 2007                           227,250,000             (227,250,000) 
Recommended in the bill                                    107,750,000             (107,750,000) 
Bill compared to:                                                                                
Appropriation, fiscal year 2006                           -124,707,000            (-122,382,430) 
Budget request, fiscal year 2007                          -119,500,000            (-119,500,000) 
-------------------------------------------------------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation for liquidation of contract authorization of $107,750,000 for payment on obligations incurred in carrying out the provisions of the operations and research program. The Committee's recommendation is consistent with the amount of contract authority provided under SAFETEA-LU.

The Committee recommends limiting obligations from the highway trust fund to $107,750,000 for authorized activities associated with operations and research.

The Committee includes bill language that rescinds unobligated contract authority authorized from the highway trust fund for NHTSA's operation and research activities that will not be available for obligation because of limitations on obligations imposed on those funds in previous acts.

NATIONAL DRIVER REGISTER

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(HIGHWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                             $4,000,000              ($3,960,000) 
Budget request, fiscal year 2007                             4,000,000               (4,000,000) 
Recommended in the bill                                      4,000,000               (4,000,000) 
Bill compared to:                                                                                
Appropriation, fiscal year 2006                                  - - -                 (+40,000) 
Budget request, fiscal year 2007                                 - - -                   (- - -) 
-------------------------------------------------------------------------------------------------

This account provides funding to implement and operate the national driver register's problem driver pointer system and improve traffic safety by assisting state motor vehicle administrators in communicating effectively and efficiently with other states to identify drivers whose licenses have been suspended or revoked for serious traffic offenses such as driving under the influence of alcohol or other drugs.

COMMITTEE RECOMMENDATION

The Committee recommends a liquidation cash appropriation of $4,000,000 from the highway trust fund to pay obligations incurred in carrying out the national driver register program. The Committee's recommendation is consistent with the amount of contract authority provided under SAFETEA-LU.

The Committee also recommends limiting obligations from the highway trust fund to $4,000,000 for operations and research activities associated with the national driver register, of which $3,075,000 is for program activities and $925,000 is for salaries and benefits.

The Committee includes bill language that rescinds unobligated contract authority authorized for the national driver register that will not be available for obligation because of limitations on obligations imposed on those funds in previous acts.

HIGHWAY TRAFFIC SAFETY GRANTS

(LIQUIDATION OF CONTRACT AUTHORIZATION)

(LIMITATION ON OBLIGATIONS)

(HIGHWAY TRUST FUND)


-------------------------------------------------------------------------------------------------
                                 Liquidation of contract authorization Limitation on obligations 
-------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                           $578,176,000            ($572,394,240) 
Budget request, fiscal year 2007                           583,750,000             (583,750,000) 
Recommended in the bill                                    587,750,000             (587,750,000) 
Bill compared to:                                                                                
Appropriation, fiscal year 2006                             +9,574,000             (+15,355,760) 
Budget request, fiscal year 2007                            +4,000,000              (+4,000,000) 
-------------------------------------------------------------------------------------------------

SAFETEA-LU reauthorizes three state grant programs: highway safety programs, occupant protection incentive grants, and alcohol-impaired driving countermeasures incentive grants; and authorizes for the first time an additional five state grant programs: safety belt performance grants, state traffic safety information systems improvement grants, high visibility enforcement program, child safety and child booster seat safety incentive grants, and motorcyclist safety grants.

COMMITTEE RECOMMENDATION

The Committee recommends $587,750,000 in liquidating cash from the highway trust fund to pay the outstanding obligations of the various highway safety grant programs at the levels provided in this Act and prior appropriations Acts. The Committee's recommendation is consistent with the amount of contract authority provided for highway traffic safety grant programs under SAFETEA-LU.

The Committee continues language limiting the obligations to be incurred under the various highway traffic safety grants programs. For fiscal year 2007, the Committee has provided limitations on obligations at the level prescribed in SAFETEA-LU, with separate obligation limitations for the following funding allocations:

Highway safety programs ($220,000,000)
Occupant protection incentive grants (25,000,000)
Safety belt performance grants (124,500,000)
State traffic safety information systems improvements (34,500,000)
Alcohol-impaired driving countermeasures incentive grants (125,000,000)
High visibility enforcement program (29,000,000)
Motorcyclist safety (6,000,000)
Child safety and child booster seat safety incentive grants (6,000,000)

Bill language- The bill maintains language that prohibits the use of funds for construction, rehabilitation, and remodeling costs or for office furnishings or fixtures for state, local, or private buildings or structures. Language is also continued that limits the amount available for technical assistance to $500,000 under section 410 of title 23, U.S.C. The Committee continues bill language limiting the amount that can be used to conduct the evaluation of the high visibility enforcement program to $750,000 in fiscal year 2007.

Highway safety grants- SAFETEA-LU reauthorized the state and community highway safety formula grant program under section 402 of title 23, U.S.C., to support state highway safety programs designed to reduce traffic crashes and resulting deaths, injuries, and property damage. A state may use these grants only for highway safety purposes and at least 40 percent of these funds are to be expended by political subdivisions of the state.

Occupant protection incentive grants- SAFETEA-LU amended section 405(a) of chapter 4 of title 23, U.S.C., to encourage states to adopt and implement effective programs to reduce deaths and injuries from riding unrestrained or improperly restrained in motor vehicles. A state may use these grant funds only to implement and enforce occupant protection programs.

Safety belt performance grants- SAFETEA-LU established a new program of incentive grants under section 406 of title 23, U.S.C., to encourage the enactment and enforcement of laws requiring the use of safety belts in passenger motor vehicles. A state may use these grant funds for any safety purpose under title 23, U.S.C., or for any project that corrects or improves a hazardous roadway location or feature or proactively addresses highway safety problems. However, at least $1,000,000 of amounts received by states must be obligated for behavioral highway safety activities.

State traffic safety information systems improvements- SAFETEA-LU established a new program of incentive grants under section 408 of title 23, U.S.C., to encourage states to adopt and implement effective programs to improve the timeliness, accuracy, completeness, uniformity, integration, and accessibility of state data that is needed to identify priorities for national, state, and local highway and traffic safety programs; to evaluate the effectiveness of efforts to make such improvements; to link these state data systems, including traffic records, with other data systems within the state; and to improve the compatibility of the state data system with national data systems and data systems of other states to enhance the ability to observe and analyze national trends in crash occurrences, rates, outcomes, and circumstances. A state may use these grant funds only to implement such data improvement programs.

Alcohol-impaired driving countermeasures incentive grants- SAFETEA-LU amended the alcohol-impaired driving countermeasures incentive grant program authorized by section 410 of title 23, U.S.C., to encourage states to adopt and implement effective programs to reduce traffic safety problems resulting from individuals driving while under the influence of alcohol. A state may use these grant funds to implement the impaired driving activities described in the programmatic criteria, as well as costs for high visibility enforcement; the costs of training and equipment for law enforcement; the costs of advertising and educational campaigns that publicize checkpoints, increase law enforcement efforts and target impaired drivers under 34 years of age; the costs of a state impaired operator information system, and the costs of vehicle or license plate impoundment.

High visibility enforcement program.--Section 2009 of SAFETEA-LU establishes a new program to administer at least two high-visibility traffic safety law enforcement campaigns each year to achieve one or both of the following objectives: (1) reduce alcohol-impaired or drug-impaired operation of motor vehicles; and/or (2) increase the use of safety belts by occupants of motor vehicles. These funds may be used to pay for the development, production, and use of broadcast and print media in carrying out traffic safety law enforcement campaigns.

Motorcyclist safety.--Section 2010 of SAFETEA-LU established a new program of incentive grants to encourage states to adopt and implement effective programs to reduce the number of single and multi-vehicle crashes involving motorcyclists. A state may use these grants funds only for motorcyclist safety training and motorcyclist awareness programs, including improvement of training curricula, delivery of training, recruitment or retention of motorcyclist safety instructors, and public awareness and outreach programs.

Child safety and child booster seat safety incentive grants.--Section 2011 of SAFETEA-LU established a new incentive grant program to make grants available to states that are enforcing a law requiring any child riding in a passenger vehicle who is too large to be secured in a child safety seat to be secured in a child restraint that meets the requirements prescribed under section 3 of Anton's Law (49 U.S.C. 30127 note; 116 Stat. 2772). These grants may be used only for child safety seat and child restraint programs.

Safe transport of Head Start children.--The Committee understands that NHTSA provided input into the regulations developed by the Department of Health and Human Services regarding the safe transportation of Head Start children. Since the issuance of the final regulations, some Head Start grantees have reported that their transportation costs have consumed as much as 20 percent of the Head Start budget. The Committee believes that the safe transport of these children is paramount. The Committee directs the Secretary of Transportation to work with the Secretary of Health and Human Services to identify strategies to ensure the safe transport of children participating in a Head Start program. In addition, the Committee encourages NHTSA to explore the use of the child safety and child booster seat safety incentive grants as a means of assistance for the transportation of Head Start children.

Grant administrative expenses.--Section 2001(a)(11) of SAFETEA-LU provides funding for salaries and operating expenses related to the administration of the grants programs and supports the national occupant protection user survey and highway safety research programs.

The Committee includes bill language that rescinds unobligated contract authority authorized from the highway trust fund for NHTSA's highway safety grant programs that will not be available for obligation because of limitations on obligations imposed on those funds in previous acts.

ADMINISTRATIVE PROVISION--NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION

Section 140. The Committee continues a provision that provides funding for travel and related expenses for state management reviews and highway safety core competency development training.

FEDERAL RAILROAD ADMINISTRATION

The Federal Railroad Administration (FRA) is responsible for planning, developing, and administering programs to achieve safe operating and mechanical practices in the railroad industry, as well as managing the high-speed ground transportation program. Grants to the National Railroad Passenger Corporation (Amtrak) and other financial assistance programs serving to rehabilitate and improve the railroad industry's physical plant are also administered by FRA.

SAFETY AND OPERATIONS


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $144,490,000 
Budget request, fiscal year 2007    150,578,000 
Recommended in the bill             150,083,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +5,593,000 
  Budget request, fiscal year 2007     -495,000 
------------------------------------------------

The safety and operations account provides support for FRA's rail safety and passenger and freight program activities. Funding also supports salaries and expenses and other operating costs related to FRA staff and programs.

COMMITTEE RECOMMENDATION

A total of $150,083,000 is recommended for safety and operations, which is a $5,593,000 increase above the fiscal year 2006 enacted level. Of this total, $13,870,890 is available until expended. The following adjustments have been made to the budget request:


----------------------------------------------------------------------------
----------------------------------------------------------------------------
Reduce funding for rail integrity program staff                   -$397,000 
Delete funding for an additional emergency management coordinator   -98,000 
----------------------------------------------------------------------------

New Positions.--The Committee provides funding for nine new rail integrity program staff, as requested. However, the Committee reduces funding to reflect quarter-year instead of half-year funding. The Committee notes that it has taken longer for FRA to hire staff with this type of specialized expertise. The Committee provides the requested level for two track safety specialists and one operations research analyst, and provides half-year funding consistent with the budget request. The Committee does not provide the position for emergency management coordinator due to budget constraints.

RAILROAD RESEARCH AND DEVELOPMENT


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $54,524,000 
Budget request, fiscal year 2007    34,650,000 
Recommended in the bill             34,650,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  -19,874,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The railroad research and development appropriation provides science and technology support for FRA's rail safety rulemaking and enforcement efforts. The objective of this program is to reduce the frequency and severity of railroad accidents and to provide technical support for rail safety rulemaking and enforcement activities. It also stimulates technological advances in conventional and high speed railroads.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $34,650,000, for railroad research and development. Within the funds provided $6,435,000 is for positive train control, consistent with the budget request.

Highway crossing hazard elimination on designated high speed rail corridors.--The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy For Users (SAFETEA-LU) reauthorized the railway-highway crossing hazard elimination in high speed rail corridors program under section 104(d) of title 23, United States Code. In fiscal year 2007, SAFETEA-LU authorizes $10,000,000 for this program, $1,750,000 of which it earmarked. A limited number of corridors are eligible for these funds.

RAILROAD REHABILITATION AND IMPROVEMENT PROGRAM

Public Law 105-178 established the Railroad Rehabilitation and Improvement Financing loan and loan guarantee program. The aggregate unpaid principal amounts of the obligations may not exceed $3,500,000,000 at any one time. Not less than $1,000,000,000 is reserved for projects primarily benefiting freight railroads other than class I carriers. The funding may be used: (1) to acquire, improve, or rehabilitate intermodal or rail equipment or facilities, including track, components of track, bridges, yards, buildings, or shops; (2) to refinance existing debt; or (3) to develop and establish new intermodal or railroad facilities. No Federal appropriation is required, since a non-Federal infrastructure partner may contribute the subsidy amount required by the Credit Reform Act of 1990 in the form of a credit risk premium. Once received, statutorily established investigation charges are immediately available for appraisals and necessary determinations and findings. The budget recommends rescinding the program.

COMMITTEE RECOMMENDATION

The Committee does not repeal the railroad rehabilitation and improvement program, as proposed by the President's budget. The Committee continues bill language specifying that no new direct loans or loan guarantee commitments may be made using federal funds for the payment of any credit premium amount during fiscal year 2007.

GRANTS TO THE NATIONAL RAILROAD PASSENGER CORPORATION

(AMTRAK)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $1,293,550,000 
Budget request, fiscal year 2007      900,000,000 
Recommended in the bill               900,000,000 
Bill compared to:                                 
  Appropriation, fiscal year 2006    -393,550,000 
  Budget request, fiscal year 2007          - - - 
--------------------------------------------------

The National Railroad Passenger Corporation (Amtrak) was created by the Rail Passenger Service Act (RSPA) in 1970 and incorporated under the laws of the District of Columbia. Operations began on May 1, 1971. Amtrak's purpose was to operate a national rail passenger system to relieve the freight railroads of the burden of money-losing passenger operations and to preserve rail passenger service over a national system. It was created as a for-profit government corporation that was granted the right for access to the tracks owned by the freight railroads at incremental cost and with operating priority over freight trains. Amtrak was also granted jurisdiction to provide intercity rail transportation over its route system. The framers of RSPA believed that after a few transitional years, Amtrak would make a profit and free itself from government assistance.

STATUS OF AMTRAK

After years of increasing subsidizes with little reform, Congress passed the Amtrak Reform and Accountability Act in 1997 (ARAA). The ARAA sought to impose change on the Corporation by providing the Corporation the flexibility to decide which routes and services it provided and by setting a specific time-frame for Amtrak to become operationally self-sufficient. The Act required Amtrak to eliminate its operating budget shortfall and become self sufficient by the end of 2002. Although Amtrak insisted it would meet this mandate, it did not. In fact, in its February 2002 report, the Amtrak Reform Council found that Amtrak's financial performance since enactment of the ARAA deteriorated to such a degree that the railroad was weaker by the end of 2001 than it was prior to the enactment in 1997. Instead of exploring ways to run the business more efficiently through controlling expenses, Amtrak embarked on a series of high cost investments, including implementing high-speed rail service on the Boston, New York City, and Washington Northeast Corridor expecting that such service would generate significant new net revenues after all expenses had been covered. However, Amtrak's high-speed service took too long, was extremely costly to implement, and continues to suffer from technical problems.

While Amtrak was representing to Congress that it was on the `glidepath' to self-sufficiency, it was deferring essential capital investments on the Northeast Corridor and financing increasing amounts of its operating expenses through a strategy of desperation by borrowing against its assets to pay for day-to-day operations. Amtrak's outstanding debt soared and today, the Corporation is shackled by the legacy of its failures with annual debt service that approximates $300,000,000 per year. By 2001, Amtrak was forced to mortgage its right to use Pennsylvania Station in New York City--the most intensely used passenger facility of any kind in the United States, through which 40 percent of Amtrak's passengers pass--just to pay its employees and buy fuel to get through another year. Again in 2002, Amtrak was forced to borrow another $100,000,000, this time from the Department of Transportation, and seek a $205,000,000 supplemental appropriation, just to meet operating expenses. By this time, the deferred maintenance on Amtrak-owned capital assets was driving operating expenses up as more day-to-day maintenance was required. Reliability, as measured by on-time performance was dropping. Amtrak was in a downward spiral that, absent significantly greater infusions of Federal funds, would inevitably end up with the corporation bankrupt.

Every informed observer of the intercity passenger rail service situation in the U.S- from the Administration and the Department of Transportation, to the Government Accountability Office, to Amtrak's Board of Directors themselves--all agree that the current model for providing intercity passenger service is in need of significant reform. The status quo continues to produce financial instability and poor service quality. Despite multiple efforts over the years to reform Amtrak, the system continues to limp along, is never in a state-of-good-repair, awash in debt, and perpetually on the edge of collapse. In the end, Amtrak has been tasked to be all things to all people, but the model under which it operates leaves many unsatisfied.

The authorization for Amtrak contained in the ARAA expired in 2002. Amtrak's request for funding in fiscal year 2007 is triple the level of appropriations provided for the benefit of the Corporation as recently as fiscal year 2001, a rate of growth almost unparalleled for domestic programs in these difficult budget times. Not only has no reauthorization been enacted, no reauthorization with meaningful reform that could address the insatiable demand of Amtrak for more Federal dollars has passed either body of Congress. The Appropriations Committee has been forced to single-handedly impose reforms on Amtrak. Amtrak has lacked the initiative or inspiration to reform itself, and in the past, has appeared only to implement reluctantly required Congressional reforms.

However, it appears that Amtrak now understands the need to reform. Although Amtrak continues to operate with substantial losses on each line, the railroad is approaching a place of financial accountability. According to the DOT Inspector General, the Amtrak Board of Directors and current management seem committed to reform, efficiency improvements are beginning to be implemented and some reductions in required operating subsidies are being realized. Because reforms require sustained commitment, and Amtrak has had problems maintaining such commitment, this Committee and the American taxpayer cannot afford to loosen the reins. Therefore, the Committee continues to build on the reforms contained in prior appropriations Acts.

COMMITTEE RECOMMENDATION

The Committee recommends $900,000,000 for grants to Amtrak in fiscal year 2007, consistent with the budget request. The Committee amends the fiscal year 2006 account structure, and provides these funds in two accounts--capital and debt service grants and efficiency incentive grants. The Committee continues many reporting and grant making provisions contained in prior appropriations Acts and includes a number of reforms that build on the initiatives of prior years.

EFFICIENCY INCENTIVE GRANTS

The Committee provides $400,000,000 to the Secretary of Transportation to make operating subsidy grants to Amtrak. Similar to the fiscal year 2006 Act, Amtrak must first submit grant requests to the Secretary and include a detailed financial analysis with revenue and capital expenditures justifying federal support for each train route. The Secretary may condition the award of grant funds on reform requirements and progress toward such reforms. Before any grants containing new routes are released, the DOT Inspector General must perform a review to determine the financial and operational short and long-term implications and report that information to the Secretary. The bill does not allow funds to be used for operating expenses, including advance purchase orders that are not approved by the Secretary and in the corporation's fiscal year 2007 business plan.

The bill sets aside $60,000,000 to carry out directed service for commuter rail operations in the event that Amtrak is forced to cease operations.

The bill mandates that Amtrak achieve operational efficiencies in food and beverage, first class service, and overhead expenses and continues to require the DOT IG to submit quarterly reports tracking Amtrak's progress in this area. Consistent with the fiscal year 2006 Act, the Secretary is prohibited from subsidizing losses in food and beverage or sleeper car service if the IG cannot certify by July 1, 2007 that Amtrak has achieved savings.

The Committee notes that Amtrak has taken steps to reduce its losses on food and beverage service and has begun discussing strategies to reduce losses on its first class service. The Committee directs Amtrak to transmit to the House and Senate Committees on Appropriation within 120 days of enactment detailed plans to improve food and beverage service and first class service (including sleeper car service) so that these programs are revenue neutral on a fully allocated basis by September 30, 2008. The Committee requires quarterly progress reports thereafter.

The Committee notes that in Amtrak's fiscal year 2007 grant request package, a total of $293,700,000 remains unallocated to any route or line of business. The bill thus requires Amtrak to provide an accounting of its overhead expenses as of October 1, 2006 and detail allocated and unallocated amounts. This report must also include a plan to reduce system overhead expenses by 10 percent annually.

The Committee notes that outsourcing reservation services and the use of electronic ticketing is commonplace in other transportation sectors. Therefore, the Committee directs this report to include information on expenses associated with intercity passenger rail reservations and ticketing, and a comparison of expenses to those associated with domestic airlines and intercity bus service. Amtrak shall explore technology enhancements including electronic ticketing to determine the operational and financial ramifications. The bill includes a provision that Amtrak shall reduce its overhead expenses by 10 percent annually.

If the IG deems the funding necessary, the bill allows up to $5,000,000 for the continued development of the managerial cost accounting system. Within 30 days of development, the IG is directed to evaluate the strengths and weaknesses of the system and how it can be implemented to improve Amtrak decision making.

The bill also includes a provision directing Amtrak to submit within 120 days of enactment to the House and Senate Committees on Appropriations, a detailed plan for accounting system improvements including the integration with other processes. This will allow for more informed decisions-making associated with the financial ramification of proposed changes to routes and services. The plan shall also ensure that Amtrak's Route Profitability System (RPS) provides more current and accurate information on revenues and expenses on all routes and services, including unallocated expenses.

The bill continues a provision directing Amtrak to transmit its Board approved business plan to the Secretary, the House and Senate Committees on Appropriations, the House Committee on Transportation and Infrastructure and the Senate Committee on Commerce, Science and Transportation under 49 USC 24104(a), and monthly reports in electronic format regarding the pending business plan and justification for any sole source contract awards. In addition, the Committee expects that Amtrak will submit its annual operations report as required by 49 USC 24315.

The bill continues to require Amtrak to repay its loan to the Department of Transportation, and continues a provision that prohibits funding on routes where Amtrak is offering 50 percent or more off the normal, peak fare.

CAPITAL AND DEBT SERVICE GRANTS

The Committee provides $500,000,000 for capital grants to Amtrak, of which no more than $280,000,000 is for debt service payments. Amtrak must first submit grant requests to the Secretary justifying federal support for each capital project. The bill does not allow funds to be used to subsidize operating losses or for capital projects that are not approved by the Secretary and in the corporation's fiscal year 2007 business plan.

ADMINISTRATIVE PROVISIONS--FEDERAL RAILROAD ADMINISTRATION

Section 150. The Committee continues a provision that allows FRA to purchase promotional items for Operation Lifesaver.

FEDERAL TRANSIT ADMINISTRATION

The Federal Transit Administration (FTA) was established as a component of the Department of Transportation on July 1, 1968, when most of the functions and programs under the Federal Transit Act (78 Stat. 302; 49 U.S.C. 1601 et seq.) were transferred from the Department of Housing and Urban Development. Known as the Urban Mass Transportation Administration until enactment of the Intermodal Surface Transportation Efficiency Act of 1991, the Federal Transit Administration administers federal financial assistance programs for planning, developing, and improving comprehensive mass transportation systems in both urban and non-urban areas.

Authorization for programs under the Federal Transit Administration is contained in the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU) (P.L. 109-59). Annual appropriations acts provide funding by annual limitations on obligations for the formula and bus grants only. Direct appropriations of budget authority from the General Fund of the Treasury is provided for administrative expenses, research programs, and capital investment grants.

ADMINISTRATIVE EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $79,200,000 
Budget request, fiscal year 2007    85,000,000 
Recommended in the bill             85,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +5,800,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends $85,000,000 for FTA's salaries and expenses, an increase of $5,800,000 over the fiscal year 2006 funding level and the same as the budget request as directed by SAFETEA-LU.

Should the Committee have had the authority to determine basic salaries and expenses of the FTA, the Committee's recommendation would have assumed reductions totaling $2,000,000 from the budget request, and directed the reductions in three areas First, while the Committee commends FTA on the ability `to make program decisions based on information beyond anecdotes and prior-year funding levels,' the goal of getting to or maintaining `green' is not an acceptable or thorough justification for $1,535,000 as proposed for budget performance and integration. The Committee did not determine what activities or performance goals would constitute `green,' or what factors would be measured in accountability agreements with the DOT leadership, and therefore sees little reason to fund such activities.

Second, the Committee would not have provided funds for FTA to centralize Federal grant making as described under Research and University Research Centers. FTA has already created a grant program, and the Committee has chosen to continue funds for that already successful investment. The Committee sees little reason to fund duplicative programs and directs FTA to refrain from transferring or utilizing funds (up to $494,000) for this purpose.

Third, the Committee would not have provided $279,000 as requested for continued competitive sourcing activities. In the opinion of the Committee, the greatest savings will come from not providing the funds.

The Committee recommends funding for offices at the following levels:

Office of the Administrator $1,063,000
Office of Administration 7,654,000
Office of Chief Counsel 4,273,000
Office of Communications and Congressional Affairs 1,394,000
Office of Program Management 8,403,000
Office of Budget and Policy 9,259,000
Office of Research, Demonstration and Innovation 4,876,000
Office of Civil Rights 3,272,000
Office of Planning and Environment 4,718,000
Regional Total 22,420,000
Central Account 17,668,000

The administrator is authorized to transfer funding between offices. Any transfers totaling more than five percent of the initial appropriation from this account must be approved by the House and Senate Committees on Appropriations.

The Committee continues the direction to FTA to submit future budget justifications in a similar format to the fiscal year 2007 budget materials, consistent with the instruction provided in House Report 109-153. With the companion new starts report, FTA has significantly improved the documents and information submitted to the Committees on Appropriations. The Committee has again included language requiring FTA to submit the annual new starts report with the initial submission of the budget request due in February, 2007.

Transit security.--The Committee reiterates its direction as stated in House Report 108-671 regarding transit security. The Committee's position remains that the Department of Homeland Security is the lead agency on transportation security. As stated on the TSA website: `All new improvements will be coordinated with the Transportation Security Administration (TSA) which has overall responsibility for transportation security among all modes of transportation, including rail and transit lines.' As such, the Committee recommends the same number of FTE for the security office as provided in fiscal year 2005.

Project management oversight activities.--The Committee directs FTA to continue reporting monthly to the House and Senate Committees on Appropriations on the status of each project with a full funding grant agreement or is within two years of a full funding grant agreement. The Committee finds the monthly updates informative and a useful oversight tool.

To further support oversight activities, the bill continues a provision requiring FTA to reimburse the Department of Transportation Office of Inspector General $2,000,000 from funds available for contract execution for costs associated with audits and investigations of transit-related issues, including reviews of new fixed guideway systems. The Committee directs the Inspector General to continue such oversight activities in fiscal year 2007.

Full funding grant agreements (FFGAs).--TEA-21, as amended, requires that the FTA notify the House and Senate Committees on Appropriations as well as the House Committee on Transportation and Infrastructure and the Senate Committee on Banking sixty days before executing a full funding grant agreement. In its notification to the House and Senate Committees on Appropriations, the Committee directs the FTA to include the following: (1) a copy of the proposed full funding grant agreement; (2) the total and annual federal appropriations required for that project; (3) yearly and total federal appropriations that can be reasonably planned or anticipated for future FFGAs for each fiscal year through 2007; (4) a detailed analysis of annual commitments for current and anticipated FFGAs against the program authorization; (5) an evaluation of whether the alternatives analysis made by the applicant fully assessed all viable alternatives; (6) a financial analysis of the project's cost and sponsor's ability to finance the project, which shall be conducted by an independent examiner and which shall include an assessment of the capital cost estimate and the finance plan; (7) the source and security of all public- and private-sector financial instruments; (8) the project's operating plan, which enumerates the project's future revenue and ridership forecasts; and (9) a listing of all planned contingencies and possible risks associated with the project.

The Committee continues the direction to FTA to inform the House and Senate Committees on Appropriations in writing thirty days before approving schedule, scope, or budget changes to any full funding grant agreement. Correspondence relating to changes shall include any budget revisions or program changes that materially alter the project as originally stipulated in the full funding grant agreement, including any proposed change in rail car procurements.

FORMULA AND BUS GRANTS

(LIQUIDATION OF CONTRACT AUTHORITY)

(LIMITATION ON OBLIGATIONS)

(INCLUDING RESCISSION)


---------------------------------------------------------
---------------------------------------------------------
Obligation limitation, fiscal year 2006   $6,910,132,000 
Budget request, fiscal year 2007           7,262,775,000 
Recommended in the bill                    7,262,775,000 
Bill compared with:                                      
  Obligation limitation, fiscal year 2006   +352,643,000 
  Budget request, fiscal year 2007                 - - - 
---------------------------------------------------------

Formula grants to states and local agencies funded under the Federal Transit Administration (FTA) fall into the following categories: Alaska Railroad, clean fuels grant program, over-the-road bus accessibility program, urbanized area formula grants, bus and bus facility grants, fixed guideway modernization, planning programs (both metropolitan and statewide), formula grants for special needs for elderly individuals and individuals with disabilities, formula grants for other than urbanized areas, job access and reverse commute formula program, new freedom program, growing states and high density states formula, National Transit Database, alternatives analysis, and alternative transportation in parks and public lands. Contract authority from the Mass Transit Account of the Highway Trust Fund was provided under SAFETEA-LU. This appropriations Act provides the obligation limitation for such authority. This account is the only FTA account funded from the Highway Trust Fund.

COMMITTEE RECOMMENDATION

The accompanying bill provides $7,262,775,000 in obligation limitations for transit formula and bus grants as authorized in SAFETEA-LU and is consistent with the budget request and rules of the U.S. House of Representatives. The Committee's recommendation does include a cancellation of $28,661,000 in unobligated prior year balances of grant funds as proposed in the budget request. This rescission will not affect any on-going project or grant.

Under the obligation limitation provided, SAFETEA-LU mandates funding levels for the various programs under this account. The Committee makes no changes to the set-asides contained in SAFETEA-LU.

The Committee has included a new administrative provision, as proposed in the budget request. Section 163 allows FTA to provide grants for 100 percent of the net capital cost of a factory-installed or retrofitted hybrid electric bus system. This new authority, plus the $45,000,000 provided under SAFETEA-LU for the clean fuels grant program, is a good response to the direction in House Report 109-307 encouraging FTA to provide more incentives for hybrid electric bus systems.

The Committee has heard from a number of communities and transit agencies adversely affected by the SAFETEA-LU change to the Jobs Access and Reverse Commute (JARC) program. Prior to SAFETEA-LU, JARC was funded as a separate account to meet specific transit needs of low income populations and those needing transit to underserved areas. With SAFETEA-LU, JARC was merged into the larger Formula and Bus Grants account, and funds may be spread too thinly. The Committee directs the administrator to report by May 4, 2007 on the effects of this change on the ability of former recipients of JARC funds to meet the goals of the program.

Of the funds provided for alternatives analysis, the Committee directs funds for the following priorities, as eligible under existing law:

Jupiter Corridor, FL $250,000
Atlanta MARTA North Line Corridor, Georgia 250,000
Belt Line/C-Loop Project, Atlanta, GA 250,000
Honolulu High Capacity Transit Project, HI 250,000
Illinois Valley Commuter Rail, IL 250,000
North Shore Corridor and Blue Line Extension, MA 250,000
ITP/Rapid Travel, MI 250,000
North Shore Passenger Rail, Staten Island, NY 250,000
Lane Transit District, Pioneer Parkway EmX Corridor, OR 250,000
Allengheny County--East-West Corridor Rapid Transit, PA 250,000
Denton County Transportation Authority Fixed Guideway, TX 250,000

Of the funds provided for bus and bus facilities, the Committee directs funds for the following priorities, as eligible under existing law:

AL Multimodal Downtown Parking System/Dallas Branch $600,000
AR State of Arkansas, Bus and Bus Facilities Sec 5309 4,000,000
AZ East Valley Bus Maintenace Facility Tempe 1,500,000
AZ Main Street Bus Rapid Transit, Mesa 1,000,000
AZ Phoenix 27th Avenue/Baseline Park-and-Ride 1,000,000
AZ Phoenix/Glendale Express Expansion Buses 1,000,000
AZ Phoenix/Glendale West Valley Operation Facility 1,000,000
AZ Tucson Alternate Fuel Replacement Buses 1,000,000
CA Anaheim Regional Trans. Intermodal Center, Orange County 400,000
CA Beach Cities Transit Coastal Shuttle Capital Equipment 500,000
CA City of Modesto Bus Maintenace Facility 1,200,000
CA City of Santa Maria Intermodal Transit Center 300,000
CA Clean-Air Buses for Cerritos 300,000
CA San Joaquin Regional Transit District County Facility Construction Project 500,000
CA East County Bus Maintenance Facility, El Cajon 1,500,000
CA East Los Angeles College Busway, Monterey Park 150,000
CA Eastern Contra Costa County Park and Ride Lots 400,000
CA Ed Roberts Campus, Berkeley 550,000
CA Expand and Improve Yolobus Operations, Yolo County 200,000
CA Fairfield/Vacaville Intermodal Station 850,000
CA Foothill Transit, San Gabriel Valley 2,000,000
CA Humboldt Transit Authority Maintenance Facility 400,000
CA LACMTA La Cienega Intermodal Transfer Facility 400,000
CA LAMTA Paratransit Services 250,000
CA Los Angeles Southwest College Bus Shelter 450,000
CA Monrovia Transit Village 1,000,000
CA Monterey Salinas Transit, Monterey 500,000
CA MTOC Bus and Bus Facility Project 2,700,000
CA Northridge Transit Center, Northridge, Los Angeles County 100,000
CA Orange Line Safety Improvements Los Angeles, Los Angeles County 500,000
CA Pacific Station Multimodal Center, Santa Cruz 500,000
CA Placerville Station II 350,000
CA Regional Bus Replacement, San Diego County 450,000
CA Rio Hondo College Public Transit Pilot Program 200,000
CA Riverside and Corona Transit Centers 1,250,000
CA Riverside Transit Agency Bus Stop Upgrades 250,000
CA Sam Trans Revenue Collection System 500,000
CA San Francisco MTA Bus and Bus Facility Upgrades 3,000,000
CA San Luis Rey Transit Center 500,000
CA Senior Transit Bus, South El Monte 80,000
CA South Coast Area Transit Bus Facility Construction 200,000
CA South Coast Area Transit Bus Replacement 200,000
CA Street Shuttle Buses for Artesia 200,000
CA Sunline Transit Agency Bus Replacement 500,000
CA Transit Center Parking Structure, Baldwin Park 150,000
CA Union City Intermodal Station, Union City 400,000
CA Yosemite Regional Area Transportation System 300,000
CO Colorado Transit Coalition-Statewide Bus and Bus Facilities 2,000,000
CT Bridgeport Intermodal Transportation Center 1,250,000
CT Hartford Downtown Circulator 500,000
CT New Britain-Hartford Busway 1,000,000
CT SEAT Transit Project for Norwich 750,000
CT South Norwalk Intermodal Facility Phase 2 1,000,000
CT West Haven Intermodal Station 1,200,000
DC Union Station (ITC) 1,500,000
FL 7th Avenue Transit Hub, Miami 600,000
FL Additional 40-Foot Buses, Palm Beach County 200,000
FL AVL and UAFC Palm Tran, Palm Beach County 250,000
FL Broward County Alternative Fuel Buses 300,000
FL Broward County Southwest Transit Facility 1,000,000
FL Bus and Bus Facilities, St. Johns COA 750,000
FL Bus and Bus Facilities, St. Lucie County 1,500,000
FL City of Gainesville RTS, Buses 200,000
FL City of Orlando LYNX, Buses 200,000
FL CTCP, Jacksonville Transportation Authority 500,000
FL HART Operations Facility, Tampa 1,000,000
FL Hydrogen Fuel Cell Initiative, Tallahassee 500,000
FL Lakeland Area Citrus Connection Transit 400,000
FL LYNX Buses, Orland 500,000
FL Miami Lakes Transit Program 500,000
FL Miramar Eastern Transit Hub and Community Center 200,000
FL Palm Beach Gardens Public Transportation Program 750,000
FL Replacement of Six Mini-Buses for WHAT 400,000
FL SFRTA Smart Card 800,000
FL SFRTA Station Improvements 500,000
FL StarMetro Intelligent Transportation System 500,000
FL Trolley System for Boynton Beach 400,000
FL Winter Haven Transit Authority 150,000
GA Augusta Public Transit, Bus and Bus Facilities 200,000
GA Buses for Macon Transit Authority 200,000
GA Chatham Area Transit, Bus and Bus Facilities 1,000,000
GA City of Moultrie Intermodal Facility 300,000
GA MARTA Bus Acquisition Program, Atlanta 500,000
GA Moultrie Intermodal Facility 150,000
IA 10 Heavy-Duty Buses, Cedar Rapids 250,000
IA Johnson County Para-transit Facility 250,000
ID Idaho Transit Coalition Buses and Bus Facilities 4,000,000
IL Berwyn Intermodal Transit Facility 550,000
IL Chicago Transit Authority, Bus and Bus Facilities 500,000
IL Grand Avenue Transit Signal Priority, Lake County 320,000
IL Interfaith House, Chicago, Wheel Chair Accessible Van 75,000
IL Normal Multimodal Transportation Center 500,000
IL PACE Lincoln Highway TSP, Joliet 480,000
IL Pace Suburban Bus for Interactive Voice System 250,000
IL Pace Suburban Bus Roosevelt Road TSP 300,000
IL Pace Suburban Bus, Arlington Heights 800,000
IL Pace, MDTs for Chicago Paratrait Vehicles 400,000
IL River Valley Metro, Kankakee 2,000,000
IL Statewide Bus Request 3,000,000
IN Bloomington Transit replacement buses 750,000
IN Downtown Transit Center, Indianapolis 300,000
IN Fort Wayne Citilink 400,000
IN INDOT Electric Hybrid Bus Initiative 200,000
IN Transit Acquisition and Intermodal Facility Project 500,000
KS City of Lawrence Bus Maintenance Facility 250,000
KS Johnson County Transit Bus Replacement 500,000
KS Kansas City Area Transit Authority Bus Replacement 250,000
KS Topeka Metropolitan Transit Authority 750,000
KY Unified Government of Wyandotte Co/KCK Transit 750,000
KY Fulton Transit Authority 250,000
KY Pennyrile Allied Community Services 94,000
KY TANK Bus Replacement 750,000
KY Transportation Cabinet 400,000
LA Historic Streetcar Restoration, New Orleans 320,000
MA Attleboro Intermodal Center, Attleboro 100,000
MA BRTA/TANB Vehicles 160,000
MA Bus Fleet Replacement Project, WRTA, Worcester 300,000
MA Community Transit Service Dial-A-Ride Athol 600,000
MA Community Transit Service, Athol Station 400,000
MA Construciton of Amesbury Bus Facility 300,000
MA Council on Aging, LRTA Buses 75,000
MA Fitchburg Intermodal Parking Garage 500,000
MA FRTA Bus Replacement 720,000
MA Malden Massachusetts Shuttle Bus Service 300,000
MA MART Gardner Storage/Maintenance Facility 1,000,000
MA MART Leominster Commuter Parking 4,500,000
MA MART Storage, Leominster 1,600,000
MA MART Vehicle Replacement 1,200,000
MA Merrimack Valley RTA Buses 225,000
MA Newton Rapid Transit Handicap Access Improvements 500,000
MA Rockport Station Improvements 200,000
MA Salem and Saugus Senior Buses and Vans 150,000
MD APG Multi-Modal Trans. Center, Aberdeen 500,000
MD Bi-County Transit Center, Langley Park 300,000
MD Maryland Transit Administration Bus Replacement 1,500,000
ME Statewide Buses and Bus Facilities 500,000
MI Ann Arbor Transportation Authority Transit Center 1,800,000
MI Cadillac/Wexford Transit Authority 1,000,000
MI CATA Bus Purchase, Lansing 500,000
MI City of Detroit, Bus Replacement 3,225,000
MI County Connection, LLC, Midland 500,000
MI Eaton County Public Transportation Authority 250,000
MI Greater Lapeer Transportation Authority 300,000
MI Ionia Dial-A-Ride Vehicle Acquisition 148,000
MI Isabella County Transportation Commission 500,000
MI ITP/The Rapid Hybrid-Electric Bus Acquisition 500,000
MI Jackson County Large Bus Replacement 500,000
MI Kalamazoo Metropolitan Transit 1,500,000
MI Mecosta Osceola Transit Authority, Big Rapids 300,000
MI Sanilac Transportation Authority 300,000
MI SMART Capital Budget 1,000,000
MI The City of Alma, Gratiot County 628,000
MI Twin Cities Dial-A-Ride 100,000
MN Union Depot, St. Paul, Ramsey County 550,000
MO City of Springfield, Intermodal Parking Facility 3,500,000
MO Columbia Transit 250,000
MO Franklin County Transit 176,800
MO Serve Inc. 36,800
MO St. Louis, MO Metro Bus and Paratransit Rolling Stock 500,000
MS Coast Transit Authority, Bus Fleet 300,000
NC City of Raleigh Replacement and Expansion Buses 400,000
NC Intermodal Transportaiton Facility, Winston-Salem 500,000
NC North Carolina PART Park and Ride Facilities 500,000
NC Statewide Bus and Bus Facilities 1,800,000
ND North Dakota State Wide Transit 500,000
NJ BurLink Service, Mt. Holly, Burlington County 990,000
NJ Morris County Intermodal Park and Ride 1,000,000
NJ Morristown Historic Station Park and Ride 200,000
NJ Newark Penn Station, Newark 750,000
NJ Northern New Jersey Intermodal Stations and Park N'Rides 3,000,000
NJ Ocean Ride, Vehicle Replacement, Ocean County 250,000
NJ Passaic/Bergen Intermodal Facilities and Rolling Stock 700,000
NJ South Amboy NJ Regional Intermodal Transportation 300,000
NJ Trenton Intermodal Transportation System 200,000
NJ Upper Montclair Intermodal Facility 200,000
NV Central City Intermodal Transportation Terminal 350,000
NV Reno/Sparks Intermodal Transportation Terminals 500,000
NY Central NY Regional Transportation Authority 1,000,000
NY Clean Fuel Bus Enhancements, Brookhaven, Suffolk County 250,000
NY GJDCorp. Jamaica Intermodal Facilities 200,000
NY Nassau County HUB 250,000
NY Port Chester New York Intermodal Transit Center Bus Bays 750,000
NY West 65th St Lincoln Center Area Bus Shelter Improvements 1,000,000
OH Central OH Transit Authority, Paratransit Facility 300,000
OH KSU Multimodal Transportation Facility, Kent 300,000
OH Lucas County Bio-Diesel Bus/Public Vehicle Fleet 500,000
OH Portage Area Regional Transit Authority, Kent 500,000
OH Senior Transportation Connection Cuyahoga 250,000
OH Uptown Crossings Parking/Intermodal Bus Facility 750,000
OH West Price Hill Park and Ride 400,000
OK Metro Transit Oklahoma City, COTPA Bus Replacement 1,000,000
OK Tulsa Transit Section 5309 Capital Appropriations 500,000
OR Bus Facilities and Property Acquisition, Yamhill County 150,000
OR Salem-Keizer Transit 200,000
PA BARTA Franklin Street Station, Reading 1,000,000
PA Capital Area Transit 500,000
PA Centre Area Transportation Authority 1,200,000
PA Church Street Transportation Intermodal 750,000
PA County of Lebanon Transit Authority 200,000
PA Cranberry Area Transit Initiative 250,000
PA DuFAST Transit Authority Bus Replacement 600,000
PA Expansion of the Scranton Electric Trolley System 250,000
PA Fayette County Area Coordinated Transportation 500,000
PA Queen Street Station, Phase II, Lancaster 500,000
PA RRTA Bus Replacement Program, Lancaster 250,000
PA Schuykill Transportation System 300,000
PA York County Pennsylvania Transit Transfer Center 500,000
PA York County Transit Authority, York County 256,000
TN Memphis Airport Intermodal Facility 400,000
TN Tennessee Statewide Buses 3,000,000
TX Brazos Transit District, The Woodlands Express 250,000
TX Cap Metro S IH35 Park and Ride Facility, Austin 1,000,000
TX Cap Metro-Oak Hill Park and Ride Facility, Austin 1,000,000
TX Capital Metro, Rapid Bus Project, Austin 250,000
TX City of Abilene CitiLink 500,000
TX City of Lubbock Citibus Improvement 500,000
TX Corpus Christi RTA Bus and Bus Facilities 250,000
TX Denton County Transportation Authority, Buses 250,000
TX East Texas Service Area Bus Replacement 250,000
TX El Paso Bus Replacement 200,000
TX VIA San Antonio Bus and Facility Modernization 400,000
UT West Valley City, Utah, Intermodal Terminal Project 1,000,000
VA Fairfax County, REX Public Transit Initiative 250,000
VA Greater Lynchburg Transit Bus Replacement 500,000
VA Greater Richmond Transit Company 500,000
VA Hampton Roads Southwide Bus Facility 2,000,000
VA I-66/Vienna Metro Accessibility Improvements 2,000,000
VI VITRAN 200,000
VT Statewide Fleet Replacement and Capital Assistance 150,000
VT Multi-Modal Transportation Facility Bennington 250,000
WA SW King County-Highline CC Intermodal Transit Facility and Parking Garage 200,000
WA Intercity Transit Multimodal Facility 350,000
WA Mercer Island Park and Ride, Mercer Island 500,000
WI Wisconsin 7th District Bus and Bus Facilities 1,500,000
WI Wisconsin Bus Capital 4,000,000
WI Wisconsin Statewide Bus and Bus Facilities 3,000,000

RESEARCH AND UNIVERSITY RESEARCH CENTERS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $74,448,000 
Budget request, fiscal year 2007    61,000,000 
Recommended in the bill             65,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   -9,448,000 
  Budget request, fiscal year 2007  +4,000,000 
-----------------------------------------------

Grants for transit research are authorized by the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (Public Law 109-59) (SAFETEA-LU). Starting in fiscal year 2006, activities formerly under the `Transit Planning and Research' account are now under the `Formula and Bus Grants' account. The National Research program, the Transit Cooperative Research Program, and the National Institute are funded under this new heading.

Funding for the National Research programs will be used to cover costs for FTA's essential safety and security activities and transit safety data collection. Under the national component of the program, FTA is a catalyst in the research, development and deployment of transportation methods and technologies which address issues such as accessibility for the disabled, air quality, traffic congestion, and transit services and operational improvements. The University Research Centers program will provide continued support for research education and technology transfer activities aimed at addressing regional and national transportation problems.

COMMITTEE RECOMMENDATION

The Committee recommends $65,000,000 for research activities of FTA, $9,448,000 below the fiscal year 2006 funding level and $4,000,000 above the budget request. Of the funds provided, consistent with SAFETEA-LU, the Committee's recommendation includes $9,300,000 for transit cooperative research, $4,300,000 for the National Transit Institute, and $7,000,000 for the university centers program.

Consistent with the responsibility for oversight of Treasury funds, the Committee directs FTA to report by May 18, 2007 on all FTA-sponsored research projects from fiscal year 2006 and 2007. For each project, the report should include information on the National relevance of the research, relevance to the transit industry and community, expected final product and delivery date, sources of non-FTA funding committed to the project or research institute, and FTA funding history.

In addition, the Committee directs funds for the following priorities as eligible under existing law:

Center for Transportation and the Environment: Hydrogen and fuel cell research $500,000
Transportation Research Center, Atlanta, GA 500,000
Crash Protection and Safety, Wichita State University 500,000
Next Generation Hybrid Electric Transit Bus, Broome County, NY 500,000
SUNY Mill Woody Biomass Extraction Project, NY 450,000
American Cities Transportation Institute, Philadelphia, PA 500,000
East Tennessee Hydrogen Initiative, Chattanooga, TN 1,000,000

CAPITAL INVESTMENT GRANTS

(INCLUDING RESCISSION)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $1,440,682,000 
Budget request, fiscal year 2007    1,466,000,000 
Recommended in the bill             1,566,000,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    -125,682,000 
  Budget request, fiscal year 2007   +100,000,000 
--------------------------------------------------

Grants for capital investment to rail or other fixed guideway transit systems are awarded to public bodies and agencies (transit authorities and other state and local public bodies and agencies thereof) including states, municipalities, other political subdivisions of states; public agencies and instrumentalities of one or more states; and certain public corporations, boards and commissions under state law. The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (Public Law 109-59) (SAFETEA-LU) made two significant changes to the major capital investment grant program. First, the program is now funded entirely from the General Fund of the Treasury. Second, grants for bus and bus facilities and fixed guideway modernization projects, plus alternative analysis funds are now eligible under the `Formula and Bus Grants' account, which is funded by the Mass Transit Account of the Highway Trust Fund. Grants to the Denali Commission and the Hawaii and Alaska ferries are dictated by SAFETEA-LU. Other projects and investments are authorized by SAFETEA-LU and are subject to regulation and oversight by FTA.

COMMITTEE RECOMMENDATION

The Committee recommends $1,566,000,000 for capital investment grants, $100,000,000 above the budget request and $125,318,000 over the fiscal year 2006 funding level.

The Committee's recommendation provides $5,000,000 for the Denali Commission and $15,000,000 for ferry capital projects in Alaska and Hawaii; set-asides as required by SAFETEA-LU. In addition, the Committee recommends a total of $14,660,000, or approximately one percent, for oversight activities of the investments in this account.

The Committee's recommendation provides $571,878,399 to meet the Federal cost share mandated by full funding grant agreements already in existence, and authorized by SAFETEA-LU, for the following projects:


---------------------------------------------------------
---------------------------------------------------------
AZ  Central Phoenix/East Valley Light Rail   $90,000,000 
CA  Metro Gold Line Eastside Extension       100,000,000 
CA  Mission Valley East LRT Extension            806,654 
CA  Oceanside-Escondido Rail Corridor            684,040 
CA  BART Extension to San Francisco Airport    2,424,694 
CO  Southeast Corridor LRT                    80,000,000 
IL  Douglas Branch Reconstruction              1,573,675 
IL  Ravenswood Line Extension                 40,000,000 
IL  Union-Pacific West Line Extension          1,255,978 
MD  Central LRT Double-Track                     482,822 
NC  South Corridor LRT                        70,744,065 
NJ  Hudson-Bergen MOS-2                      100,000,000 
OH  Euclid Corridor Transportation Project       693,013 
OR  Interstate MAX LRT Extension                 542,940 
PR  Tren Urbano                                2,670,518 
WA  Central Link Initial Segment              80,000,000 
---------------------------------------------------------

The Tren Urbano project in Puerto Rico has been fraught with mismanagement, delays and safety issues and the Committee is aware of current difficulties in closing out the project. The Committee strongly urges the Commonwealth and the builder to resolve the outstanding issues expeditiously, and directs FTA to retain the final full funding grant payment until both sides reach a close out agreement.

The Committee's recommendation provides $657,600,000 to meet the Federal cost share for the following pending and proposed full funding grant agreements, authorized by SAFETEA-LU, as proposed in the budget request. Based on information from FTA, these projects are in final design and will be ready for a full funding grant agreement during the 2007 fiscal year.


--------------------------------------------------------------
--------------------------------------------------------------
CO  West Corridor LRT                             $35,000,000 
NY  Long Island Rail Road East Side Access        300,000,000 
OR  South Corridor I-205/Portland Mall LRT         80,000,000 
OR  Wilsonville to Beaverton Commuter Rail         27,600,000 
PA  North Shore LRT Connector                      55,000,000 
TX  Northwest/Southeast LRT/MOS                    80,000,000 
UT  Weber County to Salt Lake City Commuter Rail   80,000,000 
--------------------------------------------------------------

The Committee's recommendation provides $300,000,000 for projects authorized by SAFETEA-LU which will be in preliminary engineering or final design during the 2007 fiscal year. The Committee recommends funds for the following specific authorized projects:


-----------------------------------------------------------------------
-----------------------------------------------------------------------
CA    San Francisco MTA Third Street Light Rail Project     $5,000,000 
DC    WMATA Largo--rail cars                                61,500,000 
DC    WMATA Navy Yard--Station Upgrades                     20,000,000 
FL    Miami Dade County Metrorail Orange Line Expansion      1,000,000 
IL    Metra Commuter Rail--STAR Line, Chicago                5,000,000 
IL    Metra Commuter Rail--UP West Line Extension, Chicago   1,250,000 
IL    Metra Commuter Rail--UP West Line Upgrades, Chicago    2,000,000 
IN    N. Indiana Commuter Transit District Recapitalization  1,000,000 
MA    Fitchburg-Boston Rail Corridor                         1,000,000 
MN    Cedar Avenue Bus Rapid Transit, Dakota County          1,000,000 
MN    Northstar Corridor Rail Project                        2,000,000 
NJ    Northern Branch, Bergen County                         2,000,000 
NJ/PA Northwest NJ-Northeast PA Passenger Rail Project       2,000,000 
NY    Second Avenue Subway, New York City                    4,000,000 
TX    METRO Solutions Phase 2, Implementation Plan           2,500,000 
VA    Dulles Corridor Metrorail Project                      5,000,000 
VA    Norfolk Light Rail Project                             2,000,000 
-----------------------------------------------------------------------

The Committee's recommendation includes a rescission of $17,760,000 from this account. Funds for the rescission are to be derived from any project which still has not obligated appropriated funds after three years.

The Committee does not provide funds for the new small starts program as authorized. First and foremost, the FTA will not complete the program regulations until June 2007, at the earliest. With only two or three months of the fiscal year, the Committee places a greater priority on providing adequate funds for capital improvement projects that will move into preliminary engineering or final design, rather than an untested, new program. Second, the Committee places a greater priority on projects already in the pipeline which will have a greater impact on congestion mitigation, environmental quality, and travel time, rather than small, economic development type projects. Should the SAFETEA-LU guarantees not have been in place, the Committee would have provided the $200,000,000 in other priorities of the bill also funded by the General Fund of the Treasury. Since the Committee must meet certain funding levels, the $200,000,000 remains under this heading.

The Committee is cautiously optimistic about the improved management of the new starts process, and encourages FTA to continue with revisions to the process regarding timing and criteria required for entry to the preliminary engineering and final design phases. The Committee appreciates greatly the monthly updates on advanced projects and directs FTA to continue communicating with the Committee on such matters.

The Committee has reservations on using land use and economic development as measures in the new starts rating methodology, and reiterates the concern expressed in House Report 108-671 regarding the weight these two measures may carry in determining the merits of a project proposal. The Committee encourages the use of transit, especially in light of rising fuel costs. In the past, most recently in House Report 108-671, the Committee raised concerns that locally developed ridership forecasts were optimistic, at best. The Committee places priority on ridership and congestion mitigation--especially for under this budget climate. The Committee provides $4,200,000,000 under HUD Community Development Block Grants for economic development. Should the highest rating of a new start, or especially a small start, come from the economic development or land use rating, the Committee would strongly urge that community to instead use local community and economic development funds rather than transit funds which could be used more appropriately for congestion mitigation.

The Committee directs FTA not to reallocate funds provided in prior year appropriations Acts for the Department of Transportation as follows:

Bus and Bus Facilities:

New Starts:

ADMINISTRATIVE PROVISIONS--FEDERAL TRANSIT ADMINISTRATION

Section 160. The Committee continues the provision that exempts previously made transit obligations from limitations on obligations.

Section 161. The Committee continues the provision that allows unobligated funds for projects under `Capital Investment Grants' and bus and bus facilities under `Formula and Bus Grants' in prior year appropriations Acts to be used in this fiscal year.

Section 162. The Committee continues the provision that allows for the transfer of prior year appropriations from older accounts to be merged into new accounts with similar, current activities.

Section 163. The Committee recommends a new provision as proposed in the budget request that allows FTA to provide grants for 100 percent of the net capital cost of a factory-installed or retrofitted hybrid electric system in a bus.

Section 164. The Committee modifies a provision that allows unobligated funds for projects under `Capital Investment Grants' and bus and bus facilities under `Formula and Bus Grants' to be used in this fiscal year for activities eligible in the year the funds were appropriated.

Section 165. The Committee recommends a new provision which clarifies the calculations for determining the net costs of the San Gabriel Valley Metro Gold Line transit project.

SAINT LAWRENCE SEAWAY DEVELOPMENT CORPORATION

OPERATIONS AND MAINTENANCE

(HARBOR MAINTENANCE TRUST FUND)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $16,121,000 
Budget request, fiscal year 2007     8,000,000 
Recommended in the bill             17,425,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,304,000 
  Budget request, fiscal year 2007  +9,425,000 
-----------------------------------------------

The Saint Lawrence Seaway Development Corporation (the Corporation) is a wholly owned Government corporation established by the St. Lawrence Seaway Act of May 13, 1954. The corporation is responsible for the operation, maintenance, and development of the United States portion of the St. Lawrence Seaway between Montreal and Lake Erie, including the two Seaway locks located in Massena, New York and vessel traffic control in areas of the St. Lawrence River and Lake Ontario. The mission of the corporation is to serve the United States intermodal and international transportation system by improving the operation and maintenance of a safe, secure, reliable, efficient, and environmentally responsible deep-draft waterway. The corporation's major priorities include: safety, reliability, trade development, management accountability, and bi-national collaboration with its Canadian counterpart.

COMMITTEE RECOMMENDATION

The Committee recommends a total appropriation of $17,425,000 to fund the operations and maintenance of the corporation, $9,425,000 above the budget request and $1,304,000 above the fiscal year 2006 enacted level. Appropriations from the harbor maintenance trust fund and revenues from non-federal sources finance the operation and maintenance of the Seaway for which the corporation is responsible. Similar to the decision made for fiscal year 2006, the Committee denies the request to re-establish tolls on the U.S. portion of the Saint Lawrence Seaway in fiscal year 2007. Although legislative language was submitted in a timely fashion, the language would only impose tolls for one year and does not sufficiently address the Committee's questions regarding double taxations.

MARITIME ADMINISTRATION

The Maritime Administration (MARAD) is responsible for programs that strengthen the U.S. maritime industry in support of the Nation's security and economic needs, as authorized by the Merchant Marine Act, 1936. MARAD's mission is to promote the development and maintenance of an adequate, well-balanced United States merchant marine, sufficient to carry the Nation's domestic waterborne commerce and a substantial portion of its waterborne foreign commerce, and capable of serving as a naval and military auxiliary in time of war or national emergency. MARAD, working with the Department of Defense (DOD), helps provide a seamless, time-phased transition from peacetime to wartime operations, while balancing the defense and commercial elements of the maritime transportation system. MARAD also manages the maritime security program, the voluntary intermodal sealift agreement program and the ready reserve force, which assures DOD access to commercial and strategic sealift and associated intermodal capability. Further, MARAD's education and training programs through the U.S. Merchant Marine Academy and six state maritime schools help provide skilled U.S. merchant marine officers.

MARITIME SECURITY PROGRAM


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $154,440,000 
Budget request, fiscal year 2007    154,440,000 
Recommended in the bill             154,440,000 
Bill compared with:                             
  Appropriation, fiscal year 2006         - - - 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends $154,440,000 for the Maritime Security Program (MSP), the same as the budget request and the amounts provided in fiscal year 2006. This recommendation provides funding directly to MARAD and assumes that MARAD will continue to administer the program with support and consultation of the Department of Defense. The purpose of the MSP is to maintain and preserve a U.S. flag merchant fleet to serve the national security needs of the United States. The MSP provides direct payments to U.S. flag ship operators engaged in U.S.-foreign trade. Participating operators are required to keep the vessels in active commercial service and are required to provide intermodal sealift support to the Department of Defense in times of war or national emergency. The Committee's recommendation provides funding for 60 ships, at a payment per ship of $2,574,000, consistent with the budget request and the fiscal year 2006 enacted level. The recommendation will provide the necessary resources for the operation of the MSP through fiscal year 2007. Funds are available until expended.

OPERATIONS AND TRAINING


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $128,527,000 
Budget request, fiscal year 2007    115,830,000 
Recommended in the bill             116,442,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   -12,085,000 
  Budget request, fiscal year 2007     +612,000 
------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends $116,442,000 for operations and training, $612,000 above the budget request and $12,085,000 below the amounts provided in fiscal year 2006. Funds provided for this account are to be distributed as follows:


-----------------------------------------------------------------------------
Activity (all figures in $000's)              FY07 Request House recommended 
-----------------------------------------------------------------------------
U.S. Merchant Marine Academy:                                                
Salary and Benefits                                $24,009           $24,009 
Midshipmen Program                                   6,977             6,977 
Instructional Program                                5,689             5,689 
Program Direction and Administration                 2,916             2,916 
Maintenance, Repair, & Operating Requirements        7,307             7,307 
Capital Improvements                                14,850            14,850 
Subtotal, USMMA                                     61,747            61,747 
State Maritime Schools:                                                      
Student Incentive Payments                             792               792 
Direct Payments                                      1,188             1,800 
Schoolship Maintenance and Repair                    7,920             7,920 
Subtotal, State Maritime Academies                   9,900            10,512 
MARAD Operations:                                                            
Base Operations                                     40,300            40,300 
Information technology, electronic government        3,200             3,200 
GSA Space Increase                                     683               683 
Subtotal, MARAD Operations                          44,183            44,183 
Subtotal, Operations and Training                  115,830           116,442 
-----------------------------------------------------------------------------

The Committee recommends $61,747,000 for the operation and maintenance of the U.S. Merchant Marine Academy (USMMA), the same as the budget request and $511,000 above the amounts provided in fiscal year 2006. Of the funds provided, the Committee recommends $24,009,000 for salaries and benefits, which is available until September 30, 2007, and $14,850,000 for capital improvements to the USMMA, which is available until expended.

The Committee recommends $10,512,000 for the six State Maritime Schools (SMS), $612,000 above the budget request and $587,000 below the amounts provided in fiscal year 2006. These increased funds are provided for cadet training, facilities, and fuel costs to result in $300,000 per school in direct payments. Of the funds provided, the Committee recommends $7,920,000 for SMS Schoolship Maintenance and Repair, which is available until expended.

The Committee recommends $44,183,000 for MARAD operations, the same as the budget request and $4,509,000 below the amounts provided in fiscal year 2006. Within this total, the Committee provides $3,200,000 for IT related activities and electronic government.

SHIP DISPOSAL


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $20,790,000 
Budget request, fiscal year 2007    25,740,000 
Recommended in the bill             25,740,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +4,950,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

MARAD serves as the federal government's disposal agent for government-owned merchant vessels weighing 1,500 gross tons or more. The ship disposal program provides resources to dispose of obsolete merchant-type vessels in the National Defense Reserve Fleet (NDRF). The Maritime Administration is required by law to dispose of its obsolete inventory by the end of 2006; however, MARAD has acknowledged that it will not meet this statutory deadline. There are currently 124 vessels located in three fleet sites in the NDRF awaiting disposal. In fiscal year 2004, MARAD removed 15 ships for disposal and projects that it will remove another 15 in 2005 and 13 in 2006. These vessels pose a significant environmental threat due to the presence of hazardous substances such as asbestos and solid and liquid polychlorinated biphenyls (PCBs). The list includes a nuclear ship, the SAVANNAH, which contains remnants of a nuclear reactor.

COMMITTEE RECOMMENDATION

The Committee recommends $25,740,000 for ship disposal, the same as the budget request and $4,950,000 above the amounts provided in fiscal year 2006. Within the funds provided, the Committee recommends $9,970,000 to decommission the SAVANNAH. Funds are available until expended.

MARITIME GUARANTEED LOAN (TITLE XI) PROGRAM

(INCLUDING TRANSFER OF FUNDS AND RESCISSION)


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $4,085,000 
Budget request, fiscal year 2007    3,317,000 
Recommended in the bill             3,317,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    -768,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The maritime guaranteed loan account as provided for by title XI of the Merchant Marine Act of 1936, provides for guaranteed loans for purchasers of ships from the U.S. shipbuilding industry and for modernization of U.S. shipyards. Funds for administrative expenses for the Title XI program are appropriated to this account, and then transferred by reimbursement to operations and training to be obligated and outlayed.

As required by the Federal Credit Reform Act of 1990, this account includes the subsidy costs associated with the loan guarantee commitments made in 1992 and beyond (including modifications of direct loans or loan guarantees that resulted from obligations or commitments in any year), as well as administrative expenses of this program. The subsidy amounts are estimated on a net present value basis; the administrative expenses are estimated on a cash basis.

COMMITTEE RECOMMENDATION

The Committee recommends $3,317,000, the same as the budget request and $768,000 below the amounts provided in fiscal year 2006. In addition, the Committee recommends a rescission of $2,000,000 from unobligated balances.

NATIONAL DEFENSE TANK VESSEL CONSTRUCTION PROGRAM


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006           - - - 
Budget request, fiscal year 2007   -$74,400,000 
Recommended in the bill             -74,400,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   -74,400,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The fiscal year 2004 Defense Authorization Act (Public Law 108-136) authorized the National Defense Tank Vessel Construction Program to provide financial assistance for the construction of five privately owned product tank vessels to be available for national defense purposes in time of war or national emergency. The purpose of the program is to revitalize commercial tank ship construction in the U.S. The Department of Defense has stated that a critical deficiency exists for U.S. flag tankers capable of carrying multiple petroleum cargoes. Vessels constructed under this program will operate as part of the Maritime security fleet.

COMMITTEE RECOMMENDATION

The Committee recommends rescinding $74,400,000 from unobligated balances, as proposed in the budget request. The Committee does not repeal Subtitle D, National Defense Tank Vessel Construction Assistance, of Title XXXV of the Maritime Security Act of 2003, Public Law 108-136, as proposed in the budget request.

ADMINISTRATIVE PROVISIONS--MARITIME ADMINISTRATION

Section 170. The Committee continues a provision that allows the Maritime Administration to furnish utilities and services and make repairs to any lease, contract, or occupancy involving government property under the control of MARAD and rental payments shall be covered into the Treasury as miscellaneous receipts.

Section 171. The Committee continues a provision that prohibits obligations incurred during the current year from construction funds in excess of the appropriations contained in this Act or in any prior appropriations Act.

PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION

The Pipeline and Hazardous Materials Safety Administration (PHMSA), which was established as an administration within the Department of Transportation effective November 30, 2004, pursuant to the Norman Y. Mineta Research and Special Programs Improvement Act (Public Law 108-246), is responsible for the department's pipeline safety program and oversight of hazardous materials transportation safety operations. As part of its mission, the agency is dedicated to safety by working toward the elimination of transportation-related deaths and injuries in hazardous materials and pipeline transportation, and by promoting transportation solutions that enhance communities and protect the natural environment.

ADMINISTRATIVE EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $16,708,230 
Budget request, fiscal year 2007    17,721,000 
Recommended in the bill             17,721,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,012,770 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

This appropriation finances the program support costs for the PHMSA. This includes policy development, counsel, budget, financial management, civil rights, management, administration and agency-wide expenses.

COMMITTEE RECOMMENDATION

The Committee provides $17,721,000 for these costs, of which $639,000 is to be provided from the Pipeline Safety Fund. The Committee expects PHMSA to use these funds as reflected in its budget justification.

The recommended level includes a reduction of $320,000 from the fiscal year 2006 enacted level to account for the transfer of two additional positions to the Research and Innovative Technology Administration.

Administrative costs for new positions- Consistent with the new positions that have been provided in the Hazardous Materials Safety appropriation, $111,000 is provided for associated administrative costs.

HAZARDOUS MATERIALS SAFETY


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $25,876,620 
Budget request, fiscal year 2007    27,225,000 
Recommended in the bill             27,225,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,348,380 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The PHMSA oversees the safety of the more than 800,000 daily shipments of hazardous materials in the United States and uses risk management principles and security threat assessments to understand, communicate, and reduce dangers inherent in hazardous materials transportation. The agency formulates, issues and revises hazardous materials regulations which cover hazardous materials definitions and classifications, hazard communications, shipper and carrier operations, training and security requirements, and packaging and container specifications.

COMMITTEE RECOMMENDATION

The bill includes $27,225,000 to continue the agency's hazardous materials safety functions.

Field Enforcement Inspectors- The Committee approves four new inspectors, as requested, to achieve a more effective level of inspections, address the need to investigate undeclared shipments, and improve cross-modal data sharing. This will expand the number of enforcement inspectors in the field from 30 to 34.

Package Testing- The Committee approves $225,000 in contract funding, as requested, to increase the agency's capacity to perform package testing by 50 percent, ensuring the safety of packages and their conformity to performance standards mandated in regulations.

PIPELINE SAFETY

(PIPELINE SAFETY FUND)

(OIL SPILL LIABILITY TRUST FUND)


-----------------------------------------------------------------------------------------------------
                                 (Pipeline safety fund) (Oil spill liability trust fund)       Total 
-----------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006             $57,429,900                      $14,850,000 $72,279,900 
Budget request, fiscal year 2007             56,925,000                       18,810,000  75,735,000 
Recommended in the bill                      56,925,000                       18,810,000  75,735,000 
Bill compared to:                                                                                    
Appropriation, fiscal year 2006                -504,900                       +3,960,000  +3,455,100 
Budget request, fiscal year 2007                  - - -                            - - -       - - - 
-----------------------------------------------------------------------------------------------------

PHMSA oversees the safety, security, and environmental protection of pipelines through analysis of data, damage prevention, education and training, enforcement of regulations and standards, research and development, grants for states pipeline safety programs, and emergency planning and response to accidents. The pipeline safety program is responsible for a national regulatory program to protect the public against the risks to life and property in the transportation of natural gas, petroleum and other hazardous materials by pipeline. The enactment of the Oil Pollution Act of 1990 also expanded the role of the pipeline safety program in environmental protection and resulted in a new emphasis on spill prevention and containment of oil and hazardous substances from pipelines.

COMMITTEE RECOMMENDATION

The bill includes $75,735,000 to continue pipeline safety operations, research and development, and state grants-in-aid in fiscal year 2007. The bill specifies that of the total appropriation, $18,810,000 shall be derived from the oil spill liability trust fund and $56,925,000 shall be from the pipeline safety fund.

State one-call grants- The Committee directs that no less than $1,000,000 of the funds provided is for the one-call grants program, as was directed in fiscal year 2006.

State pipeline safety grants- The Committee approves additional funding, $500,000 above fiscal year 2006, to assist state pipeline agencies to increase inspection and enforcement activities required by the Pipeline Safety Integrity Act.

EMERGENCY PREPAREDNESS GRANTS

(EMERGENCY PREPAREDNESS FUND)


------------------------------------------------------------------------------------------------------------------
                                 (Emergency preparedness fund) (Emergency preparedness grant program)       Total 
------------------------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                       $198,000                          ($14,157,000) $14,355,000 
Budget request, fiscal year 2007                       198,000                           (28,328,000)  28,526,000 
Recommended in the bill                                198,000                           (28,328,000)  28,526,000 
Bill compared to:                                                                                                 
Appropriation, fiscal year 2006                          - - -                          (+14,171,000) +14,171,000 
Budget request, fiscal year 2007                         - - -                                (- - -)       - - - 
------------------------------------------------------------------------------------------------------------------

The Hazardous Materials Transportation Uniform Safety Act of 1990 (HMTUSA) requires the PHMSA to: (1) develop and implement a reimbursable emergency preparedness grant program; (2) monitor public sector emergency response training and planning and provide technical assistance to states, political subdivisions and Indian tribes; and (3) develop and update periodically a mandatory training curriculum for emergency responders.

COMMITTEE RECOMMENDATION

The Committee recommends $198,000, the same amount as requested, for activities related to emergency response training curriculum development and updates, as authorized by section 117(A)(i)(3)(B) of HMTUSA. The Committee has provided an obligation limitation of $28,328,000 for the emergency preparedness grant program.

RESEARCH AND INNOVATIVE TECHNOLOGY ADMINISTRATION

The Research and Innovative Technology Administration (RITA) was established as an administration within the Department of Transportation (DOT) effective November 30, 2004, pursuant to the Norman Y. Mineta Research and Special Programs Improvement Act, Public Law 108-426. The mission of RITA is to provide strategic clarity to DOT's multi-modal and intermodal research efforts, while coordinating the multifaceted research agenda of the department.

RITA coordinates, facilitates, and reviews the following research and development programs and activities: advancement and research and development of innovative technologies, including intelligent transportation systems; education and training in transportation and transportation-related fields, including the University Transportation Centers and the Transportation Safety Institute; and activities of the Volpe National Transportation Center.

Also included within RITA is the Bureau of Transportation Statistics (BTS), which is funded from the Federal Highway Administration's federal-aid highway account. BTS compiles, analyzes, and makes accessible information on the nation's transportation systems; collects information on intermodal transportation and other areas as needed; and enhances the quality and effectiveness of the statistical programs of the DOT through research, the development of guidelines, and the promotion of improvements in data acquisition and use.

RESEARCH AND DEVELOPMENT


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $5,716,260 
Budget request, fiscal year 2007    8,217,000 
Recommended in the bill             6,367,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    +650,740 
  Budget request, fiscal year 2007 -1,850,000 
----------------------------------------------

COMMITTEE RECOMMENDATION

The bill includes $6,367,000 to continue research and development activities in fiscal year 2007. This funding level is sufficient to fund 33 full time equivalent staff years (FTE), an increase of 5 FTE over the fiscal year 2006 level.

Transportation futures program- The Committee denies RITA's request of $2,228,000 for the transportation futures and applied technology program. The Committee believes that RITA should develop a more robust level of in-house research, development and technology expertise before it relies on outside contractors for multi-modal research coordination and analysis.

Research Programs- Within the fiscal year 2007 recommended funding level, the Committee provides $1,120,000 for RITA's research, development, and technology (RD&T) programs as follows:

Hazardous materials research and development (R&D) $80,000
Hydrogen fuels safety R&D 500,000
RD&T coordination 540,000

The Committee recommends that the $1,120,000 provided for these RD&T programs is available until September 30, 2009.

The bill also includes language that allows funds received from states, counties, municipalities, other public authorities, and private sources for expenses incurred for training to be credited to this appropriation.

BUREAU OF TRANSPORTATION STATISTICS

(LIMITATION ON OBLIGATIONS)


-------------------------------------------------
-------------------------------------------------
Appropriation, fiscal year 2006    ($26,730,000) 
Budget request, fiscal year 2007    (27,000,000) 
Recommended in the bill             (27,000,000) 
Bill compared with:                              
  Appropriation, fiscal year 2006     (+270,000) 
  Budget request, fiscal year 2007         - - - 
-------------------------------------------------

COMMITTEE RECOMMENDATION

Under the appropriation of the Federal Highway Administration, the bill provides $27,000,000 for BTS. In addition, BTS will receive a portion of the revenue aligned budget authority (RABA) increase to the federal-aid highway program in fiscal year 2007.

The Committee limits BTS staff to 122 FTE in fiscal year 2007 in order to curtail the significant growth in staffing that occurred previously within this agency.

OFFICE OF INSPECTOR GENERAL

SALARIES AND EXPENSES

The Inspector General's office was established in 1978 to provide an objective and independent organization that would be more effective in: (1) preventing and detecting fraud, waste, and abuse in departmental programs and operations; and (2) providing a means of keeping the Secretary of Transportation and the Congress fully and currently informed of problems and deficiencies in the administration of such programs and operations. According to the authorizing legislation, the Inspector General (IG) is to report dually to the Secretary of Transportation and to the Congress.


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $61,874,000 
Budget request, fiscal year 2007    64,143,000 
Recommended in the bill             64,143,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,269,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommendation provides $64,143,000 for activities of the Office of Inspector General, consistent with the budget request. The Committee continues to value highly the work of the Office of Inspector General in oversight of departmental programs and activities.

In addition, the OIG will receive $7,324,000 from other agencies in this bill, as noted below:

Federal Highway Administration $3,524,000
Federal Transit Administration 2,000,000
Federal Aviation Administration 1,050,000
National Transportation Safety Board 500,000
Office of the Secretary of Transportation 125,000
Research and Innovative Technology Administration 125,000

Funding is sufficient to finance 420 full-time equivalent (FTE) staff years in fiscal year 2007, for a decrease of 10 FTE from the fiscal year 2006 level.

Unfair business practices.--The bill maintains language first enacted in fiscal year 2000 which authorizes the OIG to investigate allegations of fraud and unfair or deceptive practices and unfair methods of competition by air carriers and ticket agents.

Audit reports.--The Committee requests the Inspector General to continue forwarding copies of all audit reports to the Committee immediately after they are issued, and to continue to make the Committee aware immediately of any review that recommends cancellation or modifications to any major acquisition project or grant, or which recommends significant budgetary savings. The OIG is also directed to withhold from public distribution for a period of 15 days any final audit or investigative report which was requested by the House or Senate Committees on Appropriations.

SURFACE TRANSPORTATION BOARD

The Surface Transportation Board (STB) was created on January 1, 1996, by Public Law 104-88, the Interstate Commerce Commission (ICC) Termination Act of 1995 (ICCTA). The ICCTA abolished the ICC; eliminated certain functions that had previously been implemented by the ICC; transferred core rail and certain other provisions to the STB; and transferred certain motor carrier functions to the Federal Highway Administration (now under the Federal Motor Carrier Safety Administration).

The STB is a three-member, bipartisan, independent adjudicatory body organizationally housed within DOT that is specifically responsible for regulation of the rail and pipeline industries and certain non-licensing regulation of motor carriers and water carriers. The STB's regulatory oversight of rail carriers encompasses the regulation of rates, mergers and acquisitions, construction, and abandonment of railroad lines, as well as the planning, analysis and policy development associated with these activities. The STB's jurisdiction also includes certain regulation of the intercity bus industry and surface pipeline carriers as well as the rate regulation of water transportation in the non-contiguous domestic trade, household-good carriers, and collectively determined motor rates.

The law empowers the STB through its exemption authority to promote deregulation administratively on a case-by-case basis and continues intact the important rail reforms made by the Staggers Rail Act of 1980.

SALARIES AND EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006     $26,185,500 
Budget request, fiscal year 2007 1   22,925,000 
Recommended in the bill 1            25,618,000 
Bill compared with:                             
  Appropriation, fiscal year 2006      -567,500 
  Budget request, fiscal year 2007   +2,693,000 
------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends a total appropriation of $25,618,000, an increase of $2,693,000 above the budget request. Included in the recommendation is $1,250,000 in fees, which will offset the appropriated funding. At this funding level, the Board will be able to accommodate 150 full-time equivalent staff years.

The Committee's recommendation funds the following increases above the fiscal year 2006 enacted level:

Annualization of fiscal year 2006 pay raise +$113,000
Fiscal year 2007 pay raise +340,000
GSA rent and security increases +1,849,000
Inflation +51,000
Annualized salary increase for fiscal year 2006 hires and employee benefits increases +882,000
Working capital fund and telephone/utilities increases +21,000
Fiscal year 2007 relocation expenses (one-time) +375,000
Post move costs +274,000
Environmental travel increase +15,000

These increases are offset by a reduction of $4,500,000 for the one-time relocation expenses funded in fiscal year 2006. As noted above, the Committee has provided one-time funding of $375,000 to accommodate the final stages of STB's office relocation.

User fees.--Current statutory authority, under 31 U.S.C. 9701, grants the Board the authority to collect user fees. The Committee believes that $1,250,000 in user fees is reasonable. Language is included in the bill allowing the fees to be credited to the appropriation as offsetting collections, and reducing the general fund appropriation on a dollar-for-dollar basis as the fees are received and credited. The Committee continues this language to simplify the tracking of the collections and provide the Board with more flexibility in spending its appropriated funds.

STB case report- The Committee is aware of frustration over rail service and freight rail charges among rail customers, including electric utilities, rural electric cooperatives, paper companies, agricultural industries and local units of government. The Committee recognizes that the four major railroads now control more than 94% of the industry's revenues and 90% of the rail track and that there are fewer options for shippers that rely on the nation's major railroads for service. The Committee directs the STB to issue a report to the House and Senate Committees on Appropriations by February 1, 2007, that shows the number of complaints that have been filed related to high rail charges and poor service since January 2005, the STB's determinations in these cases, and the status and timing of decisions in any pending cases.

Union Pacific/Southern Pacific merger- On December 12, 1997, the Board granted a joint request of Union Pacific Railroad Company and the City of Wichita and Sedgwick County, KS (Wichita/Sedgwick) to toll the 18-month mitigation study pending in Finance Docket No. 32760. The decision indicated that at such time as the parties reach agreement or discontinue negotiations, the Board would take appropriate action.

By petition filed June 26, 1998, Wichita/Sedgwick and UP/SP indicated that they had entered into an agreement, and jointly petitioned the Board to impose the agreement as a condition of the Board's approval of the UP/SP merger. By decision dated July 8, 1998, the Board agreed and imposed the agreement as a condition to the UP/SP merger. The terms of the negotiated agreement remain in effect. If UP/SP or any of its divisions or subsidiaries materially changes or is unable to achieve the assumptions on which the Board based its final environmental mitigation measures, then the Board should reopen Finance Docket 32760 if requested by interested parties, and prescribe additional mitigation properly reflecting these changes if shown to be appropriate.

Waste transfer and sorting facilities- The Committee recognizes that a growing number of certain waste haulers and rail companies have sought to exploit a potential loophole in the Interstate Commerce Commission Termination Act in order to construct and operate unregulated waste transfer and sorting facilities on railroad properties. The developers of these types of facilities are claiming that ICCTA grants federal preemption from local, state and certain federal regulations that protect the public interest with respect to solid waste. The Committee disagrees with this interpretation of ICCTA preemption since the operation of solid waste facilities is not integral to transportation by rail. The Committee encourages the STB to clarify that these types of facilities are indeed subject to the same local, state, and federal laws and regulations as other solid waste facilities.

GENERAL PROVISIONS--DEPARTMENT OF TRANSPORTATION

Section 180. The Committee continues the provision allowing the Department of Transportation to use funds for aircraft; motor vehicles; liability insurance; uniforms; or allowances, as authorized by law.

Section 181. The Committee continues the provision limiting appropriations for services authorized by 5 U.S.C. 3109 to the rate for an Executive Level IV.

Section 182. The Committee continues the provision prohibiting funds in this Act for salaries and expenses of more than 110 political and Presidential appointees in the Department of Transportation, and prohibits political and Presidential personnel assigned on temporary detail outside the Department of Transportation.

Section 183. The Committee continues the provision prohibiting funds for the implementation of section 404 of title 23, United State Code.

Section 184. The Committee continues the provision prohibiting recipients of funds made available in this Act from releasing personal information, including social security number, medical or disability information, and photographs from a driver's license or motor vehicle record, without express consent of the person to whom such information pertains; and prohibits the withholding of funds provided in this Act for any grantee if a state is in noncompliance with this provision.

Section 185. The Committee continues the provision allowing funds received by the Federal Highway Administration, Federal Transit Administration, and the Federal Railroad Administration from states, counties, municipalities, other public authorities, and private sources for expenses incurred for training may be credited to each agency's respective accounts.

Section 186. The Committee continues the provision authorizing the Secretary of Transportation to allow issuers of any preferred stock to redeem or repurchase preferred stock sold to the Department of Transportation.

Section 187. The Committee continues the provision prohibiting funds in Title I of this Act from being issued for any grant unless the Secretary of Transportation notifies the House and Senate Committees on Appropriations not less than three full business days before any discretionary grant award, letter of intent, or full funding grant agreement totaling $1,000,000 or more is announced by the department or its modal administrations.

Section 188. The Committee continues a provision for the Department of Transportation allowing funds received from rebates, refunds, and similar sources to be credited to appropriations.

Section 189. The Committee amends slightly a provision continued for years allowing amounts from improper payments to a third party contractor or contractor support that are lawfully recovered by the Department of Transportation to be available to cover expenses incurred in the recovery of such payments.

TITLE II--DEPARTMENT OF THE TREASURY

DEPARTMENTAL OFFICES

SALARIES AND EXPENSES

(INCLUDING TRANSFER OF FUNDS)


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $194,626,000 
Budget request, fiscal year 2007    223,874,000 
Recommended in the bill             223,786,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   +29,160,000 
  Budget request, fiscal year 2007      -88,000 
------------------------------------------------

The Departmental Offices' function in the Treasury Department is to provide basic support to the Secretary of the Treasury, the chief operating executive of the Department. The Secretary also has a primary role in formulating and managing the domestic and international tax and financial policies of the Federal Government. The Secretary's responsibilities funded by the Salaries and Expenses appropriation include: recommending and implementing United States domestic and international economic and tax policy; fiscal policy; governing the fiscal operations of the Government; maintaining foreign assets control; managing the public debt; managing development of financial policy; representing the United States on international monetary, trade and investment issues; overseeing Treasury Department overseas operations; directing the administrative operations of the Treasury Department; and providing executive oversight of the bureaus within the Treasury Department. This account also includes funding for the office of professional responsibility.

COMMITTEE RECOMMENDATION

The Committee recommends $223,786,000 for Departmental Offices, Salaries and Expenses, $88,000 below the budget request and $29,160,000 above the amounts provided in fiscal year 2006. The funding recommendations are made based on information included in the budget justification. Therefore, the transfer authority provided to the Department under this heading is set at 3 percent. Funds are to be allocated as follows:


----------------------------------------------------------
----------------------------------------------------------
Executive Direction                            $8,760,000 
General Counsel                                 8,741,000 
Economic Polices and Programs                  41,947,000 
Financial Policies and Programs                27,086,000 
Terrorism and Financial Intelligence           45,401,000 
Treasury-Wide Management Policies and Programs 18,534,000 
Administration Programs                        73,317,000 
----------------------------------------------------------

The Committee includes in its recommendation $258,000 for unforeseen emergencies; $5,114,000 for the Treasury-wide Financial Statement Audit and Internal Control program, which is available until September 30, 2008; $3,000,000 for information technology modernization requirements, which is available until September 30, 2008; and $100,000 for official reception and representation expenses. Of the funds provided for Financial Policies and Programs, the Committee recommends $1,000,000 for the e-Cavern partnership and $750,000 for two-factor authentication technology. The Committee does not approve the request of $1,838,000 for Treasury-wide performance management training due to poor justification.

THE OFFICE OF TERRORISM AND FINANCIAL INTELLIGENCE

The Committee recommends $45,401,000 for the Office of Terrorism and Financial Intelligence. Of the amount provided, $1,759,000 is for the Office of the Undersecretary, $4,404,000 is for the Office of Terrorist Financing and Financial Crimes, $24,263,000 is for the Office of Foreign Assets Control, and $14,975,000 is for the Office of Intelligence Analysis.

OVERSEAS PRESENCE

Of the funds provided for Economic Policies and Programs, the Committee recommends $11,232,689 for the overseas attache program, the same as the budget request and $9,352,000 above the amounts provided in fiscal year 2006. The increase in funding will allow the Department to expand its overseas presence in critical posts to 19 attaches.

DYNAMIC ANALYSIS

Of the funds provided for Financial Policies and Programs, the Committee recommends $513,000 for the Office of Dynamic Analysis, the same as the budget request. This is the first year the Department has requested funding for this activity. The Committee is pleased that the Department is seeking to better understand the full range of behavioral responses to changes in the tax code, and has fully funded this office, providing half-year funding for six full time equivalents (FTEs).

REPAIR AND IMPROVEMENTS

Of the funds provided for Administration Programs, the Committee recommends $1,000,000 to re-establish a recurring baseline for major repairs and improvements for the main Treasury and Annex buildings. This funding is moved from the Treasury Building and Annex Repair and Restoration (T-BARR) project, which will be completed by the end of fiscal year 2006. No funding is requested for T-BARR in fiscal year 2007.

SECURITY DETAIL

Of the funds provided for Administration Programs, the Committee recommends $4,200,000 to reimburse the United States Secret Service for the costs associated with the security detail provided to the Secretary. The Committee understands that this amount is sufficient to cover all Secret Service charges related to this protection for fiscal year 2007.

COMMITTEE ON FOREIGN INVESTMENTS IN THE UNITED STATES

The Committee is concerned by the recent events surrounding the Committee on Foreign Investments in the United States (CFIUS). As chair of the CFIUS, the Treasury Department maintains an active leadership role in the approval of foreign direct investment in the U.S. In the case of the acquisition of operations at terminals in several U.S. ports by Dubai Ports World, a United Arab Emirates owned company, the Committee finds it disconcerting that there was no communication between CFIUS and the Congress, especially considering the security of the Nation's critical infrastructure. The Committee understands that the Department has initiated several reforms, such as notifying Congress of every review upon its completion, formalizing the role of the Director of National Intelligence in the investigative process, and offering quarterly Congressional briefings. The Committee commends the Department on these initiatives and directs the Department to continue to work to improve the communication between the CFIUS and the Congress.

CURRENCY MANIPULATION

The Committee remains concerned about the manipulation of the value of foreign currency. This practice can have a devastating effect on U.S. companies who are forced to compete with lower priced imports and unfair tariffs when exporting to the countries in question. This action is also leading to the record trade deficit this nation has experienced, which topped $800 billion in 2005. The Committee understands the tools the Department uses to deal with these countries, both those that knowingly support and practice currency manipulation and those who find their currency undervalued through no nefarious action of their own. Those tools include pressure from the International Monetary Fund and World Trade Organization, as well as bilateral negotiations authorized under title 22 of the United States Code. These tools, however, are slow processes which take time while Americans continue to lose jobs. Those situations in which countries intentionally devalue their currency to gain a trade advantage or do not do enough to correct an undervalued currency should be addressed immediately and swiftly by the Department. The Committee is encouraged by the recent inclusion of the appendix in the semi-annual Report to Congress on International Economic and Exchange Rate Policies, to better clarify the indicators that the Department uses to define currency manipulation. However, much work remains to be done. Therefore, the Committee directs the Department to provide quarterly updates on the status of negotiations with countries with undervalued currency and the impacts of the country's currency valuation on the U.S. The Committee understands that change will not be immediate; however, the Committee expects to see notable progress in these quarterly updates.

OPERATING PLAN

The Committee directs the Department, upon enactment of the fiscal year 2007 appropriations Act, to submit an operating plan for the fiscal year 2007 resources provided to the Department, including all offices and bureaus, not more than 60 days after enactment. The operating plan must include funding and FTE levels for all offices and objectives by fiscal year 2006 actual, fiscal year 2007 request, and fiscal year 2007 enacted. In addition, the plan must include information on any initiative, major procurement, and program at the Department. The operating plan should incorporate input from all senior level managers of the Department, and once submitted, the final plan should be made available to those managers.

TRAVEL CAP

The Committee has not included a travel limitation, which was $3,000,000 in fiscal year 2006. The Committee remains concerned about the amount of politically motivated travel, but understands that continuing to restrict the travel of all Treasury offices and bureaus may negatively impact mission operations. The Committee will continue to monitor travel and re-evaluate this position at the next appropriate time. Therefore, the Committee restates the travel report directives contained in House Report 108-792 and directs the Department to include the purpose of the reported travel in the quarterly report. The Committee also continues the direction that the Secretary shall ensure that a portion of travel funds are made available to General Schedule employees to support the training and development of all Departmental Office employees.

MONTHLY OBLIGATION REPORTING

The Committee directs the Department to submit a monthly budget execution report that includes: the total appropriated obligation authority (new budget authority plus unobligated carryover), current year obligations, unobligated balance, beginning obligated balance, current year outlays, and ending obligated balance. This budget execution information is to be provided for all the unexpired accounts of the Department's appropriations that are shown in the tables displayed at the end of this report as well as the Working Capital Fund. This report must be submitted to the Committee no later than 45 days after the close of each month.

CONGRESSIONAL JUSTIFICATIONS

The Committee has noticed a significant improvement in the fiscal year 2007 Congressional Justification and Budget-in-Brief, and appreciates the effort to reduce redundant information and provide clearer, more concise documentation in the budget request. Notwithstanding these improvements, the Department is encouraged to continue efforts in the substance of the request. The Committee would like to see efforts to identify low priority programs for reduction or elimination in order to fund higher priority critical needs. The Committee also recognizes the Department on its efforts to revise its annual Performance and Accountability Report (PAR). As with the previous year's revision of the Budget-in-Brief, the PAR is now a clear, concise, and usable document. This was evident in a recent independent evaluation of agency PARs where the Department moved from 16th place last year to fifth place this year. The Department should continue to show transparency in its operations to the public by including baseline and trend data, effectively listing program goals in terms of desired outcomes and providing explanations for missed goals. Finally, the Committee encourages the Department to continue its efforts to revise its strategic plan. A retooled strategic plan should link funding directly to outcomes.

DEPARTMENT-WIDE SYSTEMS AND CAPITAL INVESTMENTS PROGRAMS

(INCLUDING TRANSFER OF FUNDS)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $24,168,000 
Budget request, fiscal year 2007    34,032,000 
Recommended in the bill             34,032,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +9,864,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Department-wide Systems and Capital Investments Programs appropriation funds the modernization of Treasury business processes and increases in Department-wide systems efficiency through technology investments for systems that involve more than one Treasury bureau or Treasury's interface with other governmental agencies.

COMMITTEE RECOMMENDATION

The Committee recommends $34,032,000 for Department-wide Systems and Capital Investment Programs, the same as the budget request and $9,864,000 above the amounts provided in fiscal year 2006. Funds are available until September 30, 2009. Of the amount recommended, the Committee has provided $3,000,000 for various Terrorism and Financial Intelligence information technology (IT) investments. Should the additional resources for this initiative be required, the Committee directs the Department to utilize up to $3,000,000 from the Treasury Forfeiture Fund.

INFORMATION TECHNOLOGY PROJECT MANAGEMENT

The Committee is concerned about the Department's track record in executing major IT projects. While there are a few notable successes, such as those at the Bureau of the Public Debt and the Alcohol and Tobacco Tax and Trade Bureau, too often major projects are hampered by poor performance and cost and schedule overruns. For example, HR Connect, TCE, BSA Direct, and BSM all experienced major setbacks during their development. The Committee is encouraged by the steps taken by the Department's Chief Information Officer (CIO) to rectify these problems, but is concerned that the CIO lacks sufficient authority to properly manage IT projects across the Department. For instance, the Department has taken almost two years just to put in place clear policies and procedures for bureaus CIOs to follow when managing a major IT project. Therefore, the Committee directs the Secretary to provide a report no later than March 1, 2007, detailing the plans to provide the CIO proper authority and resources to adequately manage the entire Department's IT infrastructure, including Treasury-wide capital planning and information management, cyber security, E-Government initiatives, HR Connect, and telecommunications management.

In addition, last year the Committee directed in House Report 109-153 that the Department provide more detailed information regarding all IT initiatives and investments, development and implementation timelines, and costs and savings in the Department's operating plan. This information, however, was not included in the fiscal year 2006 operating plan. Therefore, the Committee, again, directs the Department to include this information in their next operating plan.

TREASURY FOREIGN INTELLIGENCE NETWORK

Of the funds provided, the Committee recommends $21,200,000 for the Treasury Foreign Intelligence Network (TFIN), the same as the budget request and $15,260,000 above the amounts provided in fiscal year 2006. The Committee understands that this amount will fully fund the modernization of TFIN, an intelligence system critical in the fight against terrorist financing. However, fully funding TFIN has left little funding for other critical IT projects. Therefore, the Committee expects the Department to better allocate its IT funding among critical systems in the future.

ENTERPRISE CONTENT MANAGEMENT

Of the funds provided, the Committee recommends $627,000 for the Office of Foreign Assets Control (OFAC) Enterprise Content Management (ECM), the same as the budget request. The Committee finds it unacceptable that OFAC must manually process more than 40,000 requests each year. An automated document and records management system would allow OFAC to more effectively manage and search its records when responding to and processing licenses, undoubtedly saving time and resources. The Committee, therefore, directs the Department to provide a report, no later than March 1, 2007, on the benefits of, and plans for, a fully operational ECM system.

OFFICE OF INSPECTOR GENERAL

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $16,830,000 
Budget request, fiscal year 2007    17,352,000 
Recommended in the bill             17,352,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     +522,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Office of Inspector General provides agency-wide audit and investigative functions to identify and correct operational and administrative deficiencies which create conditions for existing or potential instances of fraud, waste, and mismanagement. The audit function provides program, contract, and financial statement audit services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters relative to negotiation, award, administration, repricing, and settlement of contracts. Program audits review and evaluate all facets of agency operations. Financial statement audits assess whether financial statements fairly present the agency's financial condition and results of operations, the adequacy of accounting controls, and compliance with laws and regulations. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations.

COMMITTEE RECOMMENDATION

The Committee recommends $17,352,000 for the Office of Inspector General, the same as the budget request and $522,000 above the amounts provided in fiscal year 2006. The bill includes $2,000,000 for official travel expenses, $2,500 for official reception and representation expenses, and up to $100,000 for unforeseen emergencies.

TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION

SALARIES AND EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $131,953,000 
Budget request, fiscal year 2007    136,469,000 
Recommended in the bill             136,469,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +4,516,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Internal Revenue Service (IRS) Restructuring and Reform Act of 1998 established the Office of Treasury Inspector General for Tax Administration (TIGTA) and abolished the IRS Office of the Chief Inspector. TIGTA conducts audits, investigations, and evaluations to assess the operations and programs of the IRS and its related entities, the IRS Oversight Board, and the Office of Chief Counsel. The purpose of those audits and investigations is as follows: (1) promote the economic, efficient, and effective administration of the nation's tax laws and to detect and deter fraud and abuse in IRS programs and operations; and (2) recommend actions to resolve fraud and other serious problems, abuses, and deficiencies in these programs and operations.

COMMITTEE RECOMMENDATION

The Committee recommends $136,469,000 for the Treasury Inspector General for Tax Administration, the same as the budget request and $4,516,000 above the amounts provided in fiscal year 2006.

AIR TRANSPORTATION STABILIZATION PROGRAM


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $2,723,000 
Budget request, fiscal year 2007        - - - 
Recommended in the bill                 - - - 
Bill compared with:                           
  Appropriation, fiscal year 2006  -2,723,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Air Transportation Stabilization Board (ATSB) was authorized in the Air Transportation Safety and Stabilization Act to issue $10,000,000,000 of federal credit instruments to air carriers. The statute requires the compensation of air carriers `for losses incurred by the air carriers as a result of the terrorist attacks on the United States that occurred on September 11, 2001,' and provides among other criteria, that `such agreement is a necessary part of maintaining a safe, efficient, and viable commercial aviation system in the United States.'

COMMITTEE RECOMMENDATION

The Committee recommends no appropriation for the Air Transportation Stabilization Program. The Committee understands that the ATSB will be able to negotiate payment or remarketing of its remaining loans by the end of fiscal year 2006, thereby meeting the requirements established under the Air Transportation Safety and System Stabilization Act (Public Law 107-42). Consequently, the ATSB will terminate its activities in fiscal year 2007. The Committee includes language that permits the ATSB to charge fees to a borrower for the costs associated with bankruptcy proceedings of the borrower, should any loans remain with the Department and the borrower enter bankruptcy.

TREASURY BUILDING AND ANNEX REPAIR AND RESTORATION

(INCLUDING TRANSFER OF FUNDS)


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $9,900,000 
Budget request, fiscal year 2007        - - - 
Recommended in the bill                 - - - 
Bill compared with:                           
  Appropriation, fiscal year 2006  -9,900,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Treasury Building and Annex Repair and Restoration appropriation funds the repairs, selected improvements, and construction necessary to renovate and maintain the main Treasury Building, the Treasury annex, and other Treasury buildings.

COMMITTEE RECOMMENDATION

The Committee recommends no appropriation for Treasury Building and Annex Repair and Restoration (T-BARR). The Committee understands that the funds appropriated in fiscal year 2006 are sufficient to complete the restoration. Furthermore, the Committee agrees to transfer $1,000,000 of the T-BARR base amount to Departmental Operations, Salaries and Expenses, to re-establish a recurring baseline for other major repairs and improvements.

FINANCIAL CRIMES ENFORCEMENT NETWORK

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $72,894,000 
Budget request, fiscal year 2007    89,794,000 
Recommended in the bill             84,066,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  +11,172,000 
  Budget request, fiscal year 2007  -5,728,000 
-----------------------------------------------

The Financial Crimes Enforcement Network (FinCEN) is responsible for implementing Treasury's anti-money laundering regulations through administration of the Bank Secrecy Act, 31 U.S.C. section 5311, et seq. (BSA). It also serves as a U.S. Government source for the systematic collection and analysis of information to assist in the investigation of money laundering and other financial crimes. FinCEN supports law enforcement investigative efforts by Federal, state, local and international agencies, and fosters interagency and global cooperation against domestic and international financial crimes. It also provides U.S. policymakers with strategic analyses of domestic and worldwide trends and patterns. It prevents money laundering through its regulatory and outreach programs, including setting policy for and overseeing BSA compliance by financial institutions, and by providing BSA training for law enforcement, bankers, and bank regulators. Pursuant to the USA PATRIOT Act of 2001, FinCEN was made a Treasury Bureau in recognition of its key role in supporting investigations and other Government efforts to identify and stop the financing of terrorist organizations and activity. The USA PATRIOT Act also gave FinCEN substantial new responsibilities for collecting, sharing, and managing financial and other information as part of its counter-terrorism mission.

COMMITTEE RECOMMENDATION

The Committee recommends $84,066,000 for the Financial Crimes Enforcement Network, $5,728,000 below the budget request and $11,172,000 above the amounts provided in fiscal year 2006. Of the amounts provided, $8,651,000 is available until September 30, 2008, for regulatory support programs, and $14,012,000 is available until September 30, 2009, for information technology and special analytical initiatives.

BSA DIRECT

Of the funds provided, the Committee recommends $13,365,490 for BSA Direct, $5,728,000 below the budget request and $6,745,000 above the amounts provided in fiscal year 2006. The Committee is concerned about the future of BSA Direct, a system designed to improve the sharing of information reported under the Bank Secrecy Act. A recent stop work order on BSA Direct's retrieval and sharing component contract has highlighted multiple cost, schedule, and performance problems during development. This break in development has left many unanswered questions as to the future of the system, especially the retrieval and sharing component. Because of this delay, the assumptions used when compiling the fiscal year 2007 budget request, which included $12,473,000 above the fiscal year 2006 base amount, may no longer be valid. Therefore, the Committee recommends a reduction of $5,728,000 to the budget request, $728,000 for the retrieval and sharing component of the $2,473,000 requested base increase, and $5,000,000 for the cross-border wire transfer system initiative.

FINANCIAL MANAGEMENT SERVICE

SALARIES AND EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $233,881,000 
Budget request, fiscal year 2007    233,654,000 
Recommended in the bill             233,654,000 
Bill compared with:                             
  Appropriation, fiscal year 2006      -227,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Financial Management Service (FMS) is responsible for the management of Federal finances and the collection of Federal debt. As the Federal Government's central financial agent, FMS receives and disburses public monies, maintains Government accounts, and reports on the status of the Government's finances. FMS is also accountable for developing and implementing the most reliable and efficient financial methods and systems to operate the Government's cash management, credit management, and debt collection programs. Pursuant to the Debt Collection Improvement Act of 1996, FMS became the primary agency for collecting Federal non-tax debt that is due and owed to the Government and coordinating efforts to collect debt from those who have defaulted on agreements with the Federal Government.

COMMITTEE RECOMMENDATION

The Committee recommends $233,654,000 for the Financial Management Service, the same as the budget request and $227,000 below the amounts provided in fiscal year 2006. Of the funds provided, the Committee recommends $9,220,000 for information systems modernization initiatives, which is available until September 30, 2009, and $2,500 for official reception and representation expenses.

ALCOHOL AND TOBACCO TAX AND TRADE BUREAU

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $90,215,000 
Budget request, fiscal year 2007    63,964,000 
Recommended in the bill             92,604,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,389,000 
  Budget request, fiscal year 2007 +28,640,000 
-----------------------------------------------

The Alcohol and Tobacco Tax and Trade Bureau (TTB) is responsible for the enforcement of laws designed to eliminate certain illicit activities and to regulate lawful activities relating to distilled spirits, beer, wine and nonbeverage alcohol products, and tobacco. TTB focuses on collecting revenue; reducing taxpayer burden and improving service while preventing diversion; and protecting the public and preventing consumer deception in certain regulated commodities.

COMMITTEE RECOMMENDATION

The Committee recommends $92,604,000 for the Alcohol and Tobacco Tax and Trade Bureau, $28,640,000 above the budget request and $2,389,000 above the amounts provided in fiscal year 2006. The budget request assumed $28,640,000 in revenue from new user fees. However, the fees have not been authorized by the Congress and therefore cannot be used to offset appropriations. In addition, the bill includes up to $6,000 for official reception and representation expenses and up to $50,000 for cooperative research and development programs.

UNITED STATES MINT

UNITED STATES MINT PUBLIC ENTERPRISE FUND

The United States Mint manufactures coins, receives deposits of gold and silver bullion, and safeguards the Federal Government's holdings of monetary metals. In 1997, Congress established the United States Mint Public Enterprise Fund (Public Law 104-52), which authorized the Mint to use proceeds from the sale of coins to finance the costs of its operations and consolidated all existing Mint accounts into a single fund. Public Law 104-52 also provided that, in certain situations, the levels of capital investments for circulating coins and protective services shall factor into the decisions of the Congress such that those levels compete with other requirements for funding.

COMMITTEE RECOMMENDATION

The Committee recommends a spending level for capital investments by the Mint for circulating coinage and protective services of $30,200,000, the same as the budget request and $3,432,000 above the fiscal year 2006 spending level. The following table provides basic information on the revenues, costs, and products of the Mint for fiscal years 2005 through 2007:


-----------------------------------------------------------------------------------------
                   Circulating coins Commemorative quarters Numismatic coins  Protection 
-----------------------------------------------------------------------------------------
2005 (actual):                                                                           
Number of coins         11.4 billion            2.7 billion       20 million             
Cost of operations      $164 million           $322 million     $493 million $35 million 
Revenue                 $481 million           $664 million     $626 million             
2006 (est.):                                                                             
Number of coins         12.5 billion            3.0 billion       24 million             
Cost of operations      $181 million           $386 million   $1,282 million $37 million 
Revenue                 $530 million           $757 million   $1,381 million             
2007 (est.):                                                                             
Number of coins         12.6 billion            3.1 billion       24 million             
Cost of operations      $182 million           $390 million   $1,321 million $36 million 
Revenue                 $536 million           $779 million   $1,431 million             
-----------------------------------------------------------------------------------------

PRODUCTION COSTS

The Committee is concerned with the rising costs of producing all varieties of circulating coins. While the Mint continues to use their existing metal inventory, costs to produce the cent and five-cent coins remain relatively low. Currently, the year-to-date cost of producing a cent is slightly above face value, while a nickel is slightly below face value. A recent report, however, estimates that producing cents and nickels using metal purchased at today's prevailing prices would cost 1.4 cents and 6.4 cents, respectively. Inevitably metal inventories will have to be replenished at current prices. Therefore, the Committee directs the Government Accountability Office to report, no later than March 1, 2007, on any studies the Mint has made of alternative metals or alloys to be used for the production of circulating coins to keep production costs down. This report shall be delivered no later than March 1, 2007, to the Committees on Appropriations and Financial Services.

BUREAU OF THE PUBLIC DEBT

ADMINISTERING THE PUBLIC DEBT


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $178,154,000 
Budget request, fiscal year 2007    180,789,000 
Recommended in the bill             180,789,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +2,635,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Bureau of the Public Debt is responsible for the conduct of all public debt operations and the promotion of the sale of U.S. securities.

COMMITTEE RECOMMENDATION

The Committee recommends $180,789,000 for Administering the Public Debt, the same as the budget request and $2,635,000 above the amounts provided in fiscal year 2006. Of this amount, the Committee recommends $2,500 for official reception and representation expenses, and $2,000,000 for systems modernization, which is available until September 30, 2009. Language is included that reduces the total amount by no more than $3,000,000 as definitive security issue fees and Treasury Direct Investor Account Maintenance fees are collected.

COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND PROGRAM ACCOUNT


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $54,450,000 
Budget request, fiscal year 2007     7,821,000 
Recommended in the bill             40,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  -14,450,000 
  Budget request, fiscal year 2007 +32,179,000 
-----------------------------------------------

The Community Development Financial Institutions (CDFI) Fund provides grants, loans, and technical assistance to new and existing community development financial institutions such as community development banks, community development credit unions, revolving loan funds, and micro-loan funds. Recipients must use the funds to support mortgage, small business and economic development lending in underserved and distressed neighborhoods. The Fund is also responsible for implementation of the Community Renewal Tax Relief Act of 2000.

COMMITTEE RECOMMENDATION

The Committee recommends $40,000,000 for the CDFI program, $32,179,000 above the budget request and $14,450,000 below the amounts provided in fiscal year 2006. The Committee does not agree to move the CDFI grant programs to the Department of Commerce as a part of the `Strengthening America's Communities' program, leaving only the administration of the New Markets Tax Credit program and the outstanding award portfolio under the jurisdiction of the Treasury Department. The Committee recommends the entire program remain at the Treasury. Of the funds provided, $12,800,000 is for administrative costs of the program.

BUREAU OF ENGRAVING AND PRINTING

The Bureau of Engraving and Printing (BEP) designs, manufactures, and supplies Federal Reserve notes, various public debt instruments, as well as most evidences of a financial character issued by the U.S., such as postage and internal revenue stamps. The BEP also executes certain printings for various territories administered by the U.S., particularly postage and revenue stamps.

The operations of the BEP are financed by a revolving fund established in accordance with the provisions of Public Law 81-656, August 4, 1950 (31 U.S.C. 181), which requires the BEP to be reimbursed by customer agencies for the costs of all manufacturing products and services performed. The BEP is also authorized to assess amounts to acquire capital equipment and provide for working capital needs. The anticipated work volume is based on estimates of requirements submitted by agencies served. The following table summarizes BEP revenue and expense data for fiscal years 2005 through 2007:


[All figures in $000's]
---------------------------------------------------------------------------
                               Fiscal year                                 
                             2005 (actual) 2006 (estimate) 2007 (estimate) 
---------------------------------------------------------------------------
Total revenue                     $512,000        $506,000        $556,000 
Revenue from currency              476,800         500,000         550,000 
Revenue from stamps                 17,300               0               0 
Other revenue                       17,900           6,000           6,000 
Cost of operations                 531,000         506,000         556,000 
Net revenue 1  (to Treasury)      (19,000)               0               0 
---------------------------------------------------------------------------

INTERNAL REVENUE SERVICE

PROCESSING, ASSISTANCE, AND MANAGEMENT


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $4,095,212,000 
Budget request, fiscal year 2007    4,045,122,000 
Recommended in the bill                     - - - 
Bill compared with:                               
  Appropriation, fiscal year 2006  -4,095,212,000 
  Budget request, fiscal year 2007 -4,045,122,000 
--------------------------------------------------

The Processing, Assistance, and Management appropriation provides for processing tax returns and related documents; processing data for compiling statistics of income; assisting taxpayers in correct filing of their returns and in paying taxes that are due; overall planning and direction of the Internal Revenue Service (IRS); and management of financial resources and procurement.

COMMITTEE RECOMMENDATION

The Committee's recommendation does not follow the previous IRS account structure. Instead, the Committee recommends a new appropriation structure that more closely aligns with taxpayer services, enforcement, and operations support. The Committee expects the IRS to use this new structure as the basis for the fiscal year 2008 budget request.

TAXPAYER SERVICES


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006             - - - 
Budget request, fiscal year 2007            - - - 
Recommended in the bill            $2,059,151,000 
Bill compared with:                               
  Appropriation, fiscal year 2006  +2,059,151,000 
  Budget request, fiscal year 2007 +2,059,151,000 
--------------------------------------------------

The Taxpayer Services appropriation provides for taxpayer services, including forms and publications; processing tax returns and related documents; filing and account services; taxpayer advocacy services; and assisting taxpayers to understand their tax obligations, correctly file their returns, and pay taxes due in a timely manner.

COMMITTEE RECOMMENDATION

The Committee recommends $2,059,151,000 for Taxpayer Services. Of the funds provided, the Committee recommends $8,000,000 for low-income taxpayer clinic grants and $4,100,000 for the Tax Counseling for the Elderly Program.

NEW AND INCREASED USER FEES

The Committee is concerned about the budget request assumption of $135,000,000 in new and increased user fees. The budget request assumes the funds collected from these fees will supplement the Taxpayer Services ($117,398,000) and Operations Support ($17,602,000) appropriations. The budget request also assumes timely changes to IRS legacy systems, which are necessary for the collection of these fees. The Committee is concerned that the necessary changes to IRS legacy systems will not happen in a timely fashion and also questions the willingness of taxpayers to pay increased fees for voluntary services. Therefore, the Committee directs the IRS to report quarterly on the collection of user fees, including an update of the status of the legacy system changes needed to collect these fees.

TAXPAYER ASSISTANCE CENTERS

In fiscal year 2006, the Committee included a provision requiring the Treasury Inspector General for Tax Administration (TIGTA) to study the impact on taxpayer compliance and service before the IRS could proceed with a reduction in the number of Taxpayer Assistance Centers (TACs). TIGTA's report (Reference Number 2006-40-061) stated that although the methodology used by the IRS to determine which TACs to close was appropriate, not all of the data used were current or accurate. TIGTA found that these data discrepancies made it impossible to determine if the IRS selected the correct TACs for closure, or if the IRS overselected or underselected the number of TACs that needed to be closed to reach their targeted savings. The Committee understands that the IRS agreed with the TIGTA findings and will ensure that the data used to determine future TAC closures are accurate and verified. Therefore, the Committee does not continue the provision requiring TIGTA to review any reductions to taxpayer services, but does direct the IRS to provide the Committee 30 days advance notice to the selection or announcement of any TAC closure decisions.

DISABILITY CLAIMS

The Committee is disappointed that the IRS has not yet issued the report, as directed in House Report 109-153, on the number of disabled veterans who have been denied back taxes due to the three year IRS statute of limitations. The Committee continues to be concerned that disabled military retirees whose successful Veterans Affairs (VA) disability claims take more than three years to be resolved are unable to receive the back tax they are owed for more than three years due to the IRS statute of limitations. The Committee directs the Department to work with the VA to identify, within 30 days of the publication of this report, what is needed in order to share information between the agencies to determine the number of veterans affected by this problem.

TAX LAW ENFORCEMENT


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $4,678,498,000 
Budget request, fiscal year 2007    4,762,327,000 
Recommended in the bill                     - - - 
Bill compared with:                               
  Appropriation, fiscal year 2006  -4,678,498,000 
  Budget request, fiscal year 2007 -4,762,327,000 
--------------------------------------------------

The Tax Law Enforcement appropriation provides for the examination of tax returns, both domestic and international; the administrative and judicial settlement of taxpayer appeals of examination findings; technical rulings; monitoring employee pension plans; determining qualifications of organizations seeking tax-exempt status; examining tax returns of exempt organizations; enforcing statutes relating to detection and investigation of criminal violations of the internal revenue laws; collecting unpaid accounts; compiling statistics of income and compliance research; securing unfiled tax returns and payments; and expanding efforts to reduce overclaims and erroneous filings associated with the earned income tax credit.

COMMITTEE RECOMMENDATION

The Committee's recommendation does not follow the previous IRS account structure. Instead, the Committee recommends a new appropriation structure that more closely aligns with taxpayer services, enforcement, and operations support. The Committee expects the IRS to use this new structure as the basis for the fiscal year 2008 budget request.

ENFORCEMENT

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006             - - - 
Budget request, fiscal year 2007            - - - 
Recommended in the bill            $4,757,126,000 
Bill compared with:                               
  Appropriation, fiscal year 2006  +4,757,126,000 
  Budget request, fiscal year 2007 +4,757,126,000 
--------------------------------------------------

The Enforcement appropriation provides for the examination of tax returns, both domestic and international; the administrative and judicial settlement of taxpayer appeals of examination findings; technical rulings; monitoring employee pension plans; determining qualifications of organizations seeking tax-exempt status; examining tax returns of exempt organizations; enforcing statutes relating to detection and investigation of criminal violations of the internal revenue laws; identifying under reporting of tax obligations; securing unfiled tax returns; and collecting unpaid accounts.

COMMITTEE RECOMMENDATION

The Committee recommends $4,757,126,000 for Enforcement. Of the funds provided, the Committee recommends $55,112,000 to support IRS activities under the Interagency Crime and Drug Enforcement program and allows up to $10,447,000 to be transferred to Operations Support for the purposes of the Interagency Crime and Drug Enforcement program.

INFORMATION SYSTEMS


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $1,582,977,000 
Budget request, fiscal year 2007    1,602,232,000 
Recommended in the bill                     - - - 
Bill compared with:                               
  Appropriation, fiscal year 2006  -1,582,977,000 
  Budget request, fiscal year 2007 -1,602,232,000 
--------------------------------------------------

The Information Systems appropriation provides for service-wide data processing support, including the evaluation, development, and implementation of computer systems (including software and hardware) requirements.

COMMITTEE RECOMMENDATION

The Committee's recommendation does not follow the previous IRS account structure. Instead, the Committee recommends a new appropriation structure that more closely aligns with taxpayer services, enforcement, and operations support. The Committee expects the IRS to use this new structure as the basis for the fiscal year 2008 budget request.

OPERATIONS SUPPORT


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006             - - - 
Budget request, fiscal year 2007            - - - 
Recommended in the bill            $3,438,404,000 
Bill compared with:                               
  Appropriation, fiscal year 2006  +3,438,404,000 
  Budget request, fiscal year 2007 +3,438,404,000 
--------------------------------------------------

The Operations Support appropriation provides for overall planning and direction of the IRS, including shared service support related to facilities services, rent payments, printing, postage, and security; other support functions that are considered overhead but essential to the successful operation of IRS programs including resources for headquarters management activities, including IRS-wide support for strategic planning, communications and liaison, finance, human resources, EEO and diversity; research and statistics of income; and necessary expenses for information systems and telecommunication support, including developmental information systems and operational information systems.

COMMITTEE RECOMMENDATION

The Committee recommends $3,438,404,000 for Operations Support. Of the funds provided, the Committee recommends $1,112,818,000 for Shared Services and Support, of which not to exceed $1,500,000 is for the IRS Oversight Board, $25,000 is for official reception and representation expenses, and $1,000,000 is available until September 30, 2009, for research; $878,135,000 for Physical Infrastructure; and $1,447,451,000 for Information Services and Improvement Programs, of which $75,000,000 is available until September 30, 2008, to facilitate information technology purchases as requested by IRS.

INFORMATION TECHNOLOGY

The Committee remains concerned with the management of information technology (IT) projects. While progress has been made with the Business Systems Modernization (BSM) program, the IRS must not neglect the non-BSM projects. Mid-filing season failure of critical non-BSM systems should not and must not happen. Therefore, the Committee directs the IRS to review all critical systems and report to the Committee by October 31, 2006, on any system troubles that could impact the upcoming 2007 filing season, including corrective actions.

BUSINESS SYSTEMS MODERNIZATION


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $197,010,000 
Budget request, fiscal year 2007    167,310,000 
Recommended in the bill             212,310,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   +15,300,000 
  Budget request, fiscal year 2007  +45,000,000 
------------------------------------------------

The Business Systems Modernization appropriation provides funding for IT contractors to modernize key business systems of the Internal Revenue Service.

COMMITTEE RECOMMENDATION

The Committee recommends $212,310,000 for Business Systems Modernization (BSM), $45,000,000 above the budget request and $15,300,000 above the amounts provided in fiscal year 2006. The budget request included $45,000,000 for management and development of the BSM program requested in the Information Services appropriation. The Committee recommendation moves the funds for these salaries and expenses to the BSM appropriation for total cost visibility of the BSM program. Of the funds provided, the Committee recommends no less than $167,310,000 to remain available until September 30, 2009, for capital asset acquisition of information technology systems. Consistent with previous years, the release of the capital asset acquisition funding is subject to the approval of a GAO reviewed expenditure plan. The Department is directed to notify the Committee, within seven days, if BSM management funds are reallocated to the capital asset acquisition program.

REQUIREMENTS DEVELOPMENT AND MANAGEMENT

BSM has made significant progress in its seven year history. Early on the program experienced multiple cost overruns and schedule delays. As the Government Accountability Office (GAO) reports in GAO-06-310, this was due in part to inadequate development and management of requirements. Recognizing this, the IRS created the Requirements Management Office (RMO) in October 2004. However, the Committee is concerned that a year and a half later there remains no finalized policies and procedures for requirements development and management. The Committee agrees with the GAO recommendations contained in GAO-06-310, including immediately implementing the current draft policies while the final policies and procedures are developed; standardizing the process for eliciting and documenting requirements; establishing a process for formal peer reviews; establishing guidance on tracking cost and schedule impacts of changes to requirements; and establishing guidance on full bidirectional requirements traceability. The Committee, therefore, directs the IRS to address these recommendations immediately.

HEALTH INSURANCE TAX CREDIT ADMINISTRATION


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $20,008,000 
Budget request, fiscal year 2007    14,846,000 
Recommended in the bill             14,846,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   -5,162,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Health Insurance Tax Credit Administration appropriation provides contractor support to develop and administer the advance payment option for the health insurance tax credit included in Public Law 107-210, the Trade Act of 2002.

COMMITTEE RECOMMENDATION

The Committee recommends $14,846,000 for Health Insurance Tax Credit Administration, the same as the budget request and $5,162,000 below the amounts provided in fiscal year 2006.

ADMINISTRATIVE PROVISIONS--INTERNAL REVENUE SERVICE

(INCLUDING TRANSFER OF FUNDS)

Section 201. The Committee modifies a provision that allows for the transfer of five percent (three percent in the case of Enforcement) of any appropriation made available to the IRS to any other IRS appropriation.

Section 202. The Committee continues a provision that requires the IRS to maintain a training program in taxpayer rights, dealing courteously with taxpayers, and cross-cultural relations.

Section 203. The Committee continues a provision that requires the IRS to institute policies and procedures that will safeguard the confidentiality of taxpayer information.

Section 204. The Committee continues a provision that makes funds available for improved facilities and increased manpower to provide efficient and effective 800 number help line service for taxpayers.

Section 205. The Committee modifies a provision that directs $166,249,000 to be available for the Taxpayer Advocate Service; $166,101,000 from Taxpayer Services and $148,000 from Operations Support.

Section 206. The Committee includes a provision that prohibits the use of funds to develop or provide free individual tax electronic preparation and filing products or services, other than the Free File program and the IRS's Taxpayer Assistance Centers, Tax Counseling for the Elderly, and volunteer income tax assistance programs. This provision also prohibits the use of funds to develop or implement direct interactive electronic individual income tax preparation or filing services or products, or a return-free system as described in section 2004 of the Internal Revenue Service Restructuring and Reform Act of 1998. The Committee understands this will not impact any current IRS taxpayer programs or services.

Section 207. The Committee includes a provision that designates taxpayer service and tax law enforcement programs for fiscal year 2007 and thereafter as made up of Taxpayer Services, Enforcement, and Operations Support appropriations.

Section 208. The Committee includes a provision that allows for the transfer of up to 20 percent between the Taxpayer Services, Enforcement, and Operations Support accounts to implement the restructuring of the IRS accounts, following a 30 day notification of the House and Senate Committees on Appropriations.

Section 209. The Committee includes a new provision prohibiting funds, made available in this Act to be used to enter into, renew, extend, administer, implement, enforce, or provide oversight of any qualified tax collection contract.

GENERAL PROVISIONS--DEPARTMENT OF THE TREASURY

Section 210. The Committee continues a provision that allows the Department of the Treasury to purchase uniforms, insurance, and motor vehicles without regard to the general purchase price limitations, and enter into contracts with the State Department for health and medical services for Treasury employees in overseas locations.

Section 211. The Committee continues a provision that authorizes transfers, up to two percent, between `Departmental Offices--Salaries and Expenses', `Office of the Inspector General', `Financial Management Service', `Alcohol and Tobacco Tax and Trade Bureau', `Financial Crimes Enforcement Network', and the `Bureau of the Public Debt' appropriations under certain circumstances.

Section 212. The Committee continues a provision that authorizes transfer, up to two percent, between the Internal Revenue Service and the Treasury Inspector General for Tax Administration under certain circumstances.

Section 213. The Committee continues a provision limiting funds for the purchase of law enforcement vehicles unless the purchase is consistent with vehicle management principles.

Section 214. The Committee continues a provision that prohibits the Department of the Treasury from undertaking a redesign of the one dollar Federal Reserve note.

Section 215. The Committee continues a provision that provides for transfers from and reimbursements to `Financial management service, salaries and expenses' for the purposes of debt collection.

Section 216. The Committee continues a provision extending the pay demonstration program.

Section 217. The Committee continues a provision that requires Congressional approval for the construction and operation of a museum by the Mint.

Section 218. The Committee continues a provision prohibiting funds in this Act from being used to merge the Mint and the Bureau of Engraving and Printing without the approval of the House and Senate committees of jurisdiction.

Section 219. The Committee includes a new provision providing a technical correction to 31 U.S.C. 3333(a)(3), clarifying that the Check Forgery Insurance Fund is the appropriate funding source for disbursing errors for which relief has been granted under 31 U.S.C. 3527.

TITLE III--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

PUBLIC AND INDIAN HOUSING

TENANT BASED RENTAL ASSISTANCE

(INCLUDING TRANSFER OF FUNDS)


---------------------------------------------------
---------------------------------------------------
Appropriation, fiscal year 2006    $15,808,219,000 
Budget request, fiscal year 2007    15,920,000,000 
Recommended in the bill             15,776,400,000 
Bill compared with:                                
  Appropriation, fiscal year 2006      -31,819,000 
  Budget request, fiscal year 2007    -143,600,000 
---------------------------------------------------

In fiscal year 2005, the Housing Certificate Fund was separated into two new accounts: Tenant-Based Rental Assistance and Project-Based Rental Assistance. This account administers the tenant-based Section 8 rental assistance program otherwise known as the Housing Choice Voucher program.

COMMITTEE RECOMMENDATION

The Committee recommends $15,776,400,000 for tenant-based rental assistance, a decrease of $31,819,000 below the fiscal year 2006 enacted level and $487,342,000 above the amount enacted in the prior year for the renewal of tenant-based Section 8 vouchers. The Committee notes that this comparison includes the one-time emergency supplemental appropriation of $390,300,000 in response to the 2005 hurricanes in the Gulf Coast region. Absent these emergency funds, the Committee's recommended funding level is $358,781,000 above the fiscal year 2006 appropriation. Consistent with the budget request, the Committee continues the advance of $4,200,000,000 of the funds appropriated under this heading for Section 8 programs to October 1, 2007. The entire advance is limited to this account.

Voucher Renewals.--The Committee is providing $14,436,200,000, the same as requested and a 3.5 percent increase in funds compared to fiscal year 2006 for the renewal of tenant-based vouchers. This increase is more than rents have increased and will allow for continued funding stability in the program for fiscal year 2007. There is continued evidence to suggest that, nation-wide, subsidies for rental assistance have begun to level off and in some cases decline relative to their 2004 levels. The Department is instructed to monitor and report to the House and Senate Committees on Appropriations each quarter on the trends in Section 8 subsidy and to report on the extent to which changes in subsidy are due to changes in rent or changes in tenant income.

The transition back to a `budget based' system of funding was completed in fiscal year 2006. However, the Committee recognizes that a fully `budget based' system leaves the Public Housing Authorities (PHAs) with a single fixed amount for the calendar year and with the difficult task of maximizing the renewal of vouchers while operating under a complex regime of rules and requirements that do nothing to facilitate the process. Absent real reforms to the program to reduce costs and dramatic changes to the program's implementation guidelines to reduce the administrative burden, the Committee directs the Department to take whatever regulatory and administrative actions it can to increase flexibility, reduce administrative burden and streamline program implementation. By January 1, 2007, the Committee directs the Department to provide a full report on the regulatory and administrative available to the Department and those it has implemented. However, absent real programmatic and statutory reform these actions at best only function as stop gap measures.

The Committee continues the direction to the Department to communicate to each PHA, within 45 days of enactment, the fixed amount that will be made available to each PHA for calendar year 2007. The amount being provided in this account is the only source of Federal funds that may be used to renew tenant-based vouchers. The amounts appropriated here may not be augmented from any other source.

The Committee agrees to the budget request that a portion of the contract renewal funds may be used for additional rental subsidy due to exigencies as determined by the Secretary and for the one-time funding of housing assistance payments resulting from the portability provisions of the housing choice voucher program. The Committee directs that housing assistance payments resulting from the portability provisions be the first priority in the use of these funds.

Tenant protection.--The Committee provides $149,300,000 for tenant protection vouchers, $28,900,000 less than enacted for 2006 and the same as the budget request. As a result of the variable nature of this activity from year to year, language is included allowing the Department to use carryover and recaptures of unexpended Section 8 balances to fund additional rental assistance costs in addition to funds appropriated for fiscal year 2007. These additional rental assistance costs are limited to housing assistance payments and administrative fees not to exceed the rate of administrative fees provided for contract renewals.

Administrative Fees.--The Committee recommends $1,137,500,000 for allocation to the PHAs to conduct activities associated with placing and maintaining individuals under Section 8 assistance. This amount is $100,000,000 below the enacted level for 2006 and $143,600,000 below the levels proposed in the budget request.

Family Self-Sufficiency Coordinators (FSS).--The Committee includes $47,500,000 for FSS coordinators, the same amount as requested by the Administration and $20,000 less than the level enacted for 2006. Coordinators help residents link up with important services in the community to speed the achievement of self-sufficiency.

Working Capital Fund.--The Committee provides the requested amount of $5,900,000 for transfer to the Working Capital Fund (WCF).

The Committee directs the Department to continue to collect and use Form HUD-52681 for PHAs administering the Housing Choice Voucher program.

HOUSING CERTIFICATE FUND

(RESCISSION)


---------------------------------------------------
---------------------------------------------------
Appropriation, fiscal year 2006    -$2,050,000,000 
Budget request, fiscal year 2007    -2,000,000,000 
Recommended in the bill             -2,000,000,000 
Bill compared with:                                
  Appropriation, fiscal year 2006      +50,000,000 
  Budget request, fiscal year 2007           - - - 
---------------------------------------------------

The Housing Certificate Fund, until fiscal year 2005, provided funding for both the project-based and tenant-based components of the Section 8 program. Project-based Rental Assistance and Tenant-based Rental Assistance are now separately funded accounts. The Housing Certificate Fund retains balances from previous years' appropriations.

COMMITTEE RECOMMENDATION

The Committee recommends a rescission of $2,000,000,000 from unobligated balances and carryover remaining in the Housing Certificate Fund from the Section 8 tenant-based and project-based rental assistance programs as proposed in the budget request.

PUBLIC HOUSING CAPITAL FUND

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $2,438,964,000 
Budget request, fiscal year 2007    2,178,000,000 
Recommended in the bill             2,178,000,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    -260,964,000 
  Budget request, fiscal year 2007          - - - 
--------------------------------------------------

The Public Housing Capital Fund provides funding for public housing capital programs, including public housing development and modernization. Examples of capital modernization projects include replacing roofs and windows, improving common spaces, upgrading electrical and plumbing systems, and renovating the interior of an apartment.

COMMITTEE RECOMMENDATION

The Committee recommends a total funding level of $2,178,000,000, a decrease of $260,964,000 below the fiscal year 2006 enacted level and the same as the budget request. Within the amounts provided the committee directs that:

As requested, the recommendation does not designate a separate set-aside for the Neighborhood Networks grants because such activities are already an eligible use of capital funds.

The Department is directed to continue to provide the quarterly detailed reports on those Public Housing Authorities with obligation rates of less than 90 percent.

PUBLIC HOUSING OPERATING FUND

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $3,564,000,000 
Budget request, fiscal year 2007    3,564,000,000 
Recommended in the bill             3,564,000,000 
Bill compared with:                               
  Appropriation, fiscal year 2006           - - - 
  Budget request, fiscal year 2007          - - - 
--------------------------------------------------

The Public Housing Operating Fund subsidizes the costs associated with operating and maintaining public housing. This subsidy supplements funding received by public housing authorities (PHA) from tenant rent contributions and other income. In accordance with section 9 of the United States Housing Act of 1937, as amended, funds are allocated by formula to public housing authorities for the following purposes: utility costs; anticrime and anti-drug activities, including the costs of providing adequate security; routine maintenance cost; administrative costs; and general operating expenses.

COMMITTEE RECOMMENDATION

The Committee recommends $3,564,000,000 for the Federal share of PHA operating expenses. This amount is the same as both the amount enacted for fiscal year 2006 and the budget request. As requested, $9,900,000 may be used for the `Housing Self-Sufficiency Award' and $5,940,000 is for the Asset-Based Management Transition Fund. This fund will provide technical assistance to PHAs as they complete the transition to asset-based management.

In 2001, Congress funded and mandated that the Department establish the costs of operating a well run Public Housing Authority. This report to the Congress, which became known as the Harvard Study, made several important recommendations to reform the current allocation formula to better align the allocation with the actual costs. Congress, in fiscal year 2005 mandated that HUD and the public housing industry negotiate a new regulation to implement the Harvard Study. This lengthy process was finally completed with the publishing of the final rule on September 19, 2005 and the subsequent final rule correction published in the Federal Register on October 24, 2005.

Language is included that requires funds be allocated to the PHAs in accordance with the corrected final rule as set forth in the `Revisions to the Public Housing Operating Fund Program; Correction to Formula Implementation Date' as published in the Federal Register.

The committee also continues a provision, carried in prior years, prohibiting funds from being used for section 9(k) activities.

REVITALIZATION OF SEVERELY DISTRESSED PUBLIC HOUSING (HOPE VI)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $99,000,000 
Budget request, fiscal year 2007   -99,000,000 
Recommended in the bill                  - - - 
Bill compared with:                            
  Appropriation, fiscal year 2006  -99,000,000 
  Budget request, fiscal year 2007 +99,000,000 
-----------------------------------------------

The Revitalization of Severely Distressed Public Housing program, also known as HOPE VI, provides competitive grants to public housing authorities to revitalize entire neighborhoods adversely impacted by the presence of badly deteriorated public housing projects. In addition to developing and constructing new affordable housing, the program provides PHAs with the authority to demolish obsolete projects and to provide self-sufficiency services for families who reside in and around the facility.

COMMITTEE RECOMMENDATION

The Committee does not provide funds for the HOPE VI program in fiscal year 2007. The budget did not request funds for this program. Language proposed by the Administration to rescind funds appropriated for fiscal year 2006 is not included.

The Committee recognizes that this program has had a varied and controversial history. On the one hand, the projects that have been completed have been successful and demonstrate what the program could accomplish. On the other hand, the funding history overwhelmingly demonstrates that far too many projects have not been completed in a timely way. Many projects funded years ago have yet to start. Currently over $2 billion in undispersed obligations from prior years remain in a backlog and have been unused for years. Furthermore, resistance to the program from tenants remains strong, further delaying many projects.

Most importantly, the Committee is convinced that, although 10 years have been an important demonstration period, the per-unit cost of the program is too high, relative to alternatives, to be sustained over the long-run.

Therefore, the Committee believes that the best course of action is to reject the proposal to rescind the fiscal year 2006 funding making those funds available in fiscal year 2007 for grant awards, but until a new authorization is enacted by Congress to revise and reform the program, no further funding is merited. The Committee directs the Department to submit a report to the Committees on Appropriations reviewing the status of the backlog of projects and funds to include an analysis of which projects should remain in the pipeline and which projects should be cancelled.

NATIVE AMERICAN HOUSING BLOCK GRANTS

(INCLUDING TRANSFERS OF FUNDS)


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $623,700,000 
Budget request, fiscal year 2007    625,680,000 
Recommended in the bill             625,680,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +1,980,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Native American Housing Block Grants program provides funds to Indian tribes and their Tribally Designated Housing Entities (TDHE) to address housing needs within their communities. The block grant is designed to fund TDHE operating requirements and capital needs.

COMMITTEE RECOMMENDATION

The Committee recommends $625,680,000 for the Native American Block Grant and the Indian Community Development Block Grant Fund. This is the same as the budget request and $1,980,000 more than the enacted amount in fiscal year 2006.

In 2003 when HUD began using the new 2000 Census data HUD shifted the basis for the needs portion of the formula distribution of funds from single-race to multi-race. The Committee continues language from last year instructing HUD to distribute funds on the basis of single race or multi race data which ever is the higher amount for each recipient.

Of the amounts made available under this heading:

NATIVE HAWAIIAN HOUSING BLOCK GRANT


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $8,727,000 
Budget request, fiscal year 2007    5,940,000 
Recommended in the bill             8,815,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     +88,000 
  Budget request, fiscal year 2007 +2,875,000 
----------------------------------------------

The Hawaiian Homelands Homeownership Act of 2000 created the Native Hawaiian Housing Block Grant program to provide grants to the State of Hawaii Department of Hawaiian Home Lands for housing and housing related assistance to develop, maintain and operate affordable housing for eligible low income Native Hawaiian families.

COMMITTEE RECOMMENDATION

The Committee recommends $8,815,000 for this program, $88,150 more than the amount provided in fiscal year 2006, and $2,875,000 above the budget request. Of the amounts provided, $299,211 is for technical assistance.

INDIAN HOUSING LOAN GUARANTEE FUND PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)


------------------------------------------------
------------------------------------------------
Program account:                                
 Appropriation, fiscal year 2006     $3,960,000 
 Budget request, fiscal year 2007     5,940,000 
 Recommended in the bill              3,960,000 
Bill compared with:                             
  Appropriation, fiscal year 2006         - - - 
  Budget request, fiscal year 2007   -1,980,000 
Limitation on direct Loans:                     
 Appropriation, fiscal year 2006   $116,276,000 
 Budget request, fiscal year 2007   251,000,000 
 Recommended in the bill            116,276,000 
Bill compared with:                             
  Appropriation, fiscal year 2006         - - - 
  Budget request, fiscal year 2007 -134,724,000 
------------------------------------------------

Section 184 of the Housing and Community Development Act of 1992 establishes a loan guarantee program for Native Americans to build or purchase homes on trust land. This program provides access to sources of private financing for Indian families and Indian housing authorities that otherwise cannot acquire financing because of the unique legal status of Indian trust land. This financing vehicle enables families to construct new homes or to purchase existing properties on reservations.

COMMITTEE RECOMMENDATION

The Committee recommends $3,960,000 in new credit subsidy for the Section 184 loan guarantee program, $1,980,000 below the budget request and the same as the fiscal year 2006 enacted level. This will be sufficient to guarantee $116,276,000 in new loans. The Committee strongly supports the program of loan guarantees for the purchase, construction or rehabilitation of single-family homes on trust or restricted lands. However, the Department has indicated that $5,962,000 in previously provided credit subsidy will carry over into fiscal year 2007. Hence in total, more resources will be available in fiscal year 2007 than in fiscal year 2006. Of the amounts made available, $247,500 is transferred to Salary and Expenses.

NATIVE HAWAIIAN HOUSING LOAN GUARANTEE FUND PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)


-----------------------------------------------
-----------------------------------------------
Program account:                               
 Appropriation, fiscal year 2006      $891,000 
 Budget request, fiscal year 2007    1,010,000 
 Recommended in the bill             1,010,000 
 Bill compared with:                           
  Appropriation, fiscal year 2006     +119,000 
  Budget request, fiscal year 2007       - - - 
Limitation on direct Loans:                    
 Appropriation, fiscal year 2006   $35,714,000 
 Budget request, fiscal year 2007   43,000,000 
 Recommended in the bill            43,000,000 
 Bill compared with:                           
  Appropriation, fiscal year 2006   +7,286,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Hawaiian Homelands Homeownership Act of 2000 created the Native Hawaiian Housing Loan Guarantee Fund program to provide loan guarantees for native Hawaiian individuals and their families, the Department of Hawaiian Home Lands, the Office of Hawaiian Affairs, and private nonprofit organizations experienced in the planning and in the development of affordable housing for Native Hawaiians for the purchase, construction, and/or rehabilitation of single-family homes on Hawaiian Home Lands. This program provides access to private sources of financing that would otherwise not be available because of the unique legal status of Hawaiian Home Lands.

COMMITTEE RECOMMENDATION

The Committee recommends $1,010,000 for this program the same as requested to guarantee a total loan volume of $43,000,000, the full amount requested. Language is included transferring $35,000 to Salaries and Expenses for administrative expenses.

COMMUNITY PLANNING AND DEVELOPMENT

HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $286,110,000 
Budget request, fiscal year 2007    300,100,000 
Recommended in the bill             300,100,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   +13,990,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Housing Opportunities for Persons with AIDS (HOPWA) program is authorized by the Housing Opportunities for Persons with AIDS Act. This program provides States and localities with resources and incentives to devise long-term comprehensive strategies to meet the housing needs of persons with HIV/AIDS and their families. Ninety percent of funding is distributed by formula to qualifying States and metropolitan areas on the basis of the cumulative number and incidences of AIDS reported to the Centers for Disease Control. The remaining 10 percent of funding is distributed through a national competition. Government recipients are required to have a HUD-approved Comprehensive Plan or Comprehensive Housing Affordability Strategy (CHAS).

COMMITTEE RECOMMENDATION

For fiscal year 2007, the Committee recommends $300,100,000, an increase of $13,990,000 over the enacted levels for fiscal year 2006, and the same as the budget request. Within the total amount provided, $1,485,000 is for technical assistance, training and oversight as requested and $1,485,000 is transferred to the Working Capital Fund. With the funds provided, the Department should continue to give priority to creating new housing opportunities for persons with AIDS.

The Committee continues language which requires the Secretary to renew expiring permanent supportive housing contracts previously funded under the national competition, which meet all program requirements, before awarding new competitive grants.

RURAL HOUSING AND ECONOMIC DEVELOPMENT


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $16,830,000 
Budget request, fiscal year 2007         - - - 
Recommended in the bill                  - - - 
Bill compared with:                            
  Appropriation, fiscal year 2006  -16,830,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

This account provides funding to rural non-profit organizations, community development corporations, Indian tribes, State housing finance agencies, State economic development and Federally recognized community development agencies.

COMMITTEE RECOMMENDATION

The Committee agrees with the budget proposal to provide no new funds for this program. The majority of initiatives in rural economic transformation are and should be funded through the Department of Agriculture (USDA), which has the expertise in rural economic development, rural housing and community stabilization. In addition, the activities of this program are eligible activities under the HOME and Community Development Block Grant programs.

COMMUNITY DEVELOPMENT FUND

(INCLUDING TRANSFERS OF FUNDS)


---------------------------------------------------
---------------------------------------------------
Appropriation, fiscal year 2006    $15,677,800,000 
Budget request, fiscal year 2007     3,032,000,000 
Recommended in the bill              4,200,000,000 
Bill compared with:                                
  Appropriation, fiscal year 2006  -11,477,800,000 
  Budget request, fiscal year 2007  +1,168,000,000 
---------------------------------------------------

The Community Development Fund provides funding to State and local governments, and to other entities that carry out community and economic development activities under various programs.

COMMITTEE RECOMMENDATION

The Committee recommends a total of $4,200,000,000 for the Community Development Fund account, a decrease of $11,477,800,000 from the amount provided in fiscal year 2006 and an increase of $1,168,000,000 to the fiscal year 2007 budget request.

Of the amounts made available:

Beginning in fiscal year 2007, Economic Development Initiative and Neighborhood Initiative funds awarded to grantees are to be matched by 40 percent in funding by each grantee.

The Committee directs HUD to implement the Economic Development Initiative program as follows:

1. $250,000 to the Salvation Army Family Enrichment Center in Anchorage, Alaska for construction of a facility.

2. $500,000 to the City of Gadsden, Alabama for development and construction of Noccalula Park.

3. $440,000 to the University of Montevallo in Montevallo, Alabama for renovation and restoration of buildings.

4. $250,000 to the City of Robertsdale, Alabama for renovations to the PZK Civic Center.

5. $250,000 to the City of Phenix City, Alabama for redevelopment of the downtown riverfront.

6. $150,000 to the Huntsville Museum of Art in Huntsville, Alabama for facility construction, expansion, renovation, and build out, as part of the redevelopment of downtown Huntsville.

7. $150,000 to the Helen Keller Birthplace Foundation in Tuscumbia, Alabama for facility renovation and build out.

8. $100,000 to the City of Birmingham, Alabama for industrial park development.

9. $60,000 to Homeplace in Marshall County, Alabama for the renovation of transitional housing.

10. $50,000 to the City of Lineville, Alabama for the renovation of a theater for community purposes.

11. $50,000 to Calhoun County, Alabama for the construction of the White Plains Youth Sports Complex.

12. $250,000 to the Clarke County Commission in Clarke County, Alabama for the development of an industrial park.

13. $250,000 to Troy University in Troy, Alabama for the establishment of a Center for International Business and Economic Development.

14. $350,000 to Jefferson County, Alabama for land acquisition and construction of the Red Mountain Greenway and Recreation Area.

15. $250,000 to the City of Graysville, Alabama for the Downtown Revitalization Project.

16. $150,000 to the City of Northport, Alabama for streetscape improvements.

17. $300,000 to Arkansas State University, in Mountain Home, Arkansas for construction, renovation, and build out of a multipurpose facility.

18. $250,000 to the Peace at Home Family Shelter in Fayetteville, Arkansas for the construction of transitional housing.

19. $100,000 to the City of Malvern, Arkansas for planning and design and construction of recreational facilities, and park improvements.

20. $100,000 to the Conway County Economic Development Corporation, Arkansas for renovation and build out of a historic building.

21. $775,000 to Chicanos Por La Causa in Phoenix, Arizona for land and facility acquisition, planning and design, construction, renovation and build out of facilities.

22. $400,000 to the Catholic Community Services of Southern Arizona in Sierra Vista, Arizona for the build out and expansion of a domestic violence center.

23. $250,000 to the City of Scottsdale, Arizona for renovations to the Vista del Camino Community Center.

24. $250,000 to the City of Globe, Arizona for streetscape improvements.

25. $250,000 to the City of Miami, Arizona for acquisition and renovation to affordable housing units.

26. $100,000 to The Dunbar Coalition in Tucson, Arizona for planning and design, construction, renovation and build out of a youth cultural center.

27. $500,000 to the Tri-Valley Housing Opportunity Center in Livermore, California for capitalization of a loan fund.

28. $300,000 to the Housing Trust of Santa Clara County, Inc., California for capitalization of loan funds for a homebuyer assistance program.

29. $100,000 to the City of Livermore, California for capitalization of a housing loan fund.

30. $150,000 to San Diego County, California for planning and design, construction, renovation and build out of facilities at Camp Lockett.

31. $80,000 to the Boys and Girls Club of San Bernardino, California for renovation and build out of the Delman Heights Community Center.

32. $1,000,000 to the City and County of San Francisco, California for demolition of structures, planning and design, and construction of new housing.

33. $550,000 to City College of San Francisco, California for planning and design, construction and build out of a multipurpose facility.

34. $500,000 to the City of Banning, California for renovations to the city-owned pool.

35. $500,000 to the City of Desert Hot Springs, California for infrastructure improvements to a new community center.

36. $500,000 to the City of Yucaupa, California for the design and construction of a multipurpose athletic facility at Crafton Hills College.

37. $500,000 to the Japanese Community Youth Council, San Francisco, California for construction, renovation and build out of a community center.

38. $400,000 to the City of Oroville, California for the construction and development of Memorial Park.

39. $400,000 to El Dorado County, California for infrastructure improvements to the Rubicon Trail.

40. $350,000 to the City of Highland, California for the restoration of the First Bank of Highland building for use as a museum.

41. $300,000 to the Los Angeles Gay and Lesbian Center, California for construction, expansion, renovation, and build out of a multipurpose facility.

42. $250,000 to the California Lutheran University in Ventura, California for the renovation and build out of the biomedical institute.

43. $250,000 to the East County Family YMCA in San Diego, California for the construction of the McGrath Family YMCA in East County San Diego.

44. $250,000 to San Mateo County Human Services Agency, California for acquisition, renovation and build out of affordable housing.

45. $250,000 to the Diamond Bar High School in Diamond Bar, California for renovations to the Diamond Bar High School Community Sports Field.

46. $250,000 to the County of Fresno, California for the construction of a vocational training facility in Mendota, California.

47. $250,000 to the City of Huntington Beach, California for the planning and construction of a senior center.

48. $200,000 to the Sacramento Food Bank and Family Services, California for construction and build out of a multipurpose facility.

49. $150,000 to the City of Santa Maria, California for construction, renovation, and build out of a library.

50. $150,000 to the San Diego Housing Commission, San Diego, California for construction, renovation, and build out of affordable housing units.

51. $150,000 to the Wattstar Theatre and Education Center, in the Los Angeles Federal Empowerment Zone, California for planning and design and construction of a multipurpose facility.

52. $150,000 to the City of La Puente, California for planning and design and construction of a nature education center for children.

53. $150,000 to the Jewish Home for the Aging in Reseda, California for renovation and build out of a multipurpose facility.

54. $150,000 to the City of Woodland, California for planning and design and construction of a multipurpose facility.

55. $150,000 to US Vets, in Inglewood, California for renovation and build out of a multipurpose facility.

56. $150,000 to the Western States Black Research and Educational Center, California for renovation and build out of a multipurpose facility.

57. $100,000 to the City of Los Angeles, California for improvements to MacArthur Park.

58. $100,000 to the Stanislaus Ag Center Foundation, in Modesto, California for planning and design and construction of a science center.

59. $100,000 to the Grand Vision Foundation in San Pedro, California for renovation and build out of a historic building.

60. $100,000 to the Allen Temple Housing & Economic Development Corp. in Oakland, California for renovation and build out of transitional housing.

61. $100,000 to the Children's Discovery Museum of San Jose, California for facility construction, renovation, and build out.

62. $100,000 to The Brewery Site, in Watts, California for planning and design, construction, renovation and build out of housing, and industrial park development.

63. $100,000 to the Fashion District Business Improvement District, in Los Angeles, California for signage and streetscape improvements.

64. $100,000 to the City of Artesia, California for planning and design and construction of a multipurpose facility.

65. $100,000 to the Community Action Partnership of Orange County, California for planning and design and construction of a multipurpose facility.

66. $100,000 to East San Gabriel Valley Japanese Community Center, California for renovation and build out of a multipurpose facility.

67. $100,000 to Marin County, California for planning and design and construction of a community center.

68. $100,000 to the Sonoma County Council on Aging Services, California for construction, renovation, and build out of multipurpose facilities.

69. $75,000 to the Asian Youth Center of San Gabriel, California for construction, expansion, renovation, and build out of a multipurpose facility.

70. $50,000 to the Southeast Rio Vista YMCA, in Los Angeles County, California for renovation and build out of facilities.

71. $650,000 to the City of Redding, California for the development of the Stillwater Business Park.

72. $250,000 to the City of Los Angeles, California for Valley Plaza area revitalization and streetscape improvements.

73. $100,000 to the City of Agoura Hills, California for land acquisition and park improvements.

74. $300,000 to the Santa Cruz, California Redevelopment Agency for building renovation and build out, and streetscape improvements.

75. $150,000 to the Baldwin Hills Regional Conservation Authority, California for park improvements.

76. $100,000 to the City of Alameda, California for streetscape improvements.

77. $400,000 to the Denver Rescue Mission Harvest Farm in Wellington, Colorado for facility construction and build out.

78. $350,000 to North Range Behavioral Health in Greeley, Colorado for facility construction.

79. $200,000 to the Lower Arkansas Valley Water Conservancy District, Colorado for planning and design, construction, renovation and build out of a multipurpose facility.

80. $100,000 to the Denver Rescue Mission, in Denver, Colorado for construction, renovation, and build out of a transitional shelter.

81. $100,000 to the Archuleta Housing Corporation, Colorado for construction, renovation, and build out of housing units.

82. $100,000 to the City of Pueblo, Colorado for construction, renovation, and build out of recreational facilities, park improvements, and streetscape improvements.

83. $100,000 to the National Sports Center of the Disabled (NSCD), Colorado for planning and design, construction, renovation and build out of a multipurpose facility.

84. $50,000 to the San Luis Valley Development Resources Group, Colorado for renovation and build out of multipurpose facilities.

85. $500,000 to the Town of Willington, Connecticut for the expansion of low income senior housing.

86. $500,000 to the YMCA of Vernon, Connecticut for the construction of a new facility.

87. $300,000 to the Central Connecticut Coast Young Men's Christian Association in New Haven, Connecticut for planning and design and construction of a community recreational facility on the Central Connecticut Shoreline.

88. $300,000 to the University of Hartford, Connecticut for renovation and build out of a historic building.

89. $300,000 to the Charles D. Smith Foundation in Bridgeport, Connecticut for the construction of mixed-income housing in Bridgeport, Connecticut.

90. $100,000 to the City of Ansonia, Connecticut for the demolition of blighted housing.

91. $100,000 to Farnum Neighborhood House in New Haven, Connecticut for renovation and build out of facilities serving low-income children.

92. $100,000 to the Chamberlain Heights Public Housing Development in Meriden, Connecticut for the construction of Head Start and Community Resource Centers in the Chamberlain Heights public housing development.

93. $100,000 to the Town of Plymouth, Connecticut for the Waterwheel Park Project.

94. $100,000 to Interlude, Inc. in Danbury, Connecticut for renovation of a current facility in Danbury.

95. $100,000 to the City of Waterbury, Connecticut for an environmental assessment planning study.

96. $100,000 to the Factory H Demolition and Remediation Project in Meriden, Connecticut for the demolition and remediation of Factory H.

97. $100,000 to the Simsbury Public Library in Simsbury, Connecticut for the renovation and build out of facilities.

98. $100,000 to the Bushnell Center for the Performing Arts in Hartford, Connecticut for renovation and build out of a nonprofit community arts center, and streetscape improvements.

99. $100,000 to the Environmental Learning Centers of Connecticut in Bristol, Connecticut for planning and design and construction of an educational facility.

100. $100,000 to the City of Waterbury, Connecticut for the removal of blighted structures.

101. $100,000 to the Capitol Area Food Bank in Washington, District of Columbia for planning and design and construction of a new facility.

102. $100,000 to the City of Bartow Community Redevelopment Agency in Bartow, Florida for the planning of a parking facility.

103. $500,000 to Santa Rosa County, Florida for the construction of a YMCA in Navarre, Florida.

104. $400,000 to the City of St. Petersburg, Florida for renovations to the historic Jordan School.

105. $250,000 to Miami-Dade College in Miami-Dade County, Florida for the construction of a library.

106. $250,000 to Collier County, Florida for the design and construction of a community center.

107. $250,000 to Edison and Ford Winter Estates in Fort Myers, Florida for the historic preservation of the Edison and Ford Winter Estates.

108. $250,000 to Bethune-Cookman College in Daytona Beach, Florida for facility renovations for the School of Nursing.

109. $250,000 to the City of Bartow Community Redevelopment Agency in Bartow, Florida for the construction of a parking facility.

110. $250,000 to the City of Marathon, Florida for construction of a facility.

111. $250,000 to the Central Florida Community College in Ocala, Florida for renovations to the Fine Arts Auditorium.

112. $250,000 to the City of Madeira Beach, Florida for the replacement of John's Pass Boardwalk.

113. $200,000 to Florida A & M, Miami Dade College, Florida for renovation and build out of facilities.

114. $200,000 to the Holocaust Documentation and Education Center in Hollywood, Florida for facility renovation and build out.

115. $150,000 to the Community Resource Center, in Jacksonville, Florida for renovation, build out, and redevelopment of an abandoned strip mall into a multipurpose facility.

116. $100,000 to the City of St. Petersburg, Florida for renovation and build out of a historic school building.

117. $100,000 to the Centro Mater Foundation in Hialeah, Florida for the construction of a facility.

118. $100,000 to the City of Tamarac, Florida for construction, expansion, renovation, and build out of a multipurpose facility.

119. $100,000 to the City of Treasure Island, Florida for the renovation of the Treasure Island Beach Trail.

120. $200,000 to the City of West Palm Beach, Florida for planning and design, and construction of the West Palm Beach Black Heritage Trail.

121. $100,000 to the Oglethorpe County Commission in Oglethorpe County, Georgia for planning a reservoir.

122. $400,000 to the Berrien County Development Authority in Berrien County, Georgia for the design and construction of a multi-purpose community building in downtown Nashville, Georgia.

123. $400,000 to the Tubman Museum in Macon, Georgia for construction and build out of a new building.

124. $300,000 to the Augusta, Georgia Brownfield Commission for industrial park development.

125. $150,000 to the Coastal Heritage Society in Savannah, Georgia for revitalization and repair of facilities.

126. $150,000 to the City of Riverdale, Georgia for planning and design and construction of a multipurpose facility.

127. $100,000 to the City of Cuthbert, Georgia for acquisition, construction, renovation and build out of recreational facilities.

128. $100,000 to the City of Plains, Georgia for planning and design and construction of a visitors center.

129. $100,000 to the SOWEGA Council on Aging, Georgia for planning and design and construction of a senior center.

130. $100,000 to Georgia State University for construction and build out of a university science park.

131. $100,000 to the Atlanta Botanical Gardens, Georgia for facility construction, renovation and build out of educational facilities.

132. $100,000 to DeKalb County, Georgia for planning and design and construction of recreation centers.

133. $250,000 to the Berrien County Development Authority in Enigma, Georgia for the expansion of a sewer system that will serve an industrial park.

134. $250,000 to America's 2nd Harvest of Coastal, Georgia for the purchase of two warehouse facilities.

135. $350,000 to the City of Valdosta, Georgia for streetscape improvements and the development of off-street parking.

136. $150,000 to Gwinnett County, Georgia for streetscape improvements in the Hill Area of Duluth, Georgia.

137. $150,000 to the Government of Guam for planning and design and construction of restroom area facilities and visitors centers.

138. $100,000 to the Waipahu Community Association, in Waipahu, Hawaii for land acquisition, construction, and renovation for the Waipahu Festival Marketplace.

139. $100,000 to the Young Women's Christian Association in Laniakea, Hawaii for facility renovation and build out.

140. $1,000,000 to the City of Humboldt, Iowa for the demolition of four former fertilizer plants.

141. $450,000 to the City of Fort Dodge, Iowa for the demolition of a structure.

142. $300,000 to the City of Des Moines, Iowa for land acquisition, demolition, remediation and site preparation, relating to the Riverpoint West Project.

143. $300,000 to the City of Des Moines, Iowa for land acquisition, demolition, site preparation, and industrial park development.

144. $250,000 to the Boys and Girls Clubs of Magic Valley in Twin Falls, Idaho for the construction of a facility in Buhl, Idaho.

145. $400,000 to the City of Rexburg, Idaho for streetscape improvements, pedestrian and wheelchair access along the river, and construction of recreational facilities.

146. $1,500,000 to the City of Chicago, Illinois for renovation and build out of a historic building in the Chicago Park District.

147. $500,000 to the Central Illinois Regional Museum in Peoria, Illinois for the planning, design, and construction of the Central Illinois Regional Museum.

148. $500,000 to the Glen Oak Zoo in Peoria, Illinois for the construction of the Africa Exhibit.

149. $400,000 to Wings Program, Inc., in Cook County, Illinois for facility construction, renovation, and build out.

150. $400,000 to the Village of Atkinson, Illinois for the Downtown Reconstruction Project.

151. $400,000 to the City of North Chicago, Illinois for the Sheridan Crossing Project.

152. $300,000 to the Rialto Square Theater in Joliet, Illinois for building renovations.

153. $250,000 to Home Sweet Home Ministries in Bloomington, Illinois for facility expansion and renovation.

154. $250,000 to Illinois College in Jacksonville, Illinois for the renovation of Whipple Hall.

155. $250,000 to the PeoriaNEXT Innovation Center in Peoria, Illinois for the construction of a bioscience and small business incubator.

156. $250,000 to the St. Elmo, Illinois Historical Society in St. Elmo, Illinois for converting a theater into a community center.

157. $250,000 to the Lawrenceville Mid American Airport in Lawrenceville, Illinois for the construction and rehabilitation of a community center at the Lawrenceville Mid American Airport.

158. $250,000 to the City of Greenville, Illinois for the construction of a business incubator.

159. $150,000 to the Institute of Puerto Rican Arts and Culture, in Chicago, Illinois for construction, renovation and build out of a facility.

160. $150,000 to the Village of Riverdale, Illinois for construction, renovation and build out of affordable housing.

161. $150,000 to the Village of East Hazel Crest, Illinois for planning and design and construction of a new community center.

162. $150,000 to ETA Creative Arts Foundation, Inc. in Chicago, Illinois for planning and design, construction, renovation and build out of a multipurpose facility.

163. $100,000 to the Quinn Chapel in Chicago, Illinois for renovation and build out of a historic building.

164. $100,000 to Saint Richard Parish, Illinois for construction, renovation and build out of a multipurpose facility.

165. $100,000 to the Black Ensemble Theater in Chicago, Illinois for planning and design and construction of a new multipurpose facility.

166. $300,000 to the Village of Sauget, Illinois for industrial park development.

167. $250,000 to the Stephenson County Board in Freeport, Illinois for development of the Mill Race Crossing Industrial Park.

168. $250,000 to the Northfield Park District in the Village of Northfield, Illinois for infrastructure improvements at Willow Park.

169. $500,000 to the City of South Bend, Indiana for the construction of an advanced research and business creation complex.

170. $500,000 to the City of Terre Haute, Indiana for the construction and development of a business incubator.

171. $250,000 to Memorial Coliseum Redevelopment in Marion, Indiana for renovations to Memorial Coliseum.

172. $250,000 to the City of Portland, Indiana for the construction of a park.

173. $250,000 to the Town of Highland, Indiana for trail improvements and streetscape improvements.

174. $100,000 to Madison Center in South Bend, Indiana for the planning of a new patient education center.

175. $100,000 to the Cass County Council on Aging in Logansport, Indiana for facility renovation and build out of a building in Logansport, Indiana.

176. $100,000 to the YMCA in Kokomo, Indiana for building repair and rehabilitation.

177. $500,000 to the Columbus Enterprise Development Center in Columbus, Indiana for the planning and construction of the Columbus Enterprise Development Center.

178. $250,000 to the City of Valparaiso, Indiana for streetscape improvements.

179. $100,000 to the City of Indianapolis, Indiana for revitalization and streetscape improvements.

180. $440,000 to World Class Technical Education and Training Center in Sedgwick County, Kansas for construction of a technical education and training center.

181. $250,000 to Youthville in Dodge City, Kansas for the construction of a facility on the Dodge City campus.

182. $150,000 to the Unified Government of Wyandotte County and Kansas City, Kansas for streetscape improvements and construction, renovation, and build out of multipurpose facilities in downtown Kansas City.

183. $1,000,000 to Whitley County, Kentucky for the expansion of the City of Williamsburg water and sewer line infrastructure.

184. $600,000 to the New Zion Community Foundation in Louisville, Kentucky for the construction and renovation of a multi-purpose facility.

185. $600,000 to Gilda's Club in Louisville, Kentucky for building renovations.

186. $500,000 to Wayside Christian Mission in Louisville, Kentucky for renovation of a facility.

187. $500,000 to Catholic Charities of Louisville, Kentucky for facility renovations.

188. $400,000 to Henry County Fiscal Court in Henry County, Kentucky for the construction and development of an industrial park.

189. $300,000 to Jewish Hospital and St. Mary's Foundation in Louisville, Kentucky for construction of facilities.

190. $250,000 to LaRue County Fiscal Court in Hodgenville, Kentucky for infrastructure renovations and build out of a museum.

191. $250,000 to WKU Small Business Accelerator in Bowling Green, Kentucky for the construction and build out of a small business accelerator.

192. $250,000 to the Heartland Commerce and Technology Park in Campbellsville, Kentucky for construction and build out of the Heartland Commerce and Technology Park.

193. $250,000 to Central Kentucky Agriculture and Exposition Center in Casey County, Kentucky for renovation and build out of the Central Kentucky Agriculture and Exposition Center.

194. $100,000 to Metcalfe County and the City of Edmonton, Kentucky for construction and renovation of a multi-county facility located on the Cumberland Parkway in Metcalfe County.

195. $50,000 to the City of Edmonton, Kentucky for the construction of facility at Edmonton Memorial Park.

196. $100,000 to the Mercer County, Kentucky Industrial Development Authority for industrial park development.

197. $300,000 to the Port of South Louisiana for construction and build out of a multipurpose facility.

198. $250,000 to Ascension Parish, Louisiana for the purchase of the Lamar Dixon Expo Center.

199. $250,000 to the City of Bogalusa, Louisiana for the construction of a facility.

200. $250,000 to the National Center for Community Renewal in Shreveport, Louisiana for facility renovations.

201. $200,000 to St. Bernard Port, Harbor, and Terminal District, Louisiana for renovation and build out of a multipurpose facility.

202. $150,000 to the City of Donaldsonville, Louisiana for planning and design and construction of a multipurpose facility, and streetscape improvements.

203. $70,000 to the Village of Loreauville, Louisiana for streetscape improvements.

204. $100,000 to Massachusetts' Cultural Coast for renovation and build out of facilities, in support of a tourism initiative.

205. $75,000 to the Town of Watertown, Massachusetts for an economic development planning study.

206. $400,000 to the City of New Bedford, Massachusetts for building demolition and clean-up at an abandoned industrial site.

207. $325,000 to CHC Family Center in Gardner, Massachusetts for renovation and build out of a multipurpose facility.

208. $325,000 to the Treehouse Foundation in Easthampton, Massachusetts for planning and design and construction of a multipurpose facility to serve children in foster care.

209. $325,000 to the Berkshire Museum in Pittsfield, Massachusetts for construction, expansion, renovation and build out of multipurpose facilities.

210. $275,000 to Mount Wachusett Community College in Fitchburg, Massachusetts for planning and design and construction of multipurpose facilities.

211. $275,000 to the Amherst Center for Stage and Screen, Inc. in Massachusetts for acquisition, renovation and build out of a multipurpose facility, as part of area redevelopment.

212. $250,000 to the Town of Boylston, Massachusetts for renovation and build out of a historic building.

213. $250,000 to Barrington Stage Company in Pittsfield, Massachusetts for renovation and build out of multipurpose facilities, as part of area redevelopment.

214. $200,000 to the Tri-City Community Action Program, Inc., in Malden, Massachusetts for renovation and build out of facilities.

215. $175,000 to Lesley College in Cambridge, Massachusetts for facility construction, renovation, and build out.

216. $175,000 to the Town of Holbrook, Massachusetts for construction, renovation and build out of a public library.

217. $175,000 to the City of Lynn, Massachusetts for planning and design, construction, renovation and build out of a recreational facility.

218. $150,000 to the Forsyth Institute in Boston, Massachusetts for construction and build out of a multipurpose facility.

219. $150,000 to the Methuen Arlington Neighborhood Center in Methuen, Massachusetts for planning and design and construction of a multipurpose facility.

220. $150,000 to the Urban League of Springfield, Massachusetts, Inc. for construction, renovation, and build out activities at a residential summer camp.

221. $100,000 to Year Up in Boston, Massachusetts for construction, renovation, and build out of multipurpose facilities.

222. $100,000 to the United Teen Equality Center (UTEC) in Lowell, Massachusetts for renovation and build out of a youth center.

223. $100,000 to the City of Northampton, Massachusetts for demolition, planning and design, and construction of affordable housing units.

224. $75,000 to the City of Boston, Massachusetts for renovation and build out of a historic building.

225. $75,000 to the Young Men's Christian Association of Barnstable, Massachusetts for construction, renovation, and build out of a multipurpose facility.

226. $75,000 to the Cape Cod Commercial Hook Fishermen's Association, in Chatham, Massachusetts for construction, renovation, and build out of an ocean science policy and education center.

227. $75,000 to the Town of Easton, Massachusetts for construction, renovation and build out of recreational facilities.

228. $75,000 to the City of Salem, Massachusetts for pier and seawall renovation, and streetscape improvements.

229. $500,000 to Historic St. Mary's City Commission, St. Mary's City, Maryland for construction, renovation, and build out of a historic facility.

230. $450,000 to the Catoctine Aqueduct Restoration Fund, Inc. in Point of Rocks, Maryland for the preservation and restoration of the Catoctine Aqueduct.

231. $150,000 to New Song Urban Ministries, Inc., in Baltimore, Maryland for facility construction, renovation and build out of a pre-school and community center.

232. $150,000 to the Town of Colmar Manor, Maryland for planning and design and construction of a multipurpose facility.

233. $100,000 to the Irvine Nature Center, Baltimore County, Maryland for relocation, planning and design, construction, and renovation of an environmental education facility.

234. $50,000 to the Westernport Heritage Society Museum in Westernport, Maryland for renovations to a facility.

235. $600,000 to the City of College Park, Maryland for land acquisition, planning and design, and construction of a parking facility.

236. $100,000 to Montgomery County, Maryland for sidewalk and streetscape improvements.

237. $150,000 to the City of Bangor, Maine for planning and design and construction of affordable housing for veterans and their dependents.

238. $100,000 to the Preble Street Resource Center, in Portland, Maine for planning and design, and construction of the Florence House Center for Homeless Women.

239. $500,000 to the City of Detroit, Michigan for the demolition of dangerous structures.

240. $500,000 to the Jewish Association for Residential Care of Farmington Hills, Michigan for the design and construction of energy efficient homes.

241. $300,000 to the Detroit Riverfront Conservancy in Detroit, Michigan for East Riverfront Development streetscape improvements.

242. $250,000 to Grand Valley State University in Muskegon, Michigan for improvements and renovations to the Field Station at the Annis Water Resources Institute.

243. $250,000 to the Crystal Lake Art Center in Frankfort, Michigan for facility renovations.

244. $250,000 to Presbyterian Villages of Michigan in Redford, Michigan for building renovations.

245. $250,000 to the Michigan Aerospace Foundation in Ann Arbor, Michigan for the construction of an Aviation Heritage Museum and Education Center at Willow Run Airport.

246. $200,000 to the Samaritan Center in Detroit, Michigan for renovation and build out of a multipurpose facility.

247. $190,000 to the Orion Veterans Memorial Fund in Orion, Michigan for the construction of the main monument.

248. $150,000 to The Wakefield Memorial Building Foundation in Wakefield, Michigan for renovation and build out of a historic building.

249. $150,000 to Focus: HOPE in Detroit, Michigan for building demolition, and facility renovation and build out.

250. $150,000 to Monroe County, Michigan for interior demolition, renovation, and build out of the Monroe Labor History Museum.

251. $150,000 to Eastern Michigan University in Ypsilanti, Michigan for renovation and build out of a multipurpose building, and revitalization of downtown Ypsilanti.

252. $150,000 to the Southfield, Michigan Youth Center Committee for construction, renovation and build out of a youth center.

253. $150,000 to the Detroit Zoological Society in Michigan for renovation and build out of science and education facilities.

254. $50,000 to the Detroit Wayne County Port Authority for a feasibility study for the renovation of the Cobo Center in Detroit, Michigan.

255. $150,000 to the Charter Township of Clinton, Michigan Downtown Development Authority for streetscape improvements.

256. $100,000 to the City of Trenton, Michigan for revitalization and streetscape improvements.

257. $100,000 to the Genesee County, Michigan Metropolitan Planning Commission for streetscape improvements.

258. $400,000 to the Mesabi Academy of KidsPeace in Buhl, Minnesota for construction, expansion, renovation and build out of a multipurpose youth services facility.

259. $250,000 to the Red Lake Band of Chippewa Indians in Red Lake, Minnesota for construction, renovation, and build out of a multipurpose complex.

260. $150,000 to the Cedar Riverside People's Center Medical Clinic in Minneapolis, Minnesota for renovation and build out of a neighborhood clinic.

261. $100,000 to the Center for Asians and Pacific Islanders (CAPI) in Minneapolis, Minnesota for renovation and build out of a social services facility.

262. $100,000 to the Boonville Economic Development Agency in Boonville, Missouri for the completion of a redevelopment plan.

263. $1,500,000 to Southeast Missouri State University in Cape Girardeau, Missouri for renovation and construction of the new River Campus.

264. $500,000 to the City of Springfield, Missouri for the construction of a community multi-purpose facility.

265. $400,000 to the Atchison County Memorial Building Foundation in Atchison County, Missouri for renovation of a historic building.

266. $200,000 to Brookfield Industrial Development in Brookfield, Missouri for construction and development of an industrial park.

267. $150,000 to the Black World History Museum in St. Louis, Missouri for facility upgrades, renovation, and build out.

268. $150,000 to the City of Raytown, Missouri for the demolition of an abandoned church.

269. $100,000 to the City of Lee's Summit, Missouri for construction of a senior center.

270. $100,000 to the City of Ste. Genevieve, Missouri for downtown revitalization and streetscape improvements.

271. $1,500,000 to the University of Mississippi in Oxford, Mississippi for the construction of the William Faulkner Museum.

272. $250,000 to the City of Port Gibson, Mississippi for construction, renovation, and build out of community centers.

273. $100,000 to Clarke County, Mississippi for industrial park development.

274. $250,000 to Montana State University in Billings, Montana for planning and construction of the West End library and information center.

275. $200,000 to the Harvest Community Foundation in Billings, Montana for the construction of a community center.

276. $50,000 to the Powell County Economic Development Corporation in Powell County, Montana for the rehabilitation of a building to reuse as a business incubator.

277. $500,000 to the TechRanch Technology Venture Center Incubator program in Bozeman, Montana for the expansion of the Technology Venture Center.

278. $200,000 to the Community Reinvestment Association of North Carolina for capitalization of a housing loan fund.

279. $750,000 to the University of North Carolina at Asheville in Asheville, North Carolina for construction of a science and multimedia building.

280. $500,000 to Eblen Charities of Asheville, North Carolina for construction of a multiuse facility in western North Carolina.

281. $500,000 to the Winston-Salem Industries for the Blind in Asheville, North Carolina for the construction and build out of a facility.

282. $300,000 to the City of Monroe, North Carolina for the conversion of the historic Old Armory Building into a community center.

283. $250,000 to the Graveyard of the Atlantic Museum in Hatteras, North Carolina for facility construction.

284. $250,000 to Western Piedmont Community College, in Morganton, North Carolina for construction of a building.

285. $200,000 to the City of Raeford, North Carolina for streetscape improvements.

286. $200,000 to Child Care Services Association in Durham, North Carolina for planning and design and construction of a child care resource center.

287. $200,000 to Family House at UNC Hospitals, in Chapel Hill, North Carolina for planning and design and construction of a multipurpose facility.

288. $150,000 to Bennett College for Women in North Carolina for renovation and build out of historic buildings.

289. $100,000 to the Wilson Community Improvement Association, in Wilson, North Carolina for planning and design, construction, renovation, and build out of a senior center.

290. $100,000 to the City of Raleigh, North Carolina for streetscape improvements and construction of multipurpose facilities.

291. $100,000 to Wake County, North Carolina for planning and design and construction of a multipurpose facility.

292. $100,000 to the John Avery Boys and Girls Club, Inc. in Durham, North Carolina for construction, expansion, renovation and build out of a multipurpose facility.

293. $75,000 to the African American Cultural Center in Wilmington, North Carolina for renovation and build out of the facility.

294. $250,000 to Gaston County, North Carolina for the expansion of the Gaston County Technology Park.

295. $100,000 to the University of North Dakota for planning and design and construction of a multipurpose facility.

296. $500,000 for Girls and Boys Town USA of Boys Town, Nebraska for construction and renovation of facilities.

297. $400,000 to the City of Lincoln, Nebraska for the Antelope Valley Project.

298. $300,000 to the City of Nashua, New Hampshire for streetscape improvements.

299. $300,000 to the Crotched Mountain Foundation in Greenfield, New Hampshire for construction of the TRUST Center.

300. $500,000 to Family Services of Morris County in Morristown, New Jersey for construction of a new program center.

301. $350,000 to the College of Saint Elizabeth in Madison, New Jersey for the renovation of Henderson Hall.

302. $250,000 to Essex County, New Jersey for planning and design, construction, renovation and build out of multipurpose facilities.

303. $250,000 to the City of Newark, New Jersey for downtown revitalization, park improvements, and streetscape improvements.

304. $250,000 to The School for Children with Hidden Intelligence in Lakewood, New Jersey for the construction of a new school building.

305. $250,000 to Isles, Inc. of Trenton, New Jersey for the redevelopment of a historic textile mill located on the border of Trenton and Hamilton.

306. $170,000 to the Borough of High Bridge, New Jersey for facility renovations.

307. $150,000 to Rutgers University-Camden, in Camden, New Jersey for planning and design and construction of a new multipurpose facility.

308. $150,000 to William Paterson University in Wayne, New Jersey for planning and design and construction of a multipurpose facility.

309. $150,000 to the Visiting Nurses Association of Central New Jersey in Red Bank, New Jersey for building renovation and build out of a facility in Manasquan, New Jersey.

310. $100,000 to the Village of Ridgewood, New Jersey for restoration of the historic Ridgewood Village train station.

311. $100,000 to the Township of Delaware, New Jersey for planning and design and construction of a new community center.

312. $100,000 to Essex County, New Jersey for construction, renovation and build out of recreational and tourist facilities.

313. $100,000 to Broadway House for Continuing Care, in Newark, New Jersey for construction, expansion, renovation and build out of a multipurpose facility.

314. $250,000 to Altantic County, New Jersey for design and development of an industrial park.

315. $200,000 to Union County, New Jersey for industrial park development activities.

316. $300,000 to the City of West Milford, New Jersey for streetscape improvements.

317. $150,000 to Rutgers University for planning and design, construction, renovation and build out of facilities.

318. $150,000 to Cliffside Park, New Jersey for streetscape improvements.

319. $500,000 to the Village of Tijeras, New Mexico for the construction of a senior center.

320. $400,000 to South Valley Community Dental in Albuquerque, New Mexico for construction of a new facility.

321. $300,000 to Enlace Comunitario in Albuquerque, New Mexico for construction of a facility.

322. $100,000 to the Pueblo of Santa Clara, New Mexico for planning and design and construction of a multipurpose facility.

323. $250,000 to the Anthony-Berino Economic Development Corp. in Anthony, New Mexico for land acquisition and development of an industrial park.

324. $500,000 to Opportunity Village in Las Vegas, Nevada for construction of an Employment & Training Center and an Arts & Enrichment Center.

325. $100,000 to the City of North Las Vegas, Nevada for planning and design and construction of a multipurpose facility.

326. $100,000 to the City of Rochester, New York for planning and expansion of the High Falls Film Festival, in support of the economic redevelopment of downtown Rochester.

327. $500,000 to the Town of Fort Edward, New York for construction of the Rogers Island Museum and educational facility.

328. $500,000 to the Franklin D. Roosevelt Presidential Library in Hyde Park, New York for facility renovations.

329. $450,000 to the Metropolitan Council on Jewish Poverty in New York, New York for planning and design, construction, renovation, and build out of affordable housing.

330. $400,000 to the Rome Community Brownfield Restoration Corporation in Rome, New York for the redevelopment of the former Rome Cable facility.

331. $400,000 to Putnam County, New York for the construction of a senior center.

332. $350,000 to Orange County, New York for the restoration and historic preservation of the Delaware and Hudson Canal.

333. $300,000 to the Sephardic Community Center in Brooklyn, New York for the renovation and build out of facilities.

334. $250,000 to Keuka College in Keuka Park, New York for the renovation of Ball Hall.

335. $250,000 to St. Bonaventure University in Allegany, New York for building construction and renovation.

336. $250,000 to the Strand Theater Arts Center in Plattsburgh, New York for the conversion of the Strand Theater into a performing arts center.

337. $250,000 to Hamilton County, New York for the Wakely Lodge.

338. $250,000 to Orleans County Cornell Cooperative Extension in Albion, New York for construction of an education center at the Orleans County fairgrounds.

339. $250,000 to the New York State Education and Research Network in Syracuse, New York for the construction and renovation of a disaster recovery and business continuation facility in Syracuse, New York.

340. $200,000 to the Children's Museum in Utica, New York for building renovations.

341. $200,000 to the Unity House of Troy, Inc., Troy, New York for renovation and build out of a multipurpose facility.

342. $200,000 to the Amherst Youth Foundation in Amherst, New York for renovations to the Independent Health Youth & Family Center in Williamsville, New York.

343. $200,000 to the New York City College of Technology for renovation and build out of facilities.

344. $200,000 to Gouverneur Health Services in New York, New York for construction, renovation and build out of a nursing facility.

345. $150,000 to the City University of New York, Queens, in Queens, New York for museum construction, renovation, and build out.

346. $150,000 to the Mt. Vernon Public Library in Mt. Vernon, New York for renovation and build out.

347. $150,000 to the Hudson Guild Fulton Center, New York, New York for construction, renovation and build out of a community services center.

348. $150,000 to the Brooklyn Children's Museum in Brooklyn, New York for facility construction, renovation, and build out.

349. $150,000 to the City College of New York for planning and design, construction, renovation and build out of multipurpose facilities.

350. $150,000 to the Kips Bay Boys and Girls Club West Bronx Clubhouse in New York, New York for renovation and build out of a youth facility.

351. $150,000 to Southside United Housing in Brooklyn, NY for renovation and build out of housing.

352. $150,000 to Greenpoint Manufacturing Design Center in Brooklyn, New York for planning and design, construction, renovation, and build out of multipurpose facilities, industrial park development, and streetscape improvements.

353. $150,000 to the Syracuse Symphony Orchestra in Syracuse, New York for renovations to the Crouse-Hinds Theatre in the Mulroy Civic Center.

354. $150,000 to the Catalpa, New York YMCA for renovation and build out of a multipurpose facility.

355. $100,000 to Veterans of Foreign Wars Post #4927, in Centereach, New York for building renovation and build out.

356. $100,000 to the Boys and Girls Club of Geneva Inc. in Geneva, New York for the construction of a facility.

357. $100,000 to the Harding Community Center in the Bronx, New York for construction, renovation, and build out of a multipurpose facility.

358. $100,000 to the Town of Orchard Park, New York for park and streetscape improvements, and planning and design and construction of a facility.

359. $100,000 to Orange County Community College in Newburgh, New York for planning and design and construction of a multipurpose facility.

360. $100,000 to the Sayville, New York American Legion Post for renovation and build out of a historic building.

361. $100,000 to Mount Pleasant, New York for renovation and build out of a public library.

362. $100,000 to the University at Albany, State University of New York for facility renovation and build out.

363. $100,000 to the USS Slater Destroyer Escort Historical Museum in Albany, New York for preservation and upgrades.

364. $100,000 to New York Families for Autistic Children (NYFAC), Inc., in Ozone Park, New York for planning and design and construction of a multipurpose facility.

365. $100,000 to Alianza Dominicana, in New York, New York for planning and design, construction, renovation and build out of a multipurpose facility.

366. $100,000 to the Village of Lewiston, New York for construction, renovation, and build out of multipurpose facilities, park improvements, and streetscape improvements.

367. $100,000 to the Columbia County, New York Agricultural Association for renovation of the Main Fair House.

368. $100,000 to the Delaware County E-Center in Delhi, New York for the construction of a small business incubator.

369. $100,000 to Common Ground Community in New York, New York for renovation and build out of multipurpose facilities.

370. $75,000 to St. Anselm's Church and School, Bronx, New York for facility renovation and build out.

371. $75,000 to Fordham University in New York, New York for planning and design and construction of a multipurpose facility.

372. $500,000 to WAMC Northeast Public Radio in Albany, New York for facilities expansion and rehabilitation.

373. $300,000 to the Town of Clarkstown, New York for mainstreet revitalization and streetscape improvements.

374. $200,000 to the Gerry Foundation, Inc. in Liberty, New York for building demolition and streetscape improvements.

375. $200,000 to Group Ministries, Inc., in Buffalo, New York for renovation and build out of a multipurpose facility.

376. $100,000 to the Town of Harrison, New York for downtown revitalization and streetscape improvements.

377. $100,000 to the Village of Elmsford, New York for mainstreet revitalization and streetscape improvements.

378. $100,000 to the Village of Bellerose, New York for park and streetscape improvements.

379. $500,000 to the University of Cincinnati in Cincinnati, Ohio for construction of the Medical Sciences Building.

380. $500,000 to the City of Cincinnati, Ohio for remediation of the Phase I redevelopment.

381. $500,000 to the City of Springfield, Ohio for land acquisition and relocation and demolition of residential and commercial properties.

382. $500,000 to the Neighborhood Housing Partnership in Springfield, Ohio for the acquisition and redevelopment of blighted properties within the boundaries of Selma Road, Drexel Avenue, Clifton Avenue, and Euclid Avenue.

383. $500,000 to HAP Community Action in Glouster, Ohio for the construction of a building.

384. $500,000 to the Audubon Society in Columbus, Ohio for the construction of a new Audubon Nature Center on the Whittier Peninsula.

385. $500,000 to the Franklin Park Conservatory in Columbus, Ohio for the renovation and construction of facilities.

386. $300,000 to the Springfield Arts Council in Springfield, Ohio for the construction of the west plaza comfort station.

387. $300,000 to Ross County, Ohio for development of an industrial park and multipurpose building.

388. $250,000 to the Marsh Foundation in Van Wert, Ohio for building renovations to a facility.

389. $250,000 to the St. Mary Development Corporation in Dayton, Ohio for the demolition of blighted properties and streetscape improvements.

390. $250,000 to the St. Mary Development Corporation in Dayton, Ohio for building demolition.

391. $250,000 to Wright State University in Fairborn, Ohio for the construction of a Creative Arts Center Annex.

392. $200,000 to the University of Toledo in Ohio for construction, renovation, and build out of a Clean and Alternative Energy Center.

393. $200,000 to Carroll County, Ohio for the construction of a community center.

394. $200,000 to the Youngstown, Ohio Central Area Community Improvement Corp. for planning and design, construction, renovation and build out of a multipurpose facility.

395. $175,000 to the Union County Veterans Remembrance Committee in Union County, Ohio for the construction of a veterans monument.

396. $100,000 to Starr Commonwealth in Van Wert, Ohio for building renovations to a facility.

397. $100,000 to the Village of Jamestown, Ohio for building renovations to the Jamestown Opera House.

398. $100,000 to the Goodrich Gannett Neighborhood Center in Cleveland, Ohio for construction, expansion, renovation and build out of facilities.

399. $100,000 to Connecting Point in Toledo, Ohio for planning and design, construction, renovation and build out of community services facilities.

400. $100,000 to the West Creek Preservation Committee in Parma, Ohio for renovation and build out of a historic building.

401. $500,000 to the Stark County Park District in Bethlehem Township, Pennsylvania for the acquisition of land in Bethlehem Township, Ohio for the purposes of developing a new park.

402. $500,000 to the City of Green, Ohio for the Southgate Farm Acquisition project.

403. $100,000 to the City of Lorain, Ohio for building acquisition, renovation, and build out.

404. $250,000 to the City of Lebanon, Ohio for streetscape improvements.

405. $400,000 to the American Indian Cultural Center and Museum in Oklahoma City, Oklahoma for the construction of the American Indian Cultural Center and Museum.

406. $350,000 to the Oklahoma City National Memorial Foundation in Oklahoma City, Oklahoma for the construction of the Oklahoma City Memorial.

407. $250,000 to the Ardmore Community Resources Center in Ardmore, Oklahoma for the construction of Phase 2 of the development of a community resource center.

408. $250,000 to the Cherokee Strip Regional Heritage Center in Enid, Oklahoma for facility renovation and build out.

409. $100,000 to Eastern Oklahoma State College, in Wilburton, Oklahoma for construction and renovation of a multipurpose facility.

410. $75,000 to the City of Astoria, Oregon for planning and design and construction of a Chinese heritage park.

411. $100,000 to the City of Eugene, Oregon for demolition, planning and design, construction, renovation, and build out of a field science laboratory at the West Eugene Wetlands Education Center.

412. $100,000 to Depoe Bay Neighbors for Kids, Depoe Bay, Oregon for construction, renovation and build out of a facility designed to provide educational and recreational activities for children.

413. $100,000 to the Community College of Philadelphia, Pennsylvania for the expansion of the Northeast Regional Center.

414. $500,000 to Montgomery County Community College in Blue Bell, Pennsylvania for construction of a facility.

415. $350,000 to the Titusville YMCA in Titusville Pennsylvania for building renovations.

416. $310,000 to the Waynesburg College Center in Pennsylvania for construction of a multipurpose facility.

417. $300,000 to the Jefferson Square Community Development Corporation, in Philadelphia, Pennsylvania for planning and design, construction, renovation and build out of housing.

418. $300,000 to the City Wide Youth Agency in Philadelphia, Pennsylvania for planning and design, construction, renovation, and build out of multipurpose facilities.

419. $300,000 to Armstrong County, Pennsylvania for rebuilding the Belmont Complex.

420. $250,000 to the Lafayette College in Easton, Pennsylvania for streetscape improvements.

421. $250,000 to the Butler Penn Theater Community Trust in Butler, Pennsylvania for facility planning, construction, and redevelopment.

422. $250,000 to EDC Finance Corporation of Lancaster, Pennsylvania for the demolition and remediation of the decommissioned Armstrong World Industries plant.

423. $250,000 to the Carlisle Regional Performing Arts Center in Carlisle, Pennsylvania for the renovation of the Carlisle Theater.

424. $250,000 to the Greater Honesdale Partnership, Wayne County, Pennsylvania in Honesdale, Pennsylvania for the purchase and reconstruction of a building.

425. $250,000 to the Central Bradford Progress Authority in Towanda, Pennsylvania for the acquisition or construction of an economic development facility.

426. $250,000 to the Factoryville Borough/Clinton Joint Municipal Authority in Factoryville Borough, Pennsylvania for the extension of sewer lines for the expansion of Keystone College.

427. $240,000 to Pennsylvania Highlands Community College for construction, renovation and build out of a multipurpose facility.

428. $200,000 to the University of Pittsburgh at Greensburg, Pennsylvania for the expansion of McKenna Hall.

429. $200,000 to Greene County, Pennsylvania for construction, renovation and build out of recreational facilities.

430. $200,000 to the Pennsylvania Hunting and Fishing Museum in Tionesta, Pennsylvania for construction and renovation of a facility.

431. $200,000 to Downtown Lewistown, Inc. in Lewistown, Pennsylvania for the redevelopment, build out, and renovation of a former regional bank headquarters building.

432. $200,000 to Widener University's Small Business Center in Chester, Pennsylvania for renovations to the Small Business Development Center.

433. $100,000 to LaSalle University in Philadelphia, Pennsylvania for capitalization of a loan fund.

434. $100,000 to the Focus on Renewal Cultural Arts Center, in McKees Rocks, Pennsylvania for planning and design and construction of a recreational and education facility.

435. $100,000 to the Bucks County Pennsylvania Community College, Lower Bucks Campus in Bristol Township, Pennsylvania for the construction of a permanent campus.

436. $100,000 to the Churchville Nature Center in Bucks County, Pennsylvania for the construction and build out of the Churchville Nature Center.

437. $100,000 to the Self Help Movement in Philadelphia, Pennsylvania for renovations of a facility.

438. $100,000 to the FM Kirby Center in Wilkes Barre, Pennsylvania for facility renovation and build out of a historic building.

439. $100,000 to the Northern Blair County Recreation Commission in Antis Township, Pennsylvania for construction of fitness center, recreational sports fields and other enhancements to recreational facilities in Antis Township, Pennsylvania.

440. $100,000 to the Fayette County Agricultural Improvement Association in Dunbar, Pennsylvania for renovations and build out of an outdoor arena that is used for the county fair.

441. $75,000 to the Ambler Theater in Ambler, Pennsylvania for facility construction, renovation and build out, and handicap-accessibility improvements, for a nonprofit community theater.

442. $50,000 to the Lower Bucks County Chapter of Disabled American Veterans 117 in Bucks County, Pennsylvania for renovation and build out of a facility in Bucks County, Pennsylvania.

443. $50,000 to the Caldonia Theater Company in Fayetteville, Pennsylvania for facility renovations.

444. $300,000 to the Municipality of Monroeville, Pennsylvania for streetscape improvements.

445. $100,000 to the Borough of Robesonia, Pennsylvania for streetscape improvements.

446. $75,000 to the Mayfair Community Development Corporation in Philadelphia, Pennsylvania for construction, renovation, and build out of a multipurpose facility, and streetscape improvements.

447. $250,000 to the Municipality of Yauco, Puerto Rico for the construction of low income housing units.

448. $150,000 to the Dr. Martin Luther King, Jr. Community Center in Newport, Rhode Island for renovation and build out of a community center.

449. $150,000 to the City of Central Falls, Rhode Island for park improvements and renovation and build out of facilities.

450. $100,000 to Rhode Island College for renovation and build out of a multipurpose facility.

451. $100,000 to Greenwood County, South Carolina for the construction of a library.

452. $400,000 to the Township of Rembert, South Carolina for planning and design and construction of a community center.

453. $250,000 to the City of Charleston, South Carolina for the construction of the Spirit of South Carolina.

454. $250,000 to the City of Charleston, South Carolina for improvements to the Spring Street/Fishburne Street drainage basin.

455. $150,000 to the Choppee Regional Resource Center in Georgetown County, South Carolina for planning and design and construction of a multipurpose facility.

456. $150,000 to the Richland County Recreation Commission in Columbia, South Carolina for construction, expansion, renovation and build out of a multipurpose facility.

457. $150,000 to Williamsburg County, South Carolina for renovation and build out of multipurpose facilities.

458. $150,000 to the city of Walterboro, South Carolina for planning and design and construction of a multipurpose facility, and streetscape improvements.

459. $150,000 to the Progressive Club in John's Island, South Carolina for renovation and build out of a multipurpose facility.

460. $150,000 to the Brainerd Institute Foundation in Chester, South Carolina for renovation and build out of multipurpose facilities.

461. $150,000 to Chester County, South Carolina Council for planning and design and construction of a multipurpose facility.

462. $150,000 to the City of Rock Hill, South Carolina for planning and design, construction, renovation, and build out of multipurpose facilities, industrial park development, and streetscape improvements.

463. $100,000 to the City of North Charleston, South Carolina for planning and design, construction, renovation and build out of multipurpose facilities.

464. $400,000 to The Wakpa Sica Reconciliation Place in Ft. Pierre, South Dakota for facility construction and build out.

465. $100,000 to Saint Joseph's Indian School in Chamberlain, South Dakota for planning and design and construction of facilities.

466. $100,000 to the City of Jackson, Tennessee for construction, renovation, and build out of recreational facilities, and park improvements.

467. $400,000 to the Oak Ridge Nanotechnology Commercialization Center in Oak Ridge, Tennessee for the construction of the Oak Ridge Nanotechnology Commercialization Center.

468. $150,000 to the African American History Foundation of Nashville, Tennessee for planning and design and construction of a museum.

469. $150,000 to Overton County, Tennessee for planning and design and construction of a new library.

470. $100,000 to Roane State Community College in Harriman, Tennessee for planning and design, construction and build out of a business incubator center.

471. $100,000 to Lemoyne-Owen College in Memphis, Tennessee for planning and design and construction of housing.

472. $100,000 to Cannon County, Tennessee for downtown revitalization and streetscape improvements.

473. $850,000 to the John Nance Garner Museum in Uvalde, Texas for building renovations.

474. $750,000 to the City of Temple, Texas for the acquisition and renovation of a facility.

475. $750,000 to Southwestern University in Georgetown, Texas for the construction of the Center for Lifelong Learning.

476. $600,000 to the City of Bellmead, Texas for facility construction, renovation and build out.

477. $400,000 to the City of Fort Worth, Texas for facility design, construction, and property acquisition as part of the Trinity River Vision Plan.

478. $250,000 to the City of Arlington Chamber of Commerce in Arlington, Texas for the construction of the Entrepreneur Center.

479. $250,000 to the Hearne Economic Development Corp., in Hearne, Texas for renovation, build out, and conversion of historic Camp Hearne facilities.

480. $250,000 to Texas College Tyler, Texas for the construction of the Texas College Single Parent Support Learning Complex.

481. $150,000 to the Mt. Zion Federal Credit Union in San Antonio, Texas for purchase, construction, renovation, and build out of a facility.

482. $150,000 to Harris County Precinct Three, Texas for construction and build out of a multipurpose facility.

483. $150,000 to the Houston Hispanic Forum in Texas for construction, renovation and build out of a new Hispanic Cultural and Educational Center.

484. $150,000 to the Port of Brownsville, Texas for planning and design and construction of a dock facility.

485. $100,000 to the Southwest Key Program, Inc., in Austin, Texas for planning and design and construction of a multipurpose facility.

486. $100,000 to the Houston Zoo in Texas for planning and design and construction of an educational facility.

487. $100,000 to the City of San Juan, Texas for planning and design and construction of a new library.

488. $100,000 to the Houston Zoo in Houston, Texas for the construction of the Outdoor Life Science Learning Center.

489. $100,000 to the El Paso, Texas History Museum for construction, renovation and build out of a museum.

490. $100,000 to the El Paso, Texas Empowerment Zone for planning and design and construction of multipurpose facilities, and streetscape improvements.

491. $100,000 to the City of San Antonio, Texas for planning and design and construction of a pedestrian bridge, and streetscape improvements.

492. $225,000 to Southern Utah University for planning and design and construction of facilities, in connection with the USF Center project.

493. $225,000 to the Western Mining and Railroad Museum in Helper, Utah for planning and design, construction, renovation and build out of the facility.

494. $500,000 to the Virginia Holocaust Museum in Richmond, Virginia for facility construction and renovation.

495. $400,000 to the Bayview Citizens for Social Justice, Inc. in Bayview, Virginia for the construction of two multi-purpose buildings.

496. $250,000 to the Fairfax County, Virginia Park Authority for revitalization of Ossian Park in Annandale, Virginia.

497. $250,000 to the City of Chesapeake, Virginia for development and construction of Heritage Park.

498. $250,000 to the Art Museum of Western Virginia in Roanoke, Virginia for the construction of a new facility.

499. $250,000 to Shenandoah University in Winchester, Virginia for the construction of a business school.

500. $180,000 to the Historic Roanoke City Market in Roanoke, Virginia for facility renovations.

501. $150,000 to the Russell County, Virginia Industrial Development Authority for construction, renovation, and build out of a technology workforce training center in Lebanon, Virginia.

502. $150,000 to the Arlington, Virginia Housing Corporation for planning and design and construction of multipurpose facilities, and outdoor improvements.

503. $150,000 to St. Paul's Episcopal Church in Alexandria, Virginia for renovation and build out of a multipurpose facility.

504. $100,000 to the Town of Clarksville, Virginia for construction of the Clarksville Community Center.

505. $100,000 to the Town of Rocky Mount, Virginia for the Crooked Road Project.

506. $100,000 to the Bassett Historical Center in Henry County, Virginia for facilities construction.

507. $100,000 to Schuyler Community Center in Nelson County, Virginia for structural repairs to the Schuyler Community Center.

508. $75,000 to the Town of Boydton, Virginia for the continuation of the revitalization of the central business district.

509. $70,000 to the Shenandoah County, Virginia Performing Arts Center for the renovation of the Edinburg School as it converts into the Shenandoah County Performing Arts Center.

510. $50,000 to Fairfax County, Virginia Park Authority for field improvements in Annandale, Virginia.

511. $50,000 to the Clarksville Fine Arts Center in Clarksville, Virginia for facility renovations.

512. $150,000 to Henrico County, Virginia for land acquisition, planning and design, and construction of a memorial and visitors center.

513. $100,000 to the Government of the U.S. Virgin Islands for planning and design and construction of a visitors center.

514. $150,000 to Champlain Valley, Vermont Agency on Aging for construction, renovation and build out of senior centers.

515. $100,000 to the Snohomish County, Washington Economic Development Commission for economic development planning activities.

516. $250,000 to Virtual Possibilities Network in Spokane, Washington for expansion and upgrades to infrastructure and supporting ancillary applications.

517. $150,000 to the Seattle, Washington Housing Authority for planning and design and construction of a multipurpose facility.

518. $100,000 to the Washington Technology Center in Vancouver, Washington for facility renovation and build out.

519. $100,000 to the Nisqually Indian Tribe, in Washington state for site preparation, in advance of economic development activities.

520. $100,000 to the Hamilton, Washington Public Development Authority for land acquisition, planning and design, and construction of housing and infrastructure, to assist in the redevelopment of Hamilton, Washington.

521. $300,000 to the North Central Wisconsin Regional Planning Commission for capitalization of a revolving loan fund.

522. $250,000 to Impact Seven in Almena, Wisconsin for land acquisition, planning and design, construction, renovation and build out of multipurpose facilities.

523. $250,000 to the City of Cedarburg, Wisconsin for the demolition of a former manufacturing facility.

524. $200,000 to the Hudson Area Joint Library in Hudson, Wisconsin for planning and design and construction of a new library.

525. $200,000 to the Marshfield, Wisconsin Area Chamber of Commerce for capitalization of a revolving loan fund.

526. $150,000 to the Madison Development Corporation, in Madison, Wisconsin for facility development and equipment purchase and installation.

527. $150,000 to the Second Harvest Foodbank of Southern Wisconsin, in Madison, Wisconsin for facility renovation, build out, and construction.

528. $150,000 to the Metropolitan Business Collaborative in Milwaukee, Wisconsin for planning and design and construction of a multipurpose facility.

529. $150,000 to the Garfield Park Development LLC in Milwaukee, Wisconsin for industrial park development.

530. $100,000 to the Chippewa Valley Technical College in Eau Claire, Wisconsin for planning and design, construction, renovation and build out of a multipurpose facility.

531. $300,000 to Marshall University in Point Pleasant, West Virginia for the construction and build out of the Marshall Mid-Ohio Valley Center.

532. $200,000 to the Kanawha Valley YMCA in Charleston, West Virginia for facility renovations and build out.

533. $150,000 to the Southern West Virginia Community and Technology College for construction, renovation and build out of a multipurpose facility.

534. $100,000 to the City of Romney, West Virginia for the renovation and conversion of the Coca Cola bottling plant into a culture and arts center.

535. $100,000 to the Marion County, West Virginia Vietnam Veterans Memorial, Inc. for facilities construction and renovation and build out of a community center.

536. $100,000 to the Metropolitan Theatre Foundation in Morgantown, West Virginia for construction, renovation and build out of facilities.

537. $100,000 to the City of Weirton, West Virginia for planning and design, construction, renovation, and build out of facilities.

538. $100,000 to the Monongalia County, West Virginia Schools Foundation, Inc. for construction of recreational facilities.

539. $100,000 to the West Virginia Northern Community College in Wheeling, West Virginia for planning, design, construction, renovation and build out of facilities.

540. $100,000 to the City of Clarksburg, West Virginia for planning associated with economic revitalization of the area.

541. $100,000 to Alderson-Broaddus College in Philippi, West Virginia for planning and design, construction, renovation, and build out of facilities.

542. $100,000 to Connected Technologies Corridors, Inc. in Beckley, West Virginia for construction, renovation and build out of multipurpose facilities.

543. $250,000 to Ark Regional Services of Laramie, Wyoming for construction of a facility.

544. $250,000 to the Dubois Community Project, Inc. of Dubois, Wyoming for the construction, renovation, and build out of facilities.

The Committee directs HUD to implement the Neighborhood Initiatives program as follows:

1. $600,000 to Center for Creative Land Recycling in San Francisco, California for technical assistance for land remediation and redevelopment.

2. $400,000 to Westfield Vocational/Technical High School in Westfield, Massachusetts for upgrading facilities and equipment.

3. $750,000 to Walsh College in Troy, Michigan for the construction of a main campus library.

4. $1,000,000 to the Neighborhood Initiative Program in Syracuse, New York for the continuation of the Neighborhood Initiative Program.

5. $375,000 to the Metropolitan Development Association in Syracuse, New York for the continuation of the Essential New York Initiative.

6. $1,250,000 to Bucks County Community College in Bucks County, Pennsylvania for facilities design and construction.

7. $750,000 to Pennsylvania Highlands Community College for land acquisition, planning and design, construction, renovation, and build out of facilities.

8. $2,000,000 to the City of Charleston, South Carolina for planning and design, construction and build out of the City of Charleston's International African American Museum.

9. $250,000 to NWCEP, Inc. in Ashland, Wisconsin for education and training, emergency assistance, and related services for displaced workers and their families.

The Committee agrees with the Administration's proposal to shift the Youthbuild program to the Department of Labor. This move will allow for better management of the program and is more aligned with the objectives of that department.

Additionally, the Committee has maintained the formula program at the highest possible level for fiscal year 2007, consistent with the need to fund Section 8 rental assistance programs, meet the public housing operating expenses administered by public housing authorities, as well as the housing programs for the elderly and disabled. This effort has been complicated by what can only be described as the Administration's arbitrary cut to the CDBG program. The Administration has justified the proposed reduced funding level relative to fiscal year 2006 as part of a reform of the program to be coupled with a change to the formula for distributing funds. Yet despite months of lead time prior to the submission of the Administration's budget request, it has failed to deliver a reform proposal in time to be considered and acted on by the relevant committees of jurisdiction.

COMMUNITY DEVELOPMENT LOAN GUARANTEES PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)


------------------------------------------------
------------------------------------------------
Program cost:                                   
 Appropriation, fiscal year 2006     $3,713,000 
 Budget request, fiscal year 2007         - - - 
 Recommended in the bill                  - - - 
 Bill compared with:                            
  Appropriation, fiscal year 2006    -3,713,000 
  Budget request, fiscal year 2007        - - - 
Limitation on Guaranteed loans:                 
 Appropriation, fiscal year 2006   $137,500,000 
 Budget request, fiscal year 2007         - - - 
 Recommended in the bill                  - - - 
 Bill compared with:                            
  Appropriation, fiscal year 2006  -137,500,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Section 108 Loan Guarantees program underwrites private market loans to assist local communities in the financing of the acquisition and rehabilitation of publicly-owned real property, rehabilitation of housing, and certain economic development projects.

COMMITTEE RECOMMENDATION

The Committee recommends no funds for this program as was proposed in the budget. No funds were requested by the administration. In fiscal year 2006, $3,712,500 was provided for program costs with a loan limitation of $137,500,000. While the Committee recognizes that there is a place for a non-competitive loan program to fill gaps in funding at the local level, this program is not consistent with current government loan principles and has not been fully utilized due to the reluctance to use Community Development Block Grant funds as collateral.

BROWNFIELDS REDEVELOPMENT


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $9,900,000 
Budget request, fiscal year 2007        - - - 
Recommended in the bill                 - - - 
Bill compared with:                           
  Appropriation, fiscal year 2006  -9,900,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Brownfields Redevelopment program provides competitive economic development grants in conjunction with section 108 loan guarantees for qualified Brownfields projects. Grants are made in accordance with section 108(q) selection criteria. The goal of the program is to return contaminated sites to productive uses with an emphasis on creating substantial numbers of jobs for lower-income people in physically and economically distressed neighborhoods.

COMMITTEE RECOMMENDATION

The Committee recommends no funding for the Brownfields Redevelopment Program at HUD. The budget request has proposed no funding for the past several years. Congress enacted $9,900,000 in fiscal year 2006 for the program while also rescinding $10,000,000 of unobligated balances. The Committee believes that due to the recent dramatic increases in funding in the Environmental Protection Agency (EPA) and expanded EPA authority in recent authorizations for this program, HUD funding is no longer essential or appropriate. The House has already provided $2,336,442,000 in the fiscal year 2007 appropriations bill for the EPA program.

HOME INVESTMENT PARTNERSHIPS PROGRAM

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $1,757,250,000 
Budget request, fiscal year 2007    1,916,640,000 
Recommended in the bill             1,916,640,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    +159,390,000 
  Budget request, fiscal year 2007          - - - 
--------------------------------------------------

The HOME investment partnerships program uses formula allocations to provide grants to States, units of local government, Indian tribes, and insular areas for the purpose of expanding the supply of affordable housing in the jurisdiction. Upon receipt, State and local governments develop a comprehensive housing affordability strategy that enables them to acquire, rehabilitate, or construct new affordable housing, or to provide rental assistance to eligible families.

COMMITTEE RECOMMENDATION

The Committee recommends $1,916,640,000 for activities funded under this account, $159,390,000 above the level enacted in fiscal year 2006 and the same as the request. Funds are provided as follows:

SELF-HELP AND ASSISTED HOMEOWNERSHIP


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $60,390,000 
Budget request, fiscal year 2007    39,700,000 
Recommended in the bill             60,390,000 
Bill compared with:                            
  Appropriation, fiscal year 2006        - - - 
  Budget request, fiscal year 2007 +20,690,000 
-----------------------------------------------

Self-Help Homeownership Opportunity Program (SHOP) funds assist low-income homebuyers willing to contribute `sweat equity' toward the construction of their houses. The funds will increase nonprofit organizations' ability to leverage funds from other sources and produce at least 2,000 new homeownership units. In 2006, SHOP became a separate account. SHOP was previously funded as a set-aside within the Community Development Fund.

COMMITTEE RECOMMENDATION

The Committee recommends $60,390,000 for the Self Help and Assisted Homeownership Program. This account funds programs that previously have been funded as set asides within the Community Development Fund. This is the same as the fiscal year 2006 funding level and $20,690,000 above the budget request.

The budget request did not propose any funding in this account beyond the Self-Help Homeownership Opportunity Program. However, programs within this account provide a critical role promoting affordable housing and the ability to maximize the federal investment in these activities; a role that is all the more critical in the context of fiscal restraint and demonstrated results. Therefore language is included that provides:

HOMELESS ASSISTANCE GRANTS

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $1,326,600,000 
Budget request, fiscal year 2007    1,535,990,000 
Recommended in the bill             1,535,990,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    +209,390,000 
  Budget request, fiscal year 2007          - - - 
--------------------------------------------------

The homeless assistance grants account provides funding for the following homeless programs under title IV of the McKinney Act: (1) the emergency shelter grants program; (2) the supportive housing program; (3) the section 8 moderate rehabilitation (Single Room Occupancy) program; and (4) the shelter plus care program. This account also supports activities eligible under the innovative homeless initiatives demonstration program.

COMMITTEE RECOMMENDATION

The Committee recommends funding homeless programs at $1,535,990,000, an increase of $209,390,000 above the enacted level for 2006 and the same as the budget request. The recommendation includes no less than $285,000,000 for full funding of the costs associated with the renewal of all expiring Shelter Plus Care contracts. Language is included in the bill requiring funds to be made available for this purpose. Funding for the Prisoner Re-entry Initiative and the Samaritan bonus are not included. The recommendation also includes $10,395,000 for technical assistance and data analysis, and no less than $2,475,000 for transfer to the Working Capital Fund for development and modifications of information technology systems that serve activities under Community Planning and Development. The Committee directs the Department to ensure to the largest extent possible that funding is made available for all eligible activities including permanent housing, transitional housing, and supportive service.

Language is included in the bill that: (1) requires not less than 30 percent of the funds appropriated, excluding amounts made available for renewals under the shelter plus care program, be used for permanent housing; (2) requires the renewal of all expiring shelter plus care contracts; (3) requires funding recipients to provide a 25 percent match for social services activities; (4) requires all homeless programs to coordinate their programs with mainstream health, social services, and employment programs; and (5) provides two year availability for obligation of funds provided under this account, except that no year availability is provided for the portion of funding necessary to meet initial contract requirements for the Single Room Occupancy program.

HOUSING PROGRAMS

PROJECT-BASED RENTAL ASSISTANCE

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $5,037,417,000 
Budget request, fiscal year 2007    5,675,700,000 
Recommended in the bill             5,475,700,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    +438,283,000 
  Budget request, fiscal year 2007   -200,000,000 
--------------------------------------------------

The Project-Based Rental Assistance account (PBRA) provides a rental subsidy to a private landlord tied to a specific housing unit so that the properties themselves, rather than the individual living in the unit, remain subsidized. Amounts provided in this account include funding for the renewal of expiring project-based contracts, including Section 8, moderate rehabilitation, and single room occupancy (SRO) contracts, amendments to Section 8 project-based contracts, and administrative costs for performance-based, project-based Section 8 contract administrators and costs associated with administering moderate rehabilitation and single room occupancy contracts.

COMMITTEE RECOMMENDATION

The Committee provides a total of $5,475,700,000 for the annual renewal of project-based contracts, of which $145,500,000 is for the costs of contract administrators and $3,960,000 is for the Working Capital Fund. This funding level is $438,283,000 above the enacted level for fiscal year 2006 and is $200,000,000 below the budget request. The Committee's recommendation includes the use of project-based recaptures for the renewal of project-based contracts and amendments as well as for performance-based contract administrators in 2007.

The Committee remains concerned that the Department take adequate measures to avoid late or delayed payments to providers of Project Based Section 8 rental housing. GAO's report `Project-Based Rental Assistance: HUD Should Streamline Its Processes to ensure Timely Housing Assistance Payments (GA)-06-57)' recommended three specific areas for improvement which the Department agreed would enhance performance in this area. These include: (1) streamlining and automating the contract renewal process; (2) developing systematic means to better estimate the amounts that should be allocated to project-based assistance contracts, monitor ongoing funding needs of each contract, and ensure that additional funds are promptly obligated to contracts when necessary to prevent payment delays; and, (3) notify owners promptly if payments will be made late and the date by which HUD expects to make the monthly payment to the owner.

The Committee understands that the Department has engaged consultants to develop measures to implement these recommendations. Accordingly, the Department is directed to provide the Committee with a report on progress achieved in reducing the incidence of late payments to project-based providers and other measures to implement GAO's recommendations to accompany the Department's fiscal year 2007 Operating Plan submission. The report is to include a preliminary allocation plan for fiscal year 2007 funding requirements for both project-based contract renewal and amendment funding needs in fiscal year 2007. In addition, the report accompanying the Operating Plan is to address how the proposed fiscal year 2007 program for project based-based renewals and amendments, as reflected in the preliminary allocation plan, is to be funded using a combination of new budget authority and recaptures in fiscal year 2007.

The Department is directed to submit supporting documentation accompanying the fiscal year 2008 project-based Section 8 budget request. This documentation is to include a project-by-project analysis that verifies the funding request for renewals and amendments.

HOUSING FOR THE ELDERLY

(INCLUDING TRANSFER OF FUNDS)


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $734,580,000 
Budget request, fiscal year 2007    545,490,000 
Recommended in the bill             734,580,000 
Bill compared with:                             
  Appropriation, fiscal year 2006         - - - 
  Budget request, fiscal year 2007 +189,090,000 
------------------------------------------------

The Housing for the Elderly (Section 202) program provides eligible private, non-profit organizations with capital grants to finance the acquisition, rehabilitation or construction of housing intended for low income elderly people. In addition, the program provides project-based rental assistance contracts (PRAC) to support operational costs for units constructed under the program.

COMMITTEE RECOMMENDATION

The Committee recommends $734,580,000 for the Section 202 program for fiscal year 2007, the same level as enacted for fiscal year 2006 and $189,090,000 above the request for fiscal year 2007. The recommendation allocates funding as follows:

The Committee continues language relating to the initial contract and renewal terms for assistance provided under this heading. Language is also included to allow these funds to be used for inspections and analysis of data by HUD's Real Estate Assessment Center (REAC).

HOUSING FOR PERSONS WITH DISABILITIES

(INCLUDING TRANSFER OF FUNDS)


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $236,610,000 
Budget request, fiscal year 2007    118,800,000 
Recommended in the bill             236,610,000 
Bill compared with:                             
  Appropriation, fiscal year 2006         - - - 
  Budget request, fiscal year 2007 +117,810,000 
------------------------------------------------

The Housing for Persons with Disabilities (Section 811) program provides eligible private, non-profit organizations with capital grants to finance the acquisition, rehabilitation or construction of supportive housing for disabled persons and provides project-based rental assistance (PRAC) to support operational costs for such units.

COMMITTEE RECOMMENDATION

The Committee recommends $236,610,000 for Section 811 activities, the same as fiscal year 2006 enacted level, and $117,810,000 above the budget request. In doing so, the Committee rejects the proposal to all but eliminate funding for the construction of facilities that accommodate low income disabled individuals. The Committee finds that, in fact, there is universal agreement at all levels of analysis that facility construction is needed for this program in fiscal year 2007. The recommendation allocates funding as follows:

The Committee continues language allowing these funds to be used for inspections and analysis of data by HUD's REAC program office.

The Committee directs HUD to report to the Committees on Appropriations by March 1, 2007, the number of non-elderly disabled vouchers that are still in circulation and being used by non-elderly disabled individuals.

HOUSING COUNSELING


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006          - - - 
Budget request, fiscal year 2007   $44,550,000 
Recommended in the bill                  - - - 
Bill compared with:                            
  Appropriation, fiscal year 2006        - - - 
  Budget request, fiscal year 2007 -44,500,000 
-----------------------------------------------

Section 106 of the Housing and Urban Development Act of 1968 authorized HUD to provide housing counseling services to homebuyers, homeowners, low and moderate income renters, and the homeless.

COMMITTEE RECOMMENDATION

The Committee does not recommend the creation of a separate account for housing counseling activities, but instead has provided $41,580,000 for this activity as a set-aside within the HOME Investments Partnership Program account.

FLEXIBLE SUBSIDY FUND

(TRANSFER OF FUNDS)

The Housing and Urban Development Act of 1968 authorized HUD to establish a revolving fund into which rental collections in excess of the established basic rents for units in Section 236 subsidized projects are deposited. Subject to approval in appropriations acts, the Secretary is authorized under the Housing and Community Development Amendment of 1978 to transfer excess rent collections received after 1978 to the Troubled Projects Operating Subsidy program, renamed the Flexible Subsidy Fund.

COMMITTEE RECOMMENDATION

The Committee recommends that the account continue to serve as a repository of excess rental charges appropriated from the Rental Housing Assistance Fund. Although these resources will not be used for new reservations, they will continue to offset flexible subsidy outlays and other discretionary expenditures to support affordable housing projects.

The Committee's recommendation includes language identical to language carried in prior years, to allow surplus funds derived from rental collections which were in excess of allowable rent levels to be returned to project owners only for the purposes of rehabilitating and renovating those properties.

MANUFACTURED HOUSING FEES TRUST FUND


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $13,000,000 
  Offsetting collections            13,000,000 
Budget request, 2007                16,000,000 
  Offsetting collections            16,000,000 
Recommended in the bill             16,000,000 
  Offsetting collections            16,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +3,000,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The National Manufactured Housing Construction and Safety Standards Act of 1974, as amended by the Manufactured Housing Improvement Act of 2000, authorized the Secretary to establish Federal manufactured home construction and safety standards for the construction, design, and performance of manufactured homes.

All manufactured homes are required to meet the Federal standards, and fees are charged to producers to cover the costs of administering the Act.

COMMITTEE RECOMMENDATION

The Committee recommends up to $16,000,000 for the manufactured housing standards programs to be derived from fees collected and deposited in the Manufactured Housing Fees Trust Fund established pursuant to the Manufactured Housing Improvement Act of 2000. The amount recommended is the same as the budget request and $3,000,000 above the fiscal year 2006 enacted level. Language contained in previous Acts is continued to ensure that the net expenditures do not exceed fee collections at the end of the fiscal year.

In addition, The Committee includes language allowing the Department to collect fees from program participants for the dispute resolution and installation programs. These fees are to be deposited into the trust fund and may be used by the Department subject to the overall cap placed on the account.

FEDERAL HOUSING ADMINISTRATION

MUTUAL MORTGAGE INSURANCE PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)


-------------------------------------------------------------------------------------------------------------------
                                 Limitation of direct loans Limitation of guaranteed loans Administrative expenses 
-------------------------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                 $50,000,000               $185,000,000,000            $351,450,000 
Budget request, fiscal year 2007                 50,000,000                185,000,000,000             351,450,000 
Recommended in the bill                          50,000,000                185,000,000,000             351,450,000 
Bill compared with:                                                                                                
Appropriation, fiscal year 2006                       - - -                          - - -                   - - - 
Budget request, fiscal year 2007                      - - -                          - - -                   - - - 
-------------------------------------------------------------------------------------------------------------------

The Federal Housing Administration's (FHA) mutual mortgage insurance program account includes the mutual mortgage insurance (MMI) and cooperative management housing insurance funds. This program account covers unsubsidized programs, primarily the single-family home mortgage program, which is the largest of all the FHA programs. The cooperative housing insurance program provides mortgages for cooperative housing projects of more than five units that are occupied by members of a cooperative housing corporation.

COMMITTEE RECOMMENDATION

The Committee recommends the following limitations on loan commitments in the MMI program account: $185,000,000,000 for loan guarantees and $50,000,000 for direct loans. The recommendation also includes $351,450,000 for administrative expenses, of which $347,490,000 is transferred to Salaries and Expenses, and $3,960,000 is transferred to the Office of Inspector General. In addition, $52,400,000 is provided for non-overhead administrative contract expenses, of which $23,562,000 is transferred to the Working Capital Fund for development and modifications to information technology systems that serve programs or activities under the Office of Housing or the Federal Housing Administration. The Committee continues language, as requested, appropriating additional administrative expenses in certain circumstances.

GENERAL AND SPECIAL RISK PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)


---------------------------------------------------------------------------------------------------------------------------------
                                 Limitation of direct loans Limitation of guaranteed loans Administrative expenses Program costs 
---------------------------------------------------------------------------------------------------------------------------------
Appropriation, fiscal year 2006                 $50,000,000                $35,000,000,000            $229,086,000    $8,712,000 
Budget request, fiscal year 2007                 50,000,000                 35,000,000,000             229,086,000     8,600,000 
Recommended in the bill                          50,000,000                 35,000,000,000             229,086,000     8,600,000 
Bill compared with:                                                                                                              
Appropriation, fiscal year 2006                       - - -                          - - -                   - - -      -112,000 
Budget request, fiscal year 2007                      - - -                          - - -                   - - -               
---------------------------------------------------------------------------------------------------------------------------------

The Federal Housing Administration's (FHA) general and special risk insurance (GI and SRI) program account includes 17 different programs administered by FHA. The GI fund includes a wide variety of insurance programs for special purpose single and multi-family loans, including loans for property improvements, manufactured housing, multi-family rental housing, condominiums, housing for the elderly, hospitals, group practice facilities, and nursing homes. The SRI fund includes insurance programs for mortgages in older, declining urban areas that would not be otherwise eligible for insurance, mortgages with interest reduction payments, mortgages for experimental housing, and for high-risk mortgagors who would not normally be eligible for mortgage insurance without housing counseling.

COMMITTEE RECOMMENDATION

The Committee recommends the following limitations on loan commitments for the general and special risk insurance program account as requested: $35,000,000,000 for loan guarantees and $50,000,000 for direct loans.

As requested, the recommendation includes $8,600,000 in direct appropriations for credit subsidy. The recommendation also includes $229,086,000 for administrative expenses, of which $209,286,000 is transferred to Salaries and Expenses and $19,800,000 is transferred to the Office of Inspector General. An additional $72,778,000 is provided for non-overhead administrative expenses, of which no less than $10,692,000 is transferred to the Working Capital Fund for development and modifications to information technology systems that serve activities under the Office of Housing or the Federal Housing Administration.

The Committee is very concerned with the proposed increase in the annual premium charged for most multi-family loan guarantees in the fiscal year 2007 request. The stated rationale for this substantial premium increase is to offset administrative costs associated with these programs. However no detailed explanation has been given for the amount of this premium increase, its likely adverse effect on loan volume and affordable rental housing production, or the resulting rent increases necessary to cover the cost of the larger premium payments. Moreover, the Federal Credit Reform Act of 1990 specifically mandates that administrative costs associated with loan guarantee programs be paid from discretionary appropriations rather than being reflected in the credit programs financing.

The Committee sees no merit in the Administration's argument that these mortgage insurance premiums should be raised because these programs have not clearly demonstrated effectiveness in meeting affordable housing goals. Raising program costs can only diminish the contribution of these programs in expanding lower cost housing opportunities. In the face of the growing nationwide shortage of affordable housing, imposing further constraints on FHA rental housing development makes little sense.

The proposed mortgage insurance premium increase reverses the previous policy of the Administration to work towards the lowest premium allowable while still enabling FHA to offer this rental housing financing at no cost to the taxpayers. For the largest moderate income rental housing development program offered by FHA, the proposed premium represents more than a 71 percent increase in annual cost. These very substantial premium increases would also be levied against the FHA nursing home and hospital financing programs.

Given the very substantial size of the premium increase and the abrupt reversal of the underlying policy of the Department in setting these premiums, the Committee believes strongly that full notice and comment rulemaking would be the only appropriate mechanism to pursue this proposal, and so directs the Department. Such administrative procedures would accord FHA industry partners, including lenders, developers, and builders, an opportunity to comment on the proposal. It would also permit a full assessment of the likely impact of such a premium increase on the volume of multifamily rental housing development, and the consequential effects of higher financing costs on rents borne by moderate income residents.

Therefore, the Department is directed to submit to the appropriate Committees of Congress a thorough assessment of the potential adverse effects of the proposed premium structure, including the evaluation of alternatives such as utilizing negative subsidy and program revenues to cover administrative costs, before proceeding with implementation of the fee increases proposed in the budget.

GOVERNMENT NATIONAL MORTGAGE ASSOCIATION

GUARANTEES OF MORTGAGE-BACKED SECURITIES LOAN GUARANTEE PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)


----------------------------------------------------
----------------------------------------------------
Limitation of guaranteed loans:                     
 Appropriation, fiscal year 2006   $200,000,000,000 
 Budget request, fiscal year 2007   100,000,000,000 
 Recommended in the bill            100,000,000,000 
 Bill compared with:                                
  Appropriation, fiscal year 2006  -100,000,000,000 
  Budget request, fiscal year 2007            - - - 
Administrative expenses:                            
 Appropriation, fiscal year 2006        $10,700,000 
 Budget request, fiscal year 2007        54,000,000 
 Recommended in the bill                 10,700,000 
 Bill compared with:                                
  Appropriation, fiscal year 2006             - - - 
  Budget request, fiscal year 2007      -43,300,000 
----------------------------------------------------

The guarantee of mortgage-backed securities program facilitates the financing of residential mortgage loans insured or guaranteed by the Federal Housing Administration, the Department of Veterans Affairs, and the Rural Housing Services program. The Government National Mortgage Association (GNMA) guarantees the timely payment of principal and interest on securities issued by private service institutions such as mortgage companies, commercial banks, savings banks, and savings and loan associations that assemble pools of mortgages, and issues securities backed by the pools. In turn, investment proceeds are used to finance additional mortgage loans. Investors include non-traditional sources of credit in the housing market such as pension and retirement funds, life insurance companies, and individuals.

COMMITTEE RECOMMENDATION

The recommendation includes a $100,000,000,000 limitation on loan commitments for mortgage-backed securities as requested, a $100,000,000,000 reduction from the level provided in fiscal year 2006. The Committee also recommends $10,700,000 for administrative expenses to be transferred to Salaries and Expenses.

The Committee rejects the budget proposal to charge issuers an upfront fee to offset the administrative expenses of the program. No detailed explanation has been provided to justify this change from prior years or its likely adverse effect on volume and affordable rental housing production. Raising program costs can only diminish the contribution of GNMA in expanding lower cost housing opportunities. In the face of the growing nationwide shortage of affordable housing, and the goal of increased homeownership, imposing this change to the way GNMA conducts business makes little sense.

POLICY DEVELOPMENT AND RESEARCH

RESEARCH AND TECHNOLOGY


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $55,787,000 
Budget request, fiscal year 2007    68,360,000 
Recommended in the bill             55,787,000 
Bill compared with:                            
  Appropriation, fiscal year 2006        - - - 
  Budget request, fiscal year 2007 -12,574,000 
-----------------------------------------------

The Housing and Urban Development Act of 1970 directs the Secretary to undertake programs of research, studies, testing, and demonstrations related to the HUD mission. These functions are carried out internally through contracts with industry, non-profit research organizations, and educational institutions and through agreements with State and local governments and other Federal agencies.

COMMITTEE RECOMMENDATION

The Committee recommends $55,787,000 for the Office of Policy Development and Research. This is the same level of funding as enacted for fiscal year 2006 and $12,574,000 below the budget request. Of the amounts made available, language is included to designate:

FAIR HOUSING AND EQUAL OPPORTUNITY

FAIR HOUSING ACTIVITIES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $45,540,000 
Budget request, fiscal year 2007    44,550,000 
Recommended in the bill             44,550,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     -990,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Fair Housing Act, title VIII of the Civil Rights Act of 1968, as amended by the Fair Housing Amendments Act of 1988, prohibits discrimination in the sale, rental and financing of housing and authorizes assistance to State and local agencies in administering the provision of fair housing statutes. The Fair Housing Assistance Program (FHAP) assists State and local fair housing enforcement agencies that are certified by HUD as `substantially equivalent' to HUD with respect to enforcement policies and procedures. FHAP assures prompt and effective processing of complaints filed under title VIII that are within the jurisdiction of State and local fair housing agencies. The Fair Housing Initiatives Program (FHIP) alleviates housing discrimination by providing support to private nonprofit organizations, State and local government agencies and other nonfederal entities for the purpose of eliminating or preventing discrimination in housing, and to enhance fair housing opportunities.

COMMITTEE RECOMMENDATION

The Committee recommends a total of $44,550,000 for this account, a decrease of $990,000 below the fiscal year 2006 enacted level and the same as the Administration's budget request. Of this amount, $25,750,000 is for FHAP and $18,800,000 is for FHIP.

The Committee expects HUD to continue to provide quarterly reports on obligation and expenditure of these funds, delineated by each program and activity.

OFFICE OF LEAD HAZARD CONTROL

LEAD HAZARD REDUCTION


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $150,480,000 
Budget request, fiscal year 2007    114,840,000 
Recommended in the bill             114,840,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   -35,640,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Lead Hazard Reduction Program, authorized under the Housing and Community Development Act of 1992, provides grants to State and local governments to perform lead hazard reduction activities in housing occupied by low income families. The program also provides technical assistance, undertakes research and evaluations of testing and cleanup methodologies, and develops technical guidance and regulations in cooperation with the Environmental Protection Agency.

COMMITTEE RECOMMENDATION

The Committee recommends $114,840,000 for this account, the same as the budget request. Amounts provided are to be allocated as follows:

The Committee continues language delegating the authority and responsibility for performing environmental review for the Healthy Homes Initiative, LEAP, and Lead Technical Studies projects and programs to governmental entities that are familiar with local environmental conditions, trends and priorities.

The Committee reminds the Department that all funding provided under this heading is to be competitively awarded as required under the HUD Reform Act of 1989 and Section 305 of the Administrative Provisions under this title.

MANAGEMENT AND ADMINISTRATION

SALARIES AND EXPENSES

(INCLUDING TRANSFER OF FUNDS)


-------------------------------------------------
-------------------------------------------------
Appropriation, fiscal year 2006     $573,210,000 
Transfers FHA/GNMA                   568,542,000 
  Total                            1,141,752,000 
Budget request, fiscal year 2007     593,893,000 
Transfers                            567,907,000 
  Total                            1,161,800,000 
Recommended in this bill             573,210,000 
Transfers                            567,908,000 
  Total                            1,141,118,000 
Bill compared with:                              
  Appropriation, fiscal year 2006       -634,000 
  Budget request, fiscal year 2007   -20,682,000 
-------------------------------------------------

This account finances all salaries and related costs associated with administering the programs of the Department of Housing and Urban Development, except for the Office of Inspector General and the Office of Federal Housing Enterprise Oversight. These activities include housing, mortgage credit and secondary market programs, community planning and development programs, departmental management, legal services, field direction and administration.

COMMITTEE RECOMMENDATION

The Committee recommends total funding of $1,141,118,000 for the salaries and expenses of the Department. This is $634,000 less than the fiscal year 2006 enacted amount and $20,682,000 below the budget request.

The Committee has provided funding based on the Department's requested level of FTEs and object classes. The Department is limited to the object class levels that are described in the 2007 Congressional Budget Submission (page I-4.) This is the distribution that HUD must use unless changes are granted as part of the Department's Operating Plan.

Language is included to allow the Department to transfer up to $15,000,000 from Salaries and Expenses to the Working Capital Fund after receipt and approval of an Operating Plan change detailing the uses of the transfers and the object classes being reduced in this account.

Funding for indemnities is at the budget request level but is further limited to non-programmatic litigation and is restricted to the payment of attorney fees only. Program-related litigation must be paid from the individual program office Salary and Expenses allocation. The budget submission must include program-related litigation costs as a separate line item request.

The Committee is concerned about an April 28, 2006, speech in which the Secretary indicated that a contract award was denied due to the political views of the contract applicant. Contract award decisions must be based solely on providing the best value to the taxpayer. The use of contract awards as a means of rewarding political supporters or punishing political opponents is not acceptable. The Committee will continue to monitor the Department's compliance with the Federal Acquisition Regulation. In addition, the Committee directs GAO to review all contract decisions in which the Secretary was personally involved during his time at the Department for adherence to the Federal Acquisition Regulation and report their findings to the Committees on Appropriations by April 1, 2007.

Operating Plans/Reprogramming Requirements.--All Departments within the Subcommittee's jurisdiction are required to submit operating plans and reprogramming letters and reorganization proposals for Committee approval. HUD is reminded that operating plans or reprogramming requirements apply to any reallocation of resources totaling more than $500,000 among any program, project or activity as well as to any significant reorganization within offices or the proposed creation or elimination of any program or office, regardless of the dollar amount involved and any reorganization, regardless of the dollar amount involved. Object class changes above $500,000 also are subject to operating plan or reprogramming requirements. Unless otherwise specified in this Act or the accompanying report, the approved level for any program, project, or activity is that amount detailed for that program, project, or activity in the Department's annual detailed Congressional submission. These requirements apply to all funds provided to the Department. The Department is expected to make any necessary changes during fiscal year 2007 to its current procedures and systems to ensure that it is able to meet the necessary operating plan and reprogramming requirements applied to other agencies funded in the bill.

Budget Submission- The Committee expects the Department's fiscal year 2008 submission to be submitted in the identical format and continues its direction that strategic planning documents, formats or materials are not to be incorporated into the submission. The Committee continues language under Administrative Provisions setting forth such requirements.

Language is included in the bill, similar to language carried in prior Acts, which designates amounts provided from various accounts for Salaries and Expenses and which requires the Department to implement appropriate funds control and financial management procedures.

The Committee has noted in previous years the importance of the central budget offices of the departments, agencies, and commissions funded under this Act. Therefore, the Committee directs that the central budget office within the Chief Financial Office, which functions as the central budget and policy office and contributes significantly to the Department's funds control efforts be staffed at a level of no less than 61 FTEs of which 11 FTEs are associated with the Working Capital Fund and 50 with the Departmental Management account. Further, the Committee directs the Department to fill mission critical positions immediately. In addition the Committee directs the Department to effectuate the transfer of the Working Capital Fund Accounting unit to the Office of Budget, as agreed to by the Committee and the Department, no later than July 1, 2006.

WORKING CAPITAL FUND


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $195,030,000 
Budget request, fiscal year 2007    219,780,000 
Recommended in the bill             100,000,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   -95,030,000 
  Budget request, fiscal year 2007 -119,780,000 
------------------------------------------------

The Working Capital Fund was established pursuant to 42 U.S.C. 3535 to provide necessary capital for the development of, modifications to, and infrastructure for Department-wide information technology systems, and for the continuing operation of both Department-wide and program-specific information technology systems.

COMMITTEE RECOMMENDATION

The Committee remains committed to improving HUD's information technology capacity. To a large extent, both HUD's and Congress' ability to oversee the effectiveness of HUD's programs is undermined due to the failure of HUD's information systems to provide the information necessary to assess program performance and ensure effective resource management. The Committee recommends $100,000,000 in direct appropriation for the Working Capital Fund to support Department-wide information technology system activities, this is $95,030,000 below the fiscal year 2006 level and $119,780,000 below the budget request. In addition to the direct appropriation for Department-wide systems, funds are transferred from various accounts to be used exclusively for program-specific information technology requirements.

The Committee has included language that precludes the use of these or any other funds appropriated previously to the Working Capital Fund or program offices for transfer to the Working Capital Fund that would be used or transferred to any other entity in HUD or elsewhere for the purposes of implementing the Administration's `e-Gov' initiative without the Committee's approval in HUD's operating plan. The Committee directs that funds appropriated for specific projects and activities should not be reduced or eliminated in order to fund other activities inside and outside of HUD without the expressed approval of the Committee. HUD is not to contribute or participate in activities that are specifically precluded in legislation, unless the Committee agrees to a change.

OFFICE OF INSPECTOR GENERAL

(INCLUDING TRANSFERS OF FUNDS)


------------------------------------------------------------------------
                                 Appropriation   FHA funds        Total 
------------------------------------------------------------------------
Appropriation, fiscal year 2006    $81,180,000 $23,760,000 $104,940,000 
Budget request, fiscal year 2007    83,240,000  23,760,000  107,000,000 
Recommended in this bill            83,240,000  23,760,000  107,000,000 
Bill compared with:                                                     
Appropriation, fiscal year 2006     +2,060,000       - - -   +2,060,000 
Budget request, fiscal year 2007         - - -       - - -        - - - 
------------------------------------------------------------------------

The Office of Inspector General (IG) provides agency-wide audit and investigative functions to identify and correct management and administrative deficiencies that create conditions for existing or potential instances of waste, fraud, and mismanagement. The audit function provides internal audit, contract audit, and inspection services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters relative to negotiation, award, administration, re-pricing, and settlement of contracts. Internal audits evaluate all facets of agency operations. Inspection services provide detailed technical evaluations of agency operations. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations.

COMMITTEE RECOMMENDATION

The Committee recommends $107,000,000 for the Office of Inspector General, an increase of $2,060,000 above the amount provided in fiscal year 2006 and the same as the budget request. Of this amount, $23,760,000 is derived from transfers from Federal Housing Administration funds.

Language is included in the bill which: (1) designates amounts available to the Inspector General from other accounts; and (2) clarifies the authority of the Inspector General with respect to certain personnel issues.

The Committee is aware that the IG has advocated forcing HUD to rescind obligated balances for project-based contracts that have already received appropriations and which are obligated on live contracts. The Committee is strongly opposed to the rescission of funds that may still be needed in the future and which, if enacted, could force the Committee to appropriate funds a second time.

This situation has also occurred in the Section 236 program with amounts rescinded in fiscal year 2005 declared in excess only to have appropriations required in fiscal year 2006. The IG is instructed to identify in any audit or non-audit related decision, recommendation, or conclusion that refers to excess funds available for rescission those funds which are obligated on active contracts. Further, the IG is to include in its operating plan any proposed evaluation of active programs, contracts or projects instituted for the purpose of identifying excess funds for rescission.

The Committee also includes language that precludes the audit of the Government National Mortgage Association (GNMA) on any terms and conditions other than those currently in effect, and which have been in effect for years. GNMA does not belong under credit reform rules and has never been subjected to those rules in any previous audit.

The Committee directs the IG to report on its audits and investigative efforts either in place or currently planned, related to the use of Departmental funds in the rebuilding efforts in the Gulf Coast in the aftermath of the 2005 hurricanes. The Committee requests that the IG provide an update on their efforts in this regard no later than January 1, 2007.

OFFICE OF FEDERAL HOUSING ENTERPRISE OVERSIGHT SALARIES AND EXPENSES

(INCLUDING TRANSFER OF FUNDS)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $60,000,000 
Budget request, fiscal year 2007    62,000,000 
Recommended in the bill             62,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,000,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Office of Federal Housing Enterprise Oversight (OFHEO) was established in 1992 to regulate the financial safety and soundness of the two housing government-sponsored enterprises (GSEs)--the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac). The office was authorized in the Federal Housing Enterprises Financial Safety and Soundness Act of 1992, which also provided enhanced authority to enforce these standards. In addition to financial regulation, the OFHEO monitors the GSEs compliance with affordable housing goals that were contained in the Act.

COMMITTEE RECOMMENDATION

The Committee recommends $62,000,000 for OFHEO, as the budget requested, to be derived from fees assessed to the GSEs and deposited into the Federal Housing Enterprises Oversight Fund.

ADMINISTRATIVE PROVISIONS

Section 301 relates to the division of financing adjustment factors, as requested.

Section 302 prohibits available funds from being used to investigate or prosecute lawful activities under the Fair Housing Act, which was proposed for deletion.

Section 303 continues language to correct an anomaly in the HOPWA formula that results in the loss of funds for certain States.

Section 304 authorizes the Secretary to waive certain requirements related to an assisted living pilot project, as requested.

Section 305 continues language requiring funds appropriated to be distributed on a competitive basis in accordance with the Department of Housing and Urban Development Reform Act of 1989.

Section 306 continues language, carried in previous years, regarding the availability of funds subject to the Government Corporation Control Act and the Housing Act of 1950.

Section 307 continues language, carried in previous years, regarding allocation of funds in excess of the budget estimates.

Section 308 continues language, carried in previous years, regarding the expenditure of funds for corporations and agencies subject to the Government Corporation Control Act.

Section 309 continues language, carried in previous years, requiring submission of a spending plan for technical assistance, training and management improvement activities prior to the expenditure of funds.

Section 310 continues language requiring the Secretary to provide quarterly reports on uncommitted, unobligated and excess funds in each departmental program and activity.

Section 311 extends a technical amendment included in the fiscal year 2000 appropriations Act relating to the allocation of HOPWA funds in the Philadelphia and Raleigh-Cary metropolitan areas. A proviso is added to allow a state to administer the HOPWA program in the event that a local government is unable to undertake the HOPWA grants management functions.

Section 312 continues language setting certain requirements for the Department's annual congressional justification of appropriations.

Section 313 continues language carried in previous years elsewhere in this title requiring public housing authorities to continue to reserve incremental vouchers funded in previous years for persons with disabilities upon turnover.

Section 314 relates to state authority regarding participation on housing boards.

Section 315 continues language in previous acts specifying the allocation of Indian Block grants to Native Alaskan recipients.

Section 316 prohibits the IG from changing the basis on which the audit of GNMA is conducted.

Section 317 continues language carried in previous years elsewhere in this title requiring public housing authorities to continue to reserve incremental vouchers funded in previous years for family unification upon turnover.

Section 318 continues language clarifying that the projects selected by HUD for Section 202b assistance prior to December 1, 2003 are also eligible to use the limited partnership ownership structure. No more than three commercial properties are authorized to receive grants under section 202b of the Housing Act of 1959.

Section 319 continues language requiring that athletic scholarships for housing shall be considered part of adjusted income for purposes of eligibility for Section 8.

Section 320 continues language requiring priority consideration for Moving to Work Demonstration applications from Santa Clara/San Jose and San Bernardino.

Section 321 clarifies the ability of HUD to have no more than 32 active Moving to Work Demonstration Agreements at any time.

Section 322 requires the cancellation of contract authority from fiscal years 1974 and earlier upon contract expiration or termination.

Section 323 continues language requiring the Secretary to maintain Section 8 assistance on certain properties occupied by elderly or disabled families.

Section 324 clarifies that the Government National Mortgage Association is not subject to the accounting and budgetary requirements of the Federal Credit Reform Act of 1990.

Section 325 begins the process of modernizing the Federal Housing Administration. These changes will begin the transition of FHA from a ridged, one-sizefits-all operating stance to a more flexible array of loan offerings designed to meet the individual needs of families not served, or ill-served by the private marketplace.

Section 326 makes a technical correction with regard to COBG formula funding to the cities of Alton, Illinois, and Granite City, Illinois.

The Committee does not recommend several new administrative provisions proposed in the budget to amend various housing authorization statutes.

TITLE IV--THE JUDICIARY

The funds recommended by the Committee in title IV of the accompanying bill are for the operation and maintenance of United States Courts and include the salaries of judges, magistrates, probation and pretrial services officers, and supporting personnel and other expenses of the Federal Judiciary.

In addition to direct appropriations, the Judiciary collects fees and has various carryover authorities. The Judiciary uses these non-appropriated funds to offset its direct appropriation requirements. Consistent with prior year practices, the Committee expects the Judiciary to submit a financial plan, allocating all sources of available funds including appropriations, fee collections, and carryover balances. The Judiciary should consider this financial plan to be the baseline for determining if reprogramming notification is required. The Committee expects the plan to be submitted within 90 days after enactment of this Act.

SUPREME COURT OF THE UNITED STATES

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $60,143,000 
Budget request, fiscal year 2007    63,405,000 
Recommended in the bill             63,405,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +3,262,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends an appropriation of $63,405,000 for fiscal year 2007 for the salaries and expenses of personnel and the cost of operating the Supreme Court, excluding the care of the building and grounds. The recommendation is $3,262,000 above the fiscal year 2006 level and is the same as the request for this account. The recommendation provides inflationary and other standard adjustments and supports additional three staff to support information technology (IT) operations of the Court.

For the second year, the Committee has included bill language making $2,000,000 available until expended for the purpose of making information technology investments. The Committee directs the Supreme Court to provide an annual report, to be included in its budget justification materials, showing information technology carry-over balances and describing each expenditure made in the previous fiscal year and planned expenditures in the budget year.

CARE OF THE BUILDING AND GROUNDS


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $5,568,000 
Budget request, fiscal year 2007   12,959,000 
Recommended in the bill            12,959,000 
Bill compared with:                           
  Appropriation, fiscal year 2006  +7,391,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Committee recommends an appropriation of $12,959,000 for fiscal year 2007 for personnel and other services relating to the Supreme Court building and grounds, which is supervised by the Architect of the Capitol. The recommendation is the same as the request and $7,391,000 above the fiscal year 2006 level. The Committee expects to be informed of any changes to the scope and projected completion date of the original building modernization project. Language in the bill allows funds to remain available until expended.

UNITED STATES COURT OF APPEALS FOR THE FEDERAL CIRCUIT

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $23,780,000 
Budget request, fiscal year 2007    26,300,000 
Recommended in the bill             26,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,220,000 
  Budget request, fiscal year 2007    -300,000 
-----------------------------------------------

The Committee recommends an appropriation of $26,000,000 for fiscal year 2007 for the salaries and expenses of the United States Court of Appeals for the Federal Circuit. The recommendation is $2,220,000 above the fiscal year 2006 appropriation and $300,000 below the request.

The Committee has included funding for leased office space for senior judges. However, prior to the obligation of these funds, the Committee directs the Court to report back to the Committee the employment status of each of the five judges for which this space is needed. The Committee does not support the leasing of additional space for any other purpose.

UNITED STATES COURT OF INTERNATIONAL TRADE

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $15,345,000 
Budget request, fiscal year 2007    16,182,000 
Recommended in the bill             16,182,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     +837,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends an appropriation of $16,182,000 for fiscal year 2007 for the salaries and expenses of the United States Court of International Trade. The Committee recommendation is the same as the budget request and $837,000 above the fiscal year 2006 level.

COURTS OF APPEALS, DISTRICT COURTS, AND OTHER JUDICIAL SERVICES

SALARIES AND EXPENSES


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2006    $4,308,345,000 
Budget request, fiscal year 2007    4,687,244,000 
Recommended in the bill             4,556,114,000 
Bill compared with:                               
  Appropriation, fiscal year 2006    +247,769,000 
  Budget request, fiscal year 2007   -131,130,000 
--------------------------------------------------

The Committee recommends an appropriation of $4,556,114,000 for the operations of the regional courts of appeals, district courts, bankruptcy courts, the Court of Federal Claims, and probation and pretrial services offices. The recommendation is $247,769,000 above the fiscal year 2006 appropriation and $131,130,000 below the request.

The Committee understands that the Judiciary's staffing, operations and maintenance, and information technology resources are allocated to the courts according to formulas that are approved by the Judicial Conference and equitably distribute resources based on the workload of each district. The Committee believes this is the optimal method of making such allocations and expects the Judiciary to continue to allocate its resources using this system. The Committee also expects the Administrative Office to periodically update the formulas to ensure their accuracy.

The Committee supports the fiscal year 2007 request for new magistrate judges and support staff needed to meet increased Federal Judiciary requirements as a result of higher caseloads on the southwest border of the United States. The Committee provides adquate funding to fill the approved positions in New Mexico, California, and Colorado.

The Committee is concerned with the Judiciary's practice of including one-time windfalls of offsetting collections and prior year carryover funds in the fiscal year 2007 funding base. The Committee notes that such an approach allows the Judiciary to present a budget request without otherwise necessary cost savings and budgetary tradeoffs that are expected of Executive Branch agencies in this Act. The Committee urges the Federal Judiciary to discontinue this practice in developing its fiscal year 2008 budget submission.

From funds appropriated under this heading, the Committee provides $500,000 for the Florida Council on Compulsive Gambling Screening, Assessment and Pre-Trial Diversion Program within the drug courts and juvenile justice diversion programs of the State of Florida. The Committee intends for these funds to support state-wide expansion of the program.

VACCINE INJURY COMPENSATION TRUST FUND


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $3,795,000 
Budget request, fiscal year 2007    3,952,000 
Recommended in the bill             3,952,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    +157,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Committee recommends a reimbursement of $3,952,000 for fiscal year 2007 from the Special Fund to cover expenses of the Claims Court associated with processing cases under the National Childhood Vaccine Injury Act of 1986. This amount is $157,000 above the amount available in fiscal year 2006 and equal to the request.

DEFENDER SERVICES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $709,830,000 
Budget request, fiscal year 2007    803,879,000 
Recommended in the bill             750,033,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   +40,203,000 
  Budget request, fiscal year 2007  -53,846,000 
------------------------------------------------

This account provides funding for the operation of the Federal Public Defender and Community Defender organizations and for compensation and reimbursement of expenses of panel attorneys appointed pursuant to the Criminal Justice Act (CJA) for representation in criminal cases.

The Committee recommends an appropriation of $750,033,000 for fiscal year 2007. The recommendation is $40,203,000 above the fiscal year 2006 level and $53,846,000 below the request.

FEES OF JURORS AND COMMISSIONERS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $60,705,000 
Budget request, fiscal year 2007    63,079,000 
Recommended in the bill             63,079,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,374,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends an appropriation of $63,079,000 for payments to jurors, which is $2,374,000 above the fiscal year 2006 level and the same as the request.

COURT SECURITY


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $368,280,000 
Budget request, fiscal year 2007    410,334,000 
Recommended in the bill             400,334,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   +32,054,000 
  Budget request, fiscal year 2007  -10,000,000 
------------------------------------------------

The Committee recommends an appropriation of $400,334,000 for Court Security in fiscal year 2007 to provide for necessary expenses of security and protective services in courtrooms and adjacent areas. This is an increase of $32,054,000 above the fiscal year 2006 level and $10,000,000 below the request.

The recommendation provides for inflationary increases, 34 additional court security officers, and half of the 50 percent increase requested for additional equipment and security systems. The Committee notes concern over the high cost to purchase 340 digital video recorders.

Bill language is included allowing up to $15,000,000 to remain available until expended.

ADMINISTRATIVE OFFICE OF THE UNITED STATES COURTS

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $69,559,000 
Budget request, fiscal year 2007    75,333,000 
Recommended in the bill             73,800,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +4,241,000 
  Budget request, fiscal year 2007  -1,533,000 
-----------------------------------------------

The Administrative Office of the United States Courts (AO) provides administrative and management support to the United States Courts, including the probation and bankruptcy systems. It also supports the Judicial Conference of the United States in determining Federal Judiciary policies, in developing methods to allow the courts to conduct business efficiently and economically, and in enhancing the use of information technology in the courts.

The Committee recommends an appropriation of $73,800,000 for the salaries and expenses of the AO, which is $4,241,000 above the fiscal year 2006 level and $1,533,000 below the request.

FEDERAL JUDICIAL CENTER

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $22,127,000 
Budget request, fiscal year 2007    23,787,000 
Recommended in the bill             23,500,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,373,000 
  Budget request, fiscal year 2007    -287,000 
-----------------------------------------------

The Center improves the management of Federal Judicial dockets and court administration through education for judges and staff, and research, evaluation, and planning assistance for the courts and the Judicial Conference.

The Committee recommends an appropriation of $23,500,000 for the salaries and expenses of the Federal Judicial Center for fiscal year 2007, which is $1,373,000 above the fiscal year 2006 level and $287,000 below the request.

JUDICIAL RETIREMENT FUNDS

PAYMENT TO JUDICIARY TRUST FUNDS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $40,600,000 
Budget request, fiscal year 2007    58,300,000 
Recommended in the bill             58,300,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  +17,700,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

These funds cover the estimated annuity payments to be made to retired bankruptcy judges, magistrate judges, Claims Court judges, and spouses and dependent children of deceased judicial officers.

The Committee provides $58,300,000 for payments to the Judicial Officers' Retirement Fund, the Judicial Survivors' Annuities Fund, and the Claims Court Judges Retirement Fund for fiscal year 2007. This amount is the same as the budget request and $17,700,000 above the fiscal year 2006 level. These payments are considered mandatory for budget scorekeeping purposes.

UNITED STATES SENTENCING COMMISSION

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $14,256,000 
Budget request, fiscal year 2007    15,740,000 
Recommended in the bill             15,500,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,244,000 
  Budget request, fiscal year 2007    -240,000 
-----------------------------------------------

The purpose of the Commission is to establish, review, and revise sentencing guidelines, policies, and practices for the Federal criminal justice system. The Commission is also required to monitor the operation of the guidelines and to identify and report necessary changes to the Congress.

The Committee recommends $15,500,000 for the salaries and expenses of the United States Sentencing Commission for fiscal year 2007, which is $1,244,000 above the fiscal year 2006 appropriation and $240,000 below the request.

ADMINISTRATIVE PROVISIONS--THE JUDICIARY

Section 401. The Committee continues language to permit funds in the bill for salaries and expenses for the Judiciary to be available for employment of experts and consultant services as authorized by 5 U.S.C. 3109.

Section 402. The Committee continues language that permits up to 5 percent of any appropriation made available for fiscal year 2007 to be transferred between Judiciary appropriations accounts provided that no appropriation shall be decreased by more than 5 percent or increased by more than 10 percent by any such transfer except in certain circumstances. In addition, the language provides that any such transfer shall be treated as a reprogramming of funds under sections 805 and 810 of the accompanying bill and shall not be available for obligation or expenditure except in compliance with the procedures set forth in that section.

Sec. 403. The Committee continues language authorizing not to exceed $11,000 to be used for official reception and representation expenses incurred by the Judicial Conference of the United States.

Sec. 404. The Committee continues language requiring a financial plan for the Judiciary within 90 days of enactment of this Act.

Sec. 405. The Committee includes language amending the Judicial Improvement Act of 1990 (Public Law 101-650).

TITLE V--DISTRICT OF COLUMBIA

FEDERAL PAYMENTS

FEDERAL PAYMENT FOR RESIDENT TUITION SUPPORT


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $32,868,000 
Budget request, fiscal year 2007    35,100,000 
Recommended in the bill             35,100,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,232,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends a Federal payment of $35,100,000 for the resident tuition support program, $2,232,000 above the fiscal year 2006 appropriation and the same as the budget request. Of the amounts made available, not more than $1,200,000 may be used for administrative expenses.

The Resident Tuition Support program was created by the District of Columbia College Access Act of 1999 to provide District college-bound students the opportunity to expand their higher education choices. The program receives its funding through a Federal appropriation which is deposited into a dedicated account under the control of the District of Columbia Chief Financial Officer. These funds are to be used on behalf of eligible District of Columbia residents to pay an amount based upon the difference between in-State and out-of-State tuition at eligible public and private institutions of higher education.

FEDERAL PAYMENT FOR EMERGENCY PLANNING AND SECURITY COSTS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $13,365,000 
Budget request, fiscal year 2007     8,533,000 
Recommended in the bill              8,533,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   -4,832,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends a Federal payment of $8,533,000 for emergency planning and security costs, $4,832,000 below the fiscal year 2006 appropriation and the same as the budget request. These funds are for emergency planning and security costs related to the presence of the Federal government in the District of Columbia and surrounding jurisdictions.

FEDERAL PAYMENT TO THE DISTRICT OF COLUMBIA COURTS


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $216,723,000 
Budget request, fiscal year 2007    196,629,000 
Recommended in the bill             219,629,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +2,906,000 
  Budget request, fiscal year 2007  +23,000,000 
------------------------------------------------

The Committee recommends a Federal payment of $219,629,000 for operation of the District of Columbia Courts, $2,906,000 above the fiscal year 2006 appropriation and $23,000,000 above the budget request. This amount includes $9,401,000 for the Court of Appeals, $89,646,000 for the Superior Court, $46,653,000 for the Court System, and $73,929,000 for capital improvements to courthouse facilities. The Committee recommends an increase of $23,000,000 over the request for facilities improvements to meet the costs of renovating the Old Courthouse, similar to recommendations and reprogramming actions the Committee has taken with the General Services Administration to meet the escalating construction costs affecting other Federal courthouses.

DEFENDER SERVICES IN THE DISTRICT OF COLUMBIA COURTS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $43,560,000 
Budget request, fiscal year 2007    43,475,000 
Recommended in the bill             43,475,000 
Bill compared with:                            
  Appropriation, fiscal year 2006      -85,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends $43,475,000 for Defender Services in District of Columbia Courts, $85,000 below the fiscal year 2006 appropriation and the same as the budget request. The Committee continues to allow funds provided to the District of Colombia Courts to be used for Defender Services, with a modification. The Committee caps this authority at $2,000,000, or roughly 5 percent of the Defender Services appropriation, for fiscal year 2007. These funds provide payment for counsel appointed in proceedings in the Family Court of the Superior Court and under the District of Columbia Guardianship, Protective Proceedings, and Durable Power of Attorney Act of 1986.

FEDERAL PAYMENT TO THE COURT SERVICES AND OFFENDER SUPERVISION AGENCY FOR THE DISTRICT OF COLUMBIA


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006 1  $169,839,000 
Budget request, fiscal year 2007    181,653,000 
Recommended in the bill             181,653,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   +11,814,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Committee recommends a Federal payment of $181,653,000 for the Court Services and Offender Supervision Agency (CSOSA), $11,814,000 above the fiscal year 2006 appropriation and the same as the budget request. Of the amounts provided, $135,457,000 is for the Community Supervision Program and $46,196,000 is for the Pretrial Services Agency, and not to exceed a total of $560,000 is for information technology infrastructure enhancement acquisitions. The increase in funds over the prior year is due to (1) the increased capacity and operations at Karrick Hall (the District's Re-entry and Sanctions Center) and (2) an effort to reduce the ratio of defendants to pretrial services officers from 124:1 to aqpproximately 100:1.

FEDERAL PAYMENT TO THE PUBLIC DEFENDER SERVICE FOR THE DISTRICT OF COLUMBIA


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006 1  $29,535,000 
Budget request, fiscal year 2007    32,710,000 
Recommended in the bill             32,710,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +3,175,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends a Federal payment of $32,710,000 for the Public Defender Service for the District of Columbia (PDSDC), $3,175,000 above the fiscal year 2006 appropriation and the same as the budget request. In prior years, PDSDC was funded as a part of the Court Services and Offender Supervision Agency (CSOSA). While PDSDC and CSOSA have established a cordial relationship, the missions of the two organizations are not the same. The PDSDC, like public defender agencies of other jurisdictions, should have an independent budget submission and appropriation. Therefore, the Committee has revised the account structure for CSOSA and PDSDC and includes a general provision (section 530) which creates an independent process public defender service in terms of budgeting and funds execution.

FEDERAL PAYMENT TO THE DISTRICT OF COLUMBIA WATER AND SEWER AUTHORITY


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $6,930,000 
Budget request, fiscal year 2007    7,000,000 
Recommended in the bill             7,000,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     +70,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Committee recommends a Federal payment of $7,000,000 to the District of Columbia Water and Sewer Authority (WASA), $70,000 above the fiscal year 2006 appropriation and the same as the budget request. These funds are to continue implementation of the Combined Sewer Overflow Long-Term Plan and are to be matched 100 percent by WASA.

FEDERAL PAYMENT FOR BIOTERRORISM AND FORENSICS LABS


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $4,950,000 
Budget request, fiscal year 2007        - - - 
Recommended in the bill                 - - - 
Bill compared with:                           
  Appropriation, fiscal year 2006  -4,950,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Committee's recommendation does not include funds for the bioterrorism lab consistent with the budget request. In prior years, the Committee has provided almost $40,000,000 towards the design and planning of a forensic sciences laboratory facility for the District. The Committee is supportive of this endeavor and encourages the District to continue with the planning and site selection process. Based on information from District officials, construction of the facility would commence in fiscal year 2008. The Committee will consider funds for construction during the fiscal year 2008 appropriations.

FEDERAL PAYMENT FOR NAVY YARD METRO STATION


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006          - - - 
Budget request, fiscal year 2007   $20,000,000 
Recommended in the bill                  - - - 
Bill compared with:                            
  Appropriation, fiscal year 2006  -20,000,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee's recommendation does not include $20,000,000 for expansion of the Navy Yard Metro station as recommended in the budget request. Funds for this purpose were not requested or provided in the previous year. The Committee makes this decision without prejudice, but encourages the District to work with the Washington Metropolitan Area Transit Authority and the General Services Administration to create a cost sharing proposal similar to the arrangement used to finance the New York Avenue Station.

FEDERAL PAYMENT FOR CENTRAL LIBRARY AND BRANCH LOCATIONS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006          - - - 
Budget request, fiscal year 2007   $30,000,000 
Recommended in the bill                  - - - 
Bill compared with:                            
  Appropriation, fiscal year 2006        - - - 
  Budget request, fiscal year 2007 -30,000,000 
-----------------------------------------------

The Committee's recommendation does not include funds for the costs associated with construction of a new central library as proposed in the budget request. The Committee supports the concept and encourages the District of Columbia to further refine the proposal, including cost estimates, financing, construction plans, and a plan for the current library building.

FEDERAL PAYMENT TO THE CRIMINAL JUSTICE COORDINATING COUNCIL


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $1,287,000 
Budget request, fiscal year 2007    1,300,000 
Recommended in the bill             1,300,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     +13,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Committee recommends a Federal payment of $1,300,000 to the Criminal Justice Coordinating Council (CJCC), $13,000 above the fiscal year 2006 appropriation and the same as the budget request. These funds are to support initiatives related to the coordination of Federal and local criminal justice resources in the District of Columbia. Similar to the prior year, the Committee directs the CJCC to submit annual performance measures in an annual report.

FEDERAL PAYMENT TO THE OFFICE OF CHIEF FINANCIAL OFFICER OF THE DISTRICT OF COLUMBIA


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $28,908,000 
Budget request, fiscal year 2007         - - - 
Recommended in the bill              5,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  -23,908,000 
  Budget request, fiscal year 2007  +5,000,000 
-----------------------------------------------

The Committee recommends a Federal payment of $5,000,000 for the Chief Financial Officer of the District of Columbia, $23,908,000 below the fiscal year 2006 appropriation and $5,000,000 above the budget request. These funds are for education, public safety, health, economic development, and infrastructure initiatives in the District of Columbia. The Committee directs each grantee to submit a comprehensive budget and a report on the activities to be carried out with the funds no later than March 15, 2007. The District CFO will submit a comprehensive report no later than April 30, 2007, to the Committees on Appropriations highlighting which grantees did not comply with the reporting requirements. The Committe requires that any funds to these grantees must be spent primarily in the District of Columbia to benefit District residents.

National Children's Alliance $200,000
Library Improvements 1,000,000
STEEED Youth Education and Recreation Program 50,000
Excel Institute 950,000
Capitol Area Food Bank 125,000
Southeastern University 250,000
N Street Village 400,000
Georgetown Metro Connection 200,000
Perry School 50,000
DC Children and Youth Investment Trust Corporation 125,000
MenzFit 100,000
Food and Friends 150,000
Whitman-Walker Clinic 375,000
College Bound, Inc. 150,000
Everybody Wins 50,000
Anacostia Waterfront Initiative 100,000
Eastern Market 100,000
Metropolitan Police Department bullet proof vests 300,000
GWU Cancer Institute 325,000

FEDERAL PAYMENT FOR SCHOOL IMPROVEMENT


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $39,600,000 
Budget request, fiscal year 2007    40,800,000 
Recommended in the bill             40,800,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,200,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Committee recommends a Federal payment of $40,800,000 for school improvement, $1,200,000 above fiscal year 2006 and the same as the budget request. These funds are allocated as follows: $13,000,000 to improve public school education in the District of Columbia, $13,000,000 to expand quality charter schools, and $14,800,000 to the Secretary of Education for opportunity scholarships for low-income children in the District of Columbia, of which $1,800,000 is for administrative expenses.

While the Committee is satisfied with the overall financial health of the District, the Committee is very concerned about the dismal state of the District's public schools. By the District's own data, families with children are moving out of the District, children in the District are leaving public schools for private or charter schools, and student achievement test scores are dropping. The U.S. Department of Education has classified the District of Columbia Public School system (DCPS) as `high risk' for failing to properly account for Federal education grants. Children and parents in DC deserve better.

The District and DCPS are facing at a minimum three major challenges: student achievement scores, fiscal responsibility, and a massive capital infrastructure investment. In the view of the Committee, the DCPS should focus its efforts on providing quality education to DC students and consent to the establishment of other independent agencies to oversee the other challenges. The Committee is not assuming to supervise the school system in fiscal year 2007, but instead strongly urges DCPS to take action this year to restore confidence in the school system before Federal action becomes necessary.

The Committee directs DCPS Chief Financial Officer to take a greater role in overseeing the management and accounting of all DCPS funds and assets, similar to the independent and confirmed position of the DC Chief Financial Officer. The recent classification of `high risk' by the U.S. Department of Education demonstrates the need for greater financial accountability, separate from the Superintendent and the School Board.

The Committee recommends DCPS create a team to thoroughly assess the capital infrastructure holdings of the system. The Committee is not advocating building closure as an ultimate goal, but rather a realistic inventory of the buildings, the investment required to bring each facility up to a quality standard, and a good common sense plan to meet the needs of the students and the community. The Committee commends DCPS for starting the process and the commitment to address the capital infrastructure issues facing the school system. However, the Committee suggests that a review of the DCPS facilities is an involved task requiring more expertise in this area rather than establishing a committee within the system, thus diverting resources away from education.

The Committee recognizes that the Federal funds provided to DCPS in this bill are minimal compared to the funds provided by the U.S. Department of Education and the local funds from DC taxpayers. However, the economic growth and stability of the District is at risk without a healthy public school system.

DISTRICT OF COLUMBIA FUNDS

The Committee recommends a total of $8,996,915,000 for the operating expenses of the District of Columbia as contained in the fiscal year 2007 proposed budget and financial plan submitted to the Congress by the Government of the District of Columbia in June 2006. Of the total, $5,079,758,000 is from local funds, $2,011,321,000 is from Federal grant funds, $1,897,951,000 is from other funds, $7,885,000 is from private funds, and $170,052,000 is from prior year funds. In addition, an increase of $2,400,757,000 is for capital construction projects. The Committee directs that any changes to the financial plan as submitted by the District must follow the reprogramming guidelines.

With the expanded authority to use District funds, the Committee expects the District government to first and foremost address capital infrastructure needs.

The Committee commends the DC leadership on the continued financial health of the District. The coming year will bring a different slate of leaders to the District. The Committee expects the future administration and council to adhere to the same fiscal discipline and responsibility demonstrated in recent years, and the sound principles set forth by the Chief Financial Officer. Consistent with last year's report, the Committee expects the District government to use the flexible authority allowed in sections 523, 524, and 525 to first and foremost address capital infrastructure and other one-time needs.

The Committee does not recommend funds for a new U.S. Coast Guard headquarters at the St. Elizabeths West Campus as proposed in the General Services Administration budget request. At the April 6, 2006 Committee hearing, the District leadership expressed great concern and frustration with the financial structural imbalance of the District. In the opinion of the Committee, turning the St. Elizabeths West Campus into a Federal building compound would do little to bring balance to the District, and little to bring lasting investment to the surrounding neighborhood and ward. The Committee strongly encourages the District to consider alternative development plans for the West Campus to address neighborhood needs such as mixed-use development, mixed-income housing, retail, grocery, services, and vocational training or education facilities.

ADMINISTRATIVE PROVISIONS

Section 501. The Committee continues the provision that specifies that an appropriation for a particular purpose or object shall be considered as the maximum amount that may be expended for said purpose or object.

Section 502. The Committee continues the provision that permits funds for travel and payment of dues.

Section 503. The Committee continues the provision that appropriates funds for refunding overpayments of taxes collected and for paying settlements and judgments against the District of Columbia government.

Section 504. The Committee continues the provision that prohibits the use of appropriation for publicity or propaganda purposes.

Section 505. The Committee modifies the provision that establishes reprogramming and transfer requirements with respect to notification requirements.

Section 506. The Committee continues the provision that prohibits use of funds only to the objects for which the appropriations were made.

Section 507. The Committee continues the provision that clarifies the pay setting authority for District employees as the District's Merit Personnel Act rather than title 5 of the United States Code.

Section 508. The Committee continues the provision that directs the Mayor of the District of Columbia to submit new fiscal year 2007 revenue estimates as of the end of such quarter.

Section 509. The Committee continues the provision that prohibits the District government from renewing or extending sole source contracts without opening them to the competitive bidding process as set forth in section 303 of the District of Columbia Procurement Practices Act of 1985.

Section 510. The Committee continues the provision that prohibits the use of Federal funds for salaries, expenses, or other costs associated with the offices of U.S. Senator or Representative under section 4(d) of the D.C. Statehood Constitutional Convention Initiatives of 1979.

Section 511. The Committee continues the provision that prohibits Federal funds made available in this Act from being used to implement or enforce any system of registration for unmarried cohabitating couples.

Section 512. The Committee continues the provision that allows the mayor to accept, obligate, and expend Federal, private, and other grants received by the District government that are not reflected in the amounts appropriated in this Act.

Section 513. The Committee continues the provision that restricts the use of official vehicles to official duties and not between a residence and workplace, except in the case of a police officer who resides in the District of Columbia at the discretion of the Chief, an officer or employee of the D.C. Fire and Emergency Medical Services Department who resides in the District of Columbia and is on call 24 hours a day, the Mayor of the District of Columbia, and the Chairman of the Council of the District of Columbia.

Section 514. The Committee continues the provision that prohibits the use of funds for the audit of the District government's annual financial statements unless the DC Inspector General either conducts, or contracts for, the audit.

Section 515. The Committee continues the provision that prohibits the use of appropriated funds by the Corporation Counsel or any other officer or entity of the District government to provide assistance for any petition drive or civil action which seeks to require Congress to provide for voting representation in Congress for the District of Columbia.

Section 516. The Committee continues the provision that prohibits the use of any funds in this Act to carry out any program of distributing sterile needles or syringes for the hypodermic injection of any illegal drug.

Section 517. The Committee continues the provision that requires the Chief Financial Officers of the District of Columbia to certify that they understand the duties and restrictions applicable to their agency as a result of this Act.

Section 518. The Committee continues the provision that includes a `conscience clause' on legislation that pertains to contraceptive coverage by health insurance plans.

Section 519. The Committee continues the provision that requires the Mayor of the District of Columbia to submit quarterly reports on various issues pertaining to the District of Columbia.

Section 520. The Committee continues the provision that requires the CFO to submit a revised appropriated funds operating budget in the format of the budget that the District government submitted pursuant to section 442 of the DC Home Rule Act for all agencies no later than 30 calendar days after the date of enactment of this Act.

Section 521. The Committee continues the provision that prohibits the use of any funds in the Act to: (1) pay the fees of an attorney who represents a party in an action or any attorney who defends any action, including an administrative proceeding, brought against D.C. Public Schools under the Individuals With Disabilities Act (IDEA) in excess of $4,000 for that action; (2) pay the fees of an attorney or firm whom the CFO determines to have a pecuniary interest, either through an attorney, officer or employee of the firm, in any special education diagnostic services, schools, or other special education service providers; and (3) require all savings to be used to expand special education services within the District.

Section 522. The Committee continues the provision that requires attorneys in special education cases brought under IDEA to comply with several reporting requirements and allow the Inspector General to conduct investigations to determine the accuracy of the certifications.

Section 523. The Committee continues the provision that allows for appropriations in this Act to be increased by no more than $42,000,000 from unexpended general funds, and may be used only for one-time expenditures, to avoid deficit spending, for debt reduction, for program needs, or to avoid revenue shortfalls.

Section 524. The Committee continues the provision that allows the District to Spend `Other-Type Funds' under certain conditions.

Section 525. The Committee continues the provision that allows for short-term borrowing from the emergency and contingency reserve funds established under section 450A of the District of Columbia Home Rule Act (Public Law 98-198; D.C. Official Code, sec. 1-204.50a) under certain circumstances.

Section 526. The Committee continues the provision prohibiting funds to change the legality of marijuana use.

Section 527. The Committee continues the provision relating to abortion.

Section 528. The Committee continues the provision granting authority to the CFO with respect personnel and preparing financial statements audits. The Committee directs the CFO to report to the Committees on Appropriations 30 days after utilizing this authority.

Section 529. The Committee continues the provision exempting the CFO from certain provisions of the District of Columbia Procurement Practices Act.

Section 530. The Committee recommends a new provision which allows the Public Defender Services of the District of Columbia to operate outside of the Court Supervised Offender Services Agency for budgeting.

Section 531. The Committee includes a new provision that makes technical corrections to Public Law 109-115 regarding `Federal Payment for School Improvement'.

Section 532. The Committee continues the provision which limits references to `this Act' as referring to only this title.

TITLE VI--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO THE PRESIDENT

These funds provide for the compensation of the President as well as official expenses of the Executive Office of the President, as authorized by title 3, United States Code.

COMPENSATION OF THE PRESIDENT


---------------------------------------------
---------------------------------------------
Appropriation, fiscal year 2006     $450,000 
Budget request, fiscal year 2007 1   450,000 
Recommended in the bill              450,000 
Bill compared with:                          
  Appropriation, fiscal year 2006      - - - 
  Budget request, fiscal year 2007     - - - 
---------------------------------------------

These funds provide for the compensation of the President, including an expense allowance as authorized by 3 U.S.C. 102.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $450,000 for Compensation of the President, including an expense allowance of $50,000. These are the same as amounts as appropriated in fiscal year 2006 and the same as requested by the President. The bill specifies that any unused amount shall revert to the Treasury consistent with 31 U.S.C. 1552.

WHITE HOUSE OFFICE

SALARIES AND EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006     $53,292,000 
Budget request, fiscal year 2007 1   51,952,000 
Recommended in the bill              51,952,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    -1,340,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Salaries and Expenses account of the White House Office supports staff and administrative services necessary for the direct support of the President, including costs for the Homeland Security Council.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $51,952,000 for the White House Office, which is $1,340,000 less than the fiscal year 2006 level and the same as in the Administration's request. This account also includes up to $1,500,000 for the Privacy and Civil Liberties Oversight Board.

EXECUTIVE RESIDENCE AT THE WHITE HOUSE

OPERATING EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006     $12,312,000 
Budget request, fiscal year 2007 1   12,041,000 
Recommended in the bill              12,041,000 
Bill compared with:                             
  Appropriation, fiscal year 2006      -271,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

These funds provide for the care, maintenance, and operation of the Executive Residence, including official and ceremonial functions of the President.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $12,041,000 for the operating expenses of the Executive Residence, a decrease of $271,000 from the amounts appropriated in fiscal year 2006 and the same as the amounts requested by the President. The bill includes the same restrictions on reimbursable expenses for use of the Executive Residence as were enacted in fiscal year 2006.

WHITE HOUSE REPAIR AND RESTORATION


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006     $1,683,000 
Budget request, fiscal year 2007 1   1,600,000 
Recommended in the bill              1,600,000 
Bill compared with:                            
  Appropriation, fiscal year 2006      -83,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

To provide for the repair, alteration, and improvement of the Executive Residence at the White House; a separate account was established in fiscal year 1996 to program and track expenditures for capital improvement projects at the Executive Residence at the White House.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $1,600,000 for White House Repair and Restoration, a decrease of $83,000 below the amount enacted in fiscal year 2006 and the same as the amount requested by the President.

COUNCIL OF ECONOMIC ADVISERS

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006     $4,000,000 
Budget request, fiscal year 2007 1   4,002,000 
Recommended in the bill              4,002,000 
Bill compared with:                            
  Appropriation, fiscal year 2006       +2,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Council of Economic Advisers analyzes the national economy and its various segments, advises the President on economic developments, recommends policies for economic growth and stability, appraises economic programs and policies of the Federal Government, and assists in preparation of the annual Economic Report of the President to Congress.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $4,002,000 for the Council of Economic Advisers, an increase of $2,000 from the amount enacted in fiscal year 2006 and the same as requested by the President.

OFFICE OF POLICY DEVELOPMENT

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006     $3,465,000 
Budget request, fiscal year 2007 1   3,385,000 
Recommended in the bill              3,385,000 
Bill compared with:                            
  Appropriation, fiscal year 2006      -80,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Office of Policy Development supports the National Economic Council and the Domestic Policy Council in carrying out their responsibilities to advise and assist the President in the formulation, coordination, and implementation of economic and domestic policy. The Office of Policy Development also provides support for other domestic policy development and implementation activities, as directed by the President.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $3,385,000 for the Office of Policy Development, a decrease of $80,000 from the amount enacted in fiscal year 2006 and the same as the request.

NATIONAL SECURITY COUNCIL

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006     $8,618,000 
Budget request, fiscal year 2007 1   8,405,000 
Recommended in the bill              8,405,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     -213,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The National Security Council advises the President on the integration of domestic, foreign, and military policies relating to national security.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $8,405,000 for the National Security Council, a decrease of $213,000 from the amount appropriated in fiscal year 2006 and the same as requested by the President.

OFFICE OF ADMINISTRATION

SALARIES AND EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006     $88,429,000 
Budget request, fiscal year 2007 1  102,417,000 
Recommended in the bill              91,393,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +2,964,000 
  Budget request, fiscal year 2007  -11,024,000 
------------------------------------------------

The Office of Administration is responsible for providing cost-effective, administrative services to the Executive Office of the President. These services, defined by Executive Order 12028 of 1977, include financial, personnel, library and records services, information management systems support, and general office services.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $91,393,000 for the Office of Administration, an increase of $2,964,000 above the amount appropriated in fiscal year 2006 and a decrease of $11,024,000 below the amount requested by the President.

Enterprise services program- The Committee continues the Enterprise Services Program and fully funds the Office of Administration as requested except for funds for General Services Administration (GSA) rental payments for the Office of Management and Budget (OMB) and the Office of National Drug Control Policy (ONDCP). The Committee recommends funding for OMB rent ($7,405,000) and ONDCP rent ($3,619,000) under their respective headings for `Salaries and Expenses' and provides the same levels of funding as the President's request. The Committee has provided the remaining level of GSA rent and all miscellaneous costs in the Enterprise Services Program, as requested.

The Committee recommends funding for all Office of Administration activities at the requested level for each activity in fiscal year 2007.

OFFICE OF MANAGEMENT AND BUDGET

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $76,161,000 
Budget request, fiscal year 2007    68,780,000 
Recommended in the bill             76,185,000 
Bill compared with:                            
  Appropriation, fiscal year 2006      +24,000 
  Budget request, fiscal year 2007  +7,405,000 
-----------------------------------------------

The Office of Management and Budget assists the President in the discharge of budgetary, economic, management, and other executive responsibilities.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $76,185,000 for the Office of Management and Budget (OMB), an increase of $24,000 above the amount appropriated in fiscal year 2006 and $7,405,000 above the amount requested by the President.

The Committee recommends $7,405,000 under this heading for rental payments to GSA instead of providing these funds under the heading `Office of Administration.'

The Committee recommends a limitation of $3,000 for reception and representation expenses as requested by the President.

`E-Gov' initiative- The Committee continues to express serious concerns about the continued forced implementation of this initiative on departments and agencies. Many aspects of this initiative are fundamentally flawed, contradict underlying program statutory requirements and have stifled innovation by forcing conformity to an arbitrary government standard. Therefore, the Committee continues to include a government-wide general provision that precludes the use of funds for the `e-Gov' initiative prior to consultation with the Committee on Appropriations. The Committee urges OMB to work directly with the individual subcommittees in advance so that approved initiatives can move forward without disruption.

OFFICE OF NATIONAL DRUG CONTROL POLICY

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $26,639,000 
Budget request, fiscal year 2007    23,309,000 
Recommended in the bill             26,928,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     +289,000 
  Budget request, fiscal year 2007  +3,619,000 
-----------------------------------------------

The Office of National Drug Control Policy Reauthorization Act of 1998 charges the Office of National Drug Control Policy, established by the Anti-Drug Abuse Act of 1988, with developing policies, objectives and priorities for the National Drug Control Program as defined by the Act and Executive Order 12880.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $26,928,000 for the Office of National Drug Control Policy (ONDCP), an increase of $289,000 from the enacted fiscal year 2006 level and a $3,619,000 increase over the President's request.

The Committee recommends $3,619,000 under this heading for rental payments to GSA instead of providing these funds under the heading `Office of Administration.'

The Committee recommends funding to support the requested level of 123 FTEs.

The Committee is concerned about the ONDCP's programmatic priorities as reflected in its 2007 budget request. Specifically, the Committee rejects again in 2007 the proposal to move the High Intensity Drug Trafficking Areas (HIDTA) program to the Department of Justice. Additionally, the Committee notes its concern that the ONDCP has resisted focusing its programs to fighting the alarming rise in domestic methamphetamine production, trafficking and abuse. The Committee cannot ensure future funding for ONDCP's priorities if ONDCP continues to ignore the concerns of Congress.

COUNTERDRUG TECHNOLOGY ASSESSMENT CENTER


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $29,700,000 
Budget request, fiscal year 2007     9,600,000 
Recommended in the bill             19,600,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  -10,100,000 
  Budget request, fiscal year 2007 +10,000,000 
-----------------------------------------------

Pursuant to the Office of National Drug Control Policy Reauthorization Act of 1998 (title VII of Division C of Public Law 105-277), the Counterdrug Technology Assessment Center serves as the central counterdrug research and development organization for the United States Government.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $19,600,000 for the Counterdrug Technology Assessment Center, a decrease of $10,100,000 from the fiscal year 2006 enacted levels and an increase of $10,000,000 over the President's request. Included in the appropriation is $9,600,000 for supply and demand reduction research as requested by the President and $10,000,000 for the Technology Transfer Program, which was terminated in the President's request.

The Committee notes that ONDCP did not include in its fiscal year 2007 budget submission an analysis of options and recommendations for the future course of counterdrug technology research as required in the fiscal year 2006 House report. The Committee, therefore, again directs the Director of the ONDCP to transmit this report with the 2008 budget submission.

HIGH INTENSITY DRUG TRAFFICKING AREAS PROGRAM


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $224,730,000 
Budget request, fiscal year 2007          - - - 
Recommended in the bill             227,000,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +2,270,000 
  Budget request, fiscal year 2007 +227,000,000 
------------------------------------------------

The High Intensity Drug Trafficking Areas (HIDTA) Program was established by the Director of ONDCP pursuant to section 1005 of the Anti-Drug Abuse Act of 1988, and now as reauthorized by section 707 of the Office of National Drug Control Policy Act of 1998 to provide assistance to Federal and State and local law enforcement entities operating in those areas most adversely affected by drug trafficking.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $227,000,000 for the HIDTA Program, an increase of $2,270,000 over the enacted fiscal year 2006 level and $227,000,000 above the President's request. The Committee rejects the Administration's proposal to shift HIDTA funding to the Department of Justice.

The HIDTA program serves to enhance and coordinate drug control effects among local, State, and Federal law enforcement agencies in order to eliminate or reduce drug trafficking, and the Committee supports a vigorous HIDTA program. To achieve its mission, the HIDTA program must continue to enhance individual and national performance and work to develop a system that enhances the synchronization of drug control efforts.

When complying with section 602, the Committee expects that HIDTAs existing in fiscal year 2007 shall receive funding at least equal to the fiscal year 2006 initial allocation level. As ONDCP reviews candidates for new HIDTA funding, the Committee recommends increased funding for the Appalachian, Central Valley, and Lake County HIDTAs.

OTHER FEDERAL DRUG CONTROL PROGRAMS


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $192,951,000 
Budget request, fiscal year 2007    212,160,000 
Recommended in the bill             194,000,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +1,049,000 
  Budget request, fiscal year 2007  -18,160,000 
------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $194,000,000 for Other Federal Drug Control Programs, an increase of $1,049,000 above the enacted fiscal year 2006 level and $18,160,000 below the President's request.

The Committee recommends funding for the following programs for fiscal year 2007:

Drug Free Communities $80,000,000
National Drug Court Institute 1,000,000
National Alliance for Model State Drug Laws 1,000,000
National Youth Anti-Drug Media Campaign 100,000,000
United States Anti-Doping Agency 8,500,000
World Anti-Doping Agency Dues 1,500,000
Performance Measures Development 1,980,000

The Committee directs ONDCP to maintain funding for non-advertising services for the Media Campaign at a level not less than the fiscal year 2003 ratio of service funding to total funds and to continue the corporate outreach program as it operated prior to its cancellation.

The Committee has supported past education efforts to demonstrate the consequences of using performance-enhancing drugs. Although this program was successful, all professional sports, including Major League Baseball, must undertake a comprehensive campaign to educate youth on the dangers of steroid use. Professional sports must work closely with U.S. Anti-doping Administration (USADA) and other organizations to educate high school, middle school and grade school children on the dangers of performance enhancing drugs.

UNANTICIPATED NEEDS


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006       $990,000 
Budget request, fiscal year 2007    11,789,000 
Recommended in the bill              1,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006      +10,000 
  Budget request, fiscal year 2007 -10,789,000 
-----------------------------------------------

These funds enable the President to meet unanticipated emergencies in support of the national interest, security, or defense.

COMMITTEE RECOMMENDATION

The Committee recommends $1,000,000 for unanticipated needs, an increase $10,000 above the enacted fiscal year 2006 level and $10,789,000 below the President's request. Expenditures from this account may be authorized by the President.

(RESCISSION)

The President's request includes a rescission of $11,789,000 from Public Law 101-130 and 103-211 as provided to respond to various natural disasters. The Committee does not include this rescission of emergency funds to offset non-emergency appropriations.

SPECIAL ASSISTANCE TO THE PRESIDENT AND THE OFFICIAL RESIDENCE OF THE VICE PRESIDENT

SALARIES AND EXPENSES


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $4,410,000 
Budget request, fiscal year 2007    4,352,000 
Recommended in the bill             4,352,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     -58,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

These funds support the official duties and functions of the Office of the Vice President.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $4,352,000 for the Office of the Vice President, a decrease of $58,000 below the amount enacted for fiscal year 2006 and the same as requested by the President.

OPERATING EXPENSES

(INCLUDING TRANSFER OF FUNDS)


--------------------------------------------
--------------------------------------------
Appropriation, fiscal year 2006    $322,000 
Budget request, fiscal year 2007    317,000 
Recommended in the bill             317,000 
Bill compared with:                         
  Appropriation, fiscal year 2006    -5,000 
  Budget request, fiscal year 2007    - - - 
--------------------------------------------

These funds support the care and operation of the Vice President's residence and specifically support equipment, furnishings, dining facilities, and services required to perform and discharge the Vice President's official duties, functions and obligations.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $317,000 for the Operating Expenses of the Vice President's residence, a decrease of $5,000 below the amount enacted in fiscal year 2006 and the same as requested by the President.

ADMINISTRATIVE PROVISIONS--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO THE PRESIDENT

Section 601. The Committee continues language to permit the transfer of not to exceed 10 percent of funds from certain offices within the Executive Office of the President.

Section 602. The Committee includes a new provision requiring a financial plan by the Director of the ONDCP prior to the obligation of funds in fiscal year 2007.

TITLE VII--INDEPENDENT AGENCIES

ARCHITECTURAL AND TRANSPORTATION BARRIERS COMPLIANCE BOARD

SALARIES AND EXPENSES


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $5,881,590 
Budget request, fiscal year 2007    5,956,590 
Recommended in the bill             5,956,590 
Bill compared with:                           
  Appropriation, fiscal year 2006     +75,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Architectural and Transportation Barriers Compliance Board (Access Board) was established by section 502 of the Rehabilitation Act of 1973. The Access Board is responsible for developing guidelines under the Americans with Disabilities Act, the Architectural Barriers Act, and the Telecommunications Act. These guidelines ensure that buildings and facilities, transportation vehicles, and telecommunications equipment covered by these laws are readily accessible to and usable by people with disabilities. The Access Board is also responsible for developing standards under section 508 of the Rehabilitation Act for accessible electronic and information technology used by Federal agencies. In addition, the Access Board enforces the Architectural Barriers Act, and provides training and technical assistance on the guidelines and standards it develops.

The Access Board also has additional responsibilities under the Help America Vote Act. The Access Board serves on the Board of Advisors and the Technical Guidelines Development Committee, which helps Election Assistance Commission develop voluntary guidelines and guidance for voting systems, including accessibility for people with disabilities.

COMMITTEE RECOMMENDATION

The Committee recommends $5,956,590 for the operations of the Access Board, an increase of $75,000 over fiscal year 2006 and the same as the budget request.

CONSUMER PRODUCT SAFETY COMMISSION

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $62,370,000 
Budget request, fiscal year 2007    62,370,000 
Recommended in the bill             62,370,000 
Bill compared with:                            
  Appropriation, fiscal year 2006        - - - 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Consumer Product Safety Act established the Consumer Product Safety Commission (CPSC), an independent Federal regulatory agency, to reduce unreasonable risk of injury associated with consumer products. Its primary responsibilities and overall goals are: to protect the public against unreasonable risk of injury associated with consumer products; to develop uniform safety standards for consumer products, minimizing conflicting State and local regulations; and to promote research into prevention of product-related deaths, illnesses, and injuries.

COMMITTEE RECOMMENDATION

The Committee recommends $62,370,000 for fiscal year 2007, the same as both the budget request and fiscal year 2006. The bill also includes language that limits official reception and representation expenses to no more than $500 in fiscal year 2007.

ELECTION ASSISTANCE COMMISSION

SALARIES AND EXPENSES

(INCLUDING TRANSFER OF FUNDS)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $14,058,000 
Budget request, fiscal year 2007    16,908,000 
Recommended in the bill             16,908,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,850,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Election Assistance Commission (EAC) was established by the Help America Vote Act of 2002 (HAVA) and is charged with implementing provisions of that Act relating to the reform of federal election administration throughout the United States, including the development of voluntary voting systems guidelines, the certification and testing of voting systems, studies of election administration issues, and the implementation of election reform payments to states as well as grant programs related to election reform.

COMMITTEE RECOMMENDATION

The Committee recommends $16,908,000 for the EAC, an increase of $2,850,000 above the fiscal year 2006 enacted level and the same as the budget request.

The Committee also provides the budget request for research and development activities, including the transfer of $4,950,000 to the National Institute of Standards and Technology.

The Committee urges the EAC to provide $250,000 for the HAVA college program. This program, first implemented during the 2004 election, recruits and trains young people in colleges, universities, and community colleges to serve as nonpartisan pollworkers, helping to address a nationwide pollworker shortage.

FEDERAL DEPOSIT INSURANCE CORPORATION

OFFICE OF INSPECTOR GENERAL

(INCLUDING TRANSFER OF FUNDS)


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $30,690,000 
Budget request, fiscal year 2007    26,256,000 
Recommended in the bill             26,256,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   -4,434,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

Funding for the Office of the Inspector General at the Federal Deposit Insurance Corporation is provided pursuant to 31 U.S.C. 1105(a)(25), which requires a separate appropriation account for appropriations for each Office of Inspector General of an establishment defined under section 11(2) of the Inspector General Act of 1978.

COMMITTEE RECOMMENDATION

The Committee recommendation, the same as the budget request, provides for the transfer of $26,256,000 from the Bank Insurance Fund, the Savings Association Insurance Fund, and the FSLIC Resolution Fund to finance the Office of Inspector General for fiscal year 2007.

FEDERAL ELECTION COMMISSION

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $54,153,000 
Budget request, fiscal year 2007    57,138,000 
Recommended in the bill             57,138,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,985,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Commission administers the disclosure of campaign finance information, enforces limitations on contributions and expenditures, supervises the public funding of Presidential elections, and performs other tasks related to Federal elections.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $57,138,000 for the Federal Election Commission (FEC), an increase of $2,985,000 over amounts appropriated in fiscal year 2006 and the same as the budget request.

Administrative Fine Program- The Committee commends the FEC on the implementation of the Administrative Fine Program, which authorizes the FEC to assess fines for reporting violations and has been successful in leading to the decrease in number of late or non-filed reports. The Committee is concerned, however, that this program has not yet been permanently authorized. In fact, the Committee extended the Program's authorization to December 31, 2008, in the Transportation, Treasury, Housing and Urban Development, the Judiciary, and Independent Agencies Appropriations Act of 2006 (Public Law 109-115). Therefore, the Committee directs the FEC to work with the authorizing committee of jurisdiction to achieve permanent authorization for the Administrative Fine Program. The FEC should work with the authorizers of jurisdiction during fiscal year 2007, prior to the Subcommittee markup of the fiscal year 2008 appropriations bill.

FEDERAL LABOR RELATIONS AUTHORITY

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $25,213,000 
Budget request, fiscal year 2007    25,218,000 
Recommended in the bill             25,218,000 
Bill compared with:                            
  Appropriation, fiscal year 2006       +5,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

Established by title VII of the Civil Service Reform Act of 1978, the Federal Labor Relations Authority (FLRA) serves as a neutral arbiter in the labor activities of non-postal Federal employees, Departments and agencies, and Federal unions on matters outlined in the Act, including collective bargaining and the settlement of disputes. Establishment of the FLRA gives full recognition to the role of the Federal Government as an employer. Under the Foreign Service Act of 1980, the FLRA also addresses similar issues affecting Foreign Service personnel by providing full staff support for the Foreign Service Impasse Disputes Panel and the Foreign Service Labor Relations Board.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $25,218,000 for the Federal Labor Relations Authority, an increase of $5,000 above the amount appropriated in fiscal year 2006 and the same as the budget request.

FEDERAL MARITIME COMMISSION

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $20,294,010 
Budget request, fiscal year 2007    21,474,000 
Recommended in the bill             21,474,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,179,990 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Federal Maritime Commission (FMC) was established in 1961 as an independent government agency, responsible for the regulation of international waterborne commerce of the United States. In addition, FMC has responsibility for licensing and bonding ocean transportation intermediaries and assuring that vessel owners or operators establish financial responsibility to pay judgment for death or injury to passengers, or nonperformance of a cruise, on voyages from U.S. ports. It monitors the activities of ocean common carriers, who operate in the U.S./foreign commerce to ensure just and reasonable practices, maintains a trade monitoring and enforcement program, monitors the laws and practices of foreign governments which could have a discriminatory or other impacts on shipping conditions in the U.S., among other activities. The principal shipping statutes administered by the FMC are the Shipping Act of 1984 (46 U.S.C. app. 1710 et seq.), the Foreign Shipping Practices Act of 1988 (46 U.S.C. app. 1701 et seq.), and section 19 of the Merchant Marine Act, 1920 (46 U.S.C. app. 876).

COMMITTEE RECOMMENDATION

The Committee recommends $21,474,000 for the Federal Maritime Commission, the same as the budget request and $1,179,990 above the amounts provided in fiscal year 2006.

GENERAL SERVICES ADMINISTRATION

FEDERAL BUILDINGS FUND


--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Limitations on Availability of Revenue:                                         
 Limitation on availability, fiscal year 2006                  ($7,752,745,000) 
 Limitation on availability, budget estimate, fiscal year 2007  (8,046,666,000) 
 Recommended in the bill                                        (7,740,527,000) 
Bill compared with:                                                             
  Availability limitation, fiscal year 2006                       (-12,218,000) 
  Availability limitation, fiscal year 2007 estimate             (-306,139,000) 
--------------------------------------------------------------------------------

The Federal Buildings Fund (FBF) finances the activities of the Public Buildings Service, which provides space and services for Federal agencies in a relationship similar to that of landlord and tenant. The FBF, established in 1975, replaces direct appropriations by using income derived from rent assessments, which approximate commercial rates for comparable space and services. The Committee makes funds available through a process of placing limitations on obligations from the FBF as a way of allocating funds for various FBF activities. The Committee may also appropriate funds into the FBF as a way of covering the difference between the total revenues coming into the FBF and the total limitation on the expenditure from the FBF.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $7,740,527,000 for the Fund, a decrease of $12,218,000 below the fiscal year 2006 enacted levels, a decrease of $306,139,000 below the request.

To carry out the purposes of the Federal Buildings Fund established pursuant to section 210(f) of the Federal Property and Administrative Services Act of 1949, as amended (40 U.S.C. 592), the revenues and collections deposited into the Fund, shall be available for necessary expenses in the aggregate amount of $7,740,527,000 of which:

(1) $383,956,000 for construction (including funds for sites and expenses and associated design and construction services) of additional projects at the following locations:

New Construction:

Arizona: Nogales, Nogales West Border Station, $9,836,000.

San Luis, Border Station II, $42,029,000.

California: Calexico, Calexico West Border Station, $14,350,000.

District of Columbia:

For transfer to the Navy for certain permanent relocation expenses pursuant to section 1(e) of Public Law 108-268, $52,835,000.

Remote Delivery Facility II, $39,612,000.

St. Elizabeths West Campus Infrastructure, $6,444,000.

Maryland: Montgomery County, Food and Drug Administration Consolidation, $178,526,000.

New Mexico: Columbus, Border Station, $2,629,000.

Texas: El Paso, Ysleta Border Station, $20,217,000.

McAllen, Anzalduas Border Station, $7,478,000.

Nonprospectus Construction, $10,000,000.

The Committee directs that each of the foregoing limits of costs on new construction projects may be exceeded to the extent that savings are affected in other such projects, but not to exceed 10 percent of the amounts included in an approved prospectus, if required, unless advance approval is obtained from the Committees on Appropriations of a greater amount;

(2) $866,194,000 for repairs and alterations, which includes associated design and construction services:

Repairs and Alterations:

District of Columbia: Eisenhower Executive Office Building, Phase II, $56,000,000.

Harry S Truman Building, $4,629,000.

Main Interior Federal Building, $47,179,000.

Mary E. Switzer Federal Building, $50,881,000.

Illinois: Chicago, Dirksen United States Courthouse, $96,571,000.

Maryland: Laurel, Center for Veterinary Medicine, Food and Drug Administration, $6,028,000.

Silver Spring, Building 130 Center for Radiological Devices and Health, $5,793,000.

Missouri: Kansas City, Richard Bolling Federal Building, $96,608,000.

New Mexico: Albuquerque, Federal Building, $5,783,000.

New York: New York, Thurgood Marshall Courthouse, $46,385,000.

Wisconsin: Milwaukee, United States Federal Building Courthouse, $5,599,000.

Special Emphasis Programs:

Chlorofluorocarbons Program, $10,000,000.

Energy Program, $15,000,000.

Fire and Life Safety Program, $10,000,000.

Glass Fragment Retention Program, $10,000,000.

Design Program, $24,825,000.

Basic Repairs and Alterations, $374,913,000.

The Committee directs that funds made available in this or any previous Act in the Federal Buildings Fund for Repairs and Alterations shall, for prospectus projects, be limited to the amount identified for each project, except each project in this or any previous Act may be increased by an amount not to exceed 10 percent unless advance approval is obtained from the Committees on Appropriations of a greater amount. Additionally, the Committee directs that additional projects for which prospectuses have been fully approved may be funded under this category only if advance approval is obtained from the Committees on Appropriations, and that the amounts provided in this or any prior Act for `Repairs and Alterations' may be used to fund costs associated with implementing security improvements to buildings necessary to meet the minimum standards for security in accordance with current law and in compliance with the reprogramming guidelines of the appropriate Committees of the House and Senate.

(3) $163,999,000 for installment acquisition payments including payments on purchase contracts;

(4) $4,322,548,000 for rental of space; and

(5) $2,003,830,000 for building operations.

CONSTRUCTION AND ACQUISITION


------------------------------------------------------------------------------
------------------------------------------------------------------------------
Limitations on Availability of Revenue:                                       
 Limitation on availability, fiscal year 2006                  ($792,056,000) 
 Limitation on availability, budget estimate, fiscal year 2007  (690,095,000) 
 Recommended in the bill                                        (383,956,000) 
Bill compared with:                                                           
  Availability limitation, fiscal year 2006                    (-408,100,000) 
  Availability limitation, fiscal year 2007 estimate           (-306,139,000) 
------------------------------------------------------------------------------

The construction and acquisition activity funds site, design, construction, and management and inspection costs for construction of new Federal facilities.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $383,956,000 for construction and acquisition, a decrease of $408,100,000 below the fiscal year 2006 enacted level and $306,139,000 below the request. The Committee does not include $306,139,000 as requested for new construction of the Coast Guard Consolidation and Development of St. Elizabeth's Campus in Washington, DC.

Fiscal year 2007 is the second year of a two-year moratorium imposed by the Federal Judiciary for new major courthouse construction projects.

The Committee is concerned about the allocation of leased General Services Administration (GSA) office space in the Greater Washington, D.C. Metropolitan area. Evidence indicates that there is a disparity between the leased space awarded in Prince George's County and that in nearby jurisdictions in the Greater Washington, D.C. Metropolitan area. Specifically, the Committee is concerned with the lack of space awarded around Washington Metropolitan Area Transit Authority (WMATA) stations in Prince George's County, Maryland.

U.S. Customs Cargo Inspection Facility Initiative (Detroit, MI).--The Committee notes that a total of $34,857,000 has been approved in prior year appropriations bills for the U.S. Customs Cargo Inspection Facility at Ambassador Bridge, Detroit, Michigan. In House Report 108-243, the Committee directed the GSA to, among other things, work with the Federal inspection agencies and the Ambassador Bridge to resolve any outstanding issues regarding facility enhancements and to move immediately to ensure that the much-needed improvements are made quickly, including all steps necessary to implement critical interim improvements and to expedite the implementation of integrated border inspection areas, such as reverse inspection sites, at the Ambassador Bridge once agreements have been reached between the United States and Canada and operational details established by the respective border agencies.

The Committee notes that GSA is constructing Border Station improvements at the U.S. Customs Cargo Inspection Facility, Ambassador Bridge, as authorized funded in the fiscal year 2005 appropriation Act. The Committee further notes that a concept for a comprehensive international inspection center complex has been developed by the Ambassador Bridge companies to provide as many as 100 new inspection booths and other facilities to enhance the flow of commerce and the law enforcement operations at the bridge. GSA has engaged in discussions with the Ambassador Bridge companies and the federal inspection services regarding the future viability of this concept. The Committee directs GSA to continue to meet with the Ambassador Bridge companies, the federal inspection agencies, and other stakeholders to facilitate the continued development of the U.S. Customs Cargo Inspection Facility and the surrounding neighborhood, including due consideration of the proposed international inspection center.

REPAIRS AND ALTERATIONS


------------------------------------------------------------------------------
------------------------------------------------------------------------------
Limitations on Availability of Revenue:                                       
 Limitation on availability, fiscal year 2006                  ($861,376,000) 
 Limitation on availability, budget estimate, fiscal year 2007  (866,194,000) 
 Recommended in the bill                                        (866,194,000) 
Bill compared with:                                                           
  Availability limitation, fiscal year 2006                      (+4,818,000) 
  Availability limitation, fiscal year 2007 estimate                  (- - -) 
------------------------------------------------------------------------------

The repairs and alterations activity funds design, construction and management and inspection for the repair, alteration, and modernization of existing real estate assets. It funds projects to improve health and safety, recapture vacant non-revenue producing Government-owned and leased space, and various special programs.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $866,194,000 for repairs and alterations, an increase of $4,818,000 from the fiscal year 2006 enacted level and the same as the request. The Committee directs GSA to embark on the projects included in the budget request in priority order, starting with those projects that address safety and health needs and moving next to the projects with completed designs.

INSTALLMENT ACQUISITION PAYMENTS


------------------------------------------------------------------------------
------------------------------------------------------------------------------
Limitations on Availability of Revenue:                                       
 Limitation on availability, fiscal year 2006                  ($168,180,000) 
 Limitation on availability, budget estimate, fiscal year 2007  (163,999,000) 
 Recommended in the bill                                        (163,999,000) 
Bill compared with:                                                           
  Availability limitation, fiscal year 2006                      (-4,181,000) 
  Availability limitation, fiscal year 2007 estimate                  (- - -) 
------------------------------------------------------------------------------

The installment acquisition payments activity funds interest payment for facilities constructed under the Public Building Amendment of 1972 and lease-purchase agreements since 1987, a total of 80 projects.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $163,999,000 for installation acquisition payments, a decrease of $4,181,000 below the fiscal year 2006 enacted level and the same as the budget request. Based on this funding level, 68 of the original 80 projects will be paid off, leaving 12 projects remaining.

RENTAL OF SPACE


--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Limitations on Availability of Revenue:                                         
 Limitation on availability, fiscal year 2006                  ($4,046,031,000) 
 Limitation on availability, budget estimate, fiscal year 2007  (4,322,548,000) 
 Recommended in the bill                                        (4,322,548,000) 
Bill compared with:                                                             
  Availability limitation, fiscal year 2006                      (+276,517,000) 
  Availability limitation, fiscal year 2007 estimate                    (- - -) 
--------------------------------------------------------------------------------

The rental of space program funds lease payments, temporary space for Federal employees during major repair and alteration projects, and relocations from Federal buildings due to forced moves and relocations as a result of health and safety conditions.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $4,322,548,000 for rental of space, an increase of $276,517,000 above the fiscal year 2006 enacted level and the same as the budget request.

BUILDING OPERATIONS


--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Limitations on Availability of Revenue:                                         
 Limitation on availability, fiscal year 2006                  ($1,885,102,000) 
 Limitation on availability, budget estimate, fiscal year 2007  (2,003,830,000) 
 Recommended in the bill                                        (2,003,830,000) 
Bill compared with:                                                             
  Availability limitation, fiscal year 2006                      (+118,728,000) 
  Availability limitation, fiscal year 2007 estimate                    (- - -) 
--------------------------------------------------------------------------------

The building operations activity funds cleaning, maintenance, utilities, fuel, grounds, maintenance, space acquisitions and assignment services in government-owned facilities and in leased space when not provided by the lessor.

COMMITTEE RECOMMENDATION

The Committee recommends a limitation of $2,003,830,000 for building operations, an increase of $118,728,000 above the fiscal year 2006 enacted level and the same as the budget request.

GENERAL ACTIVITIES

GOVERNMENT-WIDE POLICY


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $52,268,000 
Budget request, fiscal year 2007    52,550,000 
Recommended in the bill             52,550,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     +282,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

This appropriations account provides for government-wide policy and evaluation activities associated with the management of real and personal property assets and certain administrative services; government-wide policy support responsibilities relating to acquisition, telecommunications, information technology management, and related technology activities; and services as authorized by 5 U.S.C. 3109.

COMMITTEE RECOMMENDATION

The Committee recommendation provides $52,550,000, an increase of $282,000 from fiscal year 2006 level and the same as the request. This funding level assumes that the office of government-wide policy will continue to focus its activities on core policy and regulatory activities that support statutory mission requirements, and eliminate activities that are not clearly policy-related.

OPERATING EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $98,891,000 
Budget request, fiscal year 2007    83,032,000 
Recommended in the bill             83,032,000 
Bill compared with:                            
  Appropriation, fiscal year 2006  -15,859,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

This account provides appropriations for activities that are not feasible for a user fee arrangement. Included under this heading are the Office of Citizen Services and Communications (OCSC), personal property utilization and donation activities, select management and administration activities and support of government-wide emergency management activities, and the Civilian Board of Contract Appeals.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $83,032,000 for operating expenses, a decrease of $15,859,000 below the fiscal year 2006 enacted level and the same as the budget request. Fiscal year 2006 appropriations included a one-time cost of GSA relocation at a level of $16,153,000.

The Committee recognizes that Public Service Recognition Week, a program of the Public Employees Roundtable, has educated America about the value of the career workforce, which carries out the daily operations of government. This program has existed for over 10 years and plays an important role in the education of our nation's youth by providing them with timely information about their government. The Committee urges the GSA to support the mission of the Public Employees Roundtable and provide $150,000 in administrative and logistical assistance to Public Service Recognition Week activities.

OFFICE OF INSPECTOR GENERAL


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $42,976,000 
Budget request, fiscal year 2007    44,312,000 
Recommended in the bill             44,312,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,336,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

This appropriation provides agency-wide audit and investigative functions to identify and correct GSA management and administrative deficiencies that create conditions for existing or potential instances of fraud, waste, and mismanagement. The audit function provides internal audit and contract audit services. Contract audits provide professional advice to GSA contracting officials on accounting and financial matters relative to the negotiation, award, administration, repricing, and settlement of contracts. Internal audits review and evaluate all facets of GSA operations and programs, test internal control systems, and develop information to improve operating efficiencies and enhance customer services. The investigative function provides for the detection and investigation of improper and illegal activities involving GSA programs, personnel, and operations.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $44,312,000 for the Office of Inspector General, an increase of $1,336,000 above the fiscal year 2006 enacted level and the same as the budget request.

ELECTRONIC GOVERNMENT (E-GOV) FUND

(INCLUDING TRANSFER OF FUNDS)


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $2,970,000 
Budget request, fiscal year 2007    5,000,000 
Recommended in the bill             3,000,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     +30,000 
  Budget request, fiscal year 2007 -2,000,000 
----------------------------------------------

The appropriation provides support for interagency electronic government (`e-Gov') initiatives that utilize the Internet or other electronic methods as a means to increase Federal government accessibility, efficiency, and productivity.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $3,000,000 for the `e-Gov' fund, an increase of $30,000 above the fiscal year 2006 enacted level and $2,000,000 below the budget request.

The Committee again does not include a general provision proposed in the fiscal year 2007 budget request allowing the Office of Management and Budget (OMB) to use $40,000,000 of surplus funds in the General Supply Fund to finance OMB's list of `e-Gov' initiatives across government. The Committee refuses to relinquish oversight of the development and procurement of information technology projects of the various agencies under its jurisdiction. The Committee directs GSA to evaluate the pricing structure of its services to Federal agencies to determine if GSA is overcharging its Federal clients and report back to the Committee on Appropriations its findings no later than 120 days after enactment of this act.

ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $2,922,000 
Budget request, fiscal year 2007    3,030,000 
Recommended in the bill             3,030,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    -108,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

This appropriation provides support consisting of pensions, office staffs, and related expenses for former Presidents Gerald R. Ford, Jimmy Carter, George Bush and Bill Clinton and for pension and postal franking privileges for the widow of former President Lyndon B. Johnson. Also, this appropriation is authorized to provide funding for security and travel related expenses for each former President and the spouse of a former President pursuant to section 531 of Public Law 103-329.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $3,030,000 for allowances and office staff of former Presidents, a decrease of $108,000 below the fiscal year 2006 enacted level and the same as the budget request. The following table describes the distribution of the funds:

FISCAL YEAR 2007 BUDGET ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS
[In thousands of dollars]
-------------------------------------------------------------------------------------------
                                                     Ford Carter Bush Clinton Widows Total 
-------------------------------------------------------------------------------------------
Personal Compensation                                  96     96   96      96      0   384 
Personnel Benefits                                     24      2   63      64      0   153 
Benefits for Former Presidents                        188    188  188     197     20   781 
Travel                                                 46      2   55      64      0   167 
Rental Payments to GSA                                105    102  175     498      0   880 
Communications, Utilities and Miscellaneous Charges:                                       
Telephone                                              16     10   16      77      0   119 
Postage                                                 9     15   13      15      8    60 
Printing                                                5      5   14       9      0    33 
Other Services                                         37     82   65     113      0   297 
Supplies and Materials                                 18      5   15      16      0    54 
Equipment                                               6      7   48      11      0    72 
Infrastructure Contingency Planning                     0      0    0       0      0    30 
Total Obligations                                     550    514  748   1,160     28 3,030 
-------------------------------------------------------------------------------------------

FEDERAL CITIZEN INFORMATION CENTER FUND


-----------------------------------------------
-----------------------------------------------
Appropriations, fiscal year 2006   $14,850,000 
Budget request, fiscal year 2007    16,866,000 
Recommended in the bill             16,866,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +2,016,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Consumer Information Center (CIC) was established within the General Services Administration (GSA) by Executive Order on October 26, 1970, to help Federal departments and agencies promote and distribute consumer information collected as a byproduct of the Government's program activities.

The Federal Information Center (FIC) program was established within the GSA in 1966, and was formalized by Public Law 95-491 in 1980. The program's purpose is to provide the public with direct information about all aspects of Federal programs, regulations, and services. To accomplish this mission, contractual services are used to respond to public inquiries via a nationwide toll-free telephone call center.

In 2000, the CIC assumed responsibility for the operations of the FIC program with the resulting organization being officially named the Federal Consumer Information Center. The Federal Consumer Information Center combines the nationwide toll-free telephone assistance program and the database of the FIC with the CIC website and publications distribution programs.

During fiscal year 2002, the Federal Consumer Information Center became part of GSA's newly established Office of Citizen Services and Communications and was renamed the Federal Citizen Information Center (FCIC). The new Office serves as a central federal gateway for citizens, businesses, other governments, and the media to obtain information and services from the government. FCIC assumed operational control of the FirstGov.gov website in fiscal year 2002.

Public Law 98-63, enacted July 30, 1983, established a revolving fund for the CIC. Under this fund, FCIC activities are financed from the following: annual appropriations from the general funds of the Treasury, reimbursements from agencies for distribution of publications, user fees collected from the public, and any other income incident to FCIC activities. All are available as authorized in appropriation acts without regard to fiscal year limitations. The bill includes a limitation of $18,000,000 on the availability of the revolving fund. Any revenues accruing to this fund in excess of this amount shall remain in the fund and are not available for expenditure except as authorized in appropriation Acts.

COMMITTEE RECOMMENDATION

For fiscal year 2007, the Committee recommends $16,866,000, an increase of $2,016,000 over the level for fiscal year 2006 and the same as the budget request.

The appropriation will be augmented by reimbursements from Federal agencies for distribution of consumer publications, user fees from the public, and other income.

GENERAL PROVISIONS--GENERAL SERVICES ADMINISTRATION

Section 701. The Committee continues the provision that provides that costs included in rent received from government corporations for operation, protection, maintenance, upkeep, repair and improvement shall be credited to the Federal Buildings Fund.

Section 702. The Committee continues the provision providing authority for the use of funds for the hire of motor vehicles.

Section 703. The Committee continues the provision providing that funds made available for activities of the Federal Buildings Fund may be transferred between appropriations with advance approval of the Congress.

Section 704. The Committee continues the provision prohibiting the use of funds for developing courthouse construction requests that do not meet GSA standards and the priorities of the Judicial Conference.

Section 705. The Committee continues the provision providing that no funds may be used to increase the amount of occupiable square feet, provide cleaning services, security enhancements, or any other service usually provided, to any agency which does not pay the requested rent.

Section 706. The Committee continues the provision that permits GSA to pay small claims (up to $250,000) made against the government.

Section 707. The Committee includes a new provision requested by the President that proposes merging the General Supply Fund and the Information Technology Fund into a new Acquisition Services Fund. The Committee does not include transfer language as requested by the President.

MERIT SYSTEMS PROTECTION BOARD

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $37,823,000 
Budget request, fiscal year 2007    39,110,000 
Recommended in the bill             39,110,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +1,287,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Merit Systems Protection Board (MSPB) is an independent, quasi-judicial agency established to protect the civil service merit system. The MSPB adjudicates appeals primarily involving personnel actions, certain Federal employee complaints, and retirement benefits issues. The MSPB reports to the President whether merit systems are sufficiently free of prohibited employment practices.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $39,110,000 for the Merit Systems Protection Board, an increase of $1,287,000 above the amount appropriated in fiscal year 2006 and the same as the budget request. This amount includes up to $2,579,000 which is transferred from the Civil Service Retirement and Disability Fund. The recommendation provides funding for mandatory pay raises and training, increased rent payments, and the one-time cost of relocating the San Francisco office into a building that is fully compliant with current safety standards for seismic activity.

MORRIS K. UDALL SCHOLARSHIP AND EXCELLENCE IN NATIONAL ENVIRONMENTAL POLICY FOUNDATION

MORRIS K. UDALL SCHOLARSHIP AND EXCELLENCE IN NATIONAL ENVIRONMENTAL POLICY TRUST FUND

(INCLUDING TRANSFER OF FUNDS)


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $1,980,000 
Budget request, fiscal year 2007        - - - 
Recommended in the bill             2,000,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     +20,000 
  Budget request, fiscal year 2007 +2,000,000 
----------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends $2,000,000 for the activities of the Morris K. Udall Foundation, an increase of $20,000 above the fiscal year 2006 enacted level and $2,000,000 above the request.

ENVIRONMENTAL DISPUTE RESOLUTION FUND


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $1,881,000 
Budget request, fiscal year 2007      693,000 
Recommended in the bill             2,000,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    +119,000 
  Budget request, fiscal year 2007 +1,307,000 
----------------------------------------------

Public Law 105-156 established the United States Institute for Environmental Conflict Resolution as part of the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation. It also established in the Treasury an Environmental Dispute Resolution Fund to be available to establish and operate the Institute. The purpose of the Institute is to conduct environmental conflict resolution and training.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $2,000,000 for the Environmental Dispute Resolution Fund, an increase of $119,000 above the fiscal year 2006 enacted level.

NATIONAL ARCHIVES AND RECORDS ADMINISTRATION

OPERATING EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $280,215,000 
Budget request, fiscal year 2007    289,605,000 
Recommended in the bill             289,605,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +9,390,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

This appropriation provides the National Archives and Records Administration (NARA) with funds for its basic operations dealing with management of the Government's archives and records, operation of Presidential libraries, and for the review for declassification of classified security information.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $289,605,000 for the operating expenses of NARA, an increase of $9,390,000 above the fiscal year 2006 enacted level and the same as the budget request.

ELECTRONIC RECORDS ARCHIVE


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $37,535,000 
Budget request, fiscal year 2007    45,455,000 
Recommended in the bill             45,455,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +7,920,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The electronic records archive appropriations supports all direct NARA actions and activities associated with this major project for preserving digitally created records for archival purposes, storing and managing them electronically, and ensuring appropriate long-term access. The appropriation supports a program office, research partnerships, and information technology analysis and design.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $45,455,000 for the electronic records archive of the National Archives and Records Administration (NARA), an increase of $7,920,000 above the fiscal year 2006 enacted level and the same as the budget request.

As stated in the Committee's report for fiscal year 2006, NARA is directed to submit to the House and Senate Committees on Appropriations quarterly reports on the cost, schedule, and performance of the Electronic Records Administration (ERA) project. These quarterly reports should provide information on the status of the project's schedule, budget, and expenditures as measured against a reported baseline; a prioritization of project risks and their mitigation efforts; and corrective actions taken to manage identified schedule slippages, cost overruns, or quality problems should they occur.

REPAIRS AND RESTORATION


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $9,585,000 
Budget request, fiscal year 2007   13,020,000 
Recommended in the bill            13,020,000 
Bill compared with:                           
  Appropriation, fiscal year 2006  +3,435,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

This appropriation provides for the repair, alteration, and improvement of Archives facilities and Presidential libraries nationwide. It enables the National Archives to maintain its facilities in proper condition for visitors, researchers, and employees, and also maintain the structural integrity of the buildings.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $13,020,000 for repairs and restoration, an increase of $3,435,000 above the fiscal year 2006 enacted level and the same as the budget request.

NATIONAL HISTORICAL PUBLICATIONS AND RECORDS COMMISSION GRANTS PROGRAM

(INCLUDING TRANSFER OF FUNDS)


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $7,425,000 
Budget request, fiscal year 2007        - - - 
Recommended in the bill             7,500,000 
Bill compared with:                           
  Appropriation, fiscal year 2006     +75,000 
  Budget request, fiscal year 2007 +7,500,000 
----------------------------------------------

This program provides for grants funding that the Commission makes, nationwide, to preserve and publish records that document American history. Administered within the National Archives and Records Administration, which preserves federal records, the NHPRC helps state, local, and private institutions preserve non-federal records, helps publish the papers of major figures in American history, and helps archivists and records managers improve their techniques, training, and ability to serve a range of information users.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $7,500,000 for the National Historical Publications and Research Commission grants program, an increase of $75,000 above the fiscal year 2006 enacted level and $7,500,000 above the budget request of which, $2,000,000 shall be transferred to the operating expenses account for the staffing and operating expenses of the National Historical Publications and Records Administration.

NATIONAL CREDIT UNION ADMINISTRATION

CENTRAL LIQUIDITY FACILITY


----------------------------------------------------------------------------------------------------------------
                                               Limitation on direct loans Limitation on administrative expenses 
----------------------------------------------------------------------------------------------------------------
Fiscal year 2007 recommendation                           (1,500,000,000)                            ($331,000) 
Fiscal year 2006 appropriation                            (1,500,000,000)                             (323,000) 
Fiscal year 2007 budget request                           (1,500,000,000)                             (331,000) 
Comparison with fiscal year 2006 appropriation                        (0)                              (+8,000) 
Comparison with fiscal year 2007 request                              (0)                                   (0) 
----------------------------------------------------------------------------------------------------------------

The Committee recommends a limitation of $1,500,000,000 on CLF lending activity to member credit unions from borrowed funds. This limitation represents the same level as fiscal year 2006 and the same as the budget request. The Committee expects to be kept apprised of CLF lending activity.

The Committee recommends the budget request of not more than $331,000 for administrative expenses, an increase of $8,000 above the fiscal year 2006 enacted level and the same as the budget request.

COMMUNITY DEVELOPMENT REVOLVING LOAN FUND


--------------------------------------------------------
--------------------------------------------------------
Fiscal year 2007 recommendation                $941,000 
Fiscal year 2006 appropriation                  941,000 
Fiscal year 2007 budget request                 941,000 
Comparison with fiscal year 2006 appropriation    - - - 
Comparison with fiscal year 2007 request          - - - 
--------------------------------------------------------

The Community Development Revolving Loan Fund Program (CDRLF) was established in 1979 to assist officially designated `low-income' credit unions in providing basic financial services to low-income communities. Low-interest loans and deposits are made available to assist these credit unions. Loans or deposits are normally repaid in five years, although shorter repayment periods may be considered. Technical assistance grants are also available to low-income credit unions. Earnings generated from the CDRLF are available to fund technical assistance grants in addition to funds provided for specifically in appropriations acts. Grants are available for improving operations as well as addressing safety and soundness issues.

COMMITTEE RECOMMENDATION

For fiscal year 2007 the Committee recommends $941,000 for the National Credit Union Administration's Community Development Revolving Loan Fund for technical assistance grants. While the Administration and NCUA have not requested additional funds for loans in fiscal year 2007, the Committee expects the CDRLF to continue making loans from their available funds derived from repaid loans and interest earned on previous loans to designated credit unions.

NATIONAL TRANSPORTATION SAFETY BOARD

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $75,933,000 
Budget request, fiscal year 2007    79,594,000 
Recommended in the bill             81,594,000 
Bill compared with:                            
  Appropriation, fiscal year 2006   +5,661,000 
  Budget request, fiscal year 2007  +2,000,000 
-----------------------------------------------

Initially established along with the Department of Transportation (DOT), the National Transportation Safety Board (NTSB) commenced operations on April 1, 1967, as an independent federal agency charged by Congress with investigating every civil aviation accident in the United States as well as significant accidents in the other modes of transportation--railroad, highway, marine and pipeline--and issuing safety recommendations aimed at preventing future accidents. Although it has always operated independently, NTSB relied on DOT for funding and administrative support until the Independent Safety Board Act of 1974 (Public Law 93-633) severed all ties between the two organizations effective April of 1975.

In addition to its investigatory duties, NTSB is responsible for maintaining the government's database of civil aviation accidents and also conducts special studies of transportation safety issues of national significance. Furthermore, in accordance with the provisions of international treaties, NTSB supplies investigators to serve as U.S. Accredited Representatives for aviation accidents overseas involving U.S.-registered aircraft, or involving aircraft or major components of U.S. manufacture. NTSB also serves as the `court of appeals' for any airman, mechanic or mariner whenever certificate action is taken by the Administrator of the Federal Aviation Administration (FAA) or the U.S. Coast Guard Commandant, or when civil penalties are assessed by FAA. In addition, the NTSB operates the NTSB Academy in Ashburn, Virginia.

COMMITTEE RECOMMENDATION

The Committee recommends $81,594,000 for salaries and expenses, an increase of $5,661,000 above fiscal year 2006 and $2,000,000 above the budget request. The Committee is concerned by the decline in the rate of on-site investigations of fatal and serious aviation accidents. In fact, the percentage of fatal aviation accidents to which a regional investigator traveled dropped from 76 percent in fiscal year 2003 to 62 percent in fiscal year 2005. Despite this reduction in coverage, the NTSB has requested only 399 full time equivalent staff years (FTE) for fiscal year 2007, a 19 FTE reduction from fiscal year 2005. The Committee, therefore, provides $2,000,000 above the budget request for an additional 11 FTE to hire accident investigators. Furthermore, the Committee directs that none of these additional funds shall be used for the Academy.

(RESCISSION)

The bill includes a rescission of $1,664,000 from the remaining funds made available in Public Law 106-246 for the investigations of Egypt Air 990 and Alaska Air 261, as proposed in the budget request.

NEIGHBORHOOD REINVESTMENT CORPORATION

PAYMENT TO THE NEIGHBORHOOD REINVESTMENT CORPORATION


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $116,820,000 
Budget request, fiscal year 2007    119,790,000 
Recommended in the bill             119,790,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    +2,970,000 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Neighborhood Reinvestment Corporation was created by the Neighborhood Reinvestment Corporation Act (title VI of the Housing and Community Development Amendments of 1978, Public Law 95-557, October 31, 1978). Neighborhood Reinvestment Corporation now operates under the trade name `NeighborWorks America.' NeighborWorks America helps local communities establish working efficient and effective partnerships between residents and representatives of the public and private sectors. These partnership-based organizations are independent, tax-exempt, community-based nonprofit entities, often referred to as NeighborWorks organizations.

Neighborhood Reinvestment also provides grants to Neighborhood Housing Services of America (NHSA), the NeighborWorks network's national secondary market. The mission of NHSA is to utilize private sector support to replenish local NeighborWorks organizations' revolving loan funds. These loans are used to back securities that are placed with private sector social investors.

COMMITTEE RECOMMENDATION

The Committee recommends a funding level of $119,790,000 for fiscal year 2007, the same amount as the budget request and an increase of $2,970,000 when compared to the fiscal year 2006 appropriation.

OFFICE OF GOVERNMENT ETHICS

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $11,037,000 
Budget request, fiscal year 2007    11,489,000 
Recommended in the bill             11,489,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     +452,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Office of Government Ethics (OGE), established by the Ethics in Government Act of 1978, partners with other executive branch Departments and agencies to foster high ethical standards. The OGE issues and monitors rules, regulations, and memoranda pertaining to the prevention and resolution of conflicts of interest, post-employment restrictions, standards of conduct, and financial disclosure for executive branch employees.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $11,489,000 for the Office of Government Ethics, an increase of $452,000 above the amount appropriated in fiscal year 2006 and the same as the budget request.

OFFICE OF PERSONNEL MANAGEMENT

SALARIES AND EXPENSES


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $121,295,790 
Budget request, fiscal year 2007    111,095,000 
Recommended in the bill             111,095,000 
Bill compared with:                             
  Appropriation, fiscal year 2006   -10,200,790 
  Budget request, fiscal year 2007        - - - 
------------------------------------------------

The Office of Personnel Management (OPM) is the Federal Government agency responsible for management of Federal human resources policy and oversight of the merit civil service system. Although individual agencies are increasingly responsible for personnel operations, OPM provides a Government-wide policy framework for personnel matters, advises and assists agencies (often on a reimbursable basis), and ensures that agency operations are consistent with requirements of law, with emphasis on such issues as veterans preference. OPM oversees examining of applicants for employment, issues regulations and policies on hiring, classification and pay, training, investigations, and many other aspects of personnel management, and operates a reimbursable training program for the Federal Government's managers and executives. OPM is also responsible for administering the retirement, health benefits and life insurance programs affecting most Federal employees, retired Federal employees, and their survivors.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $111,095,000 for the Office of Personnel Management (OPM), a decrease of $10,200,790 below the enacted fiscal year 2006 level and the same as the fiscal year 2007 budget request.

The Committee's recommendation includes $6,913,000 for the enterprise human resources integration project and $1,436,000 for the e-human resources line of business project as proposed in the budget request. The Committee does not fund the proposed $26,730,000 increase for retirement systems modernization and in doing so only provides $100,178,000 from appropriate trust funds to OPM.

The Committee does not fund the proposed $2,129,000 increase in general funds for pay and performance modernization. As such, the request for Strategic Human Resources Policy is reduced by $1,000,000 and the request for Human Capital Leadership and Merit Systems Accountability is reduced by $1,129,000. Instead the requested funding level for the Management Services Division is increased by that same $2,129,000.

The Committee directs OPM to continue the process of implementing and refining the new human resources management systems at the Department of Defense and the Department of Homeland Security before expanding to other agencies and departments.

The Committee notes that the Government Accountability Office (GAO) has provided useful recommendations to OPM's retirement system modernization effort. The Committee directs GAO to continue to monitor the implementation of the modernization program and provide an update to the House and Senate Committees on Appropriations by March 1, 2007 as to OPM's progress in converting the agency's paper personnel file system into a secure digital system.

Operating Plans- The Committee directs the office to submit an operating plan for fiscal year 2007, signed by the director for review by the Committees on Appropriations of both the House and Senate within 60 days of the bill's enactment. The operating plan must include funding levels including an identification of carryover funds for the various offices, centers, programs, and initiatives covered in the budget justification and supporting documents referenced in the House and Senate appropriations reports, and the statement of the managers.

Budget Justifications- While the budget justification materials are improved over the fiscal year 2006 submission, there is still a good deal of improvement to be done. For example, dollars requested are not currently broken out between trust fund and general funds for specific programs or activities within organizations. Additionally, when providing a total that includes reimbursements, OPM should also provide the breakout of direct appropriation and reimbursement. The Committee directs OPM to include these changes in future budget justifications. Finally, the Committee directs OPM to continue its efforts to include in the budget justification for the Committees on Appropriations clear, detailed, and concise information on how the programs will be funded and how they will be measured.

OFFICE OF INSPECTOR GENERAL


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $2,050,290 
Budget request, fiscal year 2007    1,598,000 
Recommended in the bill             1,598,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    -452,290 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

This appropriation provides agency-wide audit, investigative, evaluation, and inspection functions to identify management and administrative deficiencies, which may create conditions for fraud, waste and mismanagement. The audits function provides internal agency audit, insurance audit, and contract audit services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters regarding the negotiation, award, administration, repricing, and settlement of contracts. Internal audits review and evaluate all facets of agency operations, including financial statements. Evaluation and inspection services provide detailed technical evaluations of agency operations. Insurance audits review the operations of health and life insurance carriers, health care providers, and insurance subscribers. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations.

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $1,598,000 for the Office of Inspector General of the Office of Personnel Management, $452,290 below the fiscal year 2006 enacted level and the same as the fiscal year 2007 budget request. In addition, the recommendation also provides $16,165,710 from appropriate trust funds to the Office of Inspector General.

GOVERNMENT PAYMENT FOR ANNUITANTS, EMPLOYEES HEALTH BENEFITS


--------------------------------------------------
--------------------------------------------------
Appropriation, fiscal year 2005    $8,204,000,000 
Budget request, fiscal year 2006    8,765,000,000 
Recommended in the bill             8,765,000,000 
Bill compared with:                               
  Appropriation, fiscal year 2005    +561,000,000 
  Budget request, fiscal year 2006          - - - 
--------------------------------------------------

This appropriation covers: (1) the Government's share of the cost of health insurance for annuitants as defined in sections 8901 and 8906 of title 5, United States Code; (2) the Government's share of the cost of health insurance for annuitants who were retired when the federal employees health benefits law became effective, as defined in the Retired Federal Employees Health Benefits Act of 1960; and (3) the Government's contribution for payment of administrative expenses incurred by the Office of Personnel Management in administration of the Act.

COMMITTEE RECOMMENDATION

The Committee recommends a mandatory appropriation of $8,765,000,000 for the Government Payment for Annuitants, Employees Health Benefits, an increase of $561,000,000 above the fiscal year 2006 enacted level, and the same as the Administration's request.

GOVERNMENT PAYMENT FOR ANNUITANTS, EMPLOYEES LIFE INSURANCE


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $39,000,000 
Budget request, fiscal year 2007    39,000,000 
Recommended in the bill             39,000,000 
Bill compared with:                            
  Appropriation, fiscal year 2006        - - - 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

This appropriation finances the Government's share of premiums, which is one-third the cost, for basic life insurance for annuitants retiring after December 31, 1989, and who are less than 65 years old.

COMMITTEE RECOMMENDATION

The Committee recommends a mandatory appropriation of $39,000,000 for the Government Payment for Annuitants, Employees Life Insurance, the same as both the fiscal year 2006 enacted level, and the Administration's request for fiscal year 2007.

PAYMENT TO CIVIL SERVICE RETIREMENT AND DISABILITY FUND


---------------------------------------------------
---------------------------------------------------
Appropriation, fiscal year 2006    $10,434,000,000 
Budget request, fiscal year 2007    10,532,000,000 
Recommended in the bill             10,532,000,000 
Bill compared with:                                
  Appropriation, fiscal year 2006      +98,000,000 
  Budget request, fiscal year 2007           - - - 
---------------------------------------------------

This appropriation provides for payment of annuities, including the payment of annuities under special acts for persons employed on the construction of the Panama Canal or their widows and widows of employees of the Lighthouse Service; payment of the Federal government share of retirement costs of the unfunded liability resulting from any statute authorizing new or liberalized benefits, extension of retirement coverage, or pay increases; transfers for interest on unfunded liability and payment of military service annuities covering interest on the unfunded liability and annuity disbursements for military service; payments for spouse equity providing survivor annuities to eligible former spouses of annuitants who died between September 1978 and May 1986 and did not elect survivor coverage; and transfers for payment of FERS supplemental liability covering annual amortization payments financing supplemental liabilities for FERS.

COMMITTEE RECOMMENDATION

The Committee recommends a mandatory appropriation of $10,532,000,000 for the Payment to Civil Service Retirement and Disability Fund, an increase of $98,000,000 above the fiscal year 2006 enacted level, and the same as the Administration's request.

OFFICE OF SPECIAL COUNSEL

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $15,171,750 
Budget request, fiscal year 2007    15,937,000 
Recommended in the bill             15,937,000 
Bill compared with:                            
  Appropriation, fiscal year 2006      765,250 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Office of Special Counsel: (1) investigates federal employee allegations of prohibited personnel practices (including reprisal for whistleblowing) and, when appropriate, prosecutes before the Merit Systems Protection Board; (2) provides a channel for whistleblowing by federal employees; and (3) enforces the Hatch Act. The Office may transmit whistleblower allegations to the agency head concerned and require an agency investigation and a report to the Congress and the President when appropriate.

COMMITTEE RECOMMENDATIONS

The Committee recommends an appropriation of $15,937,000 for the Office of Special Counsel, an increase of $765,000 above the fiscal year 2006 enacted level, and the same as the fiscal year 2007 budget request.

SELECTIVE SERVICE SYSTEM

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $24,750,000 
Budget Request, fiscal year 2007    24,255,000 
Recommended in the bill             24,255,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     -495,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The Selective Service System was established by the Selective Service Act of 1948. The basic mission of the System is to be prepared to supply manpower to the Armed Forces adequate to ensure the security of the United States during a time of national emergency. Since 1973, the Armed Forces have relied on volunteers to fill military manpower requirements, but selective service registration was reinstituted in July, 1980.

COMMITTEE RECOMMENDATION

For fiscal year 2007, the Committee recommends $24,255,000 for the Selective Service System, $495,000 below the fiscal year 2006 funding level and the same as the budget request, to be spent as outlined in the budget justification document.

U.S. INTERAGENCY COUNCIL ON HOMELESSNESS

OPERATING EXPENSES


----------------------------------------------
----------------------------------------------
Appropriation, fiscal year 2006    $1,782,000 
Budget request, fiscal year 2007    2,000,000 
Recommended in the bill             2,000,000 
Bill compared with:                           
  Appropriation, fiscal year 2006    +218,000 
  Budget request, fiscal year 2007      - - - 
----------------------------------------------

The Committee recommends $2,000,000 for operating expenses of the Interagency Council on Homelessness, the same as the requested level and $218,000 above the enacted amount for fiscal year 2006. The Committee encourages the Council to continue to work closely with the Department of Housing and Urban Development to not only develop but also implement government-wide response to the national problem of homelessness.

UNITED STATES POSTAL SERVICE

PAYMENT TO THE POSTAL SERVICE FUND

The Postal Service is funded almost entirely by Postal rate payers rather than tax payers. Funds provided to the Postal Service in the Payment to the Postal Service Fund include the costs of revenue forgone on free and reduced-rate mail for the blind and overseas voters; reconciliation adjustments for amounts appropriated for free and reduced rate mail and the actual amounts required; and partial reimbursement for losses which the Postal Service incurred as a result of insufficient appropriations in fiscal years 1991 through 1993 and the additional revenues it would have received between 1993 and 1998 in the absence of certain rate phasing provisions of the Revenue Forgone Act of 1993. Congress does not provide funds for either general operations or capital investments.


------------------------------------------------
------------------------------------------------
Appropriation, fiscal year 2006    $115,917,000 
Budget request, fiscal year 2007     79,915,000 
Recommended in the bill             108,915,000 
Bill compared with:                             
  Appropriation, fiscal year 2006    -7,002,000 
  Budget request, fiscal year 2007  +29,000,000 
------------------------------------------------

COMMITTEE RECOMMENDATION

The Committee recommends an appropriation of $108,915,000 in fiscal year 2006 for Payment to the Postal Service Fund, an increase of $29,000,000 above the President's request. This amount includes $29,000,000 for revenue forgone on free and reduced-rate mail pursuant to 39 U.S.C. 2401(d) and $79,915,000 is provided as an advance appropriation for fiscal year 2008.

The Committee has concerns with the new process implemented this year by the Office of Management and Budget (OMB). In past years, the OMB would use the Postal Service's audit figures to base the advance appropriation request for free mailings for the blind and overseas voters. However, this year it appears that OMB simply took the average appropriation over a series of years to derive the President's request, apparently for the sole reason that the Postal Service's audit figures were higher than in previous years. This new system could produce funding amounts that may be either significantly lower or higher than actual sums that the Postal Service needs. Providing less than the Postal Service needs will only compound their financial burdens, something that the Committee has strongly urged the Postal Service to try and repair. In addition, the Committee would certainly not want to provide more funding than the Postal Service actually needs for these activities. The Committee is concerned that OMB's new use of averages in determining the amount for free mail is inaccurate and the Committee urges OMB to continue to use Postal Service audit figures in the future.

UNITED STATES TAX COURT

SALARIES AND EXPENSES


-----------------------------------------------
-----------------------------------------------
Appropriation, fiscal year 2006    $47,518,000 
Budget request, fiscal year 2007    47,110,000 
Recommended in the bill             47,110,000 
Bill compared with:                            
  Appropriation, fiscal year 2006     -408,000 
  Budget request, fiscal year 2007       - - - 
-----------------------------------------------

The U.S. Tax Court adjudicates controversies involving deficiencies in income, estate, and gift taxes. The Court also has jurisdiction to determine deficiencies in certain excise taxes to issue declaratory judgments in the areas of qualifications of retirement plans, exemption of charitable organizations, and to decide certain cases involving disclosure of tax information by the Commissioner of the Internal Revenue Service.

COMMITTEE RECOMMENDATION

The Committee recommends $47,110,000 for the U.S. Tax Court, the same as the budget request and $408,000 below the amounts provided in fiscal year 2006.

TITLE VIII--GENERAL PROVISIONS, THIS ACT

Section 801. The Committee continues the provision requiring pay raises to be funded within appropriated levels in this Act or previous appropriations Acts.

Section 802. The Committee continues the provision prohibiting pay and other expenses for non-Federal parties in regulatory or adjudicatory proceedings funded in this Act.

Section 803. The Committee continues the provision prohibiting obligations beyond the current fiscal year and prohibits transfers of funds unless expressly so provided herein.

Section 804. The Committee continues the provision limiting consulting service expenditures of public record in procurement contracts.

Section 805. The Committee continues the provision prohibiting funds in this Act to be transferred without express authority.

Section 806. The Committee continues the provision prohibiting the use of funds to engage in activities that would prohibit the enforcement of section 307 of the 1930 Tariff Act.

Section 807. The Committee continues the provision concerning employment rights of Federal employees who return to their civilian jobs after assignment with the Armed Forces.

Section 808. The Committee continues the provision concerning compliance with the Buy American Act.

Section 809. The Committee continues the provision prohibiting the use of funds by any person or entity convicted of violating the Buy American Act.

Section 810. The Committee continues the provision specifying reprogramming procedures by subjecting the establishment of new offices and reorganizations to the reprogramming process.

Section 811. The Committee continues the provision providing that fifty percent of unobligated balances may remain available for certain purposes.

Section 812. The Committee continues the provision providing that funds used by the Executive Office of the President not be used to request any official background investigation from the Federal Bureau of Investigation.

Section 813. The Committee continues the provision requiring that cost accounting standards not apply to a contract under the Federal Health Benefits Program.

Section 814. The Committee continues the provision regarding non-foreign area cost of living allowances.

Section 815. The Committee continues the provision prohibiting the expenditure of funds for abortions under the FEHBP.

Section 816. The Committee continues the provision prohibiting the expenditure of funds for abortions under the FEHBP unless the life of the mother is in danger or the pregnancy is a result of an act of rape or incest.

Section 817. The Committee continues the provision waiving restrictions on the purchase of non-domestic articles, materials, and supplies in the case of acquisition by the Federal Government of information technology.

Section 818. The Committee continues the provision prohibiting the use of funds for a proposed rule relating to the determination that real estate brokerage is a financial activity.

Section 819. The Committee continues the provision prohibiting the use of funds for eminent domain unless such a taking is employed for a public use but does not repeat the requirement for a study by the Government Accountability Office.

TITLE IX--GENERAL PROVISIONS

DEPARTMENTS, AGENCIES, AND CORPORATIONS

Section 901. The Committee continues the provision authorizing agencies to pay costs of travel to the United States for the immediate families of federal employees assigned to foreign duty in the event of a death or a life threatening illness of the employee.

Section 902. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all of its workplaces are free from the illegal use of controlled substances.

Section 903. The Committee continues the provision regarding price limitations on vehicles to be purchased by the Federal Government.

Section 904. The Committee continues the provision allowing funds made available to agencies for travel, to also be used for quarter allowances and cost-of-living allowances.

Section 905. The Committee continues the provision prohibiting the government, with certain specified exceptions, from employing non-U.S. citizens whose posts of duty would be in the continental U.S.

Section 906. The Committee continues the provision ensuring that agencies will have authority to pay GSA bills for space renovation and other services.

Section 907. The Committee continues the provision allowing agencies to finance the costs of recycling and waste prevention programs with proceeds from the sale of materials recovered through such programs.

Section 908. The Committee continues the provision providing that funds may be used to pay rent and other service costs in the District of Columbia.

Section 909. The Committee continues the provision prohibiting payments to persons filling positions for which they have been nominated after the Senate has voted not to approve the nomination.

Section 910. The Committee continues the provision prohibiting interagency financing of groups absent prior statutory approval.

Section 911. The Committee continues the provision authorizing the Postal Service to employ guards and give them the same special police powers as certain other federal guards.

Section 912. The Committee continues the provision prohibiting the use of funds for enforcing regulations disapproved in accordance with the applicable law of the U.S.

Section 913. The Committee continues the provision limiting the pay increases of certain prevailing rate employees.

Section 914. The Committee continues the provision limiting the amount of funds that can be used for redecoration of offices under certain circumstances.

Section 915. The Committee continues the provision to allow for interagency funding of national security and emergency telecommunications initiatives.

Section 916. The Committee continues the provision requiring agencies to certify that a Schedule C appointment was not created solely or primarily to detail the employee to the White House.

Section 917. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all workplaces are free from discrimination and sexual harassment.

Section 918. The Committee continues the provision prohibiting the payment of any employee who prohibits, threatens or prevents another employee from communicating with Congress.

Section 919. The Committee continues the provision prohibiting Federal training not directly related to the performance of official duties.

Section 920. The Committee continues the provision prohibiting the expenditure of funds for implementation of agreements in nondisclosure policies unless certain provisions are included.

Section 921. The Committee continues the provision prohibiting propaganda, publicity and lobbying by executive agency personnel in support or defeat of legislative initiatives.

Section 922. The Committee continues the provision prohibiting any federal agency from disclosing an employee's home address to any labor organization, absent employee authorization or court order.

Section 923. The Committee continues the provision prohibiting funds to be used to provide non-public information such as mailing or telephone lists to any person or organization outside the government without the approval of the Committees on Appropriations.

Section 924. The Committee continues the provision prohibiting the use of funds for propaganda and publicity purposes not authorized by Congress.

Section 925. The Committee continues the provision directing agency employees to use official time in an honest effort to perform official duties.

Section 926. The Committee continues the provision authorizing the use of funds to finance an appropriate share of the Federal Accounting Standards Advisory Board.

Section 927. The Committee continues the provision, with technical modifications, authorizing agencies to transfer funds (not to exceed $10,000,000) to the Government-wide Policy account of GSA to finance an appropriate share of various government-wide boards and councils.

Section 928. The Committee continues the provision that permits breast feeding in a federal building or on federal property if the woman and child are authorized to be there.

Section 929. The Committee continues the provision that permits interagency funding of the National Science and Technology Council and provides for a report on the budget and resources of the National Science and Technology Council. The report should include the entire budget of the National Science and Technology Council.

Section 930. The Committee continues the provision requiring documents involving the distribution of federal funds to indicate the agency providing the funds and the amount provided.

Section 931. The Committee repeals the provision extending authorization for agency franchise funds.

Section 932. The Committee continues the provision prohibiting the use of funds to monitor personal information relating to the use of federal internet sites to collect, review, or create any aggregate list that includes personally identifiable information relating to access to or use of any federal internet site of such agency.

Section 933. The Committee continues the provision requiring health plans participating in the FEHBP to provide contraceptive coverage and provides exemptions to certain religious plans.

Section 934. The Committee continues the provision providing recognition of the U.S. Anti-Doping Agency as the official anti-doping agency.

Section 935. The Committee continues a provision allowing funds for official travel to be used by departments and agencies, if consistent with OMB and Budget Circular A-126, to participate in the fractional aircraft ownership pilot program.

Section 936. The Committee continues a provision prohibiting funds for implementation of OPM regulations limiting detailees to the Legislative Branch, and implementing limitations on the Coast Guard Congressional Fellowship Program.

Section 937. The Committee continues the provision that restricts the use of funds for federal law enforcement training facilities.

Section 938. The Committee continues the provision concerning the use of funds for the `e-Gov' initiative that were not appropriated specifically for that purpose.

Section 939. The Committee continues the provision regarding public-private competitions in reference to OMB Circular A-76.

Section 940. The Committee continues a provision, with modifications, providing that the adjustment in rates of basic pay for employees under statutory pay systems taking effect in fiscal year 2007 shall be an increase of 2.7 percent.

Section 941. The Committee continues the provision that prohibits executive branch agencies from creating prepackaged news stories that are broadcast or distributed in the United States unless the story includes a clear notification within the text or audio of that news story that the prepackaged news story was prepared or funded by that executive branch agency. This provision confirms the opinion of the Government Accountability Office dated February 17, 2005 (B-304272).

Section 942. The Committee continues the provision prohibiting funds used in contravention of section 552a of title 5, United States Code or section 552.224 of title 48 of the Code of Federal Regulations.

Section 943. The Committee continues the provision requiring agencies to evaluate the creditworthiness of an individual before issuing the individual a government travel charge card and limits agency actions accordingly.

Section 944. The Committee continues the provision limiting these general provisions to title V.

HOUSE OF REPRESENTATIVES REPORT REQUIREMENTS

The following items are included in accordance with various requirements of the Rules of the House of Representatives:

CONSTITUTIONAL AUTHORITY

Clause 3(d)(1) of the rule XXIII of the Rules of the House of Representatives states:

Each report of a committee on a bill or joint resolution of a public character, shall include a statement citing the specific powers granted to the Congress in the Constitution to enact the law proposed by the bill or joint resolution.

The Committee on Appropriations bases its authority to report this legislation from clause 7 of section 9 of Article I of the Constitution of the United States of America which states:

No money shall be drawn from the Treasury but in consequence of Appropriations made by law . . .

Appropriations contained in this Act are made pursuant to this specific power granted by the Constitution.

STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

Pursuant to clause 3(c)(4) of rule XIII of the Rules of the House of Representatives, the following is a statement of general performance goals and objectives for which this measure authorizes funding:

The Committee on Appropriations considers program performance, including a program's success in developing and attaining outcome-related goals and objectives, in developing funding recommendations.

APPROPRIATIONS NOT AUTHORIZED BY LAW

Pursuant to clause 3(f)(1) of rule XIII of the Rules of the House of Representatives, the following table lists the appropriations in the accompanying bill that are not authorized by law:


[Dollars in thousands]
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                     Last Year of Authorization Authorization Level Appropriations in Last Year of Authorization Amount of Program or New Fees 
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Title I--Department of Transportation                                                                                                                                                          
Federal Railroad Administration:                                                                                                                                                               
Safety and Operations                                                                      1998                 n/a                                          n/a                       150,083 
Railroad Safety                                                                            1998              90,739                                       57,050                           n/a 
Grants to the National Passenger Railroad Corporation                                      2002             955,000                                      826,476                       900,000 
Maritime Administration:                                                                                                                                                                       
Operations and Training                                                                    2006             122,249                                      128,527                       116,442 
Maritime Security Program                                                                  2006             156,000                                      154,440                       154,400 
Maritime Guaranteed Loan Program (Title XI)                                                 n/a                 n/a                                          n/a                           n/a 
Administrative Expenses                                                                    2006               1,426                                        4,085                         3,317 
Ship Disposal Program                                                                      2006              21,000                                       20,790                        25,740 
National Defense Tank Vessel Construction Program                                          2006                 n/a                                          n/a                           n/a 
Pipeline and Hazardous Materials Safety Administration:                                                                                                                                        
Administrative Expenses                                                                     n/a                 n/a                                          n/a                        17,721 
Pipeline Safety                                                                            2006              82,500                                       72,280                        75,735 
Surface Transportation Board                                                               1998              12,000                                       13,850                        25,618 
Research and Innovative Technology Administration:                                                                                                                                             
Research and Development                                                                    n/a                 n/a                                          n/a                         6,367 
Title II--Department of the Treasury                                                                                                                                                           
Departmental Offices 1 , 2 , 3                                                              n/a                 n/a                                          n/a                       223,786 
Department-wide Systems and Capital Investments                                             n/a                 n/a                                          n/a                        34,032 
Office of the Inspector General                                                             n/a                 n/a                                          n/a                        17,352 
Inspector General for Tax Administration                                                    n/a                 n/a                                          n/a                       136,469 
Financial Crimes Enforcement Network                                                       2005              35,500                                       10,416                        84,066 
Financial Management Service                                                                n/a                 n/a                                          n/a                       233,654 
Alcohol and Tobacco Tax and Trade Bureau                                                    n/a                 n/a                                          n/a                        92,604 
Bureau of Public Debt                                                                       n/a                 n/a                                          n/a                       180,789 
Community Development and Financial Institutions Fund                                      1998              60,000                                       80,000                        40,000 
Internal Revenue Service:                                                                                                                                                                      
Taxpayer Services                                                                           n/a                 n/a                                          n/a                     2,059,151 
Enforcement 4                                                                               n/a                 n/a                                          n/a                     4,757,126 
Operations Support                                                                          n/a                 n/a                                          n/a                     3,438,404 
Business Systems Modernization                                                              n/a                 n/a                                          n/a                       212,310 
Health Insurance Tax Credit Administration                                                 2004              20,000                                       40,000                        14,846 
TITLE III--Department of Housing and Urban Development                                                                                                                                         
Rental Assistance:                                                                                                                                                                             
Section 8 contract renewals and administrative expenses                                    1994           8,446,173                                    5,458,106                    20,851,790 
Section 441 contracts                                                                      1994             109,410                                      150,000                        48,150 
Section 8 preservation, protection, and family unification                                 1994             759,259                                      541,000                       149,300 
Contract Administrators                                                                     n/a                 n/a                                          n/a                       145,300 
Public Housing Capital Fund                                                                2003           3,000,000                                    2,712,255                     2,178,000 
Public Housing Operating Fund                                                              2003           2,900,000                                    3,576,600                     3,564,000 
Native Hawaiian Housing Block Grant                                                        2005                 n/a                                    8,928,000                         8,815 
Native Hawaiian Housing Loan Guarantee Fund                                                2005                 n/a                                      992,000                         1,010 
Housing Opportunities for Persons with AIDS                                                1994             156,300                                      156,000                       300,100 
Rural Housing and Economics Development                                                     n/a                 n/a                                          n/a                               
Community Development Fund:                                                                                                                                                                    
Community Development Block Grants                                                         1994           4,168,000                                    4,380,000                     3,872,580 
Economic Development Initiatives                                                            n/a                 n/a                                          n/a                       250,000 
Neighborhood Initiatives                                                                    n/a                 n/a                                          n/a                        20,000 
HOME Investment Partnerships                                                               1994           2,173,612                                    1,275,000                     1,891,890 
Self-Help and Assisted Homeownership Opportunity:                                                                                                                                              
Capacity Building                                                                          1994              25,000                                       20,000                        32,000 
Housing Assistance Council                                                                  n/a                 n/a                                          n/a                         3,500 
Self-Help Housing Opportunity Program                                                      2000                 n/a                                       20,000                        21,920 
National Housing Development Corporation                                                    n/a                 n/a                                          n/a                         1,980 
Homeless Assistance Grants                                                                 1994             465,774                                      599,000                     1,535,990 
Housing for the Elderly                                                                    2003                 n/a                                      783,286                       734,580 
Housing for Persons with Disabilities                                                      2003                 n/a                                      250,515                       236,610 
FHA General and Special Risk Program Account:                                                                                                                                                  
Limitation on guaranteed loans                                                             1995                 n/a                                 (20,885,072)                  (35,000,000) 
Limitation on direct loans                                                                 1995                 n/a                                    (220,000)                  (50,000,000) 
Credit Subsidy                                                                             1995                 n/a                                      188,395                         8,600 
Administrative Expenses                                                                    1995                 n/a                                      197,470                       301,864 
GNMA Mortgage-Backed Securities Loan Guarantee Program Account:                                                                                                                                
Limitation on guaranteed loans                                                             1996       (110,000,000)                                (110,000,000)                 (100,000,000) 
Administrative Expenses                                                                    1996                 n/a                                        9,101                        10,700 
Policy Development and Research                                                            1994              36,470                                       35,000                        55,787 
Fair Housing Activities, Fair Housing Initiatives Program                                  1994              26,000                                       20,481                        18,800 
Lead Hazards Reduction Program                                                             1994             276,000                                      185,000                       114,840 
Salaries and Expenses                                                                      1994           1,029,496                                      916,963                     1,141,118 
Title V--District of Columbia                                                                                                                                                                  
Emergency Planning and Security Costs                                                       n/a                 n/a                                          n/a                         8,533 
District of Columbia Water and Sewer Authority                                              n/a                 n/a                                          n/a                         7,000 
Office of the Chief Financial Officer                                                       n/a                 n/a                                          n/a                         5,000 
School Improvement                                                                          n/a                 n/a                                          n/a                        40,800 
Title VI--Executive Office of the President                                                                                                                                                    
Compensation of the President                                                              1999                 n/a                                          n/a                           450 
White House Office, Salaries and Expenses                                                  1978                 n/a                                          n/a                        51,952 
Executive Residence, Operating Expenses                                                    1978                 n/a                                          n/a                        12,041 
Executive Residence, White House Repair and Restoration                                    1978                 n/a                                          n/a                         1,600 
Council of Economic Advisors                                                               1978                 n/a                                          n/a                         4,002 
Office of Policy Development                                                               1978                 n/a                                          n/a                         3,385 
National Security Council                                                                  1978                 n/a                                          n/a                         8,405 
Office of Administration                                                                   1978                 n/a                                          n/a                        91,393 
Office of Management and Budget                                                            2003                 n/a                                          n/a                        76,185 
Office of National Drug Control Policy (ONDCP):                                                                                                                                                
ONDCP, Salaries and Expenses                                                               2004                 n/a                                          n/a                        26,928 
ONDCP, Salaries and Expenses, Model State Drug Laws                                        2004                 n/a                                          n/a                             1 
ONDCP, Counterdrug Technology Assessment Center, Counterdrug R&D                           2004                 n/a                                          n/a                         9,600 
ONDCP, Counterdrug Technology Assessment Center, Technology Transfer                       2004                 n/a                                          n/a                        10,000 
ONDCP, High Intensity Drug Trafficking Areas                                               2004                 n/a                                          n/a                       227,000 
ONDCP, Other Federal Drug Control (except Drug-Free Communities)                           2004                 n/a                                          n/a                            13 
ONDCP, Other Federal Drug Control, Media Campaign                                          2004                 n/a                                          n/a                           100 
Unanticipated Needs                                                                        1978                 n/a                                          n/a                         1,000 
Special Assistance to the President, Salaries and Expenses                                 1978                 n/a                                          n/a                         4,352 
Title VII--Independent Agencies                                                                                                                                                                
Election Assistance Commission                                                             2005              10,000                                       13,888                        16,908 
Federal Election Commission                                                                1981               9,400                                       51,742                        57,138 
General Services Administration:                                                                                                                                                               
Federal Building Fund                                                                       n/a                 n/a                                          n/a                           n/a 
Construction and Acquisition                                                                n/a                 n/a                                          n/a                           n/a 
Repairs and Alterations                                                                     n/a                 n/a                                          n/a                           n/a 
National Transportation Safety Board                                                       2006              87,539                                       75,933                        81,594 
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

TRANSFER OF FUNDS

Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House of Representatives, the following statement is submitted describing the transfers of funds provided in the accompanying bill.

The Committee recommends the following transfers:

UNDER TITLE I--DEPARTMENT OF TRANSPORTATION

Under the Office of the Secretary, `Salaries and expenses', the Secretary of Transportation is allowed to transfer amounts among the individual offices of the Office of the Secretary, subject to certain conditions.

Under the Office of the Secretary, `Payments to air carriers,' the Secretary of Transportation is allowed to transfer overflight fees collected to the Federal Aviation Administration to repay funds borrowed during the fiscal year to fund the essential air service program.

Under Federal Aviation Administration, `Operations', the Administrator is allowed to transfer up to two percent of certain funds subject to conditions.

Under Federal Transit Administration, `Administrative expenses', the Administrator is authorized to transfer funds between offices.

Section 162. The Committee continues the provision that allows transit funds appropriated before October 1, 2006, that remain available for expenditure to be transferred.

Under Maritime Guaranteed Loan (Title XI) Program Account, `Operations', the Committee authorizes funds to be transferred to operations and training.

Section 189. The Committee continues a provision allowing the Secretary of Transportation to transfer unexpended sums from `Office of the secretary, salaries and expenses' to `Minority business outreach'.

UNDER TITLE II--DEPARTMENT OF THE TREASURY

Under the Department of the Treasury, `Departmental offices, salaries and expenses', up to three percent, may be transferred between program activities of the Departmental Offices; and that of the $5,114,000 for the Treasury-wide Financial Statement Audit and Internal Control program, such amounts as necessary may be transferred to the Department's offices and bureaus.

Under the Department of the Treasury, `Department-wide systems and capital investments programs', amounts necessary to satisfy the requirements of the Department's offices, bureaus, and other organizations may be transferred.

Under the Internal Revenue Service (IRS), `Enforcement', up to $10,000,000 may be transferred to `Operations support' for management of the Interagency Crime and Drug Enforcement program.

Section 201 allows the transfer of five percent of any appropriation (or three percent of IRS, `Enforcement') made available to the IRS to any other IRS appropriation, subject to prior Congressional approval.

Section 208 allows the transfer of 20 percent of the IRS Taxpayer Services, Enforcement, and Operations Support appropriations necessary to implement the new IRS account structure, subject to a 30 day notification period.

Section 211 authorizes transfers, up to two percent, between Departmental Offices, Office of the Inspector General, Financial Management Service, Alcohol and Tobacco Tax and Trade Bureau, Financial Crimes Enforcement Network, and the Bureau of the Public Debt appropriations under certain circumstances.

Section 212 authorizes transfers, up to two percent, between the IRS and the Treasury Inspector General for Tax Administration under certain circumstances.

Section 215 authorizes the transfer of funds from the `Financial management service, salaries and expenses', to the `Debt collection fund' as necessary to cover the cost of debt collection.

UNDER TITLE III--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

The Committee has included language under the Department of Housing and Urban Development transferring the following amounts to the salaries and expenses account for administrative expenses: `FHA mutual mortgage insurance program account' ($347,490,000); `FHA general and special risk insurance program account' ($209,286,000); `GNMA guarantees of mortgage-backed securities loan guarantee program account' ($10,700,000); `Indian housing loan guarantee fund program account' ($247,500); `Native Hawaiian housing loan guarantee fund' ($35,000); and `Native American housing block grants account' ($148,500).

The Committee has included language under the Department of Housing and Urban Development transferring no less than the following amounts to the working capital fund under the salaries and expenses account for development and management of information technology systems: `Tenant-based rental assistance' ($5,900,000); `Project-based rental assistance' ($3,960,000); `Public housing capital fund' ($14,850,000); `Housing opportunities for people with AIDS' ($1,485,000); `HOME investment partnership program account' ($3,465,000); `Homeless assistance grants account' ($2,475,000); `Housing for the elderly account' ($1,980,000); `Housing for persons with disabilities account' ($990,000); `FHA mutual mortgage insurance program account' ($23,562,000); `FHA general and special risk insurance program account' ($10,692,000).

The Committee has included language under the Department of Housing and Urban Development transferring $23,760,000 from the various funds of the Federal Housing Administration to the Office of Inspector General.

The Committee has included language under the Department of Housing and Urban Development transferring $62,000,000 from the `Federal housing enterprise oversight fund' to the `Office of federal housing enterprise oversight account'.

UNDER TITLE IV--THE JUDICIARY

Under the Judiciary, `Courts of appeals, district courts, and other judicial services', funds may be transferred to the United States Marshals Service for courthouse security.

Section 402. The Committee continues a provision permitting the Judiciary to transfer up to five percent of any appropriation with certain limitations.

UNDER TITLE V--DISTRICT OF COLUMBIA

The Committee has included language transferring fines collected under DC Official Code section 50-2201.05(b)(1) and (2) in the general funds to the Office of the Attorney General of the District of Columbia.

The Committee has included language to allow the District of Columbia to transfer local funds in certain instances.

UNDER TITLE VI--EXECUTIVE OFFICE OF THE PRESIDENT

Language is included under Office of National Drug Control Policy, `Counterdrug technology assessment center', allowing for the transfer of funds to other Federal departments or agencies.

Language is included under Federal Drug Control Programs, `High intensity drug trafficking areas program', which allows for the transfer of funds to other Federal departments or agencies.

Language is included under Federal Drug Control Programs, `Other Federal drug control program', allowing the transfer of funds to other Federal departments or agencies.

Language is included under Special Assistance to the President and the Official Residence of the Vice President, `Operating expenses', allowing the transfer of funds to other Federal departments or agencies.

Section 601. The Committee continues a provision permitting the Executive Office of the President to transfer up to 10 percent of any appropriation, subject to a 15 day notification period.

UNDER TITLE VII--INDEPENDENT AGENCIES

Under Title VII Independent Agencies, a number of transfers are allowed: 1) the General Services Administration allowances and Office Staff for Former Presidents account may transfer such sums as necessary to the Department of the Treasury for certain pension benefits; 2) the General Services Administration Electronic Government Fund may transfer $3,000,000 to Federal departments in pursuit of programs goals; 3) under the Election Assistance Commission, $4,950,000 is transferred to the National Institute of Standards and Technology; 4) under Merit Systems Protection Board, up to $2,579,000 is transferred from the Civil Service Retirement and Disability Fund; 5) under Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation, a certain percentage of funds may be transferred to the Native Nations Institute for necessary expenses; 6) under the National Archives and Records Administration, $2,000,000 is transferred from the National Historical Publications and Records Commission to the operating expenses account; 7) under Office of Personnel Management, amounts from certain trust funds are transferred to the salaries and expenses account for administrative expenses; and 8) under Office of Personnel Management, Office of Inspector General, amounts from certain trust funds are transferred to the salaries and expenses account for administrative expenses.

Section 703. The Committee continues the provision providing that funds made available for activities of the Federal Building Fund may be transferred with advance approval from the Committees on Appropriations.

COMPLIANCE WITH RULE XIII, CL. 3(E) (RAMSEYER RULE)

TITLE 49, UNITED STATES CODE

* * * * * * *

SUBTITLE VII--AVIATION PROGRAMS

* * * * * * *

PART A--AIR COMMERCE AND SAFETY

* * * * * * *

SUBPART III--SAFETY

* * * * * * *

CHAPTER 443--INSURANCE

* * * * * * *

Sec. 44302. General authority

* * * * * * *

* * * * * * *

Sec. 44303. Coverage

* * * * * * *

-

DEPARTMENTS OF COMMERCE, JUSTICE, AND STATE, THE JUICIARY, AND RELATED AGENCICES APPROPRIATIONS ACT, 1998

(Public Law 105-119)

* * * * * * *

* * * * * * *

-

SECTION 3333 OF TITLE 31, UNITED STATES CODE

Sec. 3333. Relief for payments made without negligence

* * * * * * *

* * * * * * *

-

NATIONAL HOUSING ACT

* * * * * * *

TITLE II--MORTGAGE INSURANCE

* * * * * * *

INSURANCE OF MORTGAGES

SEC. 203. (a) * * *

(b) To be eligible for insurance under this section a mortgage shall comply with the following:

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(c)(1) * * *

(2) [Struck out->][ Notwithstanding ][<-Struck out] Except as provided in paragraph (3) and notwithstanding any other provision of this section, each mortgage secured by a 1- to 4-family dwelling that is an obligation of the Mutual Mortgage Insurance Fund or of the General Insurance Fund pursuant to subsection (v) and each mortgage that is insured under subsection (k) or section 234(c),, shall be subject to the following requirements:

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INSURANCE OF HOME EQUITY CONVERSION MORTGAGES FOR ELDERLY HOMEOWNERS

SEC. 255. (a) * * *

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DISTRICT OF COLUMBIA OFFICIAL CODE

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TITLE 2--GOVERNMENT ADMINISTRATION

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CHAPTER 16--PUBLIC DEFENDER SERVICE

* * * * * * *

Sec. 2-1607. Appropriation; public grants and private contributions.

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TITLE 24--PRISONERS AND THEIR TREATMENT

* * * * * * *

CHAPTER 1--TRANSFER OF PRISON SYSTEM TO FEDERAL AUTHORITY

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SUBCHAPTER III--OFFENDER SUPERVISION AND PAROLE

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Sec. 24-133. Court Services and Offender Supervision Agency.

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DISTRICT OF COLUMBIA APPROPRIATIONS ACT, 2006

DIVISION B--DISTRICT OF COLUMBIA APPROPRIATIONS ACT, 2006

DISTRICT OF COLUMBIA

FEDERAL FUNDS

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FEDERAL PAYMENT FOR SCHOOL IMPROVEMENT

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TITLE 40, UNITED STATES CODE

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CHAPTER 3--ORGANIZATION OF GENERAL SERVICES ADMINISTRATION

SUBCHAPTER I--GENERAL
Sec.
301. Establishment.
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SUBCHAPTER III--FUNDS
[Struck out->][ 321. General Supply Fund. ][<-Struck out]
[Struck out->][ 322. Information Technology Fund. ][<-Struck out]
321. Acquisition Services Fund.

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SUBCHAPTER III--FUNDS

Sec. 321. [Struck out->][ General Supply ][<-Struck out] Acquisition Services Fund

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[Struck out->][ Sec. 322. Information Technology Fund ][<-Struck out]

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CHAPTER 5--PROPERTY MANAGEMENT

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SUBCHAPTER IV--PROCEEDS FROM SALE OR TRANSFER

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Sec. 573. Personal property

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SUBCHAPTER VI--MOTOR VEHICLE POOLS AND TRANSPORTATION SYSTEMS

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Sec. 604. Treatment of assets taken over to establish motor vehicle pools and transportation systems

Sec. 605. Payment of costs

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SECTION 403 OF THE GOVERNMENT MANAGEMENT REFORM ACT OF 1994

(Public Law 103-356)

SEC. 403. FRANCHISE FUND PILOT PROGRAMS.

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SECTION 203 OF THE JUDICIAL IMPROVEMENTS ACT OF 1990

SEC. 203. DISTRICT JUDGES FOR THE DISTRICT COURTS.

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RESCISSIONS

Pursuant to the provisions of clause 3(f)(2) of rule XIII of the Rules of the House of Representatives, the following table is submitted describing the rescissions recommended in the accompanying bill:

TITLE I--DEPARTMENT OF TRANSPORTATION

Office of the Secretary, Compensation for Air Carriers
Federal Aviation Administration, Grants-in-aid for Airports
Federal Highway Administration, Federal-Aid Highways
Federal Highway Administration
Federal Motor Carrier Safety Administration, Motor Carrier Safety
Federal Motor Carrier Safety Administration, National Motor Carrier Safety Program
National Highway Traffic Safety Administration, Operations and Research
National Highway Traffic Safety Administration, National Driver Register
National Highway Traffic Safety Administration, Highway Traffic Safety Grants
Federal Transit Administration, Formula and Bus Grants
Federal Transit Administration, Capital Investment Grant
Maritime Administration, Maritime Guaranteed Loan Program Account
Maritime Administration, National Defense Tank Vessel Construction Program

TITLE III--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Public and Indian Housing, Housing Certificate Fund

TITLE VII--INDEPENDENT AGENCIES

National Transportation Safety Board, Salaries and Expenses

CHANGES IN THE APPLICATION OF EXISTING LAW

Pursuant to clause 3(f)(1)(A) of rule XIII of the Rules of the House of Representatives, the following statements are submitted describing the effect of provisions proposed in the accompanying bill which may be considered, under certain circumstances, to change the application of existing law, either directly or indirectly. The bill provides that appropriations shall remain available for more than one year for a number of programs for which the basic authorizing legislation does not explicitly authorize such extended availability. The bill provides, in some instances, for funding of agencies and activities where legislation has not yet been finalized. In addition, the bill carries language, in some instances, permitting activities not authorized by law, or exempting agencies from certain provisions of law, but which has been carried in appropriations acts for many years.

The bill includes limitations on official entertainment, reception and representation expenses for the Secretary of Transportation, the Secretary of the Treasury and the National Transportation Safety Board. Similar provisions have appeared in many previous appropriations Acts. The bill includes a number of limitations on the purchase of automobiles, motorcycles, or office furnishings. Similar limitations have appeared in many previous appropriations Acts. Language is included in several instances permitting certain funds to be credited to the appropriations recommended.

In Title VII of the bill, in connection with the General Services Administration, certain limitations on availability of revenue in the federal buildings fund and certain legislative provisions have been carried forward from last year.

The bill continues a number of general provisions applying to agencies covered by the bill as well as certain provisions applying government-wide. These provisions have been carried in the prior year appropriations bill, and some have been carried for many years. Additionally, the Committee includes a number of new general provisions.

TITLE I--DEPARTMENT OF TRANSPORTATION

Language is included under Office of the Secretary, `Salaries and expenses' specifying certain amounts for individual offices of the Office of the Secretary and official reception and representation expenses, and specifying transfer authority among offices.

Language is included under Office of the Secretary, `Salaries and expenses' which would allow crediting the account with up to $2,500,000 in user fees.

Language is included under Office of the Secretary, `Transportation planning, research, and development' which provides funds for conducting transportation planning, research, systems development, development activities and making grants, and makes funds available until expended.

Language is included that limits operating costs and capital outlays of the Working Capital Fund for the Department of Transportation; provides that services shall be provided on a competitive basis, except for non-DOT entities; restricts the transfer for any funds to the Working Capital Fund with approval; and limits special assessments or reimbursable agreements levied against any program, project or activity funded in this Act to only those assessments or reimbursable agreements that are presented to and approved by the House and Senate Committees on Appropriations.

Language is included under the Office of the Secretary, `Minority business resource center' which limits the amount of loans that can be subsidized, and provides funds for administrative expenses.

Language is included under Office of the Secretary, `Minority business outreach' specifying that funds may be used for business opportunities related to any mode of transportation, and limits the availability of funds.

Language is included under the Office of the Secretary, `Payments to air carriers' that provides funds from the Airport and Airway Trust Fund, allows the Secretary of Transportation to consider subsidy requirements when determining service to a community, provides funds to carry out 3 marketing incentive programs, and allows the Secretary to repay any funds borrowed from the Federal Aviation Administration to fund the essential air service program.

Language is included under Office of the Secretary, `Compensation for air carriers' which rescinds funds.

Section 101. The Committee continues a provision allowing reimbursement for fees collected and credited under 49 U.S.C. 45303.

Section 102. The Committee continues a provision allowing the Secretary of Transportation to transfer unexpended sums from `Office of the Secretary, Salaries and Expenses' to `Minority Business Outreach'.

Section 103. The Committee continues a provision prohibiting the Office of the Secretary of Transportation from approving assessments or reimbursable agreements pertaining to funds appropriated to the modal administrations in this Act, unless such assessments or agreements have completed the normal reprogramming process for Congressional notification.

Section 104. The Committee continues a provision prohibiting the use of funds to implement an essential air service local cost participation program.

Language is included under the Federal Aviation Administration, `Operations' that provides funds for operations and research activities related to commercial space transportation, administrative expenses for research and development, establishment of air navigation facilities, the operation (including leasing) and maintenance of aircraft, subsidizing the cost of aeronautical charts and maps sold to the public, lease or purchase of passenger motor vehicles for replacement; funds for certain aviation program activities; and specifies transfer authority among offices.

Language is included under the Federal Aviation Administration, `Operations' that prohibits funds to plan, finalize, or implement any regulation that would promulgate new aviation user fees not specifically authorized by law after the date of enactment of this Act.

Language is included under the Federal Aviation Administration, `Operations' that credits funds received from States, counties, municipalities, foreign authorities, other public authorities, and private sources for expenses incurred in the provision of agency services.

Language is included under the Federal Aviation Administration, `Operations' that provides $8,000,000 for the contract tower cost sharing program.

Language is included under the Federal Aviation Administration, `Operations' permitting the use of funds to enter into a grant agreement with a nonprofit standard setting organization to develop aviation safety standards.

Language is included under the Federal Aviation Administration, `Operations' that prohibits the use of funds for new applicants of the second career training program.

Language is included under the Federal Aviation Administration, `Operations' that prohibits the use of funds for Sunday premium pay unless an employee actually performed work during the time corresponding to the premium pay.

Language is included under the Federal Aviation Administration, `Operations' that prohibits funds from being used to operate a manned auxiliary flight service station in the contiguous United States.

Language is included under the Federal Aviation Administration, `Operations' that prohibits funds for conducting and coordinating activities on aeronautical charting and cartography through the Working Capital Fund.

Language is included under the Federal Aviation Administration, `Operations' that prohibits the use of funds to purchase store gift cards or gift certificates through a government-issued credit card.

Language is included under Federal Aviation Administration, `Facilities and equipment' that provides funds for acquisition, establishment technical support services, improvement by contract or purchase, and hire of air navigation and experimental facilities and equipment; engineering and service testing, construction and furnishing of quarters and related accommodations at remote localities; and the purchase, lease, or transfer of aircraft.

Language is included under Federal Aviation Administration, `Facilities and equipment' that provides funds from the Airport and Airway Trust Fund and limits the availability of funds.

Language is included under Federal Aviation Administration, `Facilities and equipment' that allows certain funds received for expenses incurred in the establishment and modernization of air navigation facilities to be credited to the account.

Language is included under Federal Aviation Administration, `Facilities and equipment' that requires the Secretary of Transportation to transmit a comprehensive capital investment plan for the Federal Aviation Administration.

Language is included under Federal Aviation Administration, `Research, engineering, and development' that provides funds from the Airport and Airway Trust Fund for research, engineering, and development, including construction of experimental facilities and acquisition of necessary sites by lease or grant; and limits the availability of funds.

Language is included under Federal Aviation Administration, `Research, engineering, and development' that allows certain funds received for expenses incurred in research, engineering and development to be credited to the account.

Language is included under Federal Aviation Administration, `Grants-in-aid for airports' that provides funds from the Airport and Airway Trust Fund for airport planning and development; noise compatibility planning and programs; procurement, installation, and commissioning of runway incursion prevention devices and systems; grants authorized under section 41743 of title 49, U.S.C.; and inspection activities and administration of airport safety programs; and limits the availability of funds.

Language is included under Federal Aviation Administration, `Grants-in-aid for airports' that limits funds available for the planning or execution of programs with obligations in excess of $3,700,000,000.

Language is included under Federal Aviation Administration, `Grants-in-aid for airports' that prohibits funds for the replacement of baggage conveyor systems, reconfiguration of terminal baggage areas, or other airport improvements that are necessary to install bulk explosive detection systems.

Language is included under Federal Aviation Administration, `Grants-in-aid for airports' that provides not more than $74,970,615 for administration.

Language is included under Federal Aviation Administration, `Grants-in-aid for airports' that specifies $10,000,000 for the airport cooperative research program and $10,000,000 for the Small Community Air Service Development Program.

Language is included under Federal Aviation Administration, `Grants-in-aid for airports' that rescinds contract authority above the obligation limitation.

Section 110. The Committee retains a provision requiring FAA to accept landing systems, lighting systems, and associated equipment procured by airports, subject to certain criteria.

Section 111. The Committee retains, with modification, a provision limiting the number of technical workyears at the Center for Advanced Aviation Systems Development. The modification raises the limitation from 375 in fiscal year 2006 to 380 in fiscal year 2007.

Section 112. The Committee retains a provision prohibiting FAA from requiring airport sponsors to provide the agency `without cost' building construction, maintenance, utilities and expenses, or space in sponsor-owned buildings, except in the case of certain specified exceptions.

Section 113. The Committee retains a provision allowing reimbursement of funds for providing technical assistance to foreign aviation authorities to be credited to the operations account.

Section 114. The Committee retains a provision prohibiting funds to change weight restrictions or prior permission rules at Teterboro Airport, Teterboro, New Jersey.

Section 115. The Committee continues a provision extending the current terms and conditions of FAA's aviation insurance program, commonly known as the `war risk insurance' program, for one additional year, from December 31, 2006 to December 31, 2007. Although the underlying program is authorized until March 2008, certain provisions including premium price caps were set to expire at the end of this calendar year. The Committee recommendation preserves the status quo under this program, a savings of $125,000,000 from the budget estimate. Savings accrue because the bill's provisions result in additional revenue from insurance premiums, which were assumed to be zero in the budget estimate for fiscal year 2007.

Section 116. The Committee retains a provision that prohibits funds for engineering work related to an additional runway at Louis Armstrong International Airport in New Orleans, Louisiana.

Language is included under the Federal Highway Administration, `Limitation on administrative expenses' that limit the amount to be paid together with advances and reimbursements received.

Language is included under the Federal Highway Administration, `Federal-aid highways' that limits the obligations for Federal-aid highways and highway safety construction programs; limits the amount available for the implementation or execution of programs for transportation research, which shall not apply to any authority previously made available for obligation; authorizes funds for the motor carrier safety grant program, the amount of which shall be transferred to the Federal motor Carrier Safety Administration; allows the Secretary to collect and spend fees, which are available until expended; and that such amounts are in addition to administrative expenses and are not subject to any obligation limitation or limitation on administrative expenses under section 608 of title 23, U.S.C.

Language is included under the Federal Highway Administration, `Federal-aid highways' that liquidates contract authority and rescinds unobligated balances with certain limitations.

Section 120. The Committee includes a provision that distributes obligation authority among federal-aid highway programs.

Section 121. The Committee continues a provision that credits funds received by the Bureau of Transportation Statistics to the federal-aid highways account.

Section 122. The Committee includes a provision that provides additional funding to the transportation, community, and system preservation program.

Section 123. The Committee includes a new provision that clarifies funding for a Monterey, California, highway bypass included in Public Law 102-143.

Section 124. The Committee includes a new provision rescinding unobligated balances from previous appropriations acts.

Section 125. The Committee includes a new provision rescinding unobligated balances made available under section 188(a)(1) of title 23, U.S.C.

Section 126. The Committee includes a new provision rescinding funds made available under section 104(a) of title 23, U.S.C.

Section 127. The Committee includes a new provision rescinding unobligated balances made available under title 5 of Public Law 109-59.

Section 128. The Committee includes a new provision that clarifies funding for a Marlboro, New Jersey highway project included in section 378 of Public Law 106-346.

Section 129. The Committee includes a new provision that prohibits any of the funds provided in or limited by this Act from being used by the State of Alaska to develop, plan, design, or construct a bridge connecting the Island of Gravina and the community of Ketchikan or the Knik Arm Bridge. The provision also prohibits the FHWA from reimbursing the State of Alaska for these expenses.

Language is included under the Federal Motor Carrier Safety Administration, `Motor carrier safety grants' that provides a limitation on obligations and liquidation of contract authorization, including specifying amounts available for the commercial driver's license improvements program, border enforcement grants program, the performance and registration information system management program, the commercial vehicle information systems and networks deployment program, the safety data improvement program, and the commercial driver's license information system modernization program.

Language is included under the Federal Motor Carrier Safety Administration, `Motor Carrier Safety Operations and Programs', including research and technology programs and commercial motor vehicle operator's grants; and prohibits funds for outreach and education.

Language is included under the Federal Motor Carrier Safety Administration, `Motor Carrier Safety' that rescinds unobligated balances from prior appropriations Acts.

Language is included under the Federal Motor Carrier Safety Administration, `National Motor Carrier Safety Program' that rescinds unobligated balances from prior appropriations Acts.

Section 130. The Committee continues a provision subjecting funds appropriated in this Act to the terms and conditions of section 350 of Public Law 107-87, including a requirement that the secretary submit a report on Mexico-domiciled motor carriers.

Language is included under National Highway Traffic Safety Administration, `Operations and research' that limits the availability of funds and prohibits the planning or implementation of any rulemaking on labeling passenger car tires for low rolling resistance.

Language is included under National Highway Traffic Safety Administration, `Operations and research' that provides a limitation on obligations from the Highway Trust Fund, limits the availability of funds, and rescinds unobligated balances from prior year appropriations Acts.

Language is included under the National Highway Traffic Safety Administration `National driver register' that provides a limitation on obligations from the Highway Trust Fund and rescinds unobligated balances from prior year appropriations Acts.

Language is included under the National Highway Traffic Safety Administration `Highway traffic safety grants' that provides a limitation on obligations from the Highway Trust Fund, limits the availability of funds, and specifies the amounts for certain programs.

Language is included under National Highway Traffic Safety Administration, `Highway traffic safety grants' prohibiting the use of funds for construction, rehabilitation or remodeling costs or for office furniture for state, local, or private buildings.

Language is included under National Highway Traffic Safety Administration, `Highway traffic safety grants' that provides $750,000 for the High Visibility Enforcement Program.

Language is included under National Highway Traffic Safety Administration, `Highway traffic safety grants' limiting the amount of funds available for technical assistance to states under section 410.

Language is included under National Highway Traffic Safety Administration, `Highway traffic safety grants' that rescinds unobligated balances from prior year appropriation Acts.

Section 140. The Committee continues a provision that provides funding for travel and related expenses for state management reviews and highway safety core competency development training.

Language is included under Federal Railroad Administration, `Safety and operations' limiting the availability of funds.

Language is included under Federal Railroad Administration, `Railroad research and development' limiting the availability of funds.

Language is included under Federal Railroad Administration, `Railroad rehabilitation and improvement program' authorizing the Secretary to issue fund anticipation notes necessary to pay obligations under sections 511 and 513 of the Railroad Revitalization and Regulatory Reform Act.

Language is included under Federal Railroad Administration, `Railroad rehabilitation and improvement program' that prohibits new direct loans or loan guarantee commitments using federal funds for credit risk premium under section 502 of the Railroad Revitalization and Regulatory Reform Act.

Language is included under Federal Railroad Administration, `Capital and debt service grants to the national railroad passenger corporation' that provides funds for the maintenance and repair of capital infrastructure; limits the availability of funds; specifies funds for debt service obligations; directs the Secretary to approve funding for capital expenditures; prohibits the use of funds to subsidize operating losses; and prohibits the use of funds for capital projects not approved by the Secretary.

Language is included under Federal Railroad Administration, `Efficiency incentive grants to the national railroad passenger corporation' that limits the availability of funds; allows the Secretary to make to make grants for the purpose of maintaining the operation of existing of new Amtrak routes, which should not be interpreted as to encourage or discourage adjusting existing routes or frequencies; the Secretary is authorized to reserve and transfer funds to the Surface Transportation Board to respond to the cessation of commuter rail operations, and grant those funds to the Corporation if no directed service orders have been issued; the Secretary may make grants after receipt and approval of Amtrak's business plan, if in the interest of the transportation system; the Secretary shall approve funding for operating losses only after reviewing a grant request for each specific route, which shall be accompanied by specific information; the Corporation shall achieve savings through operating efficiencies; specifies an IG report on the saving accrued; that prohibits the use of funds to subsidize net losses of food and beverage service and sleeper car service in the event the IG cannot verify losses; Amtrak shall submit a plan to improve the financial performance of food and beverage and first class service, including specific information; Amtrak shall submit a report on overhead expenses, including the expenses associated with intercity passenger rail reservations and ticketing; Amtrak shall reduce its system over head expenses; specifies funds for the managerial cost accounting system if the IG deems necessary; the IG shall review and comment on the managerial cost accounting system after its development; Amtrak provide a plan to improve its management cost accounting system, including a plan to improve or replace the Route Profitability System; the Corporation shall submit a comprehensive business plan, which shall include specific information on targets, accounting for such targets, description of work to be funded with costs estimates, and a timetable for completion of projects; the Corporation shall provide monthly reports; prohibits funds to be used for operating expenses not approved by the Secretary; the Corporation shall post all plans on their website; prohibits the use of funds until the Corporation agrees to certain conditions; the Secretary may condition the award of efficiency incentive grants on reform requirements; and prohibits funds to support any route on which Amtrak offers a discounted fare of more than 50 percent off the normal, peak fare.

Section 150. The Committee continues a provision that allows FRA to purchase promotional items for Operation Lifesaver.

Language is included under Federal Transit Administration, `Administrative Expenses' specifying the amounts for certain offices and the transfer authority among offices.

Language is included under Federal Transit Administration, `Administrative Expenses' prohibiting funds for a permanent office of transit security; specifying the amount to reimburse the IG for certain costs, and directing the submission of the annual report on new starts.

Language is included under Federal Transit Administration, `Formula and Bus Grants' that provides a limitation on obligations from the Highway Trust Fund, liquidation of contract authorization for the operating expenses of the agency, limits the availability of funds, and rescinds unobligated balances.

Language is included under Federal Transit Administration, `Research and University Centers' that limits the availability of funds and specifies the amounts for certain offices and programs.

Language is included under Federal Transit Administration, `Capital Investment Grants' that limits the availability of funds, specifies certain amounts for specific projects, and rescinds unobligated balances.

Section 160. The Committee continues the provision that exempts previously made transit obligations from limitations on obligations.

Section 161. The Committee continues the provision that allows unobligated funds for projects under `Capital Investment Grants' and bus and bus facilities under `Formula and Bus Grants' in prior year appropriations Acts to be used in this fiscal year.

Section 162. The Committee continues the provision that allows for the transfer of prior year appropriations from older accounts to be merged into new accounts with similar, current activities.

Section 163. The Committee recommends a new provision as proposed in the budget request that allows FTA to provide grants for 100 percent of the net capital cost of a factory-installed or retrofitted hybrid electric system in a bus.

Section 164. The Committee modifies a provision that allows unobligated funds for projects under `Capital Investment Grants' and bus and facilities under `Formula and Bus Grants' to be used in this fiscal year for activities eligible in the year the funds were appropriated.

Section 165. The Committee recommends a new provision which clarifies the calculations for determining the net costs of the San Gabriel Valley Metro Gold Line transit project.

Language is included under the Saint Lawrence Seaway Development Corporation that authorizes expenditures, contracts, and commitments as may be necessary.

Language is included under the Saint Lawrence Seaway Development Corporation `Operations and Maintenance' that provides funds derived from the Harbor Maintenance Trust Fund.

Language is included under Maritime Administration, `Maritime Security Program' that limits the availability of funds.

Language is included under Maritime Administration, `Operations and Training' that provides dedicated funds for salaries and benefits of employees of the United States Merchant Marine Academy, capital improvements at the United States Merchant Marine Academy, and the State Maritime Schools Schoolship Maintenance and Repair; and limits the availability of some funds.

Language is included under Maritime Administration, `Ship Disposal' that limits the availability of funds.

Language is included under Maritime Administration, `Maritime Guaranteed Loan (Title XI) Program Account' that provides for the transfer to Operations and Training and rescinds unobligated balances.

Language is included under Maritime Administration, 'National Defense Tank Vessel Construction Program' that rescinds unobligated balances.

Section 170. The Committee continues a provision that allows the Maritime Administration to furnish utilities and services and make repairs to any lease, contract, or occupancy involving government property under the control of MARAD and retal payments shall be covered into the Treasury as miscellaneous receipts.

Section 171. The Committee continues a provision that prohibits obligations incurred during the current year from construction funds in excess of the appropriations contained in this Act or in any appropriations Act.

Language is included under Pipeline and Hazardous Materials Safety Administration, `Administrative expenses' which specifies the amount derived from the Pipeline Safety Fund.

Language is included under Pipeline and Hazardous Materials Safety Administration, `Hazardous materials safety' which limits the availability of a certain amount and allows up to $1,200,000 in fees collected under 49 U.S.C. 5108(g) to be deposited in the general fund of the Treasury as offsetting receipts.

Language is included under Pipeline and Hazardous Materials Safety Administration, `Hazardous materials safety' that credits certain funds received for expenses incurred for training and other activities incurred in performed of hazardous materials exemptions and approval functions.

Language is included under Pipeline and Hazardous Materials Safety Administration, `Pipeline safety' which specifies the amounts derived from the Pipeline Safety Fund and the Oil Spill Liability Trust Fund, and limits their period of availabilitiy.

Language is included under Pipeline and Hazardous Materials Safety Administration, `Pipeline safety' that requires the agency to fund the one-call state grant program.

Language is included under Pipeline and Hazardous Materials Safety Administration, `Emergency Preparedness Grants' which specifies the amount derived from the Emergency Preparedness Fund, limits the availability of some funds, and prohibits funds from being obligated by anyone other than the Secretary or his designee.

Language is included under Research and Innovative Technology Administration, `Research and development' that limits the availability of funds and credits to the appropriation funds received from States and other sources for expenses incurred for training.

Language is included under Office of Inspector General, `Salaries and expenses' that provides the Inspector General with all necessary authority to investigate allegations of fraud by any person or entity that is subject to regulation by the Department of Transportation. Language is also included under Office of Inspector General, `Salaries and expenses' that authorizes the Office of Inspector General to investigate unfair or deceptive practices and unfair methods of competition by domestic and foreign air carriers and ticket agents.

Language is included under Surface Transportation Board, `Salaries and expenses' allowing the collection of $1,250,000 in fees established by the Chairman of the Surface Transportation Board; and providing that the sum appropriated from the general fund shall be reduced on a dollar-for-dollar basis as such fees are received.

Section 180. The Committee continues the provision allowing the Department of Transportation to use funds for aircraft; motor vehicles; liability insurance; uniforms; or allowances, as authorized by law.

Section 181. The Committee continues the provision limiting appropriations for services authorized by 5 U.S.C. 3109 to the rate for an Executive Level IV.

Section 182. The Committee continues the provision prohibiting funds in this Act for salaries and expenses of more than 110 political and Presidential appointees in the Department of Transportation, and prohibits political and Presidential personnel assigned on temporary detail outside the Department of Transportation.

Section 183. The Committee continues the provision prohibiting funds for the implementation of section 404 of title 23, United States Code.

Section 184. The Committee continues the provision prohibiting recipients of funds made available in this Act from releasing personal information, including social security number, medical or disability information, and photographs from a driver's license or motor vehicle record, without express consent of the person to whom such information pertains; and prohibits the withholding of funds provided in this Act for any grantee if a state is in noncompliance with this provision.

Section 185. The Committee continues the provision allowing funds received by the Federal Highway Administration, Federal Transit Administration, and the Federal Railroad Administration from states, counties, municipalities, other public authorities, and private sources to be used for expenses incurred for training may be credited to each agency's respective accounts.

Section 186. The Committee continues the provision authorizing the Secretary of Transportation to allow issuers of any preferred stock to redeem or repurchase preferred stock sold to the Department of Transportation.

Section 187. The Committee continues the provision prohibiting funds in Title I of this Act from being issued for any grant unless the Secretary of Transportation notifies the House and Senate Committees on Appropriations not less than three full business days before any discretionary grant award, letter of intent, or full funding grant agreement totaling $1,000,000 or more is announced by the department or its modal administrations.

Section 188. The Committee continues a provision for the Department of Transportation allowing funds received from rebates, refunds, and similar sources to be credited to appropriations.

Section 189. The Committee continues a provision allowing amounts from improper payments to a third party contractor that are lawfully recovered by the Department of Transportation to be available to cover expenses incurred in recovery of such payments.

TITLE II--DEPARTMENT OF THE TREASURY

Language has been included for Departmental Offices, `Salaries and Expenses', that provides funds for operation and maintenance of the Treasury Building and Annex; hire of passenger motor vehicles; maintenance, repairs, and improvements of, and purchase of commercial insurance policies for real properties leased or owned overseas; official reception and representation expenses; unforeseen emergencies of a confidential nature; Treasury-wide financial audits and the period of availability and the transfer of these funds; information technology modernization requirements; and specifying certain amounts for individual offices of the Departmental Offices and specifying transfer authority among offices.

Language has been included for the Department-wide Systems and Capital Investments Program that provides funds for the development and acquisition of automated data processing equipment, software, and services; provides transfer authority; limits the availability of funds; and restricts the use of funds to support or supplement IRS Operations Support or Business Systems Management.

Language has been included for the Office of Inspector General, `Salaries and Expenses', that provides funds to carry out the provisions of the Inspector General Act of 1978, including the hire of vehicles, and specifies amounts for official travel expenses, official reception and representation expenses, and unforeseen emergencies of a confidential nature.

Language has been included for the Treasury Inspector General for Tax Administration, `Salaries and Expenses', that provides funds to carry out the provisions of the Inspector General Act of 1978, the purchase and hire of motor vehicles and services authorized by 5 U.S.C. 3109; and specifies amounts for travel expenses, official reception and representation expenses, and unforeseen emergencies of a confidential nature.

Language has been included for the Air Transportation Stabilization Program Account to charge fees to a borrower associated with bankruptcy proceedings of the borrower.

Language has been included for the Financial Crime Enforcement Network, `Salaries and Expenses', that provides funds for hire of vehicles; the travel and training of non-federal and foreign government personnel attending meetings or training involving domestic or foreign financial law enforcement, intelligence, and regulation; a specific amount for official reception and representation expenses; the purchase of personal services contracts; and assistance to Federal law enforcement agencies with or without reimbursement. Language is also included that limits the availability of a certain amount.

Language has been included for the Financial Management Service, `Salaries and Expenses', that provides a certain amount for official reception and representation expenses and limits the availability for systems modernization funds.

Language has been included for the Alcohol and Tobacco Tax and Trade Bureau, `Salaries and Expenses', that provides funds for the hire of passenger motor vehicles and laboratory assistance to state and local agencies with or without reimbursement. Language is also included with specifies the amounts for official reception and representation expenses and cooperative research and development.

Language has been included for the U.S. Mint, `United States Mint Public Enterprise Fund' that identifies the source of funding for the operations and activities of the U.S. Mint and specifies the level of funding for circulating coinage and protective service capital investments.

Language has been included for the Bureau of the Public Debt, `Administering the Public Debt' that specifies funds for official reception and representation expenses and systems modernization; and provides that appropriations from the General Fund will be reduced as fees are collected, and that a portion of the funds are to be derived from the Oil Spill Liability Trust Fund for administration of the Fund.

Language is included for the Community Development Financial Institutions Fund Program Account that provides for services authorized by 5 U.S.C. 3109 but at certain rates; specific amounts for administrative expenses, the cost of direct loans, and administrative expenses to carry our the direct loan program; the cost of direct loans; and the principal amount of the direct loans.

Language is included under Internal Revenue Service, `Taxpayer Services' that provides funds for pre-filing assistance and education, filing account services, taxpayer advocacy services, services authorized by 5 U.S.C. 3109; and dedicating funding for the Tax Counseling for the Elderly Program and low-income taxpayer clinic grants.

Language is included for Internal Revenue Service, `Enforcement' that provides funds to provide legal and litigation support, conduct criminal investigations, enforce criminal statutes, purchase and hire of vehicles, provide services authorized by 5 U.S.C. 3109; dedicating funding for the Interagency Crime and Drug Enforcement program and associated transfer authority.

Language is included for the Internal Revenue Service, `Operations Support' that provides funds for operating and supporting taxpayer services and tax law enforcement programs; rent; facilities services; printing; postage; physical security; headquarters and other IRS-wide administration activities; research and statistics of income; telecommunications; information technology development, enhancement, operations, maintenance, and security; hire of passenger motor vehicles; services authorized by 5 U.S.C. 3109; and dedicating funding for information technology support, research, the IRS Oversight Board, and official reception and representation expenses.

Language has been included for Internal Revenue Service, `Business Systems Modernization' that provides for the business systems modernization program, including capital asset acquisition of information technology, including management and related contractual costs of said acquisitions, including contractual costs associated with operation authorized by 5 U.S.C. 3109 and that restricts the use of the funds.

Language is included for the Internal Revenue Service, `Health Insurance Tax Credit Administration' to implement the health insurance tax credit included in the Trade Act of 2002 (Public Law 107-210).

Section 201. The Committee modifies a provision that allows for the transfer of five percent (three percent in the case of Enforcement) of any appropriation made available to the IRS to any other IRS appropriation.

Section 202. The Committee continues a provision that requires the IRS to maintain a training program in taxpayer rights, dealing courteously with taxpayers, and cross-cultural relations.

Section 203. The Committee continues a provision that requires the IRS to institute policies and procedures that will safeguard the confidentiality of taxpayer information.

Section 204. The Committee continues a provision that makes funds available for improved facilities and increased manpower to provide efficient and effective 800 number help line service for taxpayers.

Section 205. The Committee modifies a provision that directs $166,249,000 to be available for the Taxpayer Advocate Service; $166,101,000 from Taxpayer Services and $148,000 from Operations Support.

Section 206. The Committee includes a provision that prohibits the use of funds to develop or provide free individual tax electronic preparation and filing products or services, other than the Free File program and the IRS's Taxpayer Assistance Centers, Tax Counseling for the Elderly, and volunteer income tax assistance programs. This provision also prohibits the use of funds to develop or implement direct interactive electronic individual income tax preparation or filing services or products, or a return-free system as described in section 2004 of the Internal Revenue Service Restructuring and Reform Act of 1998. The Committee understands this will not impact any current IRS taxpayer programs or services.

Section 207. The Committee includes a provision that designates taxpayer service and tax law enforcement programs for fiscal year 2007 and thereafter as made up of Taxpayer Services, Enforcement, and Operations Support appropriations.

Section 208. The Committee includes a provision that allows for the transfer of up to 20 percent between the Taxpayer Services, Enforcement, and Operations Support accounts to implement the restructuring of the IRS accounts, following a 30 day notification of the House and Senate Committees on Appropriations.

Section 209. The Committee includes a new provision prohibiting funds made available in this Act to be used to enter into, renew, extend, administer, implement, enforce, or provide oversight of any qualified tax collection contract.

Section 210. The Committee continues a provision that allows the Department of the Treasury to purchase uniforms, insurance, and motor vehicles without regard to the general purchase price limitation, and enter into contracts with the State Department for health and medical services for Treasury employees in overseas locations.

Section 211. The Committee continues a provision that authorizes transfers, up to two percent, between `Departmental Offices, Salaries and Expenses', `Office of the Inspector General', `Financial Management Service', `Alcohol and Tobacco Tax and Trade Bureau', `Financial Crimes Enforcement Network', and the `Bureau of the Public Debt' appropriations under certain circumstances.

Section 212. The Committee continues a provision that authorizes transfer, up to two percent, between the Internal Revenue Service and the Treasury Inspector General for Tax Administration under certain circumstances.

Section 213. The Committee continues a provision limiting funds for the purchase of law enforcement vehicles unless the purchase is consistent with vehicle management principles.

Section 214. The Committee continues a provision that prohibits the Department of the Treasury from undertaking a redesign of the one dollar Federal Reserve note.

Section 215. The Committee continues a provision that provides for transfers from and reimbursements to `Financial Management Service, Salaries and Expenses' for the purposes of debt collection.

Section 216. The Committee continues a provision extending the pay demonstration program.

Section 217. The Committee continues a provision that requires Congressional approval for the construction and operation of a museum by the Mint.

Section 218. The Committee continues a provision prohibiting funds in this Act from being used to merge the Mint and the Bureau of Engraving and Printing without the approval of the House and Senate committees of jurisdiction.

Section 219. The Committee includes a new provision providing a technical correction to 31 U.S.C. 3333(a)(3), clarifying that the Check Forgery Insurance Fund is the appropriate funding source for disbursing errors for which relief has been granted under 31 U.S.C. 3527.

TITLE III--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Language is included under Department of Housing and Urban Development, `Tenant-based rental assistance', which designates funds for various programs, activities, and purposes, and specifies the uses and availability of such funds.

Language is included under Department of Housing and Urban Development, `Tenant-based rental assistance', which specifies funds for certain programs and limits the use of certain funds; specifies the methodology for allocation of renewal funding; directs the Secretary to the extent possible to pro rate each public housing agency's (PHA) allocation; directs that those PHAs participating in Moving to Work, shall be funded according to that agreement; specifies the amount for additional rental subsidy due to unforeseen emergencies and portability; provides that additional tenant protection rental assistance costs be funded by prior year unobligated balances; provides for the transfer of funds to the Working Capital Fund; specifies the amounts available to the Secretary to allocate to PHA that need additional funds and for fees; provides the criteria to allocate a portion of Administrative Fees; and directs that all funds shall be only for activities related to the provision of tenant-based rental assistance authorized under section 8.

Language is included under Department of Housing and Urban Development, `Housing certificate fund', which rescinds prior year funds; allows the Secretary to rescind funds from other accounts if there are insufficient unobligated balances; directs the Secretary to report where the rescission is taken; and identifying which balances are available for rescission.

Language is included under Department of Housing and Urban Development, `Public housing capital fund', which limits the availability of funds; limits the delegation of certain waiver authorities and prohibits funds from being used for certain activities; specifies the total amount available for certain activities; prohibits funds from being used for certain purposes; and specifies the amount for grants, support services, service coordinators and congregate services, to support the costs of administrative and judicial receiverships, and to support the ongoing Public Housing Financial and Physical Assessment activities of the Real Estate Assessment Center.

Language is included under Department of Housing and Urban Development, `Public housing operating fund', which sets the basis for the allocation of funds; specifies the amount for bonus funds and technical assistance; and prohibits the use of funds under certain conditions.

Language is included under Department of Housing and Urban Development, `Native American Housing Block Grants', which limits the availability of funds; specifies the formula for allocation; specifies the amounts for technical assistance and capacity building, to support the inspection of Indian housing units, administrative expenses, to subsidize the total principal amount of any notes, and the cost of guaranteed notes, which are defined in section 502 of the Congressional budget Act of 1974.

Language is included under Department of Housing and Urban Development, `Native Hawaiian Housing Block Grant', which limits the availability of funds and specifies the amount for training and technical activities.

Language is included under Department of Housing and Urban Development, `Indian Housing Loan Guarantee Fund Program Account', which limits the availability of funds; specifies how to define the costs of modifying loans; specifies the amount and availability of funds to subsidize total loan principal; and provides a dedicated amount for administrative expenses and allows for its transfer to `Salaries and Expenses'.

Language is included under Department of Housing and Urban Development, `Native Hawaiian Loan Guarantee Fund Program Account', which limits the availability of funds; specifies how to define the costs of modifying loans; specifies the amount and availability of funds to subsidize total loan principal; and provides a dedicated amount for administrative expenses and allows for its transfer to `Salaries and Expenses'.

Language is included under Department of Housing and Urban Development, `Housing Opportunities for Persons with AIDS', which limits availability of funds, sets forth certain requirements for the allocation and renewal of funds and contracts, and specifies funds available for training, oversight, and technical assistance activities, and the amount available for transfer to the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Community development fund', which specifies the allocation of certain funds; limits the use and availability of certain funds; specifies the amount made available for grants to federally-recognized Indian tribes, emergencies, Economic Development Initiatives with certain restrictions, and neighborhood initiatives with certain restrictions; and makes technical changes to the uses of certain funds.

Language is included under Department of Housing and Urban Development, `Home investment partnerships program', which limits the availability of funds; specifies the allocation of certain funds for certain purposes; and provides for the transfer of funds to the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Self-Help and Assisted Homeownership Opportunity Program', which limits the availability of funds and specifies the allocation of certain funds for certain purposes.

Language is included under Department of Housing and Urban Development, `Homeless assistance grants', which limits the availability of funds; establishes certain minimum funding and matching requirements; specifies the allocation of certain funds for certain purposes; directs the Secretary to renew contracts under certain conditions; requires grantees to integrate homeless programs with other social service providers; and provides for the transfer of funds to the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Project-Based Rental Assistance', which limits the availability of funds; specifies the amount for certain programs; specifies the allocation of certain funds for certain purposes; and provides for the transfer of funds to the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Housing for the elderly', which specifies the allocation of certain funds; designates certain funds to be used only for certain grants; allows the Secretary to waive certain provisions governing contract terms; and provides for the transfer of funds to the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Housing for persons with disabilities', which specifies the allocation of certain funds; allows funds to be used to renew certain contracts; allows the Secretary to waive certain provisions governing contract terms; and provides for the transfer of funds to the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Rental Housing Assistance', which limits the availability of funds.

Language is included under Department of Housing and Urban Development, `Manufactured housing fees trust fund', which limits the availability of funds and permits fees to be assessed, modified, and collected, and permits temporary borrowing authority from the General Fund of the Treasury.

Language is included under the Department of Housing and Urban Development, `Mutual Mortgage Insurance Program Account', which sets a loan principal limitation; limits the obligations to make direct loans; specifies funds for specific purposes; allows for the transfer of funds `Salaries and Expenses', `Office of Inspector General', and the Working Capital Fund; allows for additional contract expenses as guaranteed loan commitments exceed certain levels.

Language is included under Department of Housing and Urban Development, `General and Special Risk Program Account', which limits the amount of commitments to guarantee loans; specifies funds for specific purposes; and allows for the transfer of funds `Salaries and Expenses', `Office of Inspector General', and the Working Capital Fund.

Language is included under Department of Housing and Urban Development, `Government National Mortgage Association', which limits new commitments to issue guarantees, specifies amounts for administrative expenses, and allows for the transfer of funds to `Salaries and Expenses'.

Language is included under Department of Housing and Urban Development, `Policy Development and Research', which limits the availability of funds; specifies funds for the Partnership for Advancing Technology in Housing Initiative, of which a certain amount is not subject to certain requirements, and that related activities shall be administered by the Office of Policy Development and Research; and specifies the amount for grants.

Language is included under Department of Housing and Urban Development, `Fair housing and equal opportunity', which limits the availability of funds, authorizes the Secretary to assess and collect fees, and places restrictions on the use of funds for lobbying activities.

Language is included under Department of Housing and Urban Development, `Office of Lead Hazard Control', which limits the availability of funds, specifies the amount of funds for specific purposes, specifies the treatment of certain grants, and specifies recipient matching and application requirements.

Language is included under Department of Housing and Urban Development, `Management and Administration', which specifies the allocation of funds; identifies the transfer to `Management and Administration'; sets forth certain authorities of, and requirements on, the office of the Chief Financial Officer; defines the point of obligation of funds; provides for funds to be transferred to the Working Capital Fund; and directs the Secretary to fill certain vacancies.

Language is included under Department of Housing and Urban Development, `Working Capital Fund', which limits the purpose and availability of funds, including funds transferred.

Language is included under Department of Housing and Urban Development, `Office of Inspector General', which specifies a certain amount provided from the various funds of the Federal Housing Administration, and directs that the IG shall have independent authority over all personnel issues within the office.

Language is included under Department of Housing and Urban Development, `Office of Federal Housing Enterprise Oversight', which limits the availability of certain funds, directs the submission of a spending plan, specifies the amounts for certain activities, and permits temporary borrowing authority from the General Fund of the Treasury.

Section 301 relates to the division of financing adjustment factors, as requested.

Section 302 prohibits available funds from being used to investigate or prosecute lawful activities under the Fair Housing Act, which was proposed for deletion.

Section 303 continues language to correct an anomaly in the HOPWA formula that results in the loss of funds for certain States.

Section 304 authorizes the Secretary to waive certain requirements related to an assisted living pilot project, as requested.

Section 305 continues language requiring funds appropriated to be distributed on a competitive basis in accordance with the Department of Housing and Urban Development Reform Act of 1989.

Section 306 continues language, carried in previous years, regarding the availability of funds subject to the Government Corporation Control Act and the Housing Act of 1950.

Section 307 continues language, carried in previous years, regarding allocation of funds in excess of the budget estimates.

Section 308 continues language, carried in previous years, regarding the expenditure of funds for corporations and agencies subject to the Government Corporation Control Act.

Section 309 continues language, carried in previous years, requiring submission of a spending plan for technical assistance, training and management improvement activities prior to the expenditure of funds.

Section 310 continues language requiring the Secretary to provide quarterly reports on uncommitted, unobligated and excess funds in each departmental program and activity.

Section 311 extends a technical amendment included in the fiscal year 2000 appropriations Act relating to the allocation of HOPWA funds in the Philadelphia and Raleigh-Cary metropolitan areas. A proviso is added to allow a state to administer the HOPWA program in the event that a local government is unable to undertake the HOPWA grants management functions.

Section 312 continues language setting certain requirements for the Department's annual congressional justification of appropriations.

Section 313 continues language carried in previous year elsewhere in this title requiring public housing authorities to continue to reserve incremental vouchers funded in previous years for persons with disabilities upon turnover.

Section 314 relates to state authority regarding participation on housing boards.

Section 315 continues language in precious acts specifying the allocation of Indian Block grants to Native Alaskan recipients.

Section 316 prohibits the IG from changing the basis on which the audit of GNMA is conducted.

Section 317 continues language carried in previous years elsewhere in this title requiring public housing authorities to continue to reserve incremental vouchers funded in previous years for family unification upon turnover.

Section 318 continues language clarifying that the projects selected by HUD for Section 202b assistance prior to December 1, 2003 are also eligible to use the limited partnership ownership structure. No more than three commercial properties are authorized to receive grants under Section 202b of the Housing Act of 1959.

Section 319 continues language requiring that athletic scholarships for housing shall be considered part of adjusted income for purposes of eligibility for Section 8.

Section 320 continues language requiring priority consideration for Moving to Work Demonstration applications from Santa Clara/San Jose and San Bernardino.

Section 321 clarifies the ability of HUD to have no more than 32 active moving to Work Demonstration Agreements at any time.

Section 322 requires the cancellation of contract authority from fiscal years 1974 and earlier upon contract expiration or termination.

Section 323 continues language requiring the Secretary to maintain Section 8 assistance on certain properties occupied by elderly or disabled families.

Section 324 clarifies that the Government National Mortgage Association is not subject to the accounting and budgetary requirements of the Federal Credit Reform Act of 1990.

Section 325 begins the process of modernizing the Federal Housing Administration. These changes will begin the transition of FHA from a rigid, one-size-fits-all operating stance to a more flexible array of loan offerings designed to meet the individual needs of families not served or ill-served by the private marketplace.

Section 326 makes a technical correction with regard to CDBG formula funding to the cities of Alton, Illinois, and Granite City, Illinois.

TITLE IV--THE JUDICIARY

Under Supreme Court, `Salaries and expenses' language is included permitting certain funds to remain available until expended and specifying certain amounts for specific purposes.

Under Supreme Court, `Care of the Building and Grounds' language is included permitting funds to remain available until expended

Under Courts of Appeals, District Courts, and Other Judicial Services, `Salaries and Expenses' language is included specifying certain funds remain available until expended for specific purposes. Language is also included providing funding from the Vaccine Injury Compensation Trust Fund for certain purposes.

Under Defender Services, language is included permitting funds to remain available until expended.

Under Fees of Jurors and Commissioners, language is included permitting funds to remain available until expended and specifying limitations for the compensation of land commissioners.

Under Court Security, language is included permitting certain funds to remain available until expended, which may be transferred to the United States Marshals Service.

Under Administrative Office of the United States Courts, `Salaries and expenses' language is included specifying certain amounts for official reception and representation expenses.

Under Federal Judicial Center, `Salaries and expenses' language is included permitting certain funds to remain available until expended for education and training, and specifying certain amounts for official reception and representation expenses.

Under Judicial Retirement Funds, `Payment to Judiciary Trust Funds' language is included specifying certain amounts for payments to specific trust funds.

Under United States Sentencing Commission, `Salaries and expenses' language is included specifying certain amounts for official reception and representation expenses.

Section 401. The Committee continues language to permit funds in the bill for salaries and expenses for the Judiciary to be available for employment of experts and consultant services as authorized by 5 U.S.C. 3109.

Section 402. The Committee continues language that permits up to 5 percent of any appropriation made available for fiscal year 2007 to be transferred between Judiciary appropriations accounts provided that no appropriation shall be decreased by more than 5 percent or increased by more than 10 percent by any such transfer except in certain circumstances. In addition, the language provided that any such transfer shall be treated as a reprogramming of funds under sections 805 and 810 of the accompanying bill and shall not be available for obligation or expenditure except in compliance with the procedures set forth in that section.

Section 403. The Committee continues language authorizing not to exceed $11,000 to be used for official reception and representation expenses incurred by the Judicial Conference of the United States.

Section 404. The Committee continues language requiring a financial plan for the Judiciary within 90 days of enactment of this Act.

Section 405. The Committee includes language amending the Judicial Improvement Act of 1990 (Public Law 101-650).

TITLE V--DISTRICT OF COLUMBIA

Language under `Federal Payment for Resident Tuition Support' provides that the amount appropriated shall remain available until expended; specifies conditions for the use, award, and financial accounting of funds; requires a quarterly financial report; and specifies the amount available for administrative expenses.

Language under `Federal Payment for Emergency Planning and Security Costs in the District of Columbia' provides that the amount appropriated shall remain available until expended, is available for reimbursement for certain events, and is available only after it has been apportioned pursuant to chapter 15 of title 31, U.S.C.

Language under `Federal Payment to the District of Columbia Courts': (1) provides that all amounts under this heading shall be apportioned quarterly by the Office of Management and Budget and obligated and expended in the same manner as funds appropriated for salaries and expenses of other Federal agencies, with payroll and financial services to be provided on a contractual basis with the General Services Administration; (2) specifies certain amounts for specific purposes; (3) allows funds made available for capital improvements to remain available until September 30, 2008; and (4) provides for the reallocation of funds.

Language under `Defender Services in the District of Columbia Courts': (1) provides that the amount appropriated shall remain available until expended; (2) authorizes funds provided in other appropriations to be used for payments under this heading; (3) specifies who shall administer these funds; and (4) provides that all amounts under this heading shall be apportioned quarterly by the Office of Management and Budget and obligated and expended in the same manner as funds appropriated for salaries and expenses of other Federal agencies, with payroll and financial services to be provided on a contractual basis with the General Services Administration.

Language under `Federal Payment to the Court Services and Offender Supervision Agency for the District of Columbia': (1) specifies certain amounts for specific purposes and programs; (2) provides that all amounts under this heading shall be apportioned quarterly by the Office of Management and Budget and obligated and expended in the same manner as funds appropriated for salaries and expenses of other Federal agencies; (3) authorizes the Director to accept and use gifts to support offender and defendant programs and equipment and vocational training services to educate and train offenders and defendants, and details for recording the acceptance of such gifts; and (4) authorizes the Director to charge fees to cover the costs of training and materials distributed at conferences.

Language under `Federal Payment to District of Columbia Public Defender Service' provides that all amounts under this heading shall be apportioned quarterly by the Office of Management and Budget and obligated and expended in the same manner as funds appropriated for salaries and expenses of other Federal agencies.

Language under `Federal Payment to the District of Columbia Water and Sewer Authority' provides that the amount appropriated shall remain available until expended and that the District shall provide a 100 percent match.

Language under `Federal Payment to the Criminal Justice Coordinating Council' provides that the amount appropriated shall remain available until expended to support initiatives related to the coordination of Federal and local criminal justice resources.

Language under `Federal Payment to the Office of the Chief Financial Officer of the District of Columbia' provides funds for projects as identified in the Statement of the Managers, and that recipients shall submit a budget and reports on the activities to be carried out with the identified funds.

Language under `Federal Payment for School Improvement' provides certain amounts for specific purposes, including funds to expand quality public charter schools in the District of Columbia, which shall remain available until September 20, 2008.

Language under `District of Columbia Funds' (1) limits the amount provided in this Act for the District of Columbia; (2) identifies the source of funds, including a rescission of prior year local funds; (3) establishes the District's intradistrict authority; (4) sets funds subject to the provisions of and allocated and expended as proposed in the fiscal year 2007 District of Columbia Budget and Financial Plan; (5) provides conditions for increasing the amount provided; and (6) directs the Chief Financial Officer to assure the District of Columbia meets all requirements, but prohibits the reprogramming of capital projects.

Section 501. The Committee continues the provision that specifies that an appropriation for a particular purpose or object shall be considered as the maximum amount that may be expended for said purpose or object.

Section 502. The Committee continues the provision that permits funds for travel and payment of dues.

Section 503. The Committee continues the provision that appropriates funds for refunding overpayments of taxes collected and for paying settlements and judgments against the District of Columbia government.

Section 504. The Committee continues the provision that prohibits the use of appropriation for publicity or propaganda purposes.

Section 505. The Committee modifies the provision that establishes reprogramming and transfer requirements with respect to notification requirements.

Section 506. The Committee continues the provision that prohibits use of funds only to the objects for which the appropriations were made.

Section 507. The Committee continues the provision that clarifies the pay setting authority for District employees as the District's Merit Personnel Act rather than title 5 of the United States Code.

Section 508. The Committee continues the provision that directs the Mayor of the District of Columbia to submit new fiscal year 2007 revenue estimates as of the end of such quarter.

Section 509. The Committee continues the provision that prohibits the District government from renewing or extending sole source contracts without opening them to the competitive bidding process as set forth in section 303 of the District of Columbia Procurement Practices Act of 1985.

Section 510. The Committee continues the provision that prohibits the use of Federal funds for salaries, expenses, or other costs associated with the offices of U.S. Senator or Representatives under section 4(d0 of the D.C. Statehood Constitutional Convention Initiatives of 1979.

Section 511. The Committee continues the provision that prohibits Federal funds made available in this Act from being used to implement or enforce any system of registration for unmarried cohabitating couples.

Section 512. The Committee continues the provision that allows the mayor to accept, obligate, and expend Federal, private, and other grants received by the District government that are not reflected in the amounts appropriated in this Act.

Section 513. The Committee continues the provision that restricts the use of official vehicles to official duties and not between a residence and workplace, except in the case of a police officer who resides in the District of Columbia at the discretion of the Chief, an officer or employee of the D.C. Fire and Emergency Medical Services Department who resides in the District of Columbia and is on call 24 hours a day, the mayor of the District of Columbia, and the Chairman of the Council of the District of Columbia.

Section 514. The Committee continues the provision that prohibits the use of funds for the audit of the District government's annual financial statements unless the DC Inspector General either conducts, or contracts for, the audit.

Section 515. The Committee continues the provision that prohibits the use of appropriated funds by the Corporation Counsel or any other officer or entity of the District government to provide assistance for any petition drive or civil action which seeks to require Congress to provide for voting representation in Congress for the District of Columbia.

Section 516. The Committee continues the provision that prohibits the use of any funds in the Act to carry out any program of distributing sterile needles or syringes for the hypodermic injection of any illegal drug.

Section 517. The Committee continues the provision that requires the Chief Financial Officers of the District of Columbia to certify that they understand the duties and restrictions applicable to their agency as a result of this Act.

Section 518. The Committee continues the provision that includes a `conscience clause' on legislation that pertains to contraceptive coverage by health insurance plans.

Section 519. The Committee continues the provision that requires the Mayor of the District of Columbia to submit quarterly reports on various issues pertaining to the District of Columbia.

Section 520. The Committee continues the provision that requires the CFO to submit a revised appropriated funds operating budget in the format of the budget that the District government submitted pursuant to section 442 of the DC Home Rule Act for all agencies no later than 30 calendar days after the date of enactment of this Act.

Section 521. The Committee continues the provision that prohibits the use of any funds in the Act to: (1) pay the fees of an attorney who represents a party in an action or any attorney who defends any action, including an administrative proceeding, brought against D.C. Public Schools under the Individuals With Disabilities Act (IDEA) in excess of $4,000 for that action; (2) pay the fees of an attorney or firm whom the CFO determines to have a pecuniary interest, either through an attorney, officer or employee of the firm, in any special education diagnostic services, schools, or other special education service providers; and (3) require all savings to be used to expand special education services within the District.

Section 522. The Committee continues the provision that requires attorneys in special education cases brought under IDEA to comply with several reporting requirements and allow the Inspector General to conduct investigations to determine the accuracy of the certifications.

Section 523. The Committee continues the provision that allows for appropriations in this Act to be increased by no more than $42,000,000 from unexpended general funds, and may be used only for one-time expenditures, to avoid deficit spending, for debt reductions, for program needs, or to avoid revenue shortfalls.

Section 524. The Committee continues the provision that allows the District to spend `Other-Type Funds' under certain conditions.

Section 525. The Committee continues the provision that allows for short-term borrowing from the emergency and contingency reserve funds established under section 450A of the District of Columbia Home Rule Act (Public Law 98-198; D.C. Official Code, sec. 1-204.50a) under certain circumstances.

Section 526. The Committee continues the provision prohibiting funds to change the legality of marijuana use.

Section 527. The Committee continues the provision relating to abortion.

Section 528. The Committee continues the provision granting authority to the CFO with respect to personnel and preparing financial statement audits. The Committee directs the CFO to report to the Committees on Appropriations 30 days after utilizing this authority.

Section 529. The Committee continues the provision exempting the CFO from certain provisions of the District of Columbia Procurement Practices Act.

Section 530. The Committee recommends a new provision which allows the Public Defender Services of the District of Columbia to operate outside of the Court Supervised Offender Services Agency for budgeting.

Section 531. The Committee includes a new provision that makes technical corrections to Public Law 109-115 regarding `Federal Payment for School Improvement'.

Section 532. The Committee continues the provision which limits references to `the Act' as referring to only this title.

TITLE VI--EXECUTIVE OFFICE OF THE PRESIDENT

Language under the Executive Office of the President and Funds Appropriated to the President, `Compensation of the President', provides that unused amounts of the President's expense allowance will revert to the Treasury; mandates funds are only available for their stated purpose; and specifies an amount for an expense allowance.

Language under the White House Office, `Salaries and Expenses', provides funds for services authorized by 5 U.S.C. 3109, subsistence expenses, hire of vehicles, newspapers, periodicals, teletype news service, travel, and official entertainment expenses. Language is also included specifying funds available for the Privacy and Civil Liberties Oversight Board.

Language under the Executive Residence at the White House, `Operating Expenses', provides funds for official entertainment expenses of the President, and the care, maintenance, repair and alteration, refurnishing, improvement, heating, and lighting, including electric power and fixtures, of the Executive Residence at the White House.

Language under the Executive Residence at the White House, `Reimbursable Expenses', specifies the authorized use of funds; specifies that reimbursable expenses are the exclusive authority of the Executive Residence to incur obligations and receive offsetting collections; requires the sponsors of political events to make advance payments; requires the national committee of the political party of the President to maintain $25,000 on deposit; requires the Executive Residence to ensure that amounts owed are billed within 60 days of a reimbursable event and collected within 30 days of the bill notice; authorizes the Executive Residence to charge and assess interest and penalties on late payments; authorizes all reimbursements to be deposited into the Treasury as a miscellaneous receipt; requires a report to the Committee on the reimbursable expenses within 90 days of the end of the fiscal year; requires the Executive Residence to maintain a system for tracking and classifying reimbursable events; and specifies that the Executive Residence is not exempt from the requirements of subchapter I or II of chapter 37 of title 31, United States Code.

Language under White House Repair and Restoration provides funds for the repair, alteration, improvement, required maintenance, safety and health issues, and continued preventative maintenance of the Executive Residence at the White House and limits the availability of funds.

Language under Office of Management and Budget, `Salaries and Expenses', provides funds for expenses, the hire of vehicles, carrying out provisions of chapter 35 of 44 U.S.C.; specifies funds for official representation expenses; directs that funds shall be applied only to items for which appropriations were made; prohibits the review of agricultural marketing orders and the alteration of certain testimony; prohibits the use of funds for the purpose of altering the transcript of testimony except for non-OMB officials; and specifies the amount of time to perform budgetary policy reviews of water resource matters on which the Chief of Engineers has reported before the report is considered approved, and specifies notification requirements.

Language under the Office of National Drug Control Policy, `Salaries and Expenses', provides funds for expenses, research, official reception and representation expenses, participation in joint projects, and allows for the acceptance of gifts. Language is also included providing funds for policy research and evaluation and making these funds available until expended.

Language under the Counterdrug Technology Assessment Center provides funds for counternarcotics research and development and the technology transfer program, and provides for the transfer of funds to other Federal departments or agencies.

Language under the Federal Drug Control Programs, `High Intensity Drug Trafficking Areas Program', provides a certain level of funding for State, local and Federal drug control efforts, and provides for the transfer of funds to Federal agencies and departments. Language is also included specifying the amount of funds for auditing and associated activities and for developing and implementing a data collection system, and regarding the availability of funds.

Language under Other Federal Drug Control Programs provides funds to support a national anti-drug campaign for youth, a national media campaign, matching grants to drug-free communities, the Community Anti-Drug Coalitions of America for the National Community Anti-Drug Coalition Institute, the National Drug Court Institute, the National Alliance for Model State Drug Laws, the U.S. Anti-Doping Agency, the U.S. membership dues to the World Anti-Doping Agency, and evaluation and research related to National Drug Control Program performance measures; limits the availability of funds; requires a certain level of funding for non-advertising services of the media campaign and the continuation of the corporate outreach program; provides for the transfer of some funds to other Federal departments and agencies; and specifies conditions for the expense of national media campaign funds.

Language under Special Assistance to the President and the Official Residence of the Vice President, `Salaries and Expenses', enables the Vice President to provide assistance to the President, services authorized by 5 U.S.C. 3109, subsistence, and the hire for vehicles.

Language under Special Assistance to the President and the Official Residence of the Vice President, `Operating Expenses', provides funds for operation and maintenance of the official residence of the Vice President, the hire of vehicles, official entertainment expenses and provides for the transfer of funds as necessary.

Section 601. The Committee continues language to permit the transfer of not to exceed 10 percent of funds from certain offices within the Executive Office of the President.

Section 602. The Committee includes a new provision requiring a financial plan by the Director of the ONDCP prior to the obligation of funds in fiscal year 2007.

TITLE VII--INDEPENDENT AGENCIES

Language is included for the Architectural and Transportation Barriers Compliance Board, `Salaries and Expenses' that allows for the credit to the appropriation of funds received for publications and training expenses.

Language is included for the Consumer Product Safety Commission, `Salaries and Expenses' that provides funds for expenses, the hire of motor vehicles, services as authorized by 5 U.S.C. 3109, nominal awards, and official reception and representation expenses.

Language is included for the Election Assistance Commission, `Salaries and Expenses' that allows for the transfer of funds to the National Institute of Standards and Technology for election reform activities.

Language is included for the Federal Deposit Insurance Corporation, `Office of Inspector General' that provides for the funds to be derived from the Bank Insurance Fund, the Savings Association Insurance Fund, and the FSLIC Resolution Fund, or any successor to these funds.

Language is included for the Federal Election Commission, `Salaries and Expenses' that specifies funds for internal automated data processing systems and reception and representation expenses; authorizes the registration fees for FEC hosted conferences; and allows for fees collected to be transferred to and merged with the appropriation.

Language is included for the Federal Labor Relations Authority, `Salaries and Expenses' that provides funds for services authorized by 5 U.S.C. 3109, the hire of experts and consultants, hire of motor vehicles, and the rental of conference rooms; authorizes travel payments to public members of the Federal Service Impasses Panel; and allows for fees collected to be transferred to and merged with the appropriation.

Language is included for the Federal Maritime Commission, `Salaries and Expenses' that provides funds for services authorized by 5 U.S.C. 3109, the hire of passenger motor vehicles, uniforms and allowances, and official reception and representation expenses.

Language is included for the General Services Administration, `Federal Buildings Fund' that allows for revenues and collections to be deposited in the Fund; specifies the conditions under which funds made available can be used and designates certain projects that can be undertaken; limits the availability of funds; and requires the approval to change the amounts identified in the report. Many technical provisions have been included regarding use of funds in the Federal Buildings Fund that are not specifically authorized by law. Language has been included that limits project funds available for construction and repair and alteration of buildings not authorized by law. A more detailed analysis of the Federal Buildings Funds can be found in the General Services Administration chapter of this report.

Language is included for General Services Administration, `Government-wide Policy' that provides funds for policy and evaluation activities associated with the management of real and personal property assets and certain administrative services; support responsibilities relating to acquisition, telecommunications, information technology management, and related technology activities; and services authorized by 5 U.S.C. 3109.

Language is included for General Services Administration, `Operating Expenses' that provides funds for expenses for activities associated with personal and real property; technology management and activities; information access activities; agency-wide policy direction and management; other support services; and official reception and representation expenses.

Language is included for the General Services Administration, `Office of Inspector General' that provides funds for information and detection of fraud; and for awards in recognition of efforts that enhance the office.

Language is included for the General Services Administration, `Electronic Government Fund' that provides funds for conducting activities electronically, limits the availability of funds, and allows these funds to be transferred.

Language is included for the General Services Administration, `Allowances and Office Staff for Former Presidents' that allows a portion of these funds to be transferred.

Language is included for the General Services Administration, `Federal Citizen Information Center Fund' that authorizes funds to be deposited in the Fund and limits the availability of funds in the Fund.

Section 701. The Committee continues the provision that provides that costs included in rent received from government corporations for operation, protection, maintenance, upkeep, repair and improvement shall be credited to the Federal Buildings Fund.

Section 702. The Committee continues the provision providing authority for the use of funds for the hire of motor vehicles.

Section 703. The Committee continues the provision providing that funds made available for activities of the Federal Buildings Fund may be transferred between appropriations with advance approval of the Congress.

Section 704. The Committee continues the provision prohibiting the use of funds for developing courthouse construction requests that do not meet GSA standards and the priorities of the Judicial Conference.

Section 705. The Committee continues the provision providing that no funds may be used to increase the amount of occupiable square feet, provide cleaning services, security enhancements, or any other service usually provided, to any agency which does not pay the requested rent.

Section 706. The Committee continues the provision that permits GSA to pay small claims (up to $250,000) made against the government.

Section 707. The Committee includes a new provision requested by the President that proposes merging the General Supply Fund and the Information Technology Fund into a new Acquisition Services Funds. The Committee does not include transfer language as requested.

Language is included for the Merit Systems Protection Board, `Salaries and Expenses', that provides funds for services authorized by 5 U.S.C. 3109, rental of conference rooms, hire of passenger motor vehicles, direct procurement of survey printing, official reception and representation expenses, and administrative expenses to adjudicate retirement appeals, and provides for the transfer of some funds.

Language is included for the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation, `Morris K. Udall Scholarship and Excellence in National Environmental Policy Trust Fund', that limits the availability of funds, specifies an amount for financial audits, and provides for the transfer of some funds.

Language is included for the Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation, `Environmental Dispute Resolution Fund' that limits the availability of funds.

Language is included for National Archives and Records Administration, `Operating Expenses', that provides funds for the hire of passenger motor vehicles, activities of the Public Interest Declassification Board, and the review and declassification of documents; and authorizes the use of excess funds from the amount borrowed for construction for certain purposes.

Language is included for National Archives and Records Administration, `Electronic Records Archives' that provides funds for the development of electronic records archives, research and analysis, design, development and program management; and limits the availability of funds.

Language is included for National Archives and Records Administration, `Repairs and Restoration' that provides funds for the repair, alteration, improvement, and storage; and limits the availability of funds.

Language is included for National Archives and Records Administration, `National Historical Publications and Records Commission Grants Program' that provides funds for allocations and grants for historical publications and records; provides of the transfer of funds for operating expenses; and limits the availability of funds.

Language is included under the National Credit Union Administration, `Central Liquidity Facility' that limits gross obligations and administrative expenses.

Language is included under the National Credit Union Administration, `Community Development Credit Union Revolving Loan Fund' that provides funds for technical assistance and limits the availability of funds.

Language is included under National Transportation Safety Board, `Salaries and Expenses' that provides funds for hire of passenger motor vehicles and aircraft, services authorized by 5 U.S.C. 3109, uniforms or allowances therefore, and official reception and representation expenses; and rescinds prior year unobligated balances.

Language is included under Office of Government Ethics, `Salaries and Expenses' that provides funds for services authorized by 5 U.S.C. 3109, rental of conference rooms, hire of passenger motor vehicles, and official reception and representation expenses.

Language is included under Office of Personnel Management, `Salaries and Expenses' that provides funds for services authorized by 5 U.S.C. 3109, medical examinations for veterans, rental of conference rooms, hire of passenger motor vehicles, official reception and representation expenses, advances for reimbursements, payment of per diem and/or subsistence allowances, the Enterprise Human Resources Integration project, the Human Resources Line of Business project, and the transfer of administrative expenses; limits the availability of some funds; directs that provisions shall not affect other authorities; prohibits for the Legal Examining Unit; and authorizes the acceptance of donations under certain conditions.

Language is included for Office of Inspector General, `Salaries and Expenses' that provides funds for services authorized by 5 U.S.C. 3109, hire of passenger motor vehicles, rental of conference rooms, and the transfer of administrative expenses.

Language is included for Payment to Civil Service Retirement and Disability Fund that authorizes payments of certain annuities from the Civil Service Retirement and Disability Fund.

Language is included for Office of Special Counsel, `Salaries and Expenses' that provides funds for services authorized by 5 U.S.C. 3109, payment of fees and expenses for witnesses, rental of conference rooms, and the hire of passenger motor vehicles.

Language is included for Selective Service System, `Salaries and Expenses' that provides funds for attendance of meetings, training, uniforms, hire of passenger motor vehicles, services authorized by 5 U.S.C. 3109, and official reception and representation expenses; authorizes certain exemptions under certain conditions; and prohibits funds used in connection with the induction of any person into the Armed Forces of the United States.

Language is included for the United States Interagency Council on Homelessness, `Operating Expenses' that provides funds for salaries, travel, hire of passenger motor vehicles, rental of conference rooms, and the employment of experts and consultants.

Language is included for the United States Postal Service, `Payment to the Postal Service Fund' that provides funds for revenue foregone; limits the availability of obligation of some funds; stipulates that mail for overseas voting and mail for the blind is free; stipulates that 6-day delivery and rural mail delivery shall continue at not less than the 1983 level; prohibits funds from being used to charge a fee to a child support enforcement agency seeking the address of a postal customer; and prohibits funds from being used to consolidate or close small rural and other small post offices.

Language is included for the United States Tax Court, `Salaries and Expenses' that provides funds for contract reporting and services authorized by 5 U.S.C. 3109; and that travel expenses of the judges shall be paid upon written certificate of the judge.

TITLE VIII--GENERAL PROVISIONS, THIS ACT

Section 801. The Committee continues the provision requiring pay raises to be funded within appropriated levels in this Act or previous appropriations Acts.

Section 802. The Committee continues the provision prohibiting pay and other expenses for non-Federal parties in regulatory or adjudicatory proceedings funded in this Act.

Section 803. The Committee continues the provision prohibiting obligations beyond the current fiscal year and prohibits transfers of funds unless expressly so provided herein.

Section 804. The Committee continues the provision limiting consulting service expenditures of public record in procurement contracts.

Section 805. The Committee continues the provision prohibiting funds in this Act to be transferred without express authority.

Section 806. The Committee continues the provision prohibiting the use of funds to engage in activities that would prohibit the enforcement of section 307 of the 1930 Tariff Act.

Section 807. The Committee continues the provision concerning employment rights of Federal employees who return to their civilian jobs after assignment with the Armed Forces.

Section 808. The Committee continues the provision concerning compliance with the Buy American Act.

Section 809. The Committee continues a provision prohibiting the use of funds by any person or entity convicted of violating the Buy American Act.

Section 810. The Committee continues a provision specifying reprogramming procedures by subjecting the establishment of new offices and reorganizations to the reprogramming process.

Section 811. The Committee continues the provision providing that fifty percent of unobligated balances may remain available for certain purposes.

Section 812. The Committee continues the provision providing that funds used by the Executive Office of the President not be used to request any official background investigation from the Federal Bureau of Investigation.

Section 813. The Committee continues the provision requiring that cost accounting standards not apply to a contract under the Federal Health Benefits Program.

Section 814. The Committee continues the provision regarding non-foreign area cost of living allowances.

Section 815. The Committee continues the provision prohibiting the expenditure of funds for abortions under the FEHBP.

Section 816. The Committee continues the provision prohibiting the expenditure of funds for abortions under the FEHBP unless the life of the mother is in danger or the pregnancy is a result of an act of rape or incest.

Section 817. The Committee continues the provision waiving restrictions on the purchase of non-domestic articles, materials, and supplies in the case of acquisition by the Federal Government of information technology.

Section 818. The Committee continues the provision prohibiting the use of funds for a proposed rule relating to the determination that real estate brokerage is a financial activity.

Section 819. The Committee continues the provision prohibiting the use of funds for eminent domain unless such a taking is employed for a public use but does not repeat the requirement for a study by the Government Accountability Office.

TITLE IX--GOVERNMENT-WIDE PROVISIONS

DEPARTMENTS, AGENCIES, AND CORPORATIONS

Section 901. The Committee continues the provision authorizing agencies to pay costs of travel to the United States for the immediate families of federal employees assigned to foreign duty in the event of a death or a life threatening illness of the employee.

Section 902. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all of its workplaces are free from the illegal use of controlled substances.

Section 903. The Committee continues the provision regarding price limitations on vehicles to be purchased by the Federal Government.

Section 904. The Committee continues the provision allowing funds made available to agencies for travel, to also be used for quarter allowances and cost-of-living allowances.

Section 905. The Committee continues the provision prohibiting the government, with certain specified exceptions, from employing non-U.S. citizens whose posts of duty would be in the continental U.S.

Section 906. The Committee continues the provision ensuring that agencies will have authority to pay GSA bills for space renovation and other services.

Section 907. The Committee continues the provision allowing agencies to finance the costs of recycling and waste prevention programs with proceeds from the sale of materials recovered through such programs.

Section 908. The Committee continues the provision providing that funds may be used to pay rent and other service costs in the District of Columbia.

Section 909. The Committee continues the provision prohibiting payments to persons filling positions for which they have been nominated after the Senate has voted not to approve the nomination.

Section 910. The Committee continues the provision prohibiting interagency financing of groups absent prior statutory approval.

Section 911. The Committee continues the provision authorizing the Postal Service to employ guards and give them the same special police powers as certain other federal guards.

Section 912. The Committee continues the provision prohibiting the use of funds for enforcing regulations disapproved in accordance with the applicable law of the U.S.

Section 913. The Committee continues the provision limiting the pay increases of certain prevailing rate employees.

Section 914. The Committee continues the provision limiting the amount of funds that can be used for redecoration of offices under certain circumstances.

Section 915. The Committee continues the provision to allow for interagency funding of national security and emergency telecommunications initiatives.

Section 916. The Committee continues the provision requiring agencies to certify that a Schedule C appointment was not created solely or primarily to detail the employee to the White House.

Section 917. The Committee continues the provision requiring agencies to administer a policy designed to ensure that all workplaces are free from discrimination and sexual harassment.

Section 918. The Committee continues the provision prohibiting the payment of any employee who prohibits, threatens or prevents another employee from communicating with Congress.

Section 919. The Committee continues the provision prohibiting Federal training not directly related to the performance of official duties.

Section 920. The Committee continues the provision prohibiting the expenditure of funds for implementation of agreements in nondisclosure policies unless certain provisions are included.

Section 921. The Committee continues the provision prohibiting propaganda, publicity and lobbying by executive agency personnel in support or defeat of legislative initiatives.

Section 922. The Committee continues the provision prohibiting any federal agency from disclosing an employee's home address to any labor organization, absent employee authorization or court order.

Section 923. The Committee continues the provision prohibiting funds to be used to provide non-public information such as mailing or telephone lists to any person or organization outside the government without the approval of the Committees on Appropriations.

Section 924. The Committee continues the provision prohibiting the use of funds for propaganda and publicity purposes not authorized by Congress.

Section 925. The Committee continues the provision directing agency employees to use official time in an honest effort to perform official duties.

Section 926. The Committee continues the provision authorizing the use of funds to finance an appropriate share of the Federal Accounting Standards Advisory Board.

Section 927. The Committee continues the provision, with technical modifications, authorizing agencies to transfer funds (not to exceed $10,000,000) to the Government-wide Policy account of GSA to finance an appropriate share of various government-wide boards and councils.

Section 928. The Committee continues the provision that permits breast feeding in a federal building or on federal property if the woman and child are authorized to be there.

Section 929. The Committee continues the provision that permits interagency funding of the National Science and Technology Council and provides for a report on the budget and resources of the National Science and Technology Council. The report should include the entire budget of the National Science and Technology Council.

Section 930. The Committee continues the provision requiring documents involving the distribution of federal funds to indicate the agency providing the funds and the amount provided.

Section 931. The Committee repeals the provision extending authorization for agency franchise funds.

Section 932. The Committee continues the provision prohibiting the use of funds to monitor personal information relating to the use of federal internet sites to collect, review, or create any aggregate list that includes personally identifiable information relating to access to or use of any federal internet site of such agency.

Section 933. The Committee continues the provision requiring health plans participating in the FEHBP to provide contraceptive coverage and provides exemptions to certain religious plans.

Section 934. The Committee continues the provision providing recognition of the U.S. Anti-Doping Agency as the official anti-doping agency.

Section 935. The Committee continues a provision allowing funds for official travel to be used by departments and agencies, if consistent with OMB and Budget Circular A-126, to participate in the fractional aircraft ownership pilot program.

Section 936. The Committee continues a provision prohibiting funds for implementation of OPM regulations limiting detailees to the Legislative Branch, and implementing limitations on the Coast Guard Congressional Fellowship Program.

Section 937. The Committee continues the provision that restricts the use of funds for federal law enforcement training facilities.

Section 938. The Committee continues the provision concerning the use of funds for the `e-Gov' initiative that were not appropriated specifically for that purpose.

Section 939. The Committee continues the provision regarding public-private competitions in reference to OMB Circular A-76.

Section 940. The Committee continues a provision, with modification, providing that the adjustment in rates of basic pay for employees under statutory pay systems taking effect in fiscal year 2007 shall be an increase of 2.7 percent.

Section 941. The Committee continues the provision that prohibits executive branch agencies from creating prepackaged news stories that are broadcast or distributed in the United States unless the story includes a clear notification within the text or audio of that news story that the prepackaged news story was prepared or funded by the executive branch agency. This provision confirms the opinion of the Government Accountability Office dated February 17, 2005 (B-304272).

Section 942. The Committee continues the provision prohibiting funds used in contravention of section 552a of title 5, United States Code or section 552.224 of title 48 of the Code of Federal Regulations.

Section 943. The Committee continues the provision requiring agencies to evaluate the creditworthiness of an individual before issuing the individual a government travel charge card and limits agency actions accordingly.

Section 944. The Committee continues the provision limiting these general provisions to title V.

COMPARISON WITH THE BUDGET RESOLUTION

Clause 3(c)(2) of rule XIII of the Rules of the House of Representatives requires an explanation of compliance with section 308(a)(1)(A) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, which requires that the report accompanying a bill providing new budget authority contain a statement detailing how that authority compares with the reports submitted under section 302 of the Act for the most recently agreed to concurrent resolution on the budget for the fiscal year from the Committee's section 302(a) allocation.

FIVE-YEAR OUTLAY PROJECTIONS

In compliance with section 308(a)(1)(B) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, the following table contains five-year projections associated with the budget authority provided in the accompanying bill as provided to the Committee by the Congressional Budget Office.

FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS

In accordance with section 308(a)(1)(C) of the Congressional Budget and Impoundment Control Act of 1974 (Public Law 93-344), as amended, the Congressional Budget Office has provided the following estimates of new budget authority and outlays provided by the accompanying bill for financial assistance to state and local governments.

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ADDITIONAL VIEWS OF HON. JOHN W. OLVER

Although there are serious deficiencies in the bill adopted by the Committee, it is a substantial improvement over the insufficient budget that was requested by the President for the agencies and programs funded within the Transportation, Treasury, Housing and Urban Development, the Judiciary, District of Columbia and Independent Agencies subcommittee. The President's FY 2007 budget included significant cuts to aviation, essential air service, intercity passenger rail, public housing and community development programs below the Fiscal Year 2006 enacted level. In total, the President recommended nearly $3 billion in reductions to programs under the Subcommittee's jurisdiction.

Despite the Subcommittee's allocation, the bill manages to reject at least some of the program reductions proposed by the President. For example, the bill restores a total of $306.9 million in funding for housing programs for the elderly and disabled which brings the programs up to the level funded in FY 2006. In addition, the bill includes $4.2 billion for the Community Development Block Grant program which represents a slight increase of $22 million above the FY 2006 level. The $1.17 billion increase above the President's request will fund activities to serve over 6 million low- and moderate-income persons.

With regard to transportation funding, the bill meets the aviation, highway and transit funding guarantees mandated by Vision 100 and SAFETEA-LU. As such, the bill includes $3.7 billion for airport grants and $3.11 billion for the Federal Aviation Administration's air traffic control modernization program required by Vision 100. The bill also includes a $16 million increase for additional aviation safety inspectors. These funding levels represent dramatic increases above the President's budget request and significant increases above last year's level. As required by SAFETEA-LU, the bill includes $104 million in additional funding for transit and highway safety programs.

A careful review of the bill, however, illuminates how the requirement to meet the transportation funding guarantees, combined with an inadequate level of discretionary resources, resulted in programmatic reductions or eliminations in virtually every other title of the bill. Simply put, it is exceedingly difficult to balance the resource needs of all of the agencies and programs included in the Subcommittee's broad and far-reaching jurisdiction when a significant portion is protected in a legislative lockbox and the rest have to fight for scarce remaining discretionary resources. This is not intended to denigrate the importance of investing in our nation's transportation infrastructure but rather a budgetary reality and challenge that the Committee must face. Housing programs for the poor are forced to compete with the funding needs of the Federal Judiciary; programs which support the war on drugs; the Federal payments for the District of Columbia; and numerous other agencies and programs that fall within the jurisdiction of the Subcommittee.

AMTRAK

The annual battles over funding for the National Passenger Railroad Corporation (Amtrak) have become so familiar that there is an element of deja.AE2 vu. The bill includes $900 million for Amtrak which is $394 million below the FY 2006 enacted level. Amtrak's own Board of Directors, each of whom were appointed by President Bush, stated that Amtrak needs $1.598 billion in Fiscal Year 2007 in order to maintain service and for capital investments needed to assure basic safety and reliability of the passenger service.

It is certain that the Committee's funding level for Amtrak is woefully insufficient to ensure that our nation will continue to enjoy a nationwide intercity passenger rail system. Indeed, the funding level included in the Committee bill, if enacted, require a significant review of Amtrak's current operations and a restructuring of the railroad's route system.

Over the last few years, there has been a consistent call by the Administration and majority party for Amtrak reform. Despite the fact that Amtrak is now on its third chief executive officer in less than four years and has not had a full Board of Directors in nearly three years, Amtrak--even with changing leadership--has made some significant reforms and progress. For example, Amtrak's ridership has increased nearly 11 percent and reduced its corporate debt by nearly the same percentage. In addition, Amtrak's injury rate has been reduced by 40 percent in two years which is a testament to the safety practices of Amtrak's dedicated workforce.

During the current fiscal year, Amtrak started to make reforms to the food, beverage and first class service as required in last year's bill. The Fiscal Year 2007 bill requires Amtrak to make additional reforms to the Amtrak's food, beverage and first class services so that these services are revenue neutral by October 1, 2008. The results of last year's reforms are not yet fully known and therefore cannot be assessed. In addition, the bill requires Amtrak to reduce its system overhead expenses by 10 percent annually.

The funding level provided in the bill would require Amtrak to achieve savings of $394 million in a single year. This is an unrealistic and unachievable goal. The Democratic alternative amendment that was offered and defeated in Committee would have provided Amtrak with an additional $400 million, of which $300 million would have been dedicated toward Amtrak's capital needs and $100 million in efficiency incentive grants.

HOUSING AND COMMUNITY DEVELOPMENT PROGRAMS

As mentioned above, the Committee bill reformed some cuts to housing and community development programs. In particular, the bill increases funding for the community development block grant program slightly above last year.

The Committee bill has made substantial increases in the following areas:

But there are also some serious problems in other housing and community development programs in of the bill:

Community Development Financial Institutions (CDFI) Fund: The bill includes $40 million for the CDFI Fund, a cut of $14.5 million, or 26.6%, below last year. While the bill is an improvement on the President's request, which sought to cut the program down to just $7.8 million, the program has steadily declined in funding since FY 2001, when it received $118 million. CDFI provides funding for activities of local financial institutions who invest in redevelopment activities in economically-depressed areas, and every dollar of federal funding leverages 21 dollars in private investment.

Housing for the Elderly is funded at last year's level of $735 million. While the bill wisely rejects the President's proposal to cut this program by more than 25%, the resource needs for elderly housing continue to grow as the baby boom population ages.

Housing for Persons with Disabilities is funded at last year's level of $237 million. Again, the bill wisely did not agree to the proposal of the President, who sought to cut the program by 50%, yet the funding level in the bill is still $18 million, or 7%, below what was provided in Fiscal Year 2004.

Tenant-based rental assistance: The bill contains a cut of $100 million below the President's request for funding for renewals of tenant-based vouchers. Specifically, the cut is targeted at the administrative funding for Public Housing Authorities to administer the tenant-based rental assistance program, which is cut from $1.28 billion in the request, down to $1.18 billion.

Project-based rental assistance: Funding for renewals is cut $200 million, or 3.6% below the President's request of $5.5 Billion. This cut could translate into as many as 34,000 fewer families receiving housing assistance.

Rural Housing and Economic Development: This program provides resources to support comprehensive community development efforts in rural communities. It received $16.8 million in FY 06, but the Committee's bill adheres to the President's budget request zeroing out the program.

The Public Housing Capital Fund is funded at $2.18 billion, a reduction of $261 million, or 10.7%, below FY 06. Funding for this account has declined steadily since FY 2001, when $3 billion was provided. There is a $20 billion backlog in public housing capital repair needs that this funding level would not address.

The Public Housing Operating Fund is level funded, at $3.56 Billion. The Administration requested $3.56 Billion as well, yet HUD's own budget documents report that the request will cover just 85% of the overall public housing operating requirement. In addition, the HUD budget submission does not take into account the increases in utilities costs that public housing authorities have experienced, and thus some argue that this funding level will only cover 78% of the operating requirement. Clearly we need to do far more for the Public Housing Operating Fund than this bill provides.

HOPE VI: HUD's program for revitalizing severely-distressed public housing is zeroed out in the Committee bill. Here again, the Committee bill adheres to the President's request to zero out HOPE VI. This is the fourth year in a row that the Administration has proposed eliminating the program. I am disappointed that the majority is once again attempting to eliminate this valuable program. The program received strong bipartisan support during House Floor consideration of last year's T-THUD appropriations bill, and I am hopeful that we can work together to restore funding to the program as we move forward.

Other housing and community development deficiencies: The bill cuts funding for Fair Housing Activities by $1 million, or 2.2% below the FY 06 level. Funding for Lead-based Paint and Hazard Reduction is cut by $35.6 million, or 23.7%, below last year. In addition, the bill eliminates funding for Brownfields Redevelopment, Section 108 Loan Guarantees, Empowerment Zones, and La Raza activities. I am hopeful that we can address these issues as the process moves forward.

Last year's Committee report recognized that the `snapshot' funding formula may have had an adverse impact on some public housing agencies in the section 8 voucher program. Public housing agencies who have lost funding under this formula are assisting as many as 100,000 fewer families than would have been the case had the `snapshot' funding formula never been implemented in the first place. I am hopeful that Congress will soon reform the flawed funding formula for the tenant-based voucher program.

FULL COMMITTEE AMENDMENT

During Full Committee consideration of the bill, I offered an amendment that would have increased funding for several critical areas of the bill. The funding would have been completely offset by slightly reducing the size of the tax cut for millionaires. I am disappointed that the majority rejected my amendment. The amendment would have provided the following increases:

OTHER ASPECTS OF THE BILL

The bill's overall funding for the Internal Revenue Service is just 0.9% above the enacted level for FY 06. I am concerned that we are not providing enough resources both for IRS services to taxpayers and for tax law enforcement, and I am hopeful that we can address these needs as the process moves forward.

The bill does not contain any funding for the Youthbuild program. There is a pending proposal to transfer the program from the Department of Housing and Urban Development to the Department of Labor. I understand that the subcommittee on Labor, Health and Human Services, and Education intends to fund Youthbuild in the Fiscal Year 2007 Labor-HHS-Education appropriations bill, and I welcome that.

The bill provides $575.2 million for the Federal payments to the District of Columbia. Included within this total is a $23 million increase to the D.C. Courts for the renovation of the Old Courthouse. The President's budget only requested $7 million for this purpose. The completion of the Old Courthouse will alleviate the cramped quarters in the Moultrie Courthouse.

The bill does not include funding for the Navy Yard Metro within the District of Columbia portion of the bill, however, I am pleased that funding for this project was included within the Federal Transit Administration's capital investment grant account.

In addition, the bill continues a provision included in last year's bill which allows the District of Columbia to administer locally generated funds. I am disappointed, however, that the bill continues to carry a variety of provisions which limit the District's ability to exercise home rule. In particular, it is disappointing that the provision prohibiting the District of Columbia from using its own local resources to utilize every available tool to fight the spread of HIV/AIDS. The District of Columbia has the highest incidence of new AIDS cases of all large cities in the country and a rate eleven times higher than the national average.

The Committee bill does not include any funding for the Office of Personnel Management's retirement system modernization program. The Office of Personnel Management currently manages 144,000 drawers of paper records for federal employees. It is critical that adequate resources are provided to improve the processing of federal retiree annuities. As the bill moves forward, these resources must be restored.

Among the independent agencies, the National Historical Publications and Records Commission grant program that is administered by the National Archives and Records Administration is funded at $7.5 million, the same level as Fiscal Year 2006. This program helps state, local and private institutions preserve records and publish important documents in our nation's history and I am pleased that the Chairman restored funds for this program.

The bill also includes a $2 million increase for the National Transportation Safety Board (NTSB). The NTSB serves an important investigatory and safety function in determining the causes of major transportation crashes. The increase provided in the bill will allow the NTSB to hire additional investigators and safety experts.

Finally, I am pleased that the bill includes two general provisions that benefit our nation's dedicated federal workforce. The first provision will ensure that civilian and military federal employees will receive a 2.7 percent increase in pay. The second provision continues the competitive sourcing provision that was included in last year's bill.

CONCLUSION

The bill adopted by the Committee improves upon the budget presented by the President, however, it still needs much work to address the problems that remain. I will continue to seek improvements outlined above as this bill moves through the Congress.

JOHN W. OLVER.



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