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H. Rept. 110-60 - MAKING EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2007, AND FOR OTHER PURPOSES110th Congress (2007-2008)

Committee Report

Report Type:	House Report
Accompanies:	H.R.1591
Committees:	House Appropriations Committee

Reports for H.R.1591

H. Rept. 110-60
H. Rept. 110-107

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110th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 110-60

======================================================================

MAKING EMERGENCY SUPPLEMENTAL APPROPRIATIONS FOR THE FISCAL YEAR ENDING
SEPTEMBER 30, 2007, AND FOR OTHER PURPOSES

_______

March 20, 2007.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed

_______

Mr. Obey of Wisconsin, from the Committee on Appropriations, submitted
the following

R E P O R T

together with

MINORITY VIEWS

[To accompany H.R. 1591]

The Committee on Appropriations submits the following
report in explanation of the accompanying bill making emergency
supplemental appropriations for the fiscal year ending
September 30, 2007, and for other purposes.

BILL SUMMARY

The bill recommended by the Committee includes
$124,330,636,000 in supplemental appropriations for fiscal year
2007, as detailed below.

TITLE I--SUPPLEMENTAL APPROPRIATIONS FOR THE GLOBAL WAR ON TERROR

CHAPTER 1

DEPARTMENT OF AGRICULTURE

Foreign Agricultural Service

PUBLIC LAW 480 TITLE II GRANTS

The Committee provides $450,000,000, to remain available
until expended, for Public Law 480 Title II grants.

CHAPTER 2

DEPARTMENT OF JUSTICE

Legal Activities

SALARIES AND EXPENSES, GENERAL LEGAL ACTIVITIES

The recommendation includes $1,648,000 for General Legal
Activities for the Criminal Division to provide litigation
support services to the Special Inspector General for Iraqi
Reconstruction for its ongoing investigations and cases
involving corruption in the reconstruction of Iraq.
The recommendation does not include the President's request
for $2,445,000 to create Iraq and Afghanistan Support Units
within General Legal Activities, Criminal Division. The
Committee supports Justice Department efforts to train and
assist law enforcement, corrections, and justice-sector
personnel in Iraq; and to provide support for antiterrorism,
counter-narcotics, law reform and judicial assistance in
Afghanistan. These activities, however, can be supported
through monies available to the Secretary of State.

SALARIES AND EXPENSES, UNITED STATES ATTORNEYS

The recommendation provides $5,000,000 for the U.S.
Attorneys for extraordinary litigation expenses associated with
terrorism prosecutions.

United States Marshals Service

SALARIES AND EXPENSES

The recommendation includes $2,750,000 for the U.S.
Marshals Service to provide security at high-threat terrorist
trials in the United States.
The recommendation does not include the Administration's
additional request of $12,171,000 for the U.S. Marshals. The
Committee supports the mission of the U.S. Marshals to help the
government of Afghanistan to establish judicial and witness
security in Afghanistan. However, the proposals to deploy U.S.
Marshals to secure the Afghanistan judicial complex and to
train and equip a Judicial and Witness Security Protection Unit
of the Counter-Narcotic Police of Afghanistan can be supported
through monies available to the Secretary of State.

National Security Division

SALARIES AND EXPENSES

The recommendation includes $1,736,000 for the National
Security Division to support the Global War on Terror.

Federal Bureau of Investigation

SALARIES AND EXPENSES

The recommendation includes $118,260,000 for the Federal
Bureau of Investigation for operations in Iraq and Afghanistan
and for enhanced counterterrorism activities.

Drug Enforcement Administration

SALARIES AND EXPENSES

The recommendation includes $8,468,000 for the Drug
Enforcement Administration to implement its narco-terrorism
initiative and Operation Breakthrough, and to conduct financial
investigations.
The Committee notes that NATO's International Security
Assistance Force (ISAF) recently offered logistical support to
a Drug Enforcement Administration Foreign Advisory and Support
Team (DEA FAST) mission in Kunduz province. The Committee
directs the DEA Administrator to submit a report on a plan to
target and arrest Afghan Drug Kingpins in Helmand and Kandahar
provinces by July 31, 2007. This report shall also include the
number of DEA counter-narcotic operations undertaken with the
support of the Department of Defense and ISAF, and shall
identify additional tactical equipment that can enhance FAST
team missions.

Bureau of Alcohol, Tobacco, Firearms and Explosives

SALARIES AND EXPENSES

The recommendation includes $4,000,000 for the Bureau of
Alcohol, Tobacco, Firearms and Explosives for necessary costs
of the operations in Iraq.

Federal Prison System

SALARIES AND EXPENSES

The recommendation includes $17,000,000 for the Federal
Prison System to establish a counter-terrorism unit to
effectively monitor incarcerated terrorists, collect
intelligence, and coordinate with and disseminate relevant
information to other federal law enforcement agencies. Within
the total, funds are also provided for translation services and
to purchase counter-terrorism surveillance equipment.

CHAPTER 3

DEPARTMENT OF DEFENSE--MILITARY

OVERVIEW

Committee Recommendation

In title 1, chapter 3, the Committee recommends total new
appropriations of $95,529,712,000, an increase of
$4,000,737,000 over the supplemental amount requested by the
President.
To prepare for its deliberations on the President's fiscal
year 2007 supplemental request, the Committee conducted 14
hearings and briefings. These meetings featured senior Defense
Department policy officials and uniformed military leaders, as
well as outside experts on mental health care issues related to
combat. In general, the information received by the Committee
led to several important conclusions:
The readiness of U.S. military forces--
especially the non-deployed ground forces--has declined
significantly. Without additional resources or changes
in the military's deployment requirements, this adverse
trend is likely to continue.
The costs of war continue to increase. The
repair and replacement of battle-worn equipment, the
challenge to adequately man and train our all-volunteer
force, and the increasing reliance on private
contractors to supply basic security and logistics
services all have forced the monthly costs of the war
to levels well beyond those initially contemplated.
The types and intensity of violence,
especially in Iraq, sadly have resulted in severe
casualties to U.S. troops that have both short-term and
long-term consequences. The military health care system
is facing a growing need to care for troops with brain
injuries and post-traumatic stress syndrome for which
additional resources are needed.
Supporting our troops in the field, and caring for them and
their families, is the nation's first order of business during
a time of war. Our country also must be prepared to address
other potential threats to its national interests. The
Committee recommendations provide robust funding to meet both
of these tests in a fiscally responsible manner:
In addition to fully funding the President's
request for military operations, the Committee proposes
adding $2,500,000,000 to address training and equipping
shortfalls in forces not deployed to theaters of
operation. These funds are set aside in a new account
entitled the ``Strategic Reserve Readiness Fund''.
The Committee recommends increasing funds
for the war in Afghanistan to counter rising conflict
in that terrorist-laden region. An additional
$1,000,000,000 is provided to enhance our military
operations there.
The Committee recommendations fully fund the
President's request to train and equip the Iraq and
Afghanistan security forces. As such, the bill includes
$5,906,400,000 for the Afghanistan Security Forces Fund
and $3,842,300,000 for the Iraq Security Forces Fund.
The Committee recommends a total
appropriation of $2,789,703,000 for the Defense Health
program. This is an increase of $1,716,556,000 above
the budget request. The additional funding supports new
initiatives to enhance medical services for active duty
forces and mobilized reserves, and their family
members. These initiatives include: $450,000,000 for
Post Traumatic Stress Disorder/Counseling; $450,000,000
for Traumatic Brain Injury care and research;
$730,000,000 to cover a funding shortfall created by
Congress having disapproved the Department's proposal
to increase health insurance premiums and fees on
military beneficiaries; $61,950,000 for amputee care;
$12,000,000 for care givers support programs; and,
$14,800,000 for burn care.
The recommendations propose an increase of
$17,000,000 for the Department's Family Advocacy
program to treat child and spouse abuse.
The Committee bill includes an additional
$1,402,286,000 to cover the full cost of housing
allowances for military members in fiscal year 2007.
A total of $2,321,323,000 to cover the full
cost of fielding an additional 36,000 Army troops and
9,000 Marines is recommended.
The Committee's proposals allocate
$1,411,000,000 to purchase the Mine Resistant Ambush
Protected (MRAP) family of vehicles, an increase of
$311,000,000 above the request. Combined with funding
provided in Title IX of the Fiscal Year 2007 Defense
Appropriations Act, a total of $2,071,000,000 is made
available for MRAP procurement in fiscal year 2007.
A total of $2,432,800,000 is recommended for
the Joint IED Defeat fund, the same amount as requested
by the President.
For Army procurement accounts, the Committee
approves a total of $14,975,311,000, which is an
increase of $122,850,000 above the request. The
recommendations include: $996,651,000 for Abrams tank
upgrades; $857,685,000 for Stryker vehicles;
$994,152,000 for tactical radios; $2,183,462,000 for
tactical trucks; $866,791,000 for up-armored HMMWVs;
$636,000,000 for Bradley fighting vehicle upgrades and
armor protection; and $681,500,000 to replace expended
stocks of ammunition.
The Committee bill includes $192,000,000 for
purchasing 3 additional F/A-18E/F aircraft to replace
combat losses.
The Committee also approves $225,261,000 for
the reconstitution of equipment for the Navy's
Construction Battalion units, an increase of
$51,400,000 above the request.
To address the growing threat against U.S.
air operations in Iraq and Afghanistan, the Committee's
proposals include an increase of $198,000,000 for air
survivability equipment for the Marine Corps and
$706,000,000 for infrared countermeasures for Air Force
aircraft, an increase of $222,000,000 above the
President's request.
Finally, the Committee recommendations fully
fund the President's request for providing support to
coalition partners in Iraq and Afghanistan.
A detailed review of the Committee's recommendations for
programs funded in this chapter is provided in the following
pages.

The following table summarizes, by appropriations account
or general provision, the Committee's recommendations compared
to the President's budget request.

SELECT INTELLIGENCE OVERSIGHT PANEL

The Committee is pleased to recognize the Select
Intelligence Oversight Panel (SIOP), established by H. Res 35
during the 1st session of the 110th Congress to provide more
robust oversight of the nation's intelligence activities.
The SIOP, a bi-partisan panel comprised of members from the
Permanent Select Committee on Intelligence and the
Appropriations Committee, held various hearings and briefings
with representatives of the Intelligence Community as it
reviewed the fiscal year 2007 supplemental request. The SIOP
recommendations with respect to funding activities and programs
of the Intelligence Community are reflected in the funding
levels included in the accompanying bill. In general, the
fiscal year 2007 supplemental funding levels recommended for
intelligence activities continue robust investments in
infrastructure, analytic capabilities, and human expertise.

CLASSIFIED ANNEX

The Committee's recommendations for intelligence activities
are published in a separate and detailed classified annex. The
intelligence community, Department of Defense, and other
organizations are expected to fully comply with the
recommendations and directions in the classified annex
accompanying this Act.

REPORTING REQUIREMENTS

The Committee directs the Secretary of Defense to provide a
report to the congressional defense committees within 30 days
of enactment of this legislation on the allocation of the funds
within the accounts listed in this chapter. The Secretary shall
submit updated reports 30 days after the end of each fiscal
quarter until funds listed in this chapter are no longer
available for obligation. The Committee directs that these
reports shall include: a detailed accounting of obligations and
expenditures of appropriations provided in this chapter by
program and subactivity group for the continuation of the war
in Iraq and Afghanistan; and a listing of equipment procured
using funds provided in this chapter. The Committee expects
that in order to meet unanticipated requirements, the
Department of Defense may need to transfer funds within these
appropriations accounts for purposes other than those specified
in this report. The Committee directs the Department of Defense
to follow normal prior approval reprogramming procedures should
it be necessary to transfer funding between different
appropriations accounts in this chapter.
Additionally, the Committee directs that the reporting
requirements of section 9010 of Public Law 109-289, the
Department of Defense Appropriations Act, 2007, regarding
military operations and stability in Iraq shall apply to the
funds appropriated in this Act.

OPERATIONS IN AFGHANISTAN

According to current reports, violence in Afghanistan has
escalated this past year. In fact, military commanders recently
testified to the Committee that the Taliban is strengthening.
The Committee believes that constraining the violence in
Afghanistan and developing a stable, politically viable, and
economically effective Afghanistan are critical to winning the
war against terror. As such, the Committee recommends an
additional $1,000,000,000 to support operations in Afghanistan.
The recommended additional funding is distributed as follows:

Additional Funding for OEF

Account $'s millions
Operation and Maintenance, Army............................... 500
Operation and Maintenance, Navy............................... 200
Operation and Maintenance, Marine Corps....................... 100
Operation and Maintenance, Air Force.......................... 140
Operation and Maintenance, Defense-wide....................... 30
Other Procurement, Air Force.................................. 30
--------------------------------------------------------------
____________________________________________________

Total..................................................... 1,000

POST TRAUMATIC STRESS DISORDER AND TRAUMATIC BRAIN INJURY

The uniquely-prevalent wound in the global war on terrorism
is traumatic brain injury (TBI), that has segmental bone
defects and large soft tissue wounds. TBI can be caused by
blast exposure, gunshot wounds, motor vehicle injury, or other
events. In addition, life threatening injuries can trigger
terror, horror and helplessness. This creates a double jeopardy
in which veterans are simultaneously exposed to the risk of
post traumatic stress disorder (PTSD) and concussive head
injury. The severely wounded are routinely screened for head
trauma; however, many others are not.
OEF and OIF veterans who may have suffered repeated mild
traumatic brain injuries, including concussions, may go
undiagnosed in the theater. Symptoms may surface, after the
servicemembers have returned home. Given that certain symptoms
of mild, repeated concussive head injury and post traumatic
stress disorder are similar, (for example, concentration
difficulties, sleep disruption, and irritability) and are
likely to occur in settings of a high war zone traumatic stress
exposure, servicemembers with dual diagnosis PTSD and TBI
present unique diagnostic and treatment challenges.
The Committee believes that we have not invested sufficient
funds in our understanding of pre-hospitalization trauma and
disease and non-battle injury treatment. The Committee urges
the further development of disease and trauma registries that
will assist in tracking all aspects of far-forward medical
care.
If a servicemember is correctly diagnosed with PTSD or TBI,
the better chance he or she has of a full recovery. It is
therefore critical that all health care providers are given the
resources that they need to make accurate, timely referrals for
appropriate treatment and that servicemembers have high
priority access to such services. Therefore, the Committee
provides an additional $450,000,000 to stimulate research and
educate health care providers, ensure timely diagnosis, and
increase access to treatment for post traumatic stress
disorder. An additional $450,000,000 is recommended for
traumatic brain injury care and research, including research on
bone regeneration and soft tissue healing.
By increasing funding for post traumatic stress disorder
and traumatic brain injury treatment, the Committee believes
that the Defense Department now will have significant resources
to dramatically improve screening for risk factors, diagnosis,
treatment, counseling, research, facilities, and equipment to
prevent or treat these illnesses.

MINE RESISTANT AMBUSH PROTECTED (MRAP) VEHICLE

The Committee commends the fast action of the military
services in using an innovative approach to acquire the Mine
Resistant Ambush Protected (MRAP) family of vehicles. MRAP
vehicles are urgently needed in the theater of operations, and
will ultimately save the lives of our soldiers, sailors, airmen
and marines by augmenting the current level of mine and
Improvised Explosive Devises (IED) protection provided by the
up-armored HMMWV. The MRAP has a new V-shaped hull, a raised
chassis, and various other force protection assets.
While the Committee acknowledges the tremendous joint
efforts of the services to address this urgent need, it is
dismayed by the shortfall of funding requested by the
Department of Defense in its supplemental request. The
Committee strongly encourages the Defense Department to work
with Congress to fully resource the requirements as they are
further defined.
In an effort to address the shortfall, the Committee
includes $1,411,000,000 for the MRAP in this recommendation, an
increase of $311,000,000 above the request. When combined with
appropriations provided in Title IX of the fiscal year 2007
Defense Appropriations Act, the Department will have a total of
$2,071,000,000 available to purchase MRAP vehicles. Based on
information provided by DoD, the Committee believes this
funding amount to be sufficient to procure all MRAP vehicles
that can be manufactured in fiscal year 2007, using reasonable
production rate assumptions. As such, the Committee has fully
funded the maximum production capacity through the end of the
fiscal year for the Low Rate Initial Production (LRIP)
contracts that are currently issued by the joint program
office.
Should production capacity expand to levels beyond those
assumed by the Committee recommendation, the Committee has made
funds available for MRAPs in the Strategic Readiness Reserve
Fund.
The funding provided in this Act is as follows:

Other Procurement, Army:[in thousands of dollars]
129 Ground Standoff Mine Detection System................. $500,000
Other Procurement, Navy:
124 Tactical Vehicles..................................... 180,000
124 Mine Resistant Ambush Protected Vehicle Outfitting
(above the request)..................................... 51,600
Procurement, Defense-Wide:
70 EOD Systems............................................ 420,000
70A Mine Resistant Ambush Protected Vehicles (above the
request)................................................ 259,000

MILITARY PERSONNEL

The Committee recommends an additional appropriation of
$13,566,940,000 for Military Personnel, $1,422,287,000 above
the budget request for fiscal year 2007. In total,
$18,953,445,000 is provided in supplemental appropriations for
Global War on Terror activities funded under this heading in
fiscal year 2007.

Committee Recommendation

The Committee recommends a total of $13,566,940,000 for the
incremental costs of pay and allowances for active duty and
Ready Reserve personnel deployed overseas in support of
military operations in Iraq and Afghanistan, or otherwise
supporting the Global War on Terror worldwide. These include
Basic Allowance for Housing, Imminent Danger Pay, Family
Separation Allowance, Hardship Duty Pay, Foreign Language
Proficiency Pay, Combat-Related Injury pay, Subsistence, and
other casualty benefits associated with the death or traumatic
injury of service members. The recommendation includes
$1,862,004,000 to support a fiscal year 2007 end-strength
increase of 36,000 soldiers and $459,319,000 for the Marine
Corps to augment its current force structure by 9,000 Marines.
The Committee also provides $20,000,000 above the budget
request for additional recruitment and retention programs for
the Reserve and National Guard forces to access and retain
specialty skills.

TROOPS SUPPORTED

The Committee recommended funding level will support the
following mobilization and deployment assumptions for troops
deployed in support of Operation Enduring Freedom (OEF) and
Operation Iraqi Freedom (OIF) through fiscal year 2007:

----------------------------------------------------------------------------------------------------------------
Marine Total
Army Navy Corps Air Force Force
----------------------------------------------------------------------------------------------------------------
OEF...................................................... 15,500 28,000 500 26,000 70,000
OIF...................................................... 141,000 9,000 26,000 1,400 177,400
Total.............................................. 156,500 37,000 26,500 27,400 247,400
----------------------------------------------------------------------------------------------------------------
Note: Totals include all forces deployed in theater, not just ``boots on the ground'' in Iraq and Afghanistan.

The adjustments to the budget request for Military
Personnel are shown below:

MILITARY PERSONNEL, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $4,346,710,000
Fiscal year 2007 supplemental request................... 8,305,899,000
Committee recommendation................................ 8,878,899,000
Change from request..................................... +573,000,000

Committee Recommendation

The Committee recommends an appropriation of $8,878,899,000
for Military Personnel, Army. The recommendation is an increase
of $573,000,000 above the budget request.
The recommendation provides the following for Military
Personnel, Army:

Recommended Adjustments

The recommendation includes the following adjustments:

MILITARY PERSONNEL, NAVY

Fiscal year 2007 enacted supplemental appropriations \1\ $143,296,000
Fiscal year 2007 supplemental request................... 692,127,000
Committee recommendation................................ 1,100,410,000
Change from request..................................... +408,283,000

Committee Recommendation

The Committee recommends an appropriation of $1,100,410,000
for Military Personnel, Navy. The recommendation is an increase
of $408,283,000 above the budget request.
The recommendation provides the following for Military
Personnel, Navy:

Recommended Adjustments

The recommendation includes the following adjustments:

MILITARY PERSONNEL, MARINE CORPS

Fiscal year 2007 enacted supplemental appropriations \1\ $145,576,000
Fiscal year 2007 supplemental request................... 1,386,871,000
Committee recommendation................................ 1,495,828,000
Change from request..................................... +108,957,000

Committee Recommendation

The Committee recommends an appropriation of $1,495,828,000
for Military Personnel, Marine Corps. The recommendation is an
increase of $108,957,000 above the budget request.
The recommendation provides the following for Military
Personnel, Marine Corps:

Recommended Adjustments

The recommendation includes the following adjustments:

MILITARY PERSONNEL, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ $351,788,000
Fiscal year 2007 supplemental request................... 1,100,687,000
Committee recommendation................................ 1,229,334,000
Change from request..................................... +128,647,000

Committee Recommendation

The Committee recommends an appropriation of $1,229,334,000
for Military Personnel, Air Force. The recommendation is an
increase of $128,647,000 above the budget request.
The recommendation provides the following for Military
Personnel, Air Force:

Recommended Adjustments

The recommendation includes the following adjustments:

RESERVE PERSONNEL, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $87,756,000
Fiscal year 2007 supplemental request................... 147,244,000
Committee recommendation................................ 173,244,000
Change from request..................................... +26,000,000

Committee Recommendation

The Committee recommends an appropriation of $173,244,000
for Reserve Personnel, Army. The recommendation is an increase
of $26,000,000 above the budget request.
The recommendation provides the following for Reserve
Personnel, Army:

Recommended Adjustments

The recommendation includes the following adjustments:

RESERVE PERSONNEL, NAVY

Fiscal year 2007 enacted supplemental appropriations \1\
Fiscal year 2007 supplemental request................... $72,800,000
Committee recommendation................................ 82,800,000
Change from request..................................... +10,000,000

Committee Recommendation

The Committee recommends an appropriation of $82,800,000
for Reserve Personnel, Navy. The recommendation is an increase
of $10,000,000 above the budget request.
The recommendation provides the following for Reserve
Personnel, Navy:

Recommended Adjustments

The recommendation includes the following adjustments:

RESERVE PERSONNEL, MARINE CORPS

Fiscal year 2007 enacted supplemental appropriations \1\ $15,420,000
Fiscal year 2007 supplemental request................... --
Committee recommendation................................ 15,000,000
Change from request..................................... +15,000,000

Committee Recommendation

The Committee recommends an appropriation of $15,000,000
for Reserve Personnel, Marine Corps. The recommendation is an
increase of $15,000,000 above the budget request.
The recommendation provides the following for Reserve
Personnel, Marine Corps:

Recommended Adjustments

The recommendation includes the following adjustments:

RESERVE PERSONNEL, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $3,000,000
Committee recommendation................................ 14,100,000
Change from request..................................... +11,100,000

Committee Recommendation

The Committee recommends an appropriation of $14,100,000
for Reserve Personnel, Air Force. The recommendation is an
increase of $11,100,000 above the budget request.
The recommendation provides the following for Reserve
Personnel, Air Force:

Recommended Adjustments

The recommendation includes the following adjustments:

NATIONAL GUARD PERSONNEL, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $295,959,000
Fiscal year 2007 supplemental request................... 436,025,000
Committee recommendation................................ 552,725,000
Change from request..................................... +116,700,000

Committee Recommendation

The Committee recommends an appropriation of $552,725,000
for National Guard Personnel, Army. The recommendation is an
increase of $116,700,000 above the budget request.
The recommendation provides the following for National
Guard Personnel, Army:

Recommended Adjustments

The recommendation includes the following adjustments:

NATIONAL GUARD PERSONNEL, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... --
Committee recommendation................................ $24,600,000
Change from request..................................... +24,600,000

Committee Recommendation

The Committee recommends an appropriation of $24,600,000
for National Guard Personnel, Air Force. The recommendation is
an increase of $24,600,000 above the budget request.
The recommendation provides the following for National
Guard Personnel, Air Force:

Recommended Adjustments

The recommendation includes the following adjustments:

OPERATION AND MAINTENANCE

The Committee recommends $52,499,979,000 for operation and
maintenance accounts, an increase of $2,183,886,000 above the
President's request. Funds are provided for personnel support
requirements including travel, subsistence, individual and
organizational equipment, repair, reserve component activation
costs, and incremental civilian personnel costs. Increases for
operating support costs include funds for military operations
including spare parts and consumable supplies, transportation,
pre-deployment training and training in theater, forward base
operating costs, communications, vehicle maintenance, and
contracts for linguists, logistics and infrastructure support.
In addition, funds are provided within the operation and
maintenance accounts to address fuel price increases.
The Committee recommends reductions for certain programs in
cases in which it was determined that funding requested could
not be obligated within the current fiscal year or funding
requested was excess to the Department's needs.
The following table provides details of the recommendations
for the operation and maintenance accounts:

OPERATION AND MAINTENANCE, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $28,034,102,000
Fiscal year 2007 supplemental request................... 19,803,572,000
Committee recommendation................................ 20,897,672,000
Change from request..................................... +1,094,100,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

This appropriation finances operation and maintenance
activities for the Active Army in support of Operation Iraqi
Freedom and Operation Enduring Freedom. These activities
encompass ground combat operations, flying hours, military
intelligence activities, logistics support, fuel purchases,
base operations, depot maintenance, and over-ocean
transportation related to the wars in Iraq and Afghanistan.
Also included is the Commander's Emergency Response Program.

Committee Recommendation

The Committee recommends an appropriation of
$20,897,672,000 for Operation and Maintenance, Army. The
recommendation is an increase of $1,094,100,000 above the
budget request, and, when combined with previously enacted
supplemental appropriations for fiscal year 2007, provides for
a total fiscal year 2007 supplemental appropriation of
$48,931,774,000.
The recommendation provides the following for Operation and
Maintenance, Army:

Recommended Adjustments

The recommendation includes the following adjustments:

BUDGET SUBMISSION ERRORS

The official budget submission for Operation and
Maintenance, Army was understated by $356,000,000. In addition,
the budget submission for the Commander's Emergency Response
Program was overstated by $50,400,000. The Committee's
recommendations correct these errors.

``BOOTS ON THE GROUND'' POLICY

On January 19, 2007, the Secretary of Defense issued a
memorandum titled ``Utilization of the Total Force'' which
establishes a policy to limit ``boots on the ground'' for
reserve component personnel. This policy change is likely to
result in more extensive training prior to mobilization and
increase throughput at Army ranges. The Committee recommends an
additional $88,500,000 to reflect the change in policy.

COMMANDER'S EMERGENCY RESPONSE PROGRAM

Within the funds provided for Operation and Maintenance,
Army, the Committee recommends $456,000,000 for the Commander's
Emergency Response Program (CERP). The recommendation is the
same level as requested in the budget estimate. The funding
provided will continue to enable military commanders in Iraq
and Afghanistan to respond to urgent humanitarian relief and
reconstruction needs within their areas of responsibility.
Consistent with the budget estimate, $350,000,000 shall be
available for CERP activities in Iraq and $106,000,000 for
activities in Afghanistan.
The Committee recommendations include a general provision
that requires the Department of Defense to submit, not later
than 15 days after each quarter of the fiscal year, a report
regarding the source of funds and the allocation and use of
funds during the quarter.
The Committee notes that CERP is intended for small-scale
and urgent projects. The Department's financial guidance
requires notification for projects in excess of $500,000 and
such notification includes a description of the project, an
estimated length of completion, and a justification of how the
project supports the purpose of the CERP. The Committee notes,
however, that the Department's guidance does not limit or cap
the size of a project that can be supported by CERP funds.
Quarterly reporting data shows an increasing number of larger-
scale projects. These larger-scaled projects may be more
appropriately funded under the traditional foreign assistance
programs of the Department of State and the U.S. Agency for
International Development. As such, the Department should
consider revising its policy guidance to include limitations on
project size. Moreover, the Committee notes that CERP
expenditures are planned for well into the future. Accordingly,
the Department is strongly encouraged to coordinate with the
Department of State and the U.S. Agency for International
Development to avoid duplication of effort and to contribute to
a coherent foreign assistance program in Iraq and Afghanistan.

OPERATION AND MAINTENANCE, NAVY

Fiscal year 2007 enacted supplemental appropriations.... $1,615,288,000
Fiscal year 2007 supplemental request................... 5,945,397,000
Committee recommendation................................ 5,115,397,000
Change from request..................................... -830,000,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

This appropriation finances operation and maintenance
activities for the Navy in support of Operation Iraqi Freedom
and Operation Enduring Freedom. These activities encompass
combat operations, flying hours, military intelligence
activities, logistics support, fuel purchases, base operations,
depot maintenance, and over-ocean transportation related to the
wars in Iraq and Afghanistan.

Committee Recommendation

The Committee recommends an appropriation of $5,115,397,000
for Operation and Maintenance, Navy. The recommendation is a
decrease of $830,000,000 below the budget request, and, when
combined with previously enacted supplemental appropriations
for fiscal year 2007, provides for a total fiscal year 2007
supplemental appropriation of $6,730,685,000.
The recommendation provides the following for Operation and
Maintenance, Navy:

Recommended Adjustments

The recommendation includes the following adjustments:

BUDGET SUBMISSION ERRORS

The official budget submission for Operation and
Maintenance, Navy was misstated by $804,000,000. The
Committee's recommendation corrects this error. To meet the
reductions taken to correct the error, the Committee directs
the Navy to apply reductions so as to conform to the
subactivity detail contained in the Department of the Navy's
Fiscal Year 2008 and 2009 Budget Estimates, Fiscal Year 2007
Emergency Supplemental Request.

PROGRAM REDUCTIONS

The Navy's budget request includes funding for equipment
maintenance which cannot be obligated in fiscal year 2007.
These costs will not be incurred in fiscal year 2007 as
budgeted. The aircraft carrier battle group will be deployed
during the second half of the fiscal year. As such, the
Committee recommendation reduces the budget request by a total
of $306,000,000.

OPERATION AND MAINTENANCE, MARINE CORPS

Fiscal year 2007 enacted supplemental appropriations \1\ $2,689,006,000
Fiscal year 2007 supplemental request................... 1,401,594,000
Committee recommendation................................ 1,503,694,000
Change from request..................................... +102,100,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

This appropriation finances operation and maintenance
activities for the Marine Corps in support of Operation Iraqi
Freedom and Operation Enduring Freedom. These activities
encompass ground combat operations, flying hours, military
intelligence activities, logistics support, fuel purchases,
base operations, depot maintenance, and over-ocean
transportation related to the wars in Iraq and Afghanistan.

Committee Recommendation

The Committee recommends an appropriation of $1,503,694,000
for Operation and Maintenance, Marine Corps. The recommendation
is an increase of $102,100,000 above the budget request, and,
when combined with previously enacted supplemental
appropriations for fiscal year 2007, provides for a total
fiscal year 2007 supplemental appropriation of $4,192,700,000.
The recommendation provides the following for Operation and
Maintenance, Marine Corps:

Recommended Adjustments

The recommendation includes the following adjustments:

OPERATION AND MAINTENANCE, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ $2,688,189,000
Fiscal year 2007 supplemental request................... 7,069,259,000
Committee recommendation................................ 6,909,259,000
Change from request..................................... -160,000,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

This appropriation finances operation and maintenance
activities for the Active Air Force in support of Operation
Iraqi Freedom and Operation Enduring Freedom. These activities
encompass combat operations, flying hours, military
intelligence activities, logistics support, fuel purchases,
base operations, depot maintenance, and over-ocean
transportation related to the wars in Iraq and Afghanistan. The
emergency supplemental appropriation recommended in this bill
provides for the incremental costs of Operation Iraqi Freedom
and Operation Enduring Freedom.

Committee Recommendation

The Committee recommends an appropriation of $6,909,259,000
for Operation and Maintenance, Air Force. The recommendation is
a decrease of $160,000,000 below the budget request, and, when
combined with previously enacted supplemental appropriations
for fiscal year 2007, provides for a total fiscal year 2007
supplemental appropriation of $9,597,448,000.
The recommendation provides the following for Operation and
Maintenance, Air Force:

Recommended Adjustments

The recommendation includes the following adjustments:

OPERATION AND MAINTENANCE, DEFENSE-WIDE

Fiscal year 2007 enacted supplemental appropriations \1\ $2,774,963,000
Fiscal year 2007 supplemental request................... 3,378,307,000
Committee recommendation................................ 2,855,993,000
Change from request..................................... -522,314,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

This appropriation supports critical Department-wide
functions, military departments and warfighters. The
appropriation includes funding for Special Operations Command,
several combat support agencies, four intelligence agencies,
and other agencies that provide common information services,
contract administration, contract audit, logistics and
administrative functions to the military departments. The
emergency supplemental appropriation recommended in this bill
provides for the incremental costs of Operation Iraqi Freedom,
Operation Enduring Freedom and the Global War on Terrorism.

Committee Recommendation

The Committee recommends an appropriation of $2,855,993,000
for Operation and Maintenance, Defense-Wide. The recommendation
is a decrease of $522,314,000 from the budget request, and,
when combined with previously enacted supplemental
appropriations for fiscal year 2007, provides for a total
fiscal year 2007 supplemental appropriation of $5,630,956,000.
The recommendation provides the following for Operation and
Maintenance, Defense-Wide:

Recommended Adjustments

The recommendation includes the following adjustments:

EXPEDITIONARY VIRTUAL NETWORK (EVNO)

The Committee recommendation does not include funding for
the expeditionary virtual network under this heading. Funding
for this activity is more appropriately funded within the Iraq
Security Forces Fund.

FAMILY ADVOCACY PROGRAMS

The Committee recommends an additional $17,000,000 for the
Family Advocacy Programs. From the additional amounts provided,
$7,000,000 is to fund initiatives to ensure that Guard and
Reserve families receive the same level of pre-deployment and
post-deployment support as active duty families. This effort
will utilize the Joint Reserve & Guard Family Assistance
Center. The Committee also provides $10,000,000 to support the
child care needs of Guard and Reserve members in their local
communities. In addition, the recommendation provides support
services, training and technical assistance to personnel at
military installations, and outreach to National Guard and
Reservist Service members, their families, and the
professionals who support Service members to improve the
emotional health and development of infants, toddlers, and
children of deployed Service members.

SPECIALIST TILLMAN INVESTIGATION

Army Specialist Patrick Tillman, died April 22, 2004, in
eastern Afghanistan. The Army investigations were ``informal
investigations'' conducted under authority in Army Regulation
15-6 by command personnel. Subsequently, in August 2005, in
response to a request from the Army Inspector General, the
Department of Defense's Inspector General initiated an
oversight review of the Army's investigations into the incident
that resulted in Tillman's death. The Department of Defense's
Inspector General stated the objective of its report is to
determine whether the Army properly investigated and reported
the incident that resulted in Specialist Tillman's death.
How the Army and the Department of Defense handled this
investigation is inexcusable. It has been nearly three years
since the beginning of the Army's investigation and the Tillman
family still has no resolution on the death of their son.
Therefore, the Committee directs the Department of Defense's
Inspector General to release a full incident report detailing
the circumstance surrounding the death of Specialist Pat
Tillman to the Tillman family and the Committee not later than
30 days after enactment of this Act.

EMP COMMISSION

The Commission to Assess the Threat to the United States
from Electromagnetic Pulse Attack was reauthorized in the
National Defense Authorization Act for Fiscal Year 2006. The
reauthorization would allow the commission to evaluate public
and private efforts to implement recommendations included in
its 2004 report to Congress. The law requires the commission's
chairman to certify the specific funds needed for the
activities of the commission and for the Secretary of Defense
to disburse the funds required, pursuant to that certification.
The Committee understands that the Department of Defense has
not provided sufficient funds for the commission to carry out
its authorized duties. Therefore, the Committee directs the
Department to promptly disburse to the coinmission the funds
required to complete its duties, as specified in law.

OPERATION AND MAINTENANCE, ARMY RESERVE

Fiscal year 2007 enacted supplemental appropriations \1\ $77,600,000
Fiscal year 2007 supplemental request................... 74,049,000
Committee recommendation................................ 74,049,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Operation and Maintenance, Army Reserve (OMAR)
appropriation funds operational, logistics, administrative,
engineering and management support for the Army Reserve.
Additionally, the OMAR appropriation supports America's Army in
areas including installation management, maintenance of real
property, record management, and personnel support to retirees,
veterans and their families. Costs incurred in providing the
support include civilian pay, information systems, networks,
telecommunications, supplies, fuel, equipment and base
operations support. Funding is provided in two budget
activities. Operating Forces (BA-1) consists of the following
budget activity groups: land forces, land forces readiness and
land forces readiness support. Administrative and service-wide
activities (BA-4) consists of the following sub-activity
groups: administration, service-wide communications, personnel
and financial administration, and recruiting and advertising.
The emergency supplemental appropriation recommended in this
bill provides for the incremental costs of Operation Iraqi
Freedom, Operation Enduring Freedom and the Global War on
Terror.

Committee Recommendation

The Committee recommends an appropriation of $74,049,000
for Operation and Maintenance, Army Reserve. The recommendation
is the same level as the budget request, and, when combined
with previously enacted supplemental appropriations for fiscal
year 2007, provides for a total fiscal year 2007 supplemental
appropriation of $151,649,000.
The recommendation provides the following for Operation and
Maintenance, Army Reserve:

OPERATION AND MAINTENANCE, NAVY RESERVE

Fiscal year 2007 enacted supplemental appropriations \1\ $9,886,000
Fiscal year 2007 supplemental request................... 111,066,000
Committee recommendation................................ 111,066,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Operation and Maintenance, Navy Reserve appropriation
provides for the cost of operating Navy Reserve forces and
maintaining their assigned equipment at a state of readiness
that will permit rapid employment in the event of full or
partial mobilization and meet fleet operational support
requirements. The Navy Reserve's mission is to support the
Navy-Marine Corps team with mission ready units, equipment and
individuals throughout the full range of operations from peace
to war. The Operation and Maintenance, Navy Reserve
appropriation consists of two budget activities: Operating
Forces (BA-1), and Administrative and Service-wide Support (BA-
4). BA-1 funding provides for the operation and maintenance of
Reserve force ships, aircraft and combat support forces. In
addition, funding is used to operate and maintain Navy Reserve
activities and commands in all 50 states. The emergency
supplemental appropriation recommended in this bill provides
for the incremental costs of Operation Iraqi Freedom, Operation
Enduring Freedom, and the Global War on Terror.

Committee Recommendation

The Committee recommends an appropriation of $111,066,000
for Operation and Maintenance, Navy Reserve. The recommendation
is the same level as the budget request, and, when combined
with previously enacted supplemental appropriations for fiscal
year 2007, provides for a total fiscal year 2007 supplemental
appropriation of $120,952,000.
The recommendation provides the following for Operation and
Maintenance, Navy Reserve:

OPERATION AND MAINTENANCE, MARINE CORPS RESERVE

Fiscal year 2007 enacted supplemental appropriations \1\ $48,000,000
Fiscal year 2007 supplemental request................... 13,591,000
Committee recommendation................................ 13,591,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Operation and Maintenance, Marine Corps Reserve (O&M;,
MCR) appropriation provides for the day-to-day costs of
operating the Marine Corps Reserve force, its functional
activities and facilities. The funding also supports the Fourth
Marine Division, the Fourth Marine Aircraft Wing, the Fourth
Force Service Support Group, and the Marine Corps Reserve
Support Command, which together are known as the Marine Corps
Force Reserves. The O&M;, MCR is reflected in two budget
activities: Operating Forces (BA-1) and Administration and
Service-wide Activities (BA-4). Funded within the BA-1 are
weekend, annual, and individual training for the Reserves; the
purchase and replacement of expense type items authorized by
unit training allowance and the repair of equipment; and
maintenance of major end items of equipment performed by the
Marine Corps Logistics bases. The BA-4 activity includes
funding for recruiting and advertising, transportation of
things, special support, administration and other base support.
The emergency supplemental appropriation recommended in this
bill provides for the incremental costs of Operation Iraqi
Freedom, Operation Enduring Freedom and the Global War on
Terror.

Committee Recommendation

The Committee recommends an appropriation of $13,591,000
for Operation and Maintenance, Marine Corps Reserve. The
recommendation is the same level as the budget request, and,
when combined with previously enacted supplemental
appropriations for fiscal year 2007, provides for a total
fiscal year 2007 supplemental appropriation of $61,591,000.
The recommendation provides the following for Operation and
Maintenance, Marine Corps Reserve:

OPERATION AND MAINTENANCE, AIR FORCE RESERVE

Fiscal year 2007 enacted supplemental appropriations \1\ $65,000,000
Fiscal year 2007 supplemental request................... 10,160,000
Committee recommendation................................ 10,160,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The appropriation for Operation and Maintenance, Air Force
Reserve provides funds to maintain and train units for
immediate mobilization, and to provide administrative support
which encompasses the Office of the Air Force Reserve (Air
Staff), Headquarters Air Force Reserve (Operational
Headquarters), the Numbered Air Forces and the Air Reserve
Personnel Center. The emergency supplemental appropriation
recommended in this bill provides for the incremental costs of
Operation Iraqi Freedom, Operation Enduring Freedom and the
Global War on Terror.

Committee Recommendation

The Committee recommends an appropriation of $10,160,000
for Operation and Maintenance, Air Force Reserve. The
recommendation is the same level as the budget request, and,
when combined with previously enacted supplemental
appropriations for fiscal year 2007, provides for a total
fiscal year 2007 supplemental appropriation of $75,160,000.
The recommendation provides the following for Operation and
Maintenance, Air Force Reserve:

OPERATION AND MAINTENANCE, ARMY NATIONAL GUARD

Fiscal year 2007 enacted supplemental appropriations \1\ $424,000,000
Fiscal year 2007 supplemental request................... 83,569,000
Committee recommendation................................ 133,569,000
Change from request..................................... +50,000,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The appropriation for Operation and Maintenance, Army
National Guard provides funds to cover the expenses of
training, organizing and administering the Army National Guard.
The emergency supplemental appropriation recommended in this
bill provides for the incremental costs of Operation Iraqi
Freedom, Operation Enduring Freedom and the Global War on
Terror.

Committee Recommendation

The Committee recommends an appropriation of $133,569,000
for Operation and Maintenance, Army National Guard. The
recommendation is $50,000,000 above the budget request, and,
when combined with previously enacted supplemental
appropriations for fiscal year 2007, provides for a total
fiscal year 2007 supplemental appropriation of $557,569,000.
The recommendation provides the following for Operation and
Maintenance, Army National Guard:

Recommended Adjustments

The recommendation includes the following adjustments:

OPERATION AND MAINTENANCE, AIR NATIONAL GUARD

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $38,429,000
Committee recommendation................................ 38,429,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The appropriation for Operation and Maintenance, Air
National Guard provides funds for operational support of the
Air National Guard (ANG) along with ANG/Air Force blended wings
and ANG/Air Force associate units. The appropriation also
finances operation, maintenance and repair of facilities
including real property support agreements; state security
agreements; facility sustainment; travel costs of all ANG
personnel; supplies and equipment. Lastly, it provides funding
to support the day-to-day staffing needed to train, equip and
support an ANG force at a level of combat readiness that
enables it to assimilate immediately into an active force and
be capable of conducting independent operations in accordance
with unit wartime taskings. The emergency supplemental
appropriation recommended in this bill provides for the
incremental costs of Operation Iraqi Freedom, Operation
Enduring Freedom and the Global War on Terror.

Committee Recommendation

The Committee recommends an appropriation of $38,429,000
for Operation and Maintenance, Air National Guard. The
recommendation is the same level as the budget request, and,
when combined with previously enacted supplemental
appropriations for fiscal year 2007, provides for a total
fiscal year 2007 supplemental appropriation of $38,429,000.
The recommendation provides the following for Operation and
Maintenance, Air National Guard:

AFGHANISTAN SECURITY FORCES FUND

Fiscal year 2007 enacted supplemental appropriations \1\ $1,500,000,000
Fiscal year 2007 supplemental request................... 5,906,400,000
Committee recommendation................................ 5,906,400,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Committee recommends an appropriation of $5,906,400,000
for the Afghanistan Security Forces Fund, the same level as the
budget request. This appropriation supports the training,
equipment and infrastructure to develop capable security forces
within Afghanistan. When combined with previous appropriations
for fiscal year 2007, a total of $7,406,400,000 is available in
fiscal year 2007 for training and equipping the Afghan security
forces.
The recommendation provides the following for Afghanistan
Security Forces Fund:

IRAQ SECURITY FORCES FUND

Fiscal year 2007 enacted supplemental appropriations \1\ $1,700,000,000
Fiscal year 2007 supplemental request................... 3,842,300,000
Committee recommendation................................ 3,842,300,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.
---------------------------------------------------------------------------
Appropriations provided under this heading are to train and
equip the Iraqi security forces. These forces can protect Iraqi
citizens, maintain national security and territorial integrity
by upholding the rule of law, and combat insurgents, terrorists
and criminal activities. To date, the Congress has provided in
excess of $15,400,000,000 to this effort. Funds to train and
equip Iraqi security forces were initially provided as
allocations from the Iraq Relief and Reconstruction Fund and
then subsequently from direct appropriations. The fiscal year
2007 supplemental request includes an additional appropriation
of $3,842,300,000 for the Iraq Security Forces Fund.
The Committee recommendation includes $3,842,300,000 for
Iraqi security forces. When combined with previous fiscal year
2007 appropriations, a total of $5,542,300,000 will be
available for Iraqi force generation activities in fiscal year
2007. These funds are in addition to funds provided in fiscal
year 2006, which remain largely unspent, and approximately
$7,300,000,000 approved by the Iraqi government to support its
own troop and security forces development. In total, the
Committee estimates that almost $15,000,000,000 will be
available for expenditure in fiscal year 2007 to support the
training and equipping of Iraqi security forces.
Though the number and quality of Iraqi security forces have
improved in recent months, critical problems remain in terms of
manpower, troop quality, discipline and equipment. The
recommended level will address these shortcomings. However, the
Committee believes that Iraqi force development cannot succeed
in an Iraqi-political environment that is faltering in
significant areas, such as political reconciliation; general
governance; establishment of a legal system and the rule of
law; economic development and the rehabilitation of the oil and
energy sector.
Moreover, the Committee is concerned that it lacks critical
information necessary to make fully informed judgments
regarding budget requests and the effectiveness of previous
appropriations provided for the development of Iraqi security
forces. To date, the Department of Defense has yet to produce
an estimated total cost to train and equip the Iraqi security
forces, though such activities have been underway since fiscal
year 2004. As a result, the Congress is unable to measure
progress of the Department in implementing and completing that
plan. In addition, though the Department provides limited
information regarding the aggregate number of trained and
equipped Iraqi security forces and numbers of units leading
operations, it fails to provide readiness assessments of
individual Iraqi units. Without that information, Congress is
unable to assess independently the progress in the development
of Iraqi security forces. Accordingly, the Committee has
recommended a general provision that requires before the
obligation of more than 50 percent of the funds made available
under this heading:
(1) the Department of Defense must provide, in
classified form, to the congressional defense
committees the individual transition readiness
assessment (TRAs) by unit of the Iraqi security forces.
(2) the Office of Management and Budget must provide
a comprehensive report that includes, but is not
limited to: an estimated total cost to train and equip
the Iraqi security forces, disaggregated by major
program area and sub-elements by force; the use of all
funds on a project-by-project basis for which funds are
appropriated in this Act, for which funds were
appropriated in previous Acts, and for which funds were
made available by transfer or reprogrammings or
allocation in previous Acts; and a plan which includes
benchmarks and milestones to transition such assistance
to traditional foreign assistance administered by the
Department of State. This report is to be updated
periodically.
The Committee recommendation deletes funding of
$155,500,000 requested to provide assistance to the Government
of Iraq to disarm, demobilize and reintegrate militias and
illegal armed groups. The Department of Defense lacks such
authority and is more appropriately a Department of State
activity.
In a briefing by the GAO and the Special Inspector for Iraq
Reconstruction before the Committee, the Comptroller General
informed the Committee that the Department of Defense and
Multi-National Force-Iraq may not be able to account for Iraqi
security forces' receipt of hundreds of thousands of weapons,
thousands of vehicles and millions of pieces of gear. It is not
clear what accountability measures, if any, the Department of
Defense has chosen to apply to the non-traditional train-and-
equip program for Iraq. The Committee therefore directs the
Department to report to the Committee within 90 days of
enactment of this Act the accountability requirements DoD has
applied to the train-and-equip program for Iraq and the plans
underway to formulate property accountability rules and
regulations that distinguish between peace and war.
The recommendation provides the following for the Iraq
Security Forces Fund:

IRAQ FREEDOM FUND

Fiscal year 2007 enacted supplemental appropriations \1\ $50,000,000
Fiscal year 2007 supplemental request................... 205,600,000
Committee recommendation................................ 155,600,000
Change from request..................................... -50,000,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Committee recommends an appropriation of $155,600,000
for the Iraq Freedom Fund. Of the funds provided, $105,000,000
is to be available for continuous escort and provision of an
honor guard for military members who die in a combat zone. In
addition, $50,000,000 is to be available for rapid acquisition
cell activities, and when combined with enacted emergency
appropriations for fiscal year 2007, provides for the same
level as in fiscal year 2006.
The recommendation provides the following for the Iraq
Freedom Fund:

JOINT IMPROVISED EXPLOSIVE DEVICE DEFEAT FUND

Fiscal year 2007 enacted supplemental appropriations \1\ $1,920,000,000
Fiscal year 2007 supplemental request................... 2,432,800,000
Committee recommendation................................ 2,432,800,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Committee recommends an appropriation of
$2,432,800,000, the same level as the budget request, for the
Joint Improvised Explosive Device Defeat Organization.
The Committee continues to provide substantial resources to
support the Joint Improvised Explosive Device Defeat
Organization (JIEDDO). The Committee recognizes that the
organization is performing a critically important mission, but
believes that the lack of fiscal discipline within the
organization is detrimental to its overall success. The
Department of Defense Comptroller must provide improved
oversight to prevent duplication of projects between individual
services and JIEDDO. As such, the Committee recommends the
consolidation of funding for certain military service research
and development programs which appear to duplicate JIEDDO's
activities.
The Committee provides the full amount of funding requested
for Improvised Explosive Device jammers. All military wheeled
vehicles used in Iraq and Afghanistan outside of secure
military operating bases are required to have a protective
jammer device, as mandated by the National Defense
Authorization Act for Fiscal Year 2007. Within the ``Defeat the
Device'' program line, the Committee directs the JIEDDO to fund
all additional Joint Counter Radio-Controlled Electronic
Warfare (CREW) requirements as needed for the escalation of
troops in Operation Iraqi Freedom, and to consider this funding
as a Congressional item of interest.
The Committee further directs JIEDDO to use standard
reprogramming procedures when transferring a cumulative amount
of $20,000,000 or more between sub-activities.
The recommendation provides the following for JIEDDO:

STRATEGIC RESERVE READINESS FUND

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... --
Committee recommendation................................ $2,500,000,000
Change from request..................................... +2,500,000,000

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

The Committee recommendation includes $2,500,000,000 to
establish a Strategic Reserve Readiness Fund. This
appropriation shall support training, operations, repair of
equipment, purchase of equipment, and other expenses to improve
the readiness of non-deployed United States military forces.
Funds appropriated under this heading shall be available for
transfer to other appropriations for military personnel,
operations and maintenance, procurement, and defense working
capital funds.

READINESS

Overall, reported readiness levels for deployed forces are
high but are not sufficient for forces at home bases. Training
readiness is significantly diminished for units at home station
due to personnel turnover, equipment shortages and the short
turnaround between combat tours. The Strategic Reserve
Readiness Fund (SRRF) provides funds intended to finance
additional training, supplies and equipment, which, because of
budget lead times, were not included in the normal budget
development process. The SRRF is to finance improvements in
readiness posture of home-station units that are ``next-to-
deploy''.

PROCUREMENT

The Committee recommends an appropriation of
$24,813,673,000 for Procurement, $86,306,000 below the budget
request for fiscal year 2007.
The adjustments to the budget request for procurement are
shown below:

AIRCRAFT PROCUREMENT, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $1,461,300,000
Fiscal year 2007 supplemental request................... 627,750,000
Committee recommendation................................ 461,850,000
Change from request..................................... -165,900,000

Committee Recommendation

The Committee recommends an appropriation of $461,850,000
for Aircraft Procurement, Army. The recommendation is a
decrease of $165,900,000 below the budget request.
The recommendation provides the following for Aircraft
Procurement, Army:

UH-60M BLACKHAWK (MYP)

The request for supplemental appropriations proposes
$106,300,000 in addition to $1,080,700,000 that is included in
the Department of Defense Appropriations Act, 2007 for UH-60M
Blackhawk multi-year procurement. The amount requested would
add seven aircraft to the procurement total for fiscal year
2007. The seven aircraft were requested for force readiness
upgrades, were not intended to replace battle losses and would
not be delivered until January to June 2009. Since the
submission of the supplemental budget request, the Army has
experienced two aircraft battle losses. The Committee
recommendation provides funding for two battle loss replacement
aircraft. The Committee recommends the Army request funding for
procurement of aircraft for modernization as part of the normal
budget process.

CH-47 CARGO HELICOPTER MODS

The fiscal year 2007 Department of Defense supplemental
budget request proposes $120,000,000 for procurement of four
new build aircraft. The aircraft were not requested for battle
loss replacement but would serve to improve Army aviation
overall force modernization. Since the submission of the
supplemental request, Army Special Operations Command has lost
one additional CH-47 during combat operations in Afghanistan.
The Committee recommendation provides funding for one
additional new build CH-47 for Army Special Operations Command
to replace the recent aircraft lost in Afghanistan, and defers
funding of three aircraft to the normal budget process.

MISSILE PROCUREMENT, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $160,173,000
Committee Recommendation................................ 160,173,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $160,173,000
for Missile Procurement, Army. The recommendation is the same
as the budget request.
The recommendation provides the following for Missile
Procurement, Army:

PROCUREMENT OF WEAPONS AND TRACKED COMBAT VEHICLES, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $3,393,230,000
Fiscal year 2007 supplemental request................... 3,474,389,000
Committee Recommendation................................ 3,474,389,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $3,474,389,000
for Procurement of Weapons and Tracked Combat Vehicles, Army.
The recommendation is the same as the budget request.
The recommendation provides the following for Procurement
of Weapons and Tracked Combat Vehicles, Army:

PROCUREMENT OF AMMUNITION, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $237,750,000
Fiscal year 2007 supplemental request................... 681,500,000
Committee Recommendation................................ 681,500,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.

Committee Recommendation

The Committee recommends an appropriation of $681,500,000
for Procurement of Ammunition, Army. The recommendation is the
same as the budget request.
The recommendation provides the following for Procurement
of Ammunition, Army:

OTHER PROCUREMENT, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ $5,003,995,000
Fiscal year 2007 supplemental request................... 9,908,649,000
Committee Recommendation................................ 10,197,399,000
Change from request..................................... +288,750,000

Committee Recommendation

The Committee recommends an appropriation of
$10,197,399,000 for Other Procurement, Army. The recommendation
is an increase of $288,750,000 above the budget request.
The recommendation provides the following for Other
Procurement, Army:

SINGLE CHANNEL GROUND AND AIRBORNE RADIO SYSTEM (SINCGARS) FAMILY

The Department of Defense supplemental budget request for
fiscal year 2007 proposes $532,544,000 for SINCGARS radios and
associated hardware and test sets. The Department of the Army
has repeatedly expressed a critical need for SINCGARS
technology to support ongoing operations. The Committee,
however, notes that the requested supplemental funding would
result in a 17 month period of production which would not
complete production until May of 2010. The Committee strongly
supports the acquisition of communications equipment necessary
for the conduct of military operations in the war zones, and
for force readiness in general. But, the Committee is concerned
that the Army has not leveraged available and qualified
industrial capacity to deliver funded quantities of SINCGARS
radios to the combat, combat support and combat service support
units. The Committee strongly encourages the Army to act more
aggressively to obligate funds provided by Congress to secure
the necessary industrial capacity to produce the needed
SINCGARS radios and equip the units of the Army in a more
timely manner. The Committee recommends $532,544,000 for
SINCGARS radios, the full amount requested. However,
$250,000,000 of that amount may not be obligated by the Army
until 15 days after the Secretary of the Army provides a report
to the congressional defense committees which explains the
Army's strategy to leverage available industrial capacity in
order to produce the needed radios at a significantly faster
rate.

INFORMATION SYSTEMS

The Department of Defense supplemental budget request, 2007
includes $13,200,000 for the purchase and installation costs of
information technology related to military construction
projects. Of this amount, $1,000,000 was requested for the
purchase of Courtroom 21 equipment to support the Military
Commissions. The Committee recommends the Department seek
funding for information technology related to military
construction projects as part of the regular appropriations
process. The Committee recommends $1,000,000 for Courtroom 21
equipment.

WARLOCK

The Committee fully supports the counter improvised
explosive device effort. Funding for programs to develop and
field counter improvised explosive devices is provided in this
Act in the Joint Improvised Explosive Device Defeat Fund.

TC AIMS II

The Department of Defense request for supplemental
appropriations for fiscal year 2007 proposes $32,403,000 to
enable fielding of TC AIMS II to deploying units; for early
life cycle replacement at certain bases in the United States
and Korea, Europe, and Japan; and to accelerate the fielding
schedule to certain other bases in the United States. The
Committee supports $12,403,000 in this request for supplemental
funding to field or upgrade TC AIMS II for units deploying to
Afghanistan and Iraq. The Committee recommends that the
remaining $20,000,000 for TC AIMS II life cycle replacement and
fielding cost be covered in regular fiscal year budget
requests.

STAMIS TACTICAL COMPUTERS (STACOMP)

The Department of Defense request for supplemental
appropriations for fiscal year 2007 proposes $176,036,000 for
Standard Army Management Information System (STAMIS) Tactical
Computers (STACOMP). The STAMIS Tactical Computers program
manages procurement and replacement of 135,000 commercial
computers for logistics requirements. Fiscal year reset
requirements were addressed in Title IX of the Department of
Defense Appropriations Act, 2007. The Committee recommendation
provides $94,036,000 to support this program for deploying
units. The Committee recommends that $82,000,000 for routine
equipment wear out and upgrade be addressed in the regular
fiscal year budget request.

CSS COMMUNICATIONS

The Department of Defense request for supplemental
appropriations for fiscal year 2007 proposes $74,423,000 for
Combat Service Support (CSS) Communications. This amount would
provide for a general upgrade in Combat Service Support
communications including a satellite communications wave form
change and 346 remote satellite communications terminals. The
Committee recommendation fully supports $37,423,000 for
upgrades needed for the support of deployed units. The
Committee recommends that $37,000,000 for routine fielding of
modernization initiatives and upgrades should be funded through
the regular fiscal year appropriations process.

MEDICAL EQUIPMENT MODERNIZATION AND REPLACEMENT

The Committee recommends an additional $4,000,000 above the
budget request for medical equipment for combat support
hospitals and forward surgical units located in Iraq and
Afghanistan.

TRUCK, TRACTOR, LINE HAUL

The Committee understands the critical role that line haul
trucks fill in Army logistics. The Committee recommendation
provides $5,448,000 for line haul tractors, the full amount
included in the supplemental request. The Defense
Appropriations Act, 2007 provided $39,692,000 in the base
appropriation, and an additional $138,200,000 in Title IX for
line haul tractors. The Committee encourages the Army to
promptly allocate all funds that have been appropriated for
line haul tractors, and take other management actions as
necessary to ensure that necessary funds are available for
uninterrupted production of line haul tractors for Army
logistic units. Additionally, the Committee encourages the Army
to include sufficient funding in budget requests to support the
production of line haul tractors at rates that achieve economic
efficiencies.

AIRCRAFT PROCUREMENT, NAVY

Fiscal year 2007 enacted supplemental appropriations \1\ $486,881,000
Fiscal year 2007 supplemental request................... 1,105,713,000
Committee recommendation................................ 995,797,000
Change from request..................................... -109,916,000

Committee Recommendation

The Committee recommends an appropriation of $995,797,000
for Aircraft Procurement, Navy. The recommendation is a
decrease of $109,916,000 below the budget request.
The recommendation provides the following for Aircraft
Procurement, Navy:

EA-18G

The request for supplemental appropriations proposes
$450,000,000 for the procurement of six EA-18G aircraft to
replace five EA-6B aircraft that have been stressed and one EA-
6B aircraft that has been lost in theater. The Committee
recommendation supports funding for one EA-18G aircraft as a
functional replacement for the EA-6B that has been lost in
theater.

F/A-18E/F (FIGHTER) HORNET (MYP)

The Committee understands that there have been three F/A-18
aircraft lost in theater. The Committee recommendation adds
$192,000,000 to the supplemental appropriation request for the
procurement of three F/A-18E/F aircraft as functional
replacements for the aircraft lost in theater.

UH-1Y/AH-1Z

The request for supplemental appropriations proposes
$50,000,000 to start a ``new build'' program for the AH-1Z
attack helicopter variant. While the effort to initiate a new
build program that would end the remanufacture process is to be
applauded, the Committee believes that this significant change
in program acquisition strategy should be addressed as part of
the normal budget process. Therefore, the Committee
recommendation proposes no funding for this effort.

AIRCRAFT SURVIVABILITY EQUIPMENT

The Committee proposes an additional $198,000,000 above the
supplemental request in Aircraft Procurement, Navy for aircraft
survivability equipment. These additional requirements have
been identified by the Marine Corps to address urgent needs in
theater and are a response to real world events. Specifically,
the funding provides for 70 Directional Infrared
Countermeasures (DIRCM) kits for the CH-53E aircraft and for
Infrared Engine Suppression, Wire Strike and Countermeasure
systems for the CH-46E aircraft. The Committee also recommends
$13,000,000 above the request for the required research and
development work to allow for the full integration of the
systems onto the various platforms.

WEAPONS PROCUREMENT, NAVY

Fiscal year 2007 enacted supplemental appropriations \1\ $109,400,000
Fiscal year 2007 supplemental request................... 171,813,000
Committee recommendation................................ 171,813,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $171,813,000
for Weapons Procurement, Navy. The recommendation is the same
as the budget request.
The recommendation provides the following for Weapons
Procurement, Navy:

PROCUREMENT OF AMMUNITION, NAVY AND MARINE CORPS

Fiscal year 2007 enacted supplemental appropriations \1\ $127,880,000
Fiscal year 2007 supplemental request................... 159,833,000
Committee recommendation................................ 159,833,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $159,833,000
for Procurement of Ammunition, Navy and Marine Corps. The
recommendation is the same as the budget request.
The recommendation provides the following for Procurement
of Ammunition, Navy and Marine Corps:

OTHER PROCUREMENT, NAVY

Fiscal year 2007 enacted supplemental appropriations \1\ $319,965,000
Fiscal year 2007 supplemental request................... 846,874,000
Committee recommendation................................ 937,407,000
Change from request..................................... +90,533,000

Committee Recommendation

The Committee recommends an appropriation of $937,407,000
for Other Procurement, Navy. The recommendation is an increase
of $90,533,000 above the budget request.
The recommendation provides the following for Other
Procurement, Navy:

CONSTRUCTION AND MAINTENANCE EQUIPMENT

The request for supplemental appropriations proposes
$173,861,000 for the procurement of construction and
maintenance equipment to partially reconstitute equipment for
the Navy's Construction Battalions. The Committee understands
the Seabees have experienced some of the highest tempo of
operations in the Navy during recent combat operations. To
accelerate Seabee equipment reconstitution, the Committee
recommendation of $225,261,000 provides an additional
$51,400,000 for the procurement of such equipment.

PROCUREMENT, MARINE CORPS

Fiscal year 2007 enacted supplemental appropriations \1\ $4,898,269,000
Fiscal year 2007 supplemental request................... 1,805,715,000
Committee recommendation................................ 1,885,383,000
Change from request..................................... +79,668,000

Committee Recommendation

The Committee recommends an appropriation of $1,885,383,000
for Procurement, Marine Corps. The recommendation is an
increase of $79,668,000 above the budget request.
The recommendation provides the following for Procurement,
Marine Corps:

GROUND-BASED OPERATIONAL SURVEILLANCE SYSTEM (G-BOSS)

The fiscal year 2007 supplemental request includes
$143,332,000 for the Ground-based Operational Surveillance
System (G-BOSS). G-BOSS is a capability that provides
persistent tracking of objects of interests to prevent or
mitigate hostile actions, specifically the threat of Improvised
Explosive Devices (IEDs). The Committee fully supports all
efforts to counter IEDs and provides funding for this and other
counter IED activities in the Joint Improvised Explosive Device
Defeat Fund.

AIRCRAFT PROCUREMENT, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ $2,291,300,000
Fiscal year 2007 supplemental request................... 2,649,336,000
Committee recommendation................................ 2,474,916,000
Change from request..................................... -174,420,000

Committee Recommendation

The Committee recommends an appropriation of $2,474,916,000
for Aircraft Procurement, Air Force. The recommendation is a
decrease of $174,420,000 below the budget request.
The recommendation provides the following for Aircraft
Procurement, Air Force:

JOINT STRIKE FIGHTER

The supplemental request included $389,000,000 for
procurement of two F-35A Lightning II aircraft. The Committee
has denied this funding request. The Committee continues to be
concerned about the development and production schedule of the
F-35 program. Since these aircraft will not be delivered until
mid 2010 at best, and in any case will be used as training
aircraft and not directly for battle loss replacements, these
funds can be better allocated for more urgent requirements
which will bring capability to the fight much quicker.

PREDATOR AND REAPER UNMANNED AERIAL VEHICLES

The supplemental request includes $398,700,000 for
procurement of Predator and Reaper Unmanned Aerial Vehicles
(UAVs), and associated ground and support equipment. Combatant
Commanders in theater have indicated that the appetite for full
motion video at both the unit and command levels is limitless.
The ability to see the enemy ``around the corner or over the
hill'' is saving lives every day in the war. Both the Predator
and the Reaper support troops in contact, special operations
missions, and help to greatly reduce the kill-chain in locating
and prosecuting high value targets. To provide our forces with
this enhanced capability, the Committee provides an additional
$89,200,000 for procurement of four additional Predators and 4
additional Reapers. The funds provided are sufficient to cover
sensors, associated ground control systems, communications and
support equipment.

JOINT HELMET MOUNTED CUEING SYSTEM

The supplemental request includes $119,962,000 to procure
and install the Joint Helmet Mounted Cueing System (JHMCS) into
224 F-15E aircraft. The Committee is extremely supportive of
adding this capability on the F-15E aircraft. JHMCS improves an
aircrew's ability to rapidly employ sensors and weapons against
off-boresight ground targets, minimizes F-15E aircrew exposure
to ground threats, and enhances situational awareness. The
Committee notes that as requested in the supplemental,
procurement and installation of this capability would begin at
the end of fiscal year 2008 and span until 2012. Funding for
such a long procurement is inappropriate in an emergency
supplemental. Accordingly, the Committee only provides
sufficient funds for procuring units to be delivered and
installed through fiscal year 2009.

APG-63(V)3 ACTIVE ELECTRONICALLY SCANNED ARRAY RADARS FOR F-15C

The supplemental request included $72,000,000 for the
procurement of eight APG-63(V)3 radar systems for active duty
F-15C/D aircraft. The Committee supported improving the radar
capability of these aircraft. The Committee provided an
additional $124,200,000 in prior appropriations acts to install
these radars in Air National Guard aircraft, and encouraged the
Air Force to establish a radar upgrade program for the active
forces as part of its annual budget request. Unfortunately,
because the Air Force failed to do so in prior years, the funds
requested in this supplemental would not deliver the first
radar until 2010. Funding for such a long procurement is
inappropriate in an emergency supplemental. Accordingly, the
Committee believes this request is best considered during the
normal budget process and recommends disapproval.

LARGE AIRCRAFT COUNTERMEASURES

The supplemental request includes $287,600,000 for
countermeasures and defensive systems for the C-5, C-17, and C-
130 transport aircraft. Recent events have highlighted the
growing threat in theater to our slower moving mobility
aircraft and caused concern that insurgents are finding new
ways to bring down military aircraft. Infrared shoulder
launched surface-to-air missiles are currently in the hands of
many terrorist organizations with stated hostile intent against
the United States. The Large Aircraft Infrared Countermeasures
(LAIRCM) system provides a significantly improved defensive
capability for the Air Force's large aircraft to counter this
threat. Accordingly, the Committee provides an additional
$222,000,000 for procurement and installation of LAIRCM systems
on the C-5, C-17, and C-130 aircraft.

MISSILE PROCUREMENT, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ $32,650,000
Fiscal year 2007 supplemental request................... 140,300,000
Committee recommendation................................ 140,300,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $140,300,000
for Missile Procurement, Air Force. The recommendation is
identical to the budget request.
The recommendation provides the following for Missile
Procurement, Air Force:

PROCUREMENT OF AMMUNITION, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $95,800,000
Committee recommendation................................ 95,800,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $95,800,000
for Procurement of Ammunition, Air Force. The recommendation is
identical to the budget request.
The recommendation provides the following for Procurement
of Ammunition, Air Force:

OTHER PROCUREMENT, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ $1,317,607,000
Fiscal year 2007 supplemental request................... 2,092,754,000
Committee recommendation................................ 2,042,183,000
Change from request..................................... -50,571,000

Committee Recommendation

The Committee recommends an appropriation of $2,042,183,000
for Other Procurement, Air Force. The recommendation is a
decrease of $50,571,000 below the budget request.
The recommendation provides the following for Other
Procurement, Air Force:

PROCUREMENT, DEFENSE-WIDE

Fiscal year 2007 enacted supplemental appropriations \1\ $145,555,000
Fiscal year 2007 supplemental request................... 979,380,000
Committee recommendation................................ 934,930,000
Change from request..................................... -44,450,000

Committee Recommendation

The Committee recommends an appropriation of $934,930,000
for Procurement, Defense-Wide. The recommendation is a decrease
of $44,450,000 below the budget request.
The recommendation provides the following for Procurement,
Defense-Wide:

CH-47 MODIFICATIONS

The recommendation includes $22,000,000 for the Special
Operations Command for modifications to a CH-47 which was lost
recently in Iraq. Funding for this aircraft, $30,000,000, is
included in Aircraft Procurement, Army.

RESEARCH, DEVELOPMENT, TEST AND EVALUATION

The Committee recommends an additional appropriation of
$1,035,350,000 for Research, Development, Test and Evaluation,
$412,386,000 below the budget request for fiscal year 2007.
The adjustments to the budget request for Research,
Development, Test and Evaluation are shown below:

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, ARMY

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $115,976,000
Committee Recommendation................................ 60,781,000
Change from request..................................... -55,195,000

Committee Recommendation

The Committee recommends an appropriation of $60,781,000
for Research, Development, Test and Evaluation, Army. The
recommendation is a decrease of $55,195,000 below the budget
request.
The recommendation provides the following for Research,
Development, Test and Evaluation, Army:

COMBAT VEHICLE AND AUTOMOTIVE ADVANCED TECHNOLOGY

The Department of Defense supplemental budget request for
fiscal year 2007 proposed an increase of $3,560,000 for Combat
Vehicle and Automotive Advanced Technology. The funding would
support engineering and technical development of survivability
enhancements for the HMMWV family of vehicles. The Committee
fully supports all efforts to counter IEDs. Funding for counter
IED activities is provided in this Act in the Joint Improvised
Explosive Device Defeat Fund.

SOLDIER SUPPORT AND SURVIVABILITY

The Department of Defense supplemental budget request for
fiscal year 2007 proposed an increase of $27,625,000 for
Soldier Support and Survivability. The requested funding would
provide for safety confirmation, capabilities and limitation
testing, near term development of enhanced active and passive
surveillance and reconnaissance solutions, and development of
equipment to replicate enemy devices. The Committee fully
supports these activities and has provided funding for such
activities in this Act in the Joint Improvised Explosive Device
Defeat Fund.

ACCELERATED DEVELOPMENT OF UPGRADES FOR AUTOMATIC TEST EQUIPMENT

The Department of Defense supplemental budget request for
fiscal year 2007 proposes an increase of $6,500,000 to the base
of $5,430,000 which was provided in the Department of Defense
Appropriations Act, 2007 for accelerated development of the
next generation of aviation and ground support test and
diagnostic capability. The Committee has not supported this
increase as an emergency requirement, and recommends the Army
pursue such developmental efforts as part of the regular
appropriations process.

MATERIAL SYSTEMS ANALYSIS

The Department of Defense supplemental budget request for
fiscal year 2007 proposed an increase of $5,410,000 for
Material Systems Analysis for projects to improve capabilities
to detect and analyze the lethality of improvised explosive
devices, and to develop Fusion Oriented C4ISR Utility
Simulation (FOCUS). The Committee fully supports counter-IED
activities and has provided funding for such activities in this
Act in the Joint Improvised Device Defeat Fund.

BIOMETRICS MULTI-MODE CAPABILITY

The Department of Defense Appropriations Act for fiscal
year 2007 provides $15,505,000 for the developmental effort
related to the Department of Defense Automated Biometrics
Identification System and biometric capability that will be
managed at the enterprise level. The Department's supplemental
request for fiscal year 2007 proposes an additional $8,300,000
to advance the developmental biometrics program in seeking a
multi-modal biometric capability, to include fingerprint, face,
and iris, and planning for future efforts related to DNA, hand
geometry, and palm prints. The Committee includes no funding
for such a developmental program increase as part of the fiscal
year 2007 supplemental appropriation and recommends the Army
include funding for this program in the regular budget process.

DATABASE INTEROPERABILITY FOR SITUATIONAL AWARENESS

The Department of Defense Appropriations Act, 2007 includes
$12,154,000 for WWMCCS/Global Command and Control System for
the development of applications to continue and enhance
interoperability between the Army and Joint command levels. The
Department of Defense supplemental appropriations request for
fiscal year 2007 seeks an additional $3,800,000 to implement
Oracle database applications for ensuring continued
interoperability between Global Command and Control System--
Joint, and Global Command and Control System--Army. The
Committee has not recommended such funding for inclusion in the
fiscal year 2007 Department of Defense supplemental
appropriations and recommends that the Army fund such systems
engineering and software development efforts as part of the
regular fiscal year budget request.

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, NAVY

Fiscal year 2007 enacted supplemental appropriations \1\ $231,106,000
Fiscal year 2007 supplemental request................... 460,175,000
Committee recommendation................................ 295,737,000
Change from request..................................... -164,438,000

Committee Recommendation

The Committee recommends an appropriation of $295,737,000
for Research, Development, Test and Evaluation, Navy. The
recommendation is a decrease of $164,438,000 below the budget
request.
The recommendation provides the following for Research,
Development, Test and Evaluation, Navy:

GROUND-BASED OPERATIONAL SURVEILLANCE SYSTEM AND JOINT COUNTER RADIO
CONTROLLED IED ELECTRONIC WARFARE

The fiscal year 2007 supplemental request includes $30
million for the Ground-based Operational Surveillance System
(G-BOSS) and $7 million for Joint Counter Radio Controlled IED
Electronic Warfare (CREW) for research, development, test and
evaluation activities. The Committee fully supports all efforts
to counter Improvised Explosive Devices (IED) and provides
funding for this and other counter IED activities in the Joint
Improvised Explosive Device Defeat Fund.

JOINT LIGHTWEIGHT TACTICAL VEHICLE (JLTV)

The Department of Defense request for supplemental
appropriations for fiscal year 2007 proposes $36,844,000 for
Joint Lightweight Tactical Vehicle (JLTV). The Committee
recommends that requirements for long term research,
development, test and evaluation be addressed in the regular
fiscal year budget request.

MARINE CORPS COMMUNICATIONS

The Department of Defense request for supplemental
appropriations for fiscal year 2007 proposes $165,348,000 for
Marine Corps Communication Systems. While the Committee
supports requests that will be quickly fielded, the Committee
recommends that requirements for long term research,
development, test and evaluation be addressed in the regular
fiscal year budget request.

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, AIR FORCE

Fiscal year 2007 enacted supplemental appropriations \1\ $36,964,000
Fiscal year 2007 supplemental request................... 220,721,000
Committee recommendation................................ 132,928,000
Change from request..................................... -87,793,000

Committee Recommendation

The Committee recommends an appropriation of $132,928,000
for Research, Development, Test and Evaluation, Air Force. The
recommendation is a decrease of $87,793,000 below the budget
request.
The recommendation provides the following for Research,
Development, Test and Evaluation, Air Force:

RESEARCH, DEVELOPMENT, TEST AND EVALUATION, DEFENSE-WIDE

Fiscal year 2007 enacted supplemental appropriations \1\ $139,644,000
Fiscal year 2007 supplemental request................... 650,864,000
Committee recommendation................................ 545,904,000
Change from request..................................... -104,960,000

Committee Recommendation

The Committee recommends an appropriation of $545,904,000
for Research, Development, Test and Evaluation, Defense-Wide.
The recommendation is a decrease of $104,960,000 below the
budget request.
The recommendation provides the following for Research,
Development, Test and Evaluation, Defense-Wide:

REVOLVING AND MANAGEMENT FUNDS

DEFENSE WORKING CAPITAL FUNDS

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $1,315,526,000
Committee recommendation................................ 1,315,526,000
Change from request..................................... --

\1\ Appropriations provided in Title IX of Public Law 109-289, the
Department of Defense Appropriations Act for fiscal year 2007.
---------------------------------------------------------------------------
The Committee recommends an appropriation of
$1,315,526,000, the same level as the budget request, for the
Defense Working Capital Fund accounts for the Army, Navy, and
Defense-wide.

NATIONAL DEFENSE SEALIFT FUND

Fiscal year 2007 enacted supplemental appropriations \1\ --
Fiscal year 2007 supplemental request................... $5,000,000
Committee recommendation................................ 5,000,000
Change from request..................................... --

Committee Recommendation

The Committee recommends an appropriation of $5,000,000 for
the National Defense Sealift Fund. The recommendation is the
same as the budget request.

OTHER DEPARTMENT OF DEFENSE PROGRAMS

DEFENSE HEALTH PROGRAM

Fiscal year 2007 enacted supplemental appropriations.... --
Fiscal year 2007 supplemental request................... $1,073,147,000
Committee recommendation................................ 2,789,703,000
Change from request..................................... +1,716,556,000

DEFENSE HEALTH PROGRAM OVERVIEW

The Committee recommends a total appropriation of
$2,789,703,000 for the Defense Health Program. This is an
increase of $1,716,556,000 above the budget request. The
funding contained in this bill will provide medical and dental
services to active forces and mobilized Reserve Components, and
their family members as they support Operation Iraqi Freedom
and Operation Enduring Freedom.
The Committee strongly believes that the additional funds
recommended will have an important effect on the military
health care system's ability to adequately treat our wounded
soldiers. The additional $1,716,556,000 is allocated to these
important initiatives:
$450,000,000 for Post Traumatic Stress
Disorder/Counseling
$450,000,000 for Traumatic Brain Injury
$730,000,000 for Private Sector Care
$61,950,000 for amputee care
$12,000,000 for care givers support programs
$14,800,000 for burn care

Committee Recommendation

The Committee recommends a total of $2,789,703,000 for the
Defense Health Program. The recommendation is an increase of
$1,716,556,000 above the budget request.
The recommendation provides the following for Defense
Health Program:

SUSTAINING THE MILITARY HEALTH CARE BENEFIT

The medical mission of the Department of Defense (DoD) is
to enhance DoD and our Nation's security by providing health
support for the full range of military operations and
sustaining the health of all active duty, Reserve Components,
retirees and their dependents.
When the fiscal year 2007 budget request was submitted, it
assumed savings anticipated from legislation that would have
significantly increased fees and insurance premiums on military
members. The legislation was not enacted by Congress, leaving
the Department with a greater than $2,000,000,000 ``hole'' for
fiscal year 2007. The Committee provided $1,400,000,000 in the
continuing resolution for fiscal year 2007 (Public Law 110-5)
for the Defense Health Program.
The Committee recommendation includes an additional
$730,000,000 to make the Defense Health Program whole for
fiscal year 2007. The Committee strongly urges the Department
to examine other ways to sustain the benefit without relying on
Congress to enact legislation that would increase the out-of-
pocket costs to the beneficiaries.

AMPUTEE HEALTH CARE

The Committee recommends a total increase of $61,950,000
for amputee health care and orthopaedic extremity trauma. The
additional monies will enhance health care services and
operations at Walter Reed, Brooke Army Medical Center/Center
for the Intrepid, Landstuhl Regional Medical Center and
National Naval Medical Center--Balboa.

BLAST INJURY PREVENTION, MITIGATION AND TREATMENT

One of the alarming features of modern warfare is the
increasing occurrence of traumatic brain injury (TBI). The
growing number of soldiers with TBI is a challenge for the
Military Health System.
The Committee approves $14,800,000 for the Army Surgeon
General's Blast Injury Prevention, Mitigation and Treatment
Initiative. The additional $7,700,000 to the budget request
will provide support to initiatives targeted at improving our
ability to prevent and manage blast injuries. This funding
supports the Defense and Veterans Brain Injury Center (DVHIC).

BROOKE ARMY MEDICAL CENTER BURN CENTER

The Committee has provided an additional $7,000,000 to the
budget request for specialized burn injury care.

CARE GIVER SUPPORT PROGRAMS

The Committee is concerned about the stress and fatigue
care givers at Military Treatment Facilities (MTFs) endure as
they care for wounded soldiers. The Committee provides
$12,000,000 for Walter Reed Army Medical Center, Brooke Army
Medical Center, National Naval Medical Center and Landstuhl
Regional Medical Center to enhance the current care givers
support programs.
The additional funding is to be used for programs that
assist with fatigue, stress and mental health related issues
using holistic approaches, and behavior models in support of
their unique health needs. These professionals are our most
important asset in ensuring that wounded soldiers have the best
care possible.

MEDICAL SUPPORT FOR TACTICAL UNITS

The Committee directs the Department of the Army to address
medical requirements for those tactical units currently
deployed to or returning from the Iraq or Afghanistan theaters.
The Committee directs the Department of the Army to focus
funding on the replenishment of medical supply and equipment
needs within the combat theaters, to include bandages and the
provision of medical care for soldiers who have returned home
in a medical holdover status.

HEALTH CARE IN SUPPORT OF ARMY MODULAR FORCE CONVERSION AND GLOBAL
POSITIONING

It has been brought to this Committee's attention that the
Army has been directed to cover costs associated with health
care support of Army modular force (AMF) conversion and global
positioning. The cost of these movements is estimated at $68
million and will enable the Army to provide the capacity to
meet increases in the demand for health care created as the
Army repositions forces. This necessary funding is required to
ensure that soldiers, particularly those returning from combat,
and their families are able to access military health care.
Therefore, the Committee directs the Assistant Secretary
for Health Affairs and the Surgeon General of the Army to
coordinate an effort and report back to the congressional
defense committees by May 31, 2007 on how these anticipated
costs will be funded to ensure soldiers and their families
affected by AMF and global positioning will have access to the
health care they deserve.

WALTER REED ARMY MEDICAL CENTER-BUILDING 18

Since 2002, Walter Reed has provided highly personalized
health care by treating more than 6,000 wounded soldiers from
combat operations in Afghanistan and Iraq. As wounded soldiers
recover and regain strength, they move from the hospital to a
number of buildings on or near the Walter Reed campus.
This Committee is deeply concerned and frustrated by the
lack of attention paid to hospital infrastructure, specifically
building 18 on the Walter Reed campus. Clearly, the Army's
Medical Command had no idea what was going on ``under their
noses.'' The Committee provides an additional $20,000,000 and
expects the Army to use the additional funding for
infrastructure repairs and upgrades. The Committee expects that
the Army will keep the congressional defense committees
regularly and fully apprised of its progress toward rectifying
this problem.

MEDICAL SYSTEM ADMINISTRATION IMPROVEMENTS

Recent reports indicate that the Department of Defense's
system for managing wounded outpatient and medical-hold
soldiers, as well as the processes for evaluating soldiers'
eligibility for disability benefits, have been severely
strained, causing soldiers' needs to go unmet. In particular,
the thousands of soldiers wounded in the wars in Iraq and
Afghanistan have overwhelmed the system, leading to failure to
complete disability reviews in a timely manner. In many cases
the lack of management, shortages in caseworkers and
specialists to help identify depression and post traumatic
stress disorder, inadequate medical hold facilities and even
wheelchair access all have created additional obstacles for
soldiers to overcome as they convalesce.
Therefore, within the funds provided for the Defense Health
Program, the Committee directs that $30,000,000 be used for
strengthening the recruitment and formalized training for
administrative and casework personnel, and for enhancing the
programs in which they participate. The Committee further
directs that these funds be allocated directly to military
medical centers with significant medical-hold populations and
large backlogs of patients who have yet to be evaluated for
disability benefits.

DRUG INTERDICTION AND COUNTER-DRUG ACTIVITIES, DEFENSE

Fiscal year 2007 enacted supplemental appropriations \1\ $100,000,000
Fiscal year 2007 supplemental request................... 259,115,000
Committee recommendation................................ 259,115,000
Change from request..................................... --

Committee Recommendation

The Committee recommends a total of $259,115,000 for
military personnel; operation and maintenance, procurement and
research, development, test and evaluation for drug
interdiction and counter-drug activities of the Department of
Defense. This is the same amount requested by the President.

RELATED AGENCIES

INTELLIGENCE COMMUNITY MANAGEMENT ACCOUNT

Fiscal year 2007 enacted supplemental appropriations \1\ $19,265,000
Fiscal year 2007 supplemental request................... 66,726,000
Committee recommendation................................ 57,426,000
Change from request..................................... -9,300,000

Committee Recommendation

The Committee recommends a total of $57,426,000 for the
Intelligence Community Management Account, a decrease of
$9,300,000 from the budget request.

General Provisions--This Chapter

Chapter 3 of Title 1 contains several general provisions,
many of which extend or modify war-related authorities included
in previous Acts. A brief description of the recommended
provisions follows:
Section 1301 establishes the period of availability for
obligation for appropriations provided in this chapter.
Section 1302 provides the Department's request for transfer
authority of $3,500,000,000 for funds in this chapter.
Section 1303 provides for the obligation and expenditure of
funds related to activities pursuant to section 504(a)(1) of
the National Security Act of 1947.
Section 1304 provides that none of the funds appropriated
in this chapter may be obligated and expended to finance
programs or activities denied by Congress in fiscal year 2006
or 2007 appropriations for the Department of Defense or to
initiate a new start without prior approval.
Section 1305 provides for transfers to the Defense
Cooperation Account.
Section 1306 provides for not to exceed $100,000,000 of
funds under ``Drug Interdiction and Counter-Drug Activities,
Defense'' may be used to support counter-drug activities of
certain governments, and that such support is in addition to
any other authority to provide assistance.
Section 1307 provides for $456,000,000 of funds provided
under ``Operation and Maintenance, Army'' to fund the
Commander's Emergency Response Program. The provision also
requires quarterly reports to the congressional defense
committees.
Section 1308 provides that for construction projects in
Iraq and Afghanistan funded with operation and maintenance
funds, supervisory and administrative costs may be obligated
when the contract is awarded.
Section 1309 amends section 9010 of the Department of
Defense Appropriations Act, 2007, relating to submission of a
report measuring stability and security in Iraq. The section
amends the due date of the report.
Section 1310 amends section 1005(c)(2) of the National
Defense Authorization Act, relating to common-funded budgets of
the North Atlantic Treaty Organization.
Section 1311 prohibits the establishment of any permanent
military installation or base of United States Armed Forces in
Iraq and prohibits the exercise of United States control over
any oil resource of Iraq.
Section 1312 provides for the transfer of funds from
``Operation and Maintenance, Defense-Wide'' to Department of
State ``Economic Support Fund'' to support provincial
reconstruction teams and requires notification of the transfer
to the congressional defense committees.
Section 1313 prohibits the use of funds to contravene laws
or regulations promulgated to implement the United Nations
Convention Against Torture and Other Cruel, Inhuman or
Degrading Treatment or Punishment.
Section 1314 limits the availability of funds available in
this Act under the heading ``Iraq Security Forces Fund'' and
``Afghanistan Security Forces Fund'' until the Secretary of
Defense submits to the congressional defense committees unit
level transition assessments of the Iraq and Afghanistan
security forces. This provision also requires the Director of
the Office of Management and Budget, (in consultation with the
Secretary of Defense; the Commander, Multi-National Security
Transition Command-Iraq; and the Commander, Combined Security
Transition Command-Afghanistan), to submit a report detailing,
among other assessments, the total cost of training and
equipping the Iraq and Afghanistan security forces.
Section 1315 prohibits the provision of award fees to any
defense contractor contrary to provisions of section 814 of the
National Defense Authorization Act, 2007.
Section 1316 limits to not more than 90 percent of the
funds provided in this chapter for operation and maintenance
until the Secretary of Defense submits to the congressional
defense committees a report detailing the use of contracted
services to support U.S. military operations in Iraq and
Afghanistan. The provision further reduces appropriations under
the aforementioned headings in this Act by $815,000,000 due to
anticipated contractor efficiencies.
Sec. 1317 provides, in cases where a minor child is the
next of kin, the ability for the service member to designate
the grandparents, siblings, or guardian to receive part or all
of the benefit to care for the child.
Section 1318 provides up to 170 heavy and light armored
vehicles for force protection purposes in Iraq and Afghanistan.
Section 1319 amends section 1403(a) of the Floyd D. Spence
National Defense Authorization Act for Fiscal Year 2001 (as
amended).
Section 1320 provides appropriations to implement
recommendations of the Army Inspector General with regard to
trained military attorneys dedicated to representing soldiers
who are pursuing claims before physical evaluation boards and
earlier in the Army disability evaluation system process.

CHAPTER 4

DEPARTMENT OF ENERGY

Atomic Energy Defense Activities

NATIONAL NUCLEAR SECURITY ADMINISTRATION

DEFENSE NUCLEAR NONPROLIFERATION

The Committee recommendation provides $150,000,000 for
Defense Nuclear Nonproliferation activities by the National
Nuclear Security Administration. Within the amounts provided,
$136,000,000 is included for the International Nuclear
Materials Protection and Cooperation program, including
$25,000,000 for Rosatom Weapons Complex activities to begin
comprehensive security upgrades at Mayak plutonium facilities
where Russia recently agreed to allow access to U.S. teams for
cooperative security work; $87,000,000 for the Megaports
initiative to accelerate activities in host countries with
seaports that have signed implementation agreements but are
currently not funded to complete deployment of radiation
detection equipment for scanning cargo containers; and
$24,000,000 for additional high priority activities. Further,
the recommendation includes $14,000,000 for the Global Threat
Reduction Initiative for Kazakhstan spent fuel security
activities.

CHAPTER 5

DEPARTMENT OF HOMELAND SECURITY

DEPARTMENTAL MANAGEMENT AND OPERATIONS

ANALYSIS AND OPERATIONS

The Committee recommends an additional $35,000,000 for the
expansion of the State and Local Fusion Center program.
Consistent with recommendations made in the 9/11 Commission
report, the Committee has heard time and time again from
homeland security experts that national intelligence and
homeland security efforts can be improved by involving State
and local law enforcement. The fusion center program is
designed to do this, but is in its infancy phase. As this
program matures, the Committee directs the Department's Chief
Intelligence Officer to provide a quarterly update on the
progress establishing State and local fusion centers, including
the number and locations of operational facilities; the number
of Department of Homeland Security employees located at these
facilities; the privacy protection policies of each facility,
including the number of facility personnel trained in Federal
privacy, civil rights, and civil liberties standards; and the
number and location of local law enforcement agents approved to
receive and review classified intelligence information.

Customs and Border Protection

SALARIES AND EXPENSES

(INCLUDING TRANSFER OF FUNDS)

The Committee recommends an additional $100,000,000 to
improve significantly the ability of Customs and Border
Protection (CBP) to target and analyze US-bound cargo
containers, achieve a capacity to screen 100 percent of such
cargo overseas, and double the number of containers that are
subject to physical inspections. The funding would support
hiring up to 1,000 additional CBP Officers, Intelligence
Analysts, and support staff, to be located at Container
Security Initiative locations overseas, U.S. ports of entry, or
the National Targeting Center. The funding would also support
enhanced container analytic and targeting systems that use
commercial and government databases.
The Committee directs CBP to permit no further decline in
Border Patrol presence on the Northern Border. Although CBP has
informed the Committee that it plans to increase Border Patrol
staffing on the Northern Border, such staffing actually
declined 7 percent in fiscal year 2006, while overall Border
staffing grew by 10 percent nationwide. The Committee
understands that CBP plans to have 1,179 agents on the Northern
Border by the end of fiscal year 2007, 191 more than the 2005
level. Any reduction from this planned level should be
immediately reported to the Committee.

AIR AND MARINE INTERDICTION, OPERATIONS, MAINTENANCE, AND PROCUREMENT

The Committee recommends an additional $150,000,000 to
accelerate the establishment and acquisition of aircraft and
facilities for the Northern Border. This includes funding for
site acquisition; design and building at all five of the
currently planned airwings; acquisition of planned air assets;
and associated operational costs, such as relocation of
aircraft, to enable the sites to become fully operational as
soon as possible.

Transportation Security Administration

AVIATION SECURITY

The Committee recommends an additional $1,250,000,000 for
``Aviation Security''. Of the funds recommended under this
heading, $1,000,000,000 is provided for the procurement and
installation of explosive detection systems (EDS) in airports
that have been identified in recent prioritization models as
deriving significant security benefits from the deployment of
in-line baggage screening systems. Both TSA and the Government
Accountability Office have reported that in-line baggage
screening: (1) reduces security risks at airports nationwide,
(2) is more efficient because the number of checked bags
screened could more than double when systems are placed in-
line, (3) reduces the number of bags that require labor
intensive secondary screening, (4) lowers life-cycle costs, and
(5) significantly reduces injuries. The recently released
baggage screening investment study noted that ``without
expedited capital investments, the life-cycle replacement
requirements for initially deployed screening systems will
impede investments in new optimal systems, slowing deployment
of additional EDS equipment to additional airports and
increasing costs''.
Of the total, $90,000,000 is provided for the deployment
and pilot testing of advanced checkpoint explosive detection
equipment and screening techniques to determine preferred
operational and equipment protocols for these new systems.
Eligible systems may include, but are not limited to: whole
body imagers, liquid explosives detectors, and automated
explosive detection systems. With the funding provided under
this heading for checkpoints, the Committee will have provided
$263,366,000 for these activities in 2007.
The remaining $160,000,000 is provided to increase the
screening of air cargo carried on passenger aircraft and put
TSA on a path to screen all such air cargo. This funding may be
used to purchase and install additional screening equipment,
such as explosive detection and trace systems, for the top 42
airports that handle 95 percent of the air cargo carried on
passenger aircraft. Funding has also been provided to procure
up to 10 additional canine teams at each of the high volume
cargo airports to augment ongoing screening efforts. This
funding increase is based on recent testimony by the Government
Accountability Office on the effectiveness of canines in
detecting explosives as well as promising, new air cargo
detection techniques that are utilized outside of the United
States, which could be deployed here.

National Protection and Programs

INFRASTRUCTURE PROTECTION AND INFORMATION SECURITY

The Committee is pleased that the Department of Homeland
Security and the Department of Commerce finally have a
Memorandum of Understanding in place to award the
$1,000,000,000 state interoperable grant program. Nevertheless,
the Department has not made adequate progress developing State
interoperable communications plans or collecting information to
populate the National Baseline Survey for communications
interoperability. State interoperable communications grants
will be wisely invested only with adequate planning. As a
result, the Committee has provided $25,000,000 for the Office
of Emergency Communications to work in conjunction with the
Science and Technology Office of Interoperable Communications
to develop State interoperable communications plans similar in
scope to those already in place for Virginia and Nevada. Within
30 days of enactment, the Committee directs the Offices of
Emergency Communications and Interoperable Communications to
provide Congress a detailed project plan for execution of a
nationwide State interoperable communications planning effort,
including key milestones for achievement of the decisions
necessary to support the Public Safety Interoperable
Communications Grant Program.
In addition, the Committee encourages the Department to
allow states that do not use reallocated public safety spectrum
to be eligible for these grant funds as long as their systems
are compatible with those using reallocated spectrum.

Federal Emergency Management Agency

SALARIES AND EXPENSES

The Committee recommends $25,000,000 for salaries and
expenses. Of the total amount, $15,000,000 is provided for
regional disaster communications equipment to strengthen FEMA's
ability to respond expeditiously to disasters across the
country and $10,000,000 is provided to strengthen mutual aid
agreements. Such mutual aid agreements enable State and local
governments to plan, train, and exercise in preparation for
future natural or man-made disasters. The Committee directs
FEMA to provide a spending plan prior to obligation of these
funds. The ``Salaries and Expenses'' account combines the
former ``Administrative and Regional Operations'' and
``Preparedness, Mitigation, Response, and Recovery'' accounts
and returns FEMA operational funding to one account, as existed
prior to the creation of the Department of Homeland Security.

STATE AND LOCAL PROGRAMS

The Committee recommends $415,000,000 for ``State and Local
Programs''. In order to strengthen the country's critical
infrastructure, $190,000,000 is provided for port security
grants and $225,000,000 is provided for intercity rail
passenger transportation, freight rail, and transit security
grants. All funding is to be awarded in fiscal year 2007. The
transit industry estimates that funding needs for security
improvements total $6 billion, and less than 10 percent of this
has been provided since September 11, 2001. The Coast Guard
estimated in 2003 that port facility improvements and
operational costs of fully implementing the Maritime
Transportation Security Act total over $7 billion, and less
than 16 percent of this has been provided since September 11,
2001.

EMERGENCY MANAGEMENT PERFORMANCE GRANTS

The Committee includes $100,000,000 for ``Emergency
Management Performance Grants''. The program is used by State
and local governments to improve preparedness and response
capabilities, enhancement of which is critical to our nation.

Domestic Nuclear Detection Office

SYSTEMS ACQUISITION

The Committee recommends $400,000,000 to acquire and deploy
additional portal radiation detection monitors at all locations
the Department of Homeland Security has determined necessary.
The Committee anticipates that this funding may not be used to
acquire advanced spectroscopic radiation monitors until the
Secretary of the Department of Homeland Security certifies that
these systems will achieve a significant increase in
operational effectiveness as required by Public Law 109-295.
This certification is anticipated in the summer of 2007.

General Provisions--This Chapter

The Committee includes a provision clarifying the
Congressional intent of chemical site security regulatory
authorities enacted in the 2007 Department of Homeland Security
Appropriations Act. In the provision, the Committee requires
the Department to ensure that site security plans for chemical
facilities comply with State and local regulations governing
the security of those installations, if such State and local
regulations provide for an equivalent or higher level of plant
security or safety. The Committee remains unconvinced by
Administration arguments that Federal regulations should
supplant more robust State or local regulations. In addition,
the Committee provides technical corrections to the original
chemical site security regulatory authorities, removing
restrictions on Departmental approval processes, clarifying
information security standards for regulatory adjudication
processes, and streamlining the compliance enforcement
authorities delegated to the Secretary.

CHAPTER 6

LEGISLATIVE BRANCH

House of Representatives

SALARIES AND EXPENSES

ALLOWANCES AND EXPENSES

The Committee recommends an additional amount of $6,437,000
for Allowances and Expenses, Business Continuity and Disaster
Recovery, including replacement of emergency equipment.

CHAPTER 7

Department of Defense

MILITARY CONSTRUCTION

Iraq.--Central Command (CENTCOM) has indicated its
intention to eventually consolidate the U.S. force posture in
Iraq into four contingency operating bases (COBs) and four
convoy centers. The four COBs are Al Asad, Balad/Camp Anaconda,
Camp Speicher, and Victory Base. The four convoy centers are
Camp Adder, Korean Village, Qayyarah West, and Scania. All of
the projects contained in the Committee's recommendation will
be executed at one of these eight locations. The Committee has
carefully reviewed requested military construction projects for
Iraq to ensure that they meet temporary contingency
construction standards. The Committee has approved only those
projects judged to have the greatest impact on force
protection, safety, and quality of life for troops on the front
lines. The Committee does not support the establishment of
permanent bases in Iraq, and does not include in this
recommendation any funds to establish any such base, or convert
any base in Iraq from a temporary to a permanent status.
The Committee understands that CENTCOM has already begun
the consolidation of bases in Iraq from over 120 in 2006 to a
current 67. As there is no status of forces agreement with the
Government of Iraq, the Committee directs CENTCOM to submit a
report listing each base that has been closed, the entity to
which each base was transferred, the current value of any
infrastructure left behind, and any other pertinent
information. This report shall be submitted no later than 30
days after the enactment of this Act and updated on a quarterly
basis thereafter.
Use of emergency war military construction funds.--The
Committee believes that funds appropriated for emergency
wartime military construction requirements in the Central
Command area of responsibility should be used solely for that
purpose to the fullest extent possible. When funds become
available due to scope reductions or cancellations, they should
not be reprogrammed for domestic or overseas requirements that
are not emergency needs directly supporting contingency
operations. This direction does not, however, prohibit the
transfer of expiring funds to the foreign currency fluctuations
account.
Military Construction and Stabilization Operations.--The
Committee believes that military construction projects present
an opportunity to help fulfill Department of Defense Directive
3000.05, a policy on stability operations which includes the
long-term goal ``to help develop indigenous capacity for
securing essential services'' and ``a viable market economy,''
by utilizing and developing such capacity for both construction
and maintenance of facilities in countries such as Afghanistan
and Iraq, in a manner consistent with military necessity. The
Committee therefore directs the Department to submit a report
on how this goal is taken into account in the military
construction contracting process. This report shall be
submitted no later than April 6, 2007.

Military Construction, Army

The Committee recommends $1,329,240,000 for Military
Construction, Army, instead of $1,381,290,000 as requested. The
funds are provided as follows:

Life Support Areas and Facilities Replacement, Iraq.--The
Administration requested $75,000,000 for ``life support areas''
consisting of containerized housing and associated facilities
to accommodate a projected shortage in housing at consolidated
locations in Iraq. In addition, the Administration requested
$96,000,000 to replace deteriorated temporary facilities
supporting operations and quality of life, such as
administrative facilities, chapels, and morale, welfare and
recreation (MWR) facilities. The Committee recommends full
funding for these requests, but has broken out both requests by
location, including costs for contingency, design, and other
overhead costs. The only funding not specified as to location
is $8,000,000 provided under ``facilities replacement'' for
anti-terrorism/force protection systems, such as T-wall
barriers.
Counter-IED road projects, Afghanistan.--The Administration
requested $369,690,000 to construct paved roads and river bed
crossings in various locations in Afghanistan to reduce the
threat of improvised explosive devices. The Committee
recommends full funding of the request; however, the Committee
believes that further information is needed to assess the
actual effect of this approach. The Committee notes that these
road projects are scheduled for completion by fall 2008. The
Committee therefore directs CENTCOM to provide no later than
October 1, 2009, a detailed assessment of the impact of
counter-IED roads in Afghanistan. This report should include,
for each section of road funded in this Act, data allowing for
a useful comparison of the frequency of IED attacks and the
number of casualties before and after the completion of that
road section. The report should also include an assessment of
how enemy IED tactics in Afghanistan have evolved and adapted
in response to this approach.
The Committee has an additional concern about the
contributions of the North Atlantic Treaty Organization (NATO)
and coalition nations to military-use road construction. Given
the expansion of responsibility for the International Security
Assistance Force to the entire country, the Committee believes
that NATO and coalition partners should make significant
contributions to military infrastructure in Afghanistan,
including roads. The Committee is aware that the U.S. retains
primary responsibility for the counterterrorism combat mission,
but believes that any road infrastructure in Afghanistan is of
potential benefit to ISAF and coalition partners. The Committee
has therefore included bill language prohibiting the obligation
of these funds until the Department of Defense submits a report
explaining how military road construction in Afghanistan is
coordinated with NATO and coalition nations, including funding
contributions from these sources.
Consolidated Compound, Kabul, Afghanistan.--The
Administration requested $25,600,000 for the third phase of a
consolidated compound for U.S. personnel in Kabul. The
Committee is inclined to support the request, but is concerned
that the 1391 form as submitted does not accurately reflect the
unaccompanied housing requirement. The Committee therefore
recommends the funding, but includes bill language prohibiting
the obligation of these funds until a revised 1391 form is
submitted and approved.
``Growing the Force.''--The Administration requested
$401,700,000 to prepare for proposed end-strength increases of
up to 65,000 soldiers over five years, including $250,000,000
in unspecified construction and $151,700,000 in planning and
design. The Army has thus far failed to provide adequate
justification for this request. While the Committee understands
the need for the request, it is reluctant to provide a blank
check for such a large sum for construction to support a policy
that has not yet been approved by Congress. The Committee
therefore recommends funding the request, but includes bill
language prohibiting the obligation of these funds until an
expenditure plan (including 1391 forms for individual projects
and a detailed explanation of the planning and design request)
are provided for the $401,700,000 requested for fiscal year
2007, as well as the funds included to support ``growing the
force'' in the fiscal year 2008 request, including the
$1,991,129,000 requested for Army military construction, the
$266,000,000 requested for Army family housing construction,
and the $94,000,000 requested for Army National Guard military
construction. This plan should also include an explanation of
how the additional $11,857,000 requested for Army family
housing operation and maintenance in the fiscal year 2008
request will be applied to each sub-account.
Joint Effects Processing Depot, Dover AFB, Delaware.--The
Committee recommends $17,500,000 to relocate the joint effects
processing depot at Aberdeen Proving Ground, Maryland, to Dover
AFB, Delaware. Consolidating this facility with mortuary
affairs at Dover will help to ensure the timely and respectful
handling of the personal effects of servicemembers killed
overseas so they may be returned to the appropriate persons.
This project was included in the Army's fiscal year 2008 budget
request, but the Committee believes it should be accelerated.

Military Construction, Navy and Marine Corps

The Committee recommends $389,300,000 for Military
Construction, Navy and Marine Corps, instead of $412,500,000 as
requested by the Administration. The funds are provided as
follows:

----------------------------------------------------------------------------------------------------------------
Location Project description Request Recommendation
----------------------------------------------------------------------------------------------------------------
NC: Camp Lejeune........................... 3/9 Maintenance/Operations $41,490,000 $41,490,000
Complex.
NC: Camp Lejeune........................... BEQ, Hadnot Point............ 40,560,000 40,560,000
NC: Camp Lejeune........................... EOD Building FC292 Addition.. 2,570,000 2,570,000
NC: Camp Lejeune........................... Mess Hall.................... 16,100,000 16,100,000
NC: Camp Lejeune........................... MP Company Operations Complex 5,800,000 5,800,000
NC: Camp Lejeune........................... Regimental Headquarters 8,600,000 8,600,000
Addition.
NC: Camp Lejeune........................... Truck Company Maintenance/Ops 9,150,000 9,150,000
Complex.
Cuba: Guantanamo NS........................ Diesel Generator Facility.... 22,000,000 .................
Djibouti: Camp Lemonier.................... Electric Power Plant......... 17,990,000 17,990,000
Djibouti: Camp Lemonier.................... Wastewater Treatment......... 19,700,000 19,700,000
Djibouti: Camp Lemonier.................... Water Production............. 18,310,000 18,310,000
Djibouti: Camp Lemonier.................... Water Storage................ 5,630,000 5,630,000
Worldwide: Unspecified..................... Unspecified Construction..... ................. 153,800,000
Worldwide: Unspecified..................... Planning and Design (GWOT)... 4,600,000 3,400,000
Worldwide: Unspecified..................... Planning and Design (Growing 200,000,000 46,200,000
the Force).
-------------------------------------
Total.................................. ............................. 412,500,000 389,300,000
----------------------------------------------------------------------------------------------------------------

Diesel Generator Facility, Guantanamo NS, Cuba.--The
Committee does not recommend $22,000,000 requested by the
Administration for a diesel generator facility at Guantanamo,
as the primary purpose of this request is to support detainee
operations. At the same time, the Committee notes the
inadequacy and inefficiency of current power generation
facilities at Guantanamo, regardless of the future of the
detainee mission. The Committee is supportive of efforts to
improve power generation at Guantanamo to support other
missions and the quality of life of U.S. personnel, and urges
Navy to make this and other quality of life projects at
Guantanamo a higher priority. The Committee directs Navy to
explore renewable energy sources, such as solar power, and
evaluate the cost efficiency of these alternatives for the
recapitalization of power generation at Guantanamo and report
these findings to the Committee no later than 60 days after
enactment of this Act.
``Growing the Force''.--The Administration requested
$324,270,000 to prepare for proposed end-strength increases of
up to 27,000 marines over five years. Of the amount requested,
$200,000,000 was requested under planning and design. The
Committee understands that of this amount, only $46,200,000 is
actually required for planning and design, while the balance of
$153,800,000 is intended for site preparation to support
temporary buildings. The Committee recommends providing this
funding, but includes bill language prohibiting the obligation
of the $200,000,000 for site preparation and planning and
design until the Marine Corps provides an expenditure plan
(including individual 1391 forms for each construction project
and a detailed explanation of the planning and design request),
as well as the funds included to support ``growing the force''
in the fiscal year 2008 request, including the $383,120,000 for
Navy and Marine Corps military construction, and the
$75,000,000 for Navy and Marine Corps family housing. The
Committee additionally directs the Marine Corps to include on
the 1391s for site preparation projects the amounts to be
obtained from other appropriations for any temporary facilities
and associated equipment required.

Military Construction, Air Force

The Committee recommends $60,200,000 for Military
Construction, Air Force, the same as the Administration's
request. The funds are provided as follows:

----------------------------------------------------------------------------------------------------------------
Location Projection description Request Recommendation
----------------------------------------------------------------------------------------------------------------
Afghanistan: Bagram AB..................... Hot Cargo Pad and Access Road $7,300,000 $7,300,000
Afghanistan: Bagram AB..................... Parallel Taxiway............. 49,000,000 49,000,000
Worldwide: Unspecified..................... Planning and Design.......... 3,900,000 3,900,000
-------------------------------------
Total.................................. ............................. 60,200,000 60,200,000
----------------------------------------------------------------------------------------------------------------

Base Realignment and Closure Account 2005

The Committee recommends an additional $3,136,802,000 for
the Base Realignment and Closure Account 2005. With the
$2,489,421,000 provided in the Continuing Appropriations
Resolution, 2007 (H.J. Res. 20), this additional amount will
fully fund the Administration's fiscal year 2007 request of
$5,626,223,000. The Committee includes bill language requiring
the Department of Defense to submit an expendture plan for this
additional amount within 30 days of the enactment of this Act.

DEPARTMENT OF VETERANS AFFAIRS

Recent events at Walter Reed Army Medical Center highlight
the growing concern that this Committee has over our nation's
ability to provide for our veterans. The number and severity of
wounded that have resulted from Operation Iraqi Freedom (OIF)
and Operation Enduring Freedom (OEF) have placed substantial
additional strain on the systems that support our troops and
our veterans. The backlog for veteran benefits continues to
grow as the Department of Veterans Affairs works to ensure that
all claims are processed in a timely and equitable manner. We
must act now to provide the Department with the resources it
needs to address current shortfalls and prepare for future
demand. The Department of Veterans Affairs estimates they will
treat over 209,000 OIF/OEF veterans in fiscal year 2007.
Additionally, they estimate that this number will grow by 26
percent for fiscal year 2008. The injuries and illnesses most
associated with this war require prompt diagnosis and treatment
if we are to ensure an optimal recovery. It is essential that
we provide the Department with the resources that it needs now
to meet this critical patient demand without sacrificing the
care that it provides to all veterans or allowing facility
maintenance to be deferred. The Department reports that 38
percent of the OIF/OEF veterans that have sought care with the
Veterans Health Administration have had a mental condition or
concern and the Department continues to develop initiatives to
improve access. The polytrauma centers provide comprehensive
care to veterans with the most serious cases of Traumatic Brain
Injury (TBI) and they are currently in the process of
increasing their TBI capabilities and developing a screening
process to improve diagnosis. While the Committee commends the
Department for the significant improvements that have been made
to the healthcare delivery system, concerns have been raised
that more needs to be done now to ensure that these veterans
will have timely access to the health care that they need and
that the Veterans Health Administration will not be forced to
meet these urgent medical demands at the cost of quality care
for all veterans. Therefore, the recommendation includes
additional funding to specifically address the healthcare needs
of the OIF/OEF veterans.

Veterans Benefits Administration

COMPENSATION AND PENSIONS

The Committee recommendation includes $20,000,000 for
Compensation and Pensions. The funding provided is to be used
for a pilot program for use of contract physicians for
disability examinations as authorized by law.

Veterans Health Administration

MEDICAL SERVICES

The Committee recommendation includes $414,982,000 for
Medical Services for the Veterans Health Administration. The
amount includes $56,000,000 for prosthetics, $30,000,000 for a
new Level I comprehensive polytrauma center, $100,000,000 to be
available for contract mental health care if appointment
waiting times exceed 30 days and $228,982,000 for treatment of
veterans of the global war on terror.
The devastating impact of improvised explosive devices in
Iraq and Afghanistan has produced unprecedented trauma
resulting in increased amputations and a high frequency of
traumatic brain injury. The Committee includes $30,000,000 for
a new Level I comprehensive polytrauma center. Congress
provided funding in fiscal year 2005 to establish four Level I
comprehensive polytrauma centers, which are located in
Richmond, Virginia; Tampa, Florida; Minneapolis, Minnesota; and
Palo Alto, California. These centers provide a wide-range of
rehabilitative services for both active duty and veterans
suffering from a traumatic brain injury and are critical to
reintegrating the veteran back into the community. The
Committee has included funding to establish a fifth center to
improve access to patients in the center of the United States.
Prosthetics research conducted through the Department and
other research programs has led to vast improvements in the
quality and usefulness of prosthetic devices. The Committee
includes $56,000,000 to allow the Department to maintain an
adequate supply of high quality prosthetics for veterans.
The Committee includes $100,000,000 for contract mental
health services. The Committee has received testimony from the
Department that of the 73,000 veterans having symptoms
consistent with PTSD, 34,000 could have the disorder. In
addition, the Vet Centers have identified 5,000 veterans that
could also suffer from PTSD, for a total of 39,000. For many of
these veterans, receiving treatment closer to home could make
the difference between the veteran actually getting the help
they need or not. The Department has the authority to contract
for healthcare services when they are not available through the
Department's system, therefore, the Committee has included
additional funds to allow the Department to contract for mental
health care if appointment waiting times exceed 30 days or
travel times to care create a negative impact on patient
compliance.
The Committee includes $228,982,000 for medical services
directed to OIF/OEF patients. For fiscal year 2007, the
Department estimates that the number of OIF/OEF patients in the
system will be 209,308. In fiscal year 2006, the VA budgeted
for 110,556 OIF/OEF patients in the system, but the actual
number turned out to be 155,272, a 40 percent increase. While
the Committee understands the Department has revised the model
used to calculate these projections and expects to track their
estimates more closely, the Committee is concerned the model
may still be immature. Therefore, the Committee has included
additional funding to provide a 40 percent contingency. This
will ensure that adequate medical services funding for OIF/OEF
veterans is available if the model assumptions are inaccurate.

MEDICAL ADMINISTRATION

The Committee recommendation includes $256,300,000 for
Medical Administration. The amount provided includes $6,300,000
to support the Department's initiative to establish polytrauma
support clinic teams at each of the Department's 21 regional
health care networks to further improve case management for
veterans with traumatic brain injury or other severe injuries
and illness.
The Committee also includes $250,000,000 for medical
administration to ensure that the Department has sufficient
personnel to support the growing number of OIF/OEF veterans and
to maintain a high level of service to all veterans in the
system.

MEDICAL FACILITIES

The Committee includes $45,000,000 for upgrades to
polytrauma care centers. The Department has four Level I
comprehensive polytrauma care centers and 17 Level II tertiary
polytrauma care centers. These funds are for necessary
upgrades, including equipment upgrades, to make these centers
state-of-the-art facilities.
The recent series of articles by the Washington Post on
deplorable conditions at the Walter Reed Army hospital's annex
make it clear that the American people want those who have
served our nation in the military to be treated professionally
and with dignity and respect when they return from the
battlefield. While the Walter Reed hospital is under the
jurisdiction of the U.S. Army and not the Department of
Veterans Affairs, there are some vital lessons to be learned
from the problems uncovered there. The wars in Iraq and
Afghanistan are resulting in large increases in the number of
veterans needing health care services and this increase is
putting serious pressure on the Department's health care
budgets, which might cause health care facilities to make tough
choices in providing quality health care and services.
The Department has conducted a Facilities Condition
Assessment which identified a total of $5 billion as the
universe of projects needed to correct identified deficiencies
at existing facilities. The Committee is concerned that budget
pressures only exacerbate these deficiencies and therefore
includes $550,000,000 for non-recurring facilities maintenance
and repairs. These funds are provided to address the most
critical of needs such as fire and life safety issues and
accreditation problems, and to enhance clinical capabilities to
reduce wait times. The Department is directed to provide a
report to the Committee on Appropriations within 60 days on a
plan for execution of these funds, designated by facility. The
report shall include the current backlog of non-recurring
maintenance, funding from this appropriation assigned to each
item on the list, and future funding needs in each of the next
three fiscal years. The Department is to provide a quarterly
report detailing the expenditure of these funds.

MEDICAL AND PROSTHETIC RESEARCH

The Committee recommendation includes $35,000,000 for
Medical and Prosthetic Research. The Department is directed to
provide a report to the Committee on Appropriations within 30
days on how it will use this additional funding to address the
most pressing medical and prosthetic research needs arising out
of the Global War on Terrorism.

Departmental Administration

GENERAL OPERATING EXPENSES

The Committee recommendation includes $62,000,000 for
General Operating Expenses for the Veterans Benefits
Administration. The amount provided will enable the Department
to add 757 new full-time equivalent personnel to the 6,425
personnel currently working on direct compensation claims. This
increase will enable the Department to expeditiously handle
claims of veterans returning from Operation Iraqi Freedom/
Operation Enduring Freedom. In addition, the Committee
recommends that up to $1,250,000 of the amount provided be used
for digitization of combat unit records and other records
necessary for researching post-traumatic stress disorder
events.

INFORMATION TECHNOLOGY SYSTEMS

The Committee recommendation includes $35,000,000 for
Information Technology Systems which is to be used for system
development upgrades to address OIF/OEF requirements such as a
program to screen patients for traumatic brain injury and PTSD.

CONSTRUCTION, MAJOR PROJECTS

The Committee recommendation includes $23,800,000 for
Construction, Major Projects. Funding is provided to enable
completion of a spinal cord injury center. This project is
authorized and fulfills the recommendations of the CARES
commission.

CONSTRUCTION, MINOR PROJECTS

The Committee recommendation includes $260,000,000 for
Construction, Minor Projects. This funding is to be used for
high priority projects that are currently unfunded. The
Department is directed to provide a report to the Committee on
Appropriations within 60 days on a plan for execution of these
funds, designated by facility. The Department is to provide a
quarterly report detailing the expenditure of these funds.

CHAPTER 8

DEPARTMENT OF STATE

Administration of Foreign Affairs

DIPLOMATIC AND CONSULAR PROGRAMS

(INCLUDING TRANSFER OF FUNDS)

The Committee recommendation includes $966,954,000 for
Diplomatic and Consular Programs (D&CP;) relating to Iraq,
Afghanistan, ongoing operations in Sudan and public diplomacy,
$53,958,000 above the request. Within the total, $790,641,000
is for necessary expenses for the operations of the United
States Mission in Iraq, of which $380,789,000 is to stand up
new Provincial Reconstruction Teams (PRT's) (including security
costs for the stand-alone PRTs that will not be co-located with
a brigade combat team or on a forward operating base),
$265,827,000 is for ongoing security-related costs of the U.S.
Mission, such as armored vehicles, x-ray machines and personal
protection equipment necessary to support the guard force and
special protective details, $72,505,000 is for logistics
support, $47,646,000 is for Mission operations, $15,000,000 is
for overhead cover and other physical security measures for
facilities, and $8,874,000 is for information technology. Also
included is $102,155,000 for worldwide security upgrades, of
which $82,155,000 is for additional security for State
Department and other U.S. Government personnel operating in
Afghanistan, and $20,000,000 is for high threat protection for
State Department officials in Sudan. Finally, $24,158,000 is
for ongoing D&CP; operations, of which $20,000,000 is to expand
public diplomacy international information programs to combat
violent extremism, $2,000,000 is for the Bureau of Intelligence
and Research to augment timely and efficient electronic
dissemination of intelligence to diplomatic customers,
$1,900,000 is to support increased costs associated with
diplomatic efforts in Sudan, and $258,000 is for transfer to
the United States Commission on International Religious
Freedom.
In addition, the Committee recommendation includes
$50,000,000 to establish and maintain a civilian reserve corps.
The civilian corps will provide a reserve of police and experts
in rule of law, infrastructure, essential services, and civil
administration to augment the capability of the Department of
State and USAID to address basic security, governance and
infrastructure issues. This funding will provide for a
management structure within the State Department to recruit,
train, equip and maintain the reserve corps, including
necessary costs for personnel, information technology, and
interagency integration. The recommendation also provides that
these funds are available contingent upon authorization.
The Committee appreciates the importance of providing
sufficient funding to cover the operational and security
requirements of those carrying out the diplomatic and
reconstruction mission in Iraq. However, the delay in the
submission of material in justification of the request made it
extremely difficult to assess the adequacy of the requested
amounts. Furthermore, the Committee understands that on
February 22, 2007, the Deputy Secretary of State and the Deputy
Secretary of Defense finalized a Memorandum of Agreement (MOA)
specifying operational requirements, authorities, and
responsibilities shared between the U.S. Mission-Iraq and the
Multi-National Forces-Iraq. While the Committee welcomes the
conclusion of the agreement, this lag in finalizing the MOA
effectively held-up critical security funding provided by this
Committee on an emergency basis last spring, and potentially
limited the ability of the existing Provincial Reconstruction
Teams to carry out their mission. This is not an acceptable way
to conduct operations.
Therefore, the Committee recommendation includes a proviso
withholding from obligation $395,000,000 of the amount provided
within Diplomatic and Consular Programs for Iraq operations
until the Committee on Appropriations receives and approves a
detailed plan for expenditure of the funds available for Iraq
operations, including the U.S. Mission's operation
requirements, the ongoing operations of the existing Provincial
Reconstruction Teams, and the costs of establishing,
supporting, and securing the new Provincial Reconstruction
Teams. The plan is to be prepared by the Secretary of State and
submitted within 60 days after the date of enactment of the
Act. The plan should include all funds available in fiscal year
2007 for Iraq operations, including unobligated funds from the
Emergency Supplemental Appropriations Act for Defense, the
Global War on Terror, and Hurricane Recovery, 2006.
The Committee recommendation does not include the salaries
and allowances for new domestic staff positions and the
$4,000,000 requested to lease additional space for domestic
staff associated with Iraq ``surge activities.''
The Committee understands that to fully staff the new
Provincial Reconstruction Teams will require the Department of
State to recruit specialized technical personnel, such as
irrigation specialists, veterinarians, and agribusiness
developed experts. In many instances, these personnel will come
from other U.S. Government agencies. The Committee intends that
a portion of the funds provided be available to reimburse other
U.S. Government civilian agencies for the salaries and
allowances of their personnel serving in Iraq, including those
of contractor employees.
The Committee directs the Department, no later than 45 days
after the date of enactment of this Act, to provide a report to
the Committee detailing the planned expenditures, by category,
of funds available in fiscal year 2007 for public diplomacy
activities aimed at combating violent extremism under this
heading.

OFFICE OF THE INSPECTOR GENERAL

(INCLUDING TRANSFER OF FUNDS)

The Committee recommendation includes $46,800,000 under
this heading, of which $1,300,000 is provided to the Department
of State Office of Inspector General for salaries and expenses
related to programs in Iraq and $45,500,000 is for transfer to
the Special Inspector General for Iraq Reconstruction (SIGIR)
for reconstruction oversight. Within the total to be
transferred to SIGIR, $35,000,000 is for salaries and expense
contract costs for the SIGIR and $10,500,000 is for the
forensic audit report required under section 2 of Public Law
109-440.

EDUCATIONAL AND CULTURAL EXCHANGE PROGRAMS

The Committee recommendation includes $20,000,000 for
Educational and Cultural Exchange Programs for expanded
academic programs and professional and cultural exchanges aimed
at combating violent extremism. Within the total, $10,600,000
is for academic programs, $8,200,000 is for professional and
cultural exchanges, and $1,200,000 is for costs associated with
program operations.
The Committee directs the Department, no later than 45 days
after the date of enactment of this Act, to provide a report to
the Committee detailing the planned expenditures, by category,
of funds available in fiscal year 2007 for combating violent
extremism under this heading.

International Organizations

CONTRIBUTIONS FOR INTERNATIONAL PEACEKEEPING ACTIVITIES

The Committee recommendation includes $288,000,000 for
assessed costs of U.N. peacekeeping operations. Within the
total, $184,000,000 is for the U.N. Interim Force in Lebanon
(UNIFIL), $16,000,000 is for the U.N. Mission to Timor Leste
(UNMIT), and $88,000,000 is for a potential mission in Chad.
The Committee has not included language requested by the
Administration under Peacekeeping Operations to transfer funds
from voluntary peacekeeping to assessed costs of U.N.
Peacekeeping Missions. The Committee urges the Administration
to submit a budget amendment if additional funding is required
to meet future U.N. mission requirements.

RELATED AGENCY

Broadcasting Board of Governors

INTERNATIONAL BROADCASTING OPERATIONS

The recommendation includes $10,000,000 for international
broadcasting operations. The additional funds will be used to
create a three-hour daily program aimed at significantly
expanding the audience reach of Alhurra in the Middle East.

BILATERAL ECONOMIC ASSISTANCE

FUNDS APPROPRIATED TO THE PRESIDENT

United States Agency for International Development

CHILD SURVIVAL AND HEALTH PROGRAMS FUND

The recommendation includes $161,000,000, as requested.
Funding will be used to maintain and expand efforts to detect,
prevent and control the spread of the avian influenza virus and
pre-empt the emergence of a virus capable of causing a global
influenza pandemic. These funds will augment the $30,000,000
already available in fiscal year 2007 for a total program level
of $191,000,000. Within the total, $161,000,000 is for
solidifying gains made in fiscal year 2006 and allowing for
expanded application of the core action areas of the U.S.
Government's Implementation Plan to the National Strategy for
Pandemic Influenza and $40,000,000 is available for new high
priority activities, including Pandemic Readiness/Humanitarian
Response Planning aimed at high risk countries in South Asia,
Africa, Latin America, and the Caribbean.
The Committee directs the Department, no later than 45 days
after the date of enactment of this Act, to provide a report to
the Committee detailing the planned expenditures, by category,
of funds available to United States Agency for International
Development and the Department of State in fiscal year 2006 and
2007 for avian influenza.

INTERNATIONAL DISASTER AND FAMINE ASSISTANCE

The Committee recommendation includes $135,000,000 for
International Disaster and Famine Assistance, which is
$30,000,000 above the request. Within the total, $40,000,000 is
to ensure the continued ability to provide humanitarian
assistance to 1.9 million internally displaced persons (IDP's)
and host communities in the more than 60 IDP camps in Sudan,
and $75,000,000 is to meet unanticipated humanitarian
assistance needs, as well as to replenish costs incurred as a
result of humanitarian crises in Iraq.
The Committee is concerned with growing instability in Chad
and the Central African Republic. The Committee requests that
the Department of State and USAID consult with the Committee
not later than 30 days after the date of enactment of this Act
on United States programs to address humanitarian concerns in
these countries.
The Committee supports a peaceful resolution to the
conflict in northern Uganda and urges the Department of State
to work with the rest of the international community to promote
progress towards a truly sustainable peace in Uganda using all
appropriate diplomatic, logistical, and financial tools
available to ensure negotiations between the Government of
Uganda and the Lord's Resistance Army (LRA) continue. Any
resumption of hostilities would lead to intensified insecurity
and further deterioration of the already egregious humanitarian
conditions in Uganda, Sudan, Democratic Republic of the Congo,
and Central African Republic.

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR INTERNATIONAL
DEVELOPMENT

The Committee recommendation includes $10,700,000 for
operating expenses of the United States Agency for
International Development (USAID). The additional funds are
required to cover the increased security and other operating
costs associated with USAID personnel in Afghanistan.

OPERATING EXPENSES OF THE UNITED STATES AGENCY FOR INTERNATIONAL
DEVELOPMENT OFFICE OF INSPECTOR GENERAL

The Committee recommendation includes $3,500,000 for
operating expenses of the United States Agency for
International Development Inspector General, of which
$2,000,000 is for the additional expenses associated with
oversight of the expanded programs in Afghanistan.

Other Bilateral Economic Assistance

ECONOMIC SUPPORT FUND

The Committee recommends a total of $2,953,000,000 for
Economic Support Fund (ESF) relating to Iraq, Afghanistan,
Lebanon, Liberia, and the Democratic Republic of Congo.

IRAQ

The Committee includes $1,877,000,000 for ESF in Iraq, a
reduction of $185,000,000 from the request. Funds provided for
Iraq are to be allocated as follows:

[Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
Committee Change from
Activity Request Recommendation Request
----------------------------------------------------------------------------------------------------------------
Security:
Provincial Reconstruction Teams (PRTs)............. 720,000 620,000 -100,000
Local Governance Program........................... 100,000 100,000 0
Community Stabilization Program (CSP).............. 384,000 354,000 -30,000
Community Action Program (CAP)..................... 50,000 75,000 25,000
--------------------------------------------------------
Subtotal Security.................................. 1,254,000 1,149,000 -105,000
Economic:
Private Sector Agribusiness Development............ 75,000 75,000 0
Strengthen Financial Markets....................... 12,500 12,500 0
Financial Market Development....................... 12,500 12,500 0
--------------------------------------------------------
Subtotal Economic.............................. 100,000 100,000 0
Political:
National Capacity Development...................... 180,000 160,000 -20,000
Policy, Subsidy, Legal and Regulatory Reform....... 110,000 90,000 -20,000
Democracy Activities............................... 428,000 388,000 -40,000
Subtotal Political............................. 718,000 638,000 -80,000
--------------------------------------------------------
Total, ESF......................................... 2,072,000 1,887,000 -185,000
----------------------------------------------------------------------------------------------------------------

Provincial Reconstruction Teams (PRTs).--Within the amount
provided for Iraq, $620,000,000 is made available for PRTs, a
reduction of $100,000,000 from the request.
The Committee notes that the PRT program has been ongoing
for more than one year. Many obstacles remain, such as the
unstable security situation; the difficulty of integrating
civilian and military personnel; and problems in recruiting and
retraining qualified civilian personnel. The tactical shifts
detailed in the President's surge announcement of January 10,
2007 include the doubling of PRTs and PRT civilian personnel in
Iraq and the integration of PRTs and brigade combat teams
(BCTs) in most areas.
Local Governance Program (LGP).--Within the amount made
available in ESF for Iraq, $100,000,000, as requested, is
provided for LGP. The Committee recognizes the work the United
States Agency for International Development has done to build
the capacity of local governments to provide essential
services.
Community Stabilization Program (CSP).--The Committee notes
that the United States Agency for International Development has
entered into a competitively awarded Agreement with
International Relief and Development (IRD) to implement the
CSP. The Committee supports the work CSP does directly with
community groups, local government officials, and PRTs in the
development and implementation of activities that foster more
productive and peaceful communities by offering disincentives
to engage in violence. Within the amount provided in ESF for
Iraq, $354,000,000 is available for CSP, a reduction of
$30,000,000 from the request. This reduction was made without
prejudice.
Community Action Program (CAP).--Within the amount provided
in ESF for Iraq, $75,000,000 is made available for CAP, an
increase of $25,000,000 above the request. The Committee notes
that CAP is the only program of its kind to operate outside the
``green zone'' in Iraq. By working at the community level the
CAP program directly engages Iraqis in reconstructing their own
communities; creating employment; and building nation-wide
grassroots constituency for democracy.
Private Sector Agribusiness Development.--Within the amount
provided in ESF for Iraq, $75,000,000, as requested, is
provided for Agribusiness Development.
Strengthen Financial Markets.--The Committee recommendation
for ESF in Iraq includes $12,500,000, as requested, for
expansion of micro-credit to expand capital markets.
Financial Market Development.--Within the amount
appropriated in ESF for Iraq, $12,500,000, as requested, is
provided for training and financial and technical support.
National Capital Development (NCD).--Within the amount
provided in ESF for Iraq, $160,000,000, a reduction of
$20,000,000 from the request, is provided for NCD. The
Committee recommendation includes $40,000,000 for a training
program for 10 key ministries; $12,000,000 for a scholarship
program; $8,000,000 for anti-corruption program; $25,000,000
for public management advisors in key ministries; $3,000,000
for self-assessment capacity development; $26,000,000 to
support a national training center; $31,000,000 for support to
four regional training centers; and $15,000,000 for assistance
to Iraqi universities to establish public administration
program.
Policy, Subsidy, Legal, Regulatory & Transparency
Reforms.--Within the amount provided in ESF for Iraq,
$90,000,000, a reduction of $20,000,000, is provided for
Policy, Subsidy, Legal, Regulatory & Transparency Reforms. The
Committee recommendation includes $35,000,000 for Financial
Management Information System (FMIS) and SBA; $35,000,000 is
for assistance drafting laws and regulations; and $20,000,000
is for the establishment of an investment promotion agency and
WTO activities.
Democracy and Civil Society Activities.--The Committee
recommendation provides $388,000,000, a reduction of
$40,000,000 from the request for Democracy and Civil Society
activities. The Committee directs that the Department of State
and the United States Agency for International Development, in
consultation with the Committee, submit a spending plan and
strategy no later than 45 days after the date of enactment of
this Act. The spending plan shall include the specific amounts
intended for nongovernmental organizations and the proposed
activities. The plan shall also provide a detailed strategy for
democracy and civil society activities in Iraq with objectives
and benchmarks to measure success.
The Committee is encouraged by the Secretary of State's
announcement on February 27, 2007, of a new diplomatic
initiative relating to Iraq and its immediate neighbors. The
Committee agrees with the stated desire that all governments
seize this opportunity to improve relations with Iraq and work
for peace and stability in the region. The Committee strongly
encourages the Administration to apply this diplomatic
initiative to all aspects of U.S. policy in the Middle East.
The Committee notes that the January 2007 National
Intelligence Estimate on Iraq concludes that a ``bottom-up
approach'', including working more directly with neighborhood
watch groups and establishing grievance committees, could help
to reverse Iraq's continued instability. The Community Action
Program, the Community Stabilization Program, rule of law, and
democracy programs aim to foster such localized developments.
However, the Committee recognizes that several ongoing
contracts predate the explosion of sectarian violence a year
ago. The Committee strongly recommends that the United States
Agency for International Development (USAID) and the Department
of State evaluate whether current programs adequately reflect
the growing inter-sectarian and inter-communal violence. Where
appropriate, USAID and the Department of State should
strengthen alternative dispute resolution mechanisms between
tribal and religious groups.
The Committee is concerned regarding reports of U.S.
reconstruction and relief assistance in Iraq not reaching all
segments of the Iraq population, particularly minority
populations. The Committee has heard reports of villages in the
Nineveh Plain region not receiving assistance. Therefore, the
Committee directs the Secretary of State to report no later
than 45 days after the date of enactment of this Act on the
ethnic and geographic distribution of U.S. assistance programs
and specifically a report on all U.S. assistance reaching the
Nineveh Plain region.

``NEW DIPLOMATIC OFFENSIVE'' FOR IRAQ AND THE REGION

Along with the redeployment of United States Armed Forces
provided for in section 1904, the Committee expects the
President to pursue the diplomatic strategy, entitled ``The
External Approach: Building an International Consensus,''
recommended by the Iraq Study Group in its December 2006 report
on Iraq. This strategy calls upon the United States to pursue a
comprehensive ``New Diplomatic Offensive'' designed to build an
international consensus and support structure for stability in
Iraq and the surrounding region. The ``New Diplomatic
Offensive'' is to engage all of Iraq's neighbors, and address
all the ``key issues'' in the Middle East, including not just
the situation in Iraq, but also in Lebanon, Syria, and Iran, as
well as the Israel-Palestine conflict. Importantly, as part of
the ``New Diplomatic Offensive'', the United States is to
initiate a constructive diplomatic engagement with Iran and
Syria.
The Committee supports this recommendation of the Iraq
Study Group and urges the President to pursue it aggressively.

AFGHANISTAN

The Committee recommends funding for Afghanistan programs
at $743,000,000, which is $90,000,000 above the request. The
Committee notes that the increase is provided to PRTs and rural
development. Funds are appropriated as follows:

The Committee is concerned that Taliban and Al Qaeda backed
insurgents have stepped up the frequency and intensity of
attacks in Afghanistan. Recent years have brought record
harvests of opium poppies, proceeds of which finance terrorist
groups in Pakistan. The Committee is increasing support for
PRTs and for rural development in Afghanistan as two mechanisms
for extending the reach of government and providing assistance
in the provinces. While the Committee understands that
expanding the network of roads is a central component of the
United States strategy for reconstruction and stabilization,
the Committee believes there should be greater investment by
other donors in infrastructure programs.

LEBANON

The Committee recommendation includes $300,000,000 in ESF
for Lebanon, of which $250,000,000 is for cash transfer
assistance, as requested. The Committee is concerned about the
recent trend of providing foreign assistance through budgetary
support or cash transfers and believes that such assistance
should be used infrequently and with extraordinary measures to
ensure accountability and impact. Such concerns are exacerbated
with respect to Lebanon due to the presence of members of
Hezbollah in the government of Lebanon. The Committee
understands that cash transfer assistance for Lebanon is to be
used for debt relief. The Committee therefore strongly
recommends that cash transfer assistance for Lebanon be used to
directly pay creditors rather than to provide direct budget
support to the Government of Lebanon.
The Committee intends that within the funds made available
under ESF for FY 2007 (including funds made available pursuant
to P.L. 110-5) that not less than $10,000,000 should be made
available for scholarships and direct support of American
educational institutions in Lebanon.

LIBERIA

The Committee recommends $5,000,000 in ESF for Liberia to
support executive protection.

DEMOCRATIC REPUBLIC OF CONGO

The Committee recommendation includes $15,000,000 for ESF
programs within the Democratic Republic of Congo to help secure
the peace, to expand government capacity, and to promote
disarmament, demobilization, and reintegration (DDR).

SIERRA LEONE

The Committee recommendation includes an additional
$3,000,000 under this heading to support operations of the
Special Court for Sierra Leone. These funds are in addition to
the $13,000,000 available in fiscal year 2007 for the Court.

Assistance for Eastern Europe and the Baltic States

The recommendation includes $239,000,000 for Assistance for
Eastern Europe and the Baltic States, a reduction of
$40,000,000 from the request. The Committee directs that not
later than 45 days after the date of enactment of this Act, the
Department of State shall report on the outcome of the Kosovo
Donors Conference. This report should include a comprehensive
list of the amount of funds pledged by the United States as
well as other donor nations and organizations. The Committee
notes that any such support pledged by the United States is
subject to the availability and approval of funds.

DEPARTMENT OF STATE

International Narcotics Control and Law Enforcement

The Committee recommendation provides $334,500,000 for
International Narcotics Control and Law Enforcement Activities
in Iraq and Lebanon. Within the total, $180,000,000 is for
criminal justice development and rule of law programs in Iraq,
$94,500,000 is for programs in Afghanistan and $60,000,000 is
to support the Internal Security Forces (ISF) in Lebanon.

IRAQ

Funds provided for Iraq are to be allocated as follows:

[Dollars in thousands]

[Dollars in thousands]
----------------------------------------------------------------------------------------------------------------
Committee Change from
Activity Request recommendation request
----------------------------------------------------------------------------------------------------------------
Rule of Law/Outreach................................... 5,600 5,600 0
Justice Integration of Police, Corrections & Courts.... 25,000 25,000 0
Anticorruption/Public Integrity Program and Civil 21,000 21,000 0
Society...............................................
Legal framework........................................ 2,000 2,000 0
Courts, the Judiciary & Public Prosecutor.............. 58,000 58,000 0
Major Crimes Taskforce................................. 11,000 11,000 0
Corrections Advisors and Facilities Construction/ 70,400 50,400 -20,000
Renovation............................................
INL Administrative Expenses............................ 7,000 7,000 0
--------------------------------------------------------
Total, INCLE:...................................... 200,000 180,000 -20,000
----------------------------------------------------------------------------------------------------------------

In order to respond to the rapidly evolving situation in
Iraq, the Committee is providing $180,000,000 to help the
Iraqis develop the institutional and societal frameworks
necessary for rule of law to take hold, while simultaneously
addressing the immediate problems of the Iraqi criminal justice
system. The Committee supports the goal of creating a criminal
justice system that is fair, efficient, and effective to
provide the Iraqi people with an alternative to other more
violent means to resolve their disputes. To these ends the
Committee recommendation includes:
Corrections Advisors and Prison Construction.--Within the
amount provided not more than $32,500,000 is made available for
employment costs for not more than 80 correctional advisors and
$17,900,000 is provided to design and construct facilities to
expand the bed capacity of the Iraq Corrections Service (ICS).
Courts, the Judiciary, and Public Prosecutors.--The
Committee notes that judges, court-staff, witnesses, and
attorneys, all face a serious threat of physical harm by
participation in the legal process and that justice will not be
achieved without freedom from fear of retribution. Within the
amount provided the Committee has made available not more than
$58,000,000, as requested, for bolstering court and judicial
security, providing technical assistance to judges, prosecutors
and court investigators, and assisting court personnel in
rules, processes and administrative practices.
Criminal Justice Integration.--Within the amount provided
not more than $25,000,000, as requested, may be available to
support the integration of the justice system (police, courts,
and prisons) in additional locations outside of Baghdad.
Anticorruption/Public Integrity Program and Civil
Society.--Within the amount provided not more than $21,000,000,
as requested, is for anticorruption efforts.
Major Crimes Taskforce.--Within the funds provided, not
more than $11,000,000, as requested, may be made available to
build Iraqi capacity to investigate insurgent and other serious
criminal activity.
Rule of Law/Outreach.--Within the amount provided not more
than $5,600,000, as requested, may be available to promote
access to the criminal justice system by funding Resident Legal
Advisors (RLAs) and Rule of Law Advisors (RoLAs) to Provincial
Reconstruction Teams (PRTs).
Legal Framework.--Within the amount provided, not more than
$2,000,000, as requested, is available to support Iraqi
legislative initiatives to strengthen the judiciary and reform
the criminal procedure and penal codes.
Administrative Expenses.--Within the funds provided, not
more than $7,000,000, as requested, is recommended for
administrative expenses.

AFGHANISTAN

The recommendation includes $94,500,000 to accelerate and
expand programs to strengthen counternarcotics efforts, to
improve the training of the Afghan police, and to advance the
development of institutional capacity and professionalism of
the permanent justice institutions. No additional funding was
requested in this account for these activities. However the
Committee believes they are an essential component of any
strategy for stabilizing and strengthening the Government in
Afghanistan. The Committee directs the Department, no later
than 45 days after the date of enactment of this Act, to
provide a report to the Committee detailing the planned
expenditures, by category, of all funds available in fiscal
year 2007 for INCLE activities in Afghanistan.

LEBANON

The Committee provides a total of $60,000,000 in non-lethal
assistance for Lebanon, of which $36,500,000 is for training of
the Internal Security Forces; $19,500,000 is for equipment
including individual supplies for 9,000 new recruits, 300
unarmored SUVs, computers, and radio gear; and $4,000,000 is to
refurbish 35 police stations, 4 police academies and a command
and control center.

Migration and Refugee Assistance

The recommendation includes $111,500,000 for Migration and
Refugee Assistance, which is $40,000,000 above the request. The
Committee recommendation includes $15,000,000 requested to meet
the needs of Iraqi refugees. However the Committee understands
that additional funds may be needed if the influx of Iraqi
refugees in neighboring countries increases. The Committee
provides $96,500,000 in additional funds to meet unforeseen
requirements. The Committee is becoming increasingly concerned
about the slow return of refugees to Burundi and the DRC and
has provided additional funding to expedite the efforts. The
Committee recognizes the growing humanitarian needs of
Palestinian refugees in the West Bank and Gaza. Furthermore,
the Committee recognizes UNRWA will likely continue as a
principle channel of support to Palestinian refugees. However,
the Committee is concerned by the financial accounting
deficiencies reported in UNRWA's 2005 biennium audit conducted
by the UN Board of Auditors and asks the Secretary to report on
the corrective measures taken by UNRWA.

United States Emergency Refugee and Migration Assistance Fund

The recommendation includes $35,000,000 for Emergency
Refugee and Migration Assistance to address unanticipated
emergency humanitarian needs in places such as Somalia, Chad,
Sri Lanka, and Iraq. The additional funding is also needed to
support contingency planning to address increased Darfur
refugee outflows from Chad.

Nonproliferation, Antiterrorism, Demining and Related Programs

The Committee recommendation includes $87,500,000 for
Nonproliferation, Anti-Terrorism, Demining and Related
Programs. This level is $60,000,000 above the request. Within
the total, $5,500,000 is to support a terrorist interdiction
program in Lebanon, $15,000,000 is to continue in-country
support for the protection of Afghan President Karzai,
$7,000,000 is for humanitarian de-mining in Iraq, and
$60,000,000 is for border security activities in Jordan.

DEPARTMENT OF THE TREASURY

International Affairs Technical Assistance

The recommendation includes $2,750,000 for International
Affairs Technical Assistance. These funds are to continue the
Department of the Treasury's engagement with the Government of
Iraq on matters related to banking and budget execution.

Military Assistance

Funds Appropriated to the President

FOREIGN MILITARY FINANCING PROGRAM

The Committee recommends $260,000,000 for Foreign Military
Financing Program. The recommendation includes $220,000,000, as
requested, for Lebanon and $40,000,000 for Jordan.

PEACEKEEPING OPERATIONS

The Committee recommends $225,000,000 for Peacekeeping
Operations. This level is $53,000,000 below the request. Within
the total, the Committee provides $40,000,000 to assist in
deploying a regional stabilization and peacekeeping force in
Somalia as requested and $150,000,000 as requested for the
Africa Union Mission in Sudan (AMIS) for construction,
operation and maintenance of base camps, strategic airlift,
training and equipping of AMIS troops, and maintenance of
vehicles and communications equipment. The Committee
recommendation also includes $35,000,000 in funding for
security sector reform in Liberia. The Committee's
recommendation includes the $88,000,000 requested for a
possible peacekeeping mission in Chad under the Contributions
for International Peacekeeping Activities (CIPA) account.
The Committee does not include the requested transfer
authority to allow funds to be transferred between the
voluntary Peacekeeping Operations (PKO) account and the CIPA
account. The Committee notes that the FY 2008 budget does not
include a request for AMIS. The Committee is concerned that the
Administration has not adequately planned for future
peacekeeping activities in Sudan/Darfur in FY 2008 and urges
the Secretary of State to work with the Office of Management
and Budget to submit a budget amendment for FY 2008 addressing
these urgent needs.
The Committee recommends that the African Union Peace and
Security Council and the African Union Mission in Sudan (AMIS)
Field Commander interpret the AMIS mandate fully and robustly
to ensure not only that monitoring and reporting security
incidents occur, but that AMIS works proactively to secure the
areas in which it is deployed and ensures that civilians and
humanitarian workers are protected. The Committee directs the
Department of State to report to the Committee on efforts made
towards this end. Included in this report shall be a clear
timeline for the transition to a hybrid force and deployment of
a full and robust peacekeeping mission under United Nations
Security Council command and control. This report shall include
specific benchmarks for measuring progress towards this end.

General Provisions--This Chapter

Sec. 1801. The Committee recommendation amends the
authority of the Special Inspector General for Iraq
Reconstruction to include funds appropriated for Iraq
reconstruction in fiscal years 2006, 2007 or 2008 in
calculating the termination date of the SIGIR. The Committee
intends that funds appropriated in this Act for Iraq
reconstruction should be under the oversight jurisdiction of
the SIGIR.
Sec. 1802. The Committee recommendation includes a general
provision setting forth the limitations outlined below on
assistance for Lebanon:
(a) The Committee recommendation directs that no funds
provided in this Act for cash transfer assistance to Lebanon be
made available for obligation until the Secretary of State
reports to the Committees on Appropriations on the Memorandum
of Agreement between the United States and the Government of
Lebanon on Lebanon's economic reform plan and the benchmarks
upon which cash transfer assistance will be conditioned. The
Committee further directs the Secretary to report on the
procedures in place to ensure that no funds are provided to any
individuals or organizations that have any known links to
terrorist organizations including Hezbollah, and mechanisms to
monitor the use of the appropriated funds.
(b) The recommendation directs that no military assistance
or international narcotics control and law enforcement
assistance be made available for obligation until the Secretary
of State reports to the Committees on Appropriations on the
vetting procedures in place to determine eligibility to
participate in U.S. training and assistance programs funded
under these accounts.
(c) The Committee is concerned that the government of
Lebanon has not fully implemented Section 14 of UN Security
Council Resolution 1701 and is concerned about reports of
continuing arms shipments from Syria into Lebanon. Therefore,
the Committee requests a report from the Secretary of State no
later than 45 days after enactment of this Act detailing what
steps the Government of Lebanon and UNIFIL have taken to
implement the actions outlined in the resolution.

CHAPTER 9

General Provisions--This Title

Sec. 1901. The Committee recommendation includes a
provision requiring the Defense Department to abide by its
current policy, requiring the chief of the military department
concerned to determine that a unit is ``fully mission capable''
before it is deployed to Iraq. The President may waive this
provision by submitting a report to Congress detailing the
particular reason or reasons why the unit's deployment is in
the interests of national security despite the chief of the
military department's assessment that the unit is not fully
mission capable.
Sec. 1902. The Committee recommendation includes a
provision requiring the Defense Department to abide by its
current policy and avoid extending the deployment of units in
Iraq in excess of 365 days for the Army and 210 days for the
Marines. The President may waive this provision by submitting a
report to Congress detailing the particular reason or reasons
why the unit's extended deployment is in the interests of
national security.
Sec. 1903. The Committee recommendation includes a
provision requiring the Defense Department to abide by its
current policy and avoid sending units back into Iraq before
troops get the required ``time out of the combat zone'' and
training time. The President may waive this provision by
submitting a report to Congress detailing the particular reason
or reasons why the unit's early redeployment to Iraq is in the
interests of national security.
Sec. 1904. The Committee recommendation includes a
provision that sets the conditions and a specific timetable for
ending U.S. involvement in the Iraqi Civil War. By July 1,
2007, the President has to determine and report to Congress
whether Iraq is making substantial progress on specific
military, security, economic, and political benchmarks. If the
President does not make the determination, U.S. troops must be
redeployed out of Iraq by the end of December 2007.
By October 1, 2007, the President must certify that Iraq
has met certain concrete and verifiable objectives to reform
its political and economic system. If the President does not
make this certification, U.S. troops must be redeployed by the
end of March 2008, consistent with the timeline of the Iraq
Study Group. In addition, the bill fences 50 percent of certain
Iraqi reconstruction funds provided in this bill until the
certification is made. If the President is able to make the
required determinations and certification on time, the deadline
for redeploying troops out of Iraq is the end of August 2008.
The provision allows funds to be used to plan and execute a
safe and orderly transition from the military's current combat
mission to a significantly reduced role. After troops have been
redeployed, their military role in Iraq would be limited to
protecting American diplomatic facilities and American
citizens, including members of the U.S. armed forces; serving
in roles consistent with customary diplomatic positions;
engaging in targeted special actions limited in duration and
scope to killing or capturing members of al-Qaeda and other
terrorist organizations with global reach; and training members
of the Iraqi Security Forces.
Sec. 1905. Coordinator for Iraq Assistance.--The Committee
directs that the President appoint a Coordinator for Iraq
Assistance within 30 days of the date of enactment of this Act.
The Committee is concerned with the inability of executive
branch agencies in Iraq to develop and implement an overall
strategy for political, economic and military assistance. The
new coordinator is intended to bring a unity of effort,
coordination of assistance programs and policy coherence among
all agencies of the United States Government implementing
assistance programs in Iraq. The Committee expects that the new
coordinator will report directly to the President on the status
and progress of U.S. assistance programs in Iraq as well as
monitor the allocation and expenditure of Iraqi Government
resources for reconstruction programs.
The Committee intends that the Coordinator of Iraq
Assistance will act as the principal point of contact on the
overall reconstruction efforts; coordinate with other donors
and international organizations providing assistance to Iraq;
ensure adequate management and accountability of U.S.
assistance programs for Iraq; and resolve policy and program
disputes among United States Government agencies implementing
assistance programs in Iraq.
Sec. 1906. The Committee recommendation includes a
provision that prohibits the use of funds in this or any other
Act to close Walter Reed Army Medical Center.
Sec. 1907. The Committee recommendation includes a
Congressional pledge to fully support members of the U.S. Armed
Forces in harm's way.
Sec. 1908. The Committee recommendation includes a sense of
Congress regarding the President as the Commander in Chief and
Congressional power to declare war.
Sec. 1909. The Committee recommendation includes a sense of
Congress regarding the conduct of the war in Iraq by U.S.
commanders.

TITLE II--ADDITIONAL HURRICANE DISASTER RELIEF AND RECOVERY

Funding in this title provides continuing support for
Hurricane Disaster Relief and Recovery. One of the groups that
have been most adversely affected are the children in the Gulf
Coast region. The committee recommends providing additional
funding of $4,310,000,000 to the Disaster Relief Fund. This
will help to continue to address the needs of the estimated
372,000 students affected by Hurricane Katrina. The Disaster
Relief Fund includes support for public assistance grants to
repair and reconstruct school buildings, replace contents in
schools including books and desks, and provide portable
classrooms. A provision included in this legislation mandates
that the full cost of the assistance already provided to
affected States is borne by the federal government.
The supplemental provides $30,000,000 in emergency
assistance for the public elementary and secondary schools most
severely impacted by the 2005 Gulf Coast hurricanes in order to
help them recruit and retain high quality classroom teachers
for the children returning to these communities.
The supplemental also extends the availability of
$550,000,000 in emergency funds provided for the title XX
Social Services Block Grant in 2006 that will otherwise expire
on September 30, 2007. A portion of these funds will be used to
provide behavioral health services, foster care, protective,
and day care services for children.

CHAPTER 1

DEPARTMENT OF AGRICULTURE

General Provisions

Sec. 2101. Language regarding livestock is included.
Sec. 2102. Language regarding irrigated crops is included.
Sec. 2103. Language regarding citrus is included.

CHAPTER 2

DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

OPERATIONS, RESEARCH, AND FACILITIES

The recommendation provides $120,000,000 to the National
Oceanic and Atmospheric Administration (NOAA) for disaster
recovery from the effects of Hurricane Katrina on fishing
industries in the Gulf Region. Within the amount provided,
funding should be made available to the NOAA's Office of Coast
Survey and the Office of Response and Restoration to conduct
scanning and mapping of traditional fishing grounds as well as
to provide marine debris removal. Further, disaster relief
funding is to be made available for fishermen, fish processors,
and related businesses serving the fishing industry, including
for personal assistance, vessel recovery, fishing
infrastructure, or other disaster associated needs. The
Committee directs the Department of Commerce to notify the
Appropriations Committee on the allocation of funds provided
under this heading for the above activities no later than 15
days prior to obligation of such funds.

National Aeronautics and Space Administration

EXPLORATION CAPABILITIES

The recommendation also provides $35,000,000 for risk
mitigation projects at the Stennis facility.

GENERAL PROVISION--THIS CHAPTER

The recommendation includes transfer language to pay back
$47,600,000 loaned from Shuttle/International Space Station
(ISS) programs which have already been obligated.

CHAPTER 3

DEPARTMENT OF DEFENSE--CIVIL

DEPARTMENT OF THE ARMY

Corps of Engineers--Civil

CONSTRUCTION

Funds totaling $37,080,000 are provided to reduce the risk
of hurricane and storm damage to the Mississippi Coastal area
as outlined in the Mississippi Coastal Improvements Project,
Hancock, Harrison, and Jackson Counties, Mississippi, Interim
Report dated December 31, 2006. The funds provided are for the
project elements that contribute most directly to hurricane and
storm damage reduction in the three counties included in the
study area. Funds provided under this heading are subject to
authorization.

FLOOD CONTROL AND COASTAL EMERGENCIES

Funds totaling $1,300,000,000 are provided to continue
repairs and accelerate completion of flood and storm damage
reduction projects in the greater New Orleans area. These
projects are to be funded at full Federal expense.
Public Law 109-148, the third emergency supplemental
appropriations act of 2006, provided funds to repair and
restore hurricane damaged projects and to accelerate completion
of the New Orleans area flood and storm damage reduction
projects to the level of protection that was authorized prior
to Hurricane Katrina. However, the magnitude of the effort
required to provide the pre-Katrina authorized level of
protection is now recognized to be much greater than originally
anticipated, and the funding provided previously is
insufficient to complete the work.
The funds in this chapter are provided to achieve the pre-
Katrina authorized level of protection for the West Bank and
Vicinity project as well as make progress toward providing pre-
Katrina authorized protection for the remaining portions of the
Lake Pontchartrain and Vicinity project.

General Provision--This Chapter

Additionally, a provision is included to allow the
expenditure of up to $650,000,000 of funding that remains
unobligated from the fourth emergency supplemental
appropriations act of 2006 (Public Law 109-234) to provide
additional funding for flood protection on the Inner Harbor
Navigation Canal. This provision, in addition to the amount
originally provided in the fourth emergency supplemental, will
provide the full funding necessary to complete the authorized
protection for the Lake Pontchartrain and Vicinity project.

CHAPTER 4

SMALL BUSINESS ADMINISTRATION

Disaster Loans Program Account

The Committee recommends $25,069,000, for administrative
expenses for the Disaster Loan Program Account. This amount
will bring the total for administrative expenses for this
account to $140,000,000 for fiscal year 2007, which is the
amount the Administrator of the Small Business Administration
(SBA) has estimated as needed in a letter to the Committee.
The Committee is supportive of ensuring that the Disaster
Loan Program has sufficient funds to administer loans related
to recent disasters, including hurricanes Katrina, Rita, and
Wilma. However, the Committee continues to be concerned about
the accuracy of estimates it receives from SBA. The Committee
expects SBA to keep the Committee fully informed on how actual
obligations compare to estimates, as well as provide to the
Committee detailed explanations for significant variances from
the estimates.

CHAPTER 5

DEPARTMENT OF HOMELAND SECURITY

Federal Emergency Management Agency

DISASTER RELIEF

(INCLUDING TRANSFER OF FUNDS)

The Committee recommends an additional $4,310,000,000 for
``Disaster Relief''. This includes $3,400,000,000 requested by
the President plus $910,000,000 estimated by FEMA as the
current State and local share of certain disaster assistance
that is waived by Sec. 2501.
The Committee continues to be concerned with FEMA's ability
to manage resources in a manner that maximizes its ability to
effectively and efficiently deal with disasters. One aspect of
particular concern is how FEMA makes projections of funding
needed in response to any given disaster or to meet future
disasters. A recent Government Accountability Office (GAO)
report raised concerns about FEMA's ability to manage its day-
to-day resources and the lack of information on how FEMA's
resources are aligned with its operations. As a follow-up to
this report, the Committee requests that within six months of
enactment GAO review how FEMA develops its estimates of the
funds needed to respond to any given disaster. Such review
should include how FEMA makes initial estimates, how FEMA
refines those estimates within the first few months of a
disaster, and how closely FEMA's estimates predict actual
costs. The review should also include additional analysis and
recommendations regarding FEMA's ability to manage disaster-
related resources in a manner that maximizes effective
execution of its mission. In addition, the Committee provides
that $4,000,000 be transferred to the Inspector General to
increase oversight of Katrina expenditures and eliminate waste,
fraud and abuse.

Office of the Federal Coordinator for Gulf Coast Rebuilding

On November 1, 2005, the White House announced the
appointment of a Gulf Coast Coordinator to ``serve as the
Administration's primary point of contact with State and local
governments, the private sector, and community leaders on long-
term recovery and rebuilding plans . . . work with Congress and
Federal departments and agencies to provide effective,
integrated, and fiscally responsible support for Gulf Coast
recovery . . . and be responsible for developing specific goals
and coordinating policies and programs for mid-term to long-
term Federal recovery and rebuilding efforts . . .''
To date, the Office of the Federal Coordinator has not
produced goals, policies, or programs that this Committee can
act on. The federal response remains disjointed, with federal
agencies providing conflicting information to States and
localities. The coordination between FEMA and HUD has been
particularly weak, with over 90,000 people remaining in FEMA
manufactured housing and virtually no ``effective'' or
``integrated'' effort to transition them to HUD-supported
housing.
The Office of the Federal Coordinator is directed to
fulfill its obligations to the Gulf Coast by developing a long-
term recovery and rebuilding plan detailing goals, policies,
and programs necessary for success in the Gulf Coast. The plan
should clearly lay out roles and responsibilities for each
federal agency involved in the recovery and rebuilding process,
and must be coordinated with all appropriate local and state
entities. The Office of the Federal Coordinator is directed to
provide monthly reports detailing activities and negotiations
in which it is involved with affected states.

General Provisions--This Chapter

The Committee includes a provision eliminating the State
and local match requirement for certain federal assistance
provided prior to enactment through Title IV of the Stafford
Act in response to Hurricanes Katrina, Wilma, Dennis, and Rita
in Louisiana, Mississippi, Florida, and Texas.
The Committee includes a provision allowing FEMA to forgive
Community Disaster Loans that were issued in response to
Hurricane Katrina. Community Disaster Loans are used by local
governments that have lost their revenue base due to a disaster
to provide essential services after the disaster. Prior to
Hurricane Katrina, all such loans were able to be forgiven.
The Committee includes a provision that allows FEMA to
continue to pay for utility costs for those leases negotiated
by State and local governments on FEMA's behalf.

CHAPTER 6

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families

SOCIAL SERVICES BLOCK GRANT

The Committee recommends extending until September 30,
2008, the availability of emergency title XX Social Services
Block Grant funds provided to the Gulf Coast States affected by
the hurricanes of 2005 under the Department of Defense,
Emergency Supplemental Appropriations to Address Hurricanes in
the Gulf of Mexico, and Pandemic Influenza Act, 2006 that will
otherwise expire on September 30, 2007.

DEPARTMENT OF EDUCATION

Innovation and Improvement

The Committee recommends $30,000,000 for emergency
assistance to Louisiana, Mississippi, and Alabama to assist
local educational agencies in rebuilding the capacity of public
schools that were forced to suspend operations for 30 days or
more due to Hurricane Katrina or Hurricane Rita. These funds
will be used for recruitment and retention incentives for new
and current teachers, school leaders, and other school
personnel, and for other activities to build the capacity of
such schools. The Committee expects that local educational
agencies receiving such funds to assist educators with costs
associated with relocation and housing will accord a priority
to educators with a prior connection to the State or who
previously resided or worked in the area served by the local
educational agency. In addition, the Committee expects that
public schools receiving emergency assistance shall be (1) open
to all students, including students with disabilities and
English language learners, and (2) in compliance with all
applicable civil rights laws, and state and local health and
safety laws. The Committee requests that the Department of
Education consult with the House Committee on Education and
Labor and the Committee on Appropriations in developing program
guidance for the use of this emergency assistance, including
determining the system of recruitment incentives (including
performance pay, relocation, and housing).

Hurricane Education Recovery

PROGRAMS TO RESTART SCHOOL OPERATIONS

The Committee includes language to provide flexibility to
eligible States and local educational agencies in the use of
emergency aid to restart school operations appropriated in
Public Law 109-148. This language allows such emergency aid to
be used for recruitment and retention incentives for new and
current teachers, school leaders, and other school personnel,
and for other activities to build the capacity of schools
impacted by the 2005 Gulf Coast hurricanes.

Higher Education

The Committee recommends $30,000,000 for emergency
assistance to institutions of higher education that were forced
to suspend operations for 30 days or more to help defray
expenses incurred as a result of the 2005 Gulf Coast
hurricanes. The Committee requests that the Department of
Education brief the House and Senate Committees on
Appropriations not later than five days before the announcement
of the availability of these funds.

General Provision--This Chapter

Sec. 2601. The Committee recommends granting the Secretary
of Education authority to continue to waive certain regulatory
requirements with respect to the use of funds for restarting
school operations in States affected by Hurricanes Katrina and
Rita.

CHAPTER 7

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

PUBLIC AND INDIAN HOUSING

TENANT-BASED RENTAL ASSISTANCE

The Committee recommends the extension of the Disaster
Voucher Program to December 31, 2007.
Hurricane-impacted PHAs--The Committee also includes a
provision in Title IV which clarifies, consistent with
Congressional intent, how HUD will implement the Section 8
Tenant-Based Voucher funding formula with regard to the Public
Housing Authorities affected by hurricanes in 2004 and 2005.

Office of Inspector General

The Committee provides an additional $10,240,000 for the
Office of the Inspector General in order to conduct appropriate
oversight of the resources provided for the recovery of Gulf
Coast regions affected by Hurricanes Katrina and Rita.

TITLE III--AGRICULTURAL ASSISTANCE

Sec. 3101. The Committee includes language regarding Crop
Disaster Assistance providing financial assistance to producers
on a farm who incurred qualifying quantity or quality losses
for a 2005, 2006 or 2007 crop due to damaging weather or any
related condition. The Committee does not intend for this to be
an ongoing program and directs the Secretary to make payments
to all eligible producers on a farm for a crop under this
section no later than September 30, 2008.
Sec. 3102. The Committee includes language regarding
livestock assistance providing financial assistance through the
Livestock Compensation Program and the Livestock Indemnity
Program to provide compensation for livestock losses and to
make livestock indemnity payments to producers on farms that
have incurred livestock losses during calendar years 2005, 2006
or 2007 before the date of the enactment of this Act. The
Committee does not intend for this to be an ongoing program and
directs the Secretary to provide compensation for all eligible
livestock losses or all livestock indemnity payments to
eligible producers on farms under this section no later than
September 30, 2008.
Sec. 3103. The Committee provides language regarding
spinach.
Sec. 3104. The Committee provides language regarding the
Emergency Conservation Program.
Sec. 3105. The Committee includes language regarding
payment limitations.
Sec. 3106. The Committee includes provisions regarding
administration of the forgoing sections.
Sec. 3107. The Committee includes language relating to the
National Dairy Market Loss Payment program.
Sec. 3108. The Committee includes language relating to the
peanut storage costs program.
Sec. 3109. The Committee includes language relating to
aquaculture losses.
Sec. 3110. The Committee designates the funds made
available in this title as an emergency.

TITLE IV--OTHER MATTERS

CHAPTER 1

DEPARTMENT OF AGRICULTURE

OFFICE OF THE SECRETARY

The Committee is aware that the State of Indiana has
recently entered into a contract to privatize certain
operations of the Food Stamp Program. It is the Committee's
understanding that USDA approved the contract in December 2006
without a clear understanding of the details of the program,
including its implementation, effect on state employees, daily
operation of the program or even whether the program complied
with federal law. In February 2007, USDA sent a letter to the
State of Indiana requesting additional details about the
program, with only weeks to go before the initial transfer to
private contractors of about 70 percent of state employees
working on the Food Stamp Program; this had already been
scheduled to occur on March 19, 2007. Therefore, the Committee
directs the Secretary to perform comprehensive oversight of the
program. It further directs the Secretary to provide the
Committee with quarterly reports beginning 30 days after
passage of this bill on this contract, including the effects on
enrollment, program access, error rates, and spending on
administrative expenses. The Committee directs the Secretary to
be prepared to take appropriate administrative action if
performance standards as stated in the contract are not met.

Farm Service Agency

SALARIES AND EXPENSES

The Committee makes available $48,000,000 for stabilizing
the payment delivery systems of the Farm Service Agency.
The Committee directs the Secretary to provide a monthly
update on the progress of this project, including usage of
funds.

General Provisions

Sec. 4101. Language is included regarding the Food and Drug
Administration.
Sec. 4102. The Committee includes language relating to meat
and poultry inspection.

CHAPTER 2

DEPARTMENT OF COMMERCE

National Oceanic and Atmospheric Administration

OPERATIONS, RESEARCH, AND FACILITIES

The recommendation provides $60,400,000 to the National
Oceanic and Atmospheric Administration to provide disaster
relief for those affected along the coasts of California and
Oregon by the 2006 salmon fishery disaster in the Klamath
River. This disaster has all but eliminated the commercial
salmon fishing season for fishermen, and has had a devastating
economic impact on surrounding coastal areas. The
recommendation provides funds through the National Marine
Fisheries Service to make disaster aid available to salmon
fishermen, tribes, and related businesses affected by this
fishery failure.

CHAPTER 3

Sec. 4301. The Committee recommends language to amend the
Help America Vote Act of 2002.

CHAPTER 4

DEPARTMENT OF HOMELAND SECURITY

General Provisions

(INCLUDING RESCISSION OF FUNDS)

The Committee includes a provision rescinding $89,800,000
that would have lapsed in fiscal year 2006 if it were not for a
provision in the 2007 Appropriations Act allowing it to remain
available through fiscal year 2007. The Department of Homeland
Security has not provided plans for spending this funding to
the Committee. The Secretary shall report to the Committees on
Appropriations of the Senate and the House of Representatives
within fifteen days after enactment of this Act on the proposed
distribution of the rescission of funds prior to its
implementation. This report should specifically list the
respective amount proposed to be rescinded by agency and
appropriations account, and explain the original purpose of the
appropriation and the reason why such funds are available.
The Committee includes a provision extending until the end
of fiscal year 2007 two provisos contained in the fiscal year
2006 Salaries and Expenses appropriation for Customs and Border
Protection that relate to Border Patrol checkpoints in the
Tucson sector.
The Committee includes a provision tightening Coast Guard
procurement practices. Numerous studies, including one by the
Defense Acquisition University, have recommended changes to
Coast Guard procurement procedures and contracting practices in
order to control costs and procure equipment that works. The
most recent failure in procurement resulted in eight Coast
Guard cutters that are currently grounded due to hull buckling
problems. In order to ensure that Coast Guard quickly reforms
its major procurement systems, the Committee has included bill
language mandating: technical reviews of design and design
changes; independent cost estimates of major changes; and Coast
Guard maintaining technical warrant holder equivalent authority
and measuring contractor performance on all work performed. In
addition, the provision requires a robust expenditure plan that
is reviewed by the Government Accountability Office for Coast
Guard's Deepwater program before any 2007 Deepwater funding is
obligated.
The Committee includes a provision limiting the use of lead
system integrator contracts, similar to requirements in law for
the Department of Defense.

CHAPTER 5

DEPARTMENT OF THE INTERIOR

Bureau of Land Management

WILDLAND FIRE MANAGEMENT

The recommendation includes an additional $100,000,000 for
wildland fire management for emergency wildland fire
suppression activities of the Department of the Interior. These
funds are available if funds previously provided for wildland
fire suppression will be exhausted imminently and the Secretary
of the Interior notifies the House and Senate Committees on
Appropriations in writing of the need for these additional
funds. In addition, the Committee directs that wildfire
suppression cost containment measures continue to be
implemented, and the Secretary of the Interior and the
Secretary of Agriculture shall submit a joint report to the
Committees on Appropriations of the Senate and the House of
Representatives on such cost containment measures by December
31, 2007.

United States Fish and Wildlife Service

RESOURCE MANAGEMENT

The recommendation provides an additional $7,398,000 for
resource management for the detection of highly pathogenic
avian influenza in wild birds, including the investigation of
morbidity and mortality events, targeted surveillance in live
wild birds, and targeted surveillance in hunter-taken birds.

National Park Service

OPERATION OF THE NATIONAL PARK SYSTEM

The recommendation provides an additional $525,000 for
operation of the national park system for the detection of
highly pathogenic avian influenza in wild birds, including the
investigation of morbidity and mortality events.

United States Geological Survey

SURVEYS, INVESTIGATIONS, AND RESEARCH

The recommendation provides an additional $5,270,000 for
survey, investigations and research for the detection of highly
pathogenic avian influenza in wild birds, including the
investigation of morbidity and mortality events.

DEPARTMENT OF AGRICULTURE

Forest Service

WILDLAND FIRE MANAGEMENT

The recommendation includes an additional $400,000,000 for
wildland fire management for emergency wildland fire
suppression activities. These funds are only available if funds
provided previously for wildland fire suppression will be
exhausted imminently and the Secretary of Agriculture notifies
the House and Senate Committees on Appropriations in writing of
the need for these additional funds. The Committee directs that
wildfire suppression cost containment measures must continue to
be implemented and the Secretary of Agriculture and the
Secretary of the Interior shall submit a joint report to the
Committees on Appropriations of the Senate and the House of
Representatives on such cost containment measures by December
31, 2007. In addition, the Secretary of Agriculture is directed
to continue the independent cost-control review panel process
to examine and report on fire suppression costs for individual
wildfire incidents that exceed $10,000,000 in cost.

General Provisions--This Chapter

Sec. 4501. The recommendation includes one-time funding of
not to exceed $400,000,000 for the Department of Agriculture to
make payments in a manner and in amounts similar to those made
in 2006 under the Secure Rural Schools and Community Self-
Determination Act of 2000.
Section 4502 is a technical correction to the Bureau of
Indian Affairs language in P.L. 110-5 so the Bureau may pay
certain contract support costs.

(INCLUDING TRANSFER OF FUNDS)

Section 4503 is a technical correction to P.L. 110-5 to
allow the Indian Health Service to pay certain contract support
costs and to allow the Service to transfer up to $7,300,000
from the operations account into the facilities account to
allow for repair and rehabilitation of certain health care
facilities.
Section 4504 is a technical correction to P.L. 110-5
designating the funding level for the Save America's Treasures
program of the National Park Service, Historic Preservation
Fund.

CHAPTER 6

DEPARTMENT OF HEALTH AND HUMAN SERVICES

National Institutes of Health

NATIONAL INSTITUTE OF ALLERGY AND INFECTIOUS DISEASES

(INCLUDING TRANSFER OF FUNDS)

The Committee recommends transferring $49,500,000 from the
National Institutes of Health, National Institute of Allergy
and Infectious Diseases, to the Office of the Secretary, Public
Health and Social Services Emergency Fund, to support advanced
research and development of biodefense countermeasures. This
work is to be conducted by the Assistant Secretary for
Preparedness and Response, consistent with the authority
provided in the Pandemic and All-Hazards Preparedness Act.

Administration for Children and Families

LOW-INCOME HOME ENERGY ASSISTANCE

The Committee recommends $400,000,000 for the Low-Income
Home Energy Assistance State grants, including $200,000,000 for
the contingent emergency reserve and $200,000,000 for block
grants to States.
The Committee recommendation permits a State, or other
grantee, to obligate the block grant through September 30,
2008, to address home energy needs in the event of an emergency
or for crisis intervention.

Office of the Secretary

PUBLIC HEALTH AND SOCIAL SERVICES EMERGENCY FUND

(INCLUDING TRANSFER OF FUNDS)

The Committee recommends $969,650,000, to remain available
until expended, for the Department of Health and Human Services
to prepare for and respond to an influenza pandemic. This
appropriation provides the third installment of funds for
pandemic influenza activities requested by the Administration.
Appropriating these funds at this time enables long-term plans
developed by the Department and pharmaceutical manufacturers to
be based on actual appropriations. Within the total,
$65,000,000 is for pandemic influenza preparedness activities
of the Office of the Assistant Secretary for Preparedness and
Response including global pandemic preparedness and planning,
international advanced development and industrialization of
human pandemic influenza vaccine, and advanced development of
rapid tests and detection.
The Committee includes bill language granting the Secretary
various authorities to purchase goods for the Strategic
National Stockpile, to construct or renovate privately-owned
facilities for the production of pandemic influenza vaccine,
and to transfer funds to other HHS accounts.
The Committee includes bill language designating that not
less than $34,650,000 shall be for laboratory diagnostics and
analytical capabilities at the Centers for Disease Control and
Prevention. The Committee intends that funding be used to
increase the stock of diagnostic reagents for influenza and to
establish a library of pandemic virus reference strains.

COVERED COUNTERMEASURE PROCESS FUND

The Committee includes $50,000,000, to remain available
until expended, for the compensation fund established by the
Public Readiness and Emergency Preparedness (PREP) Act. The
Committee intends that funding be used to provide compensation
to individuals harmed by the administration or use of the H5N1
influenza vaccine covered by the PREP Act declaration made by
the Secretary of Health and Human Services on January 26, 2007.

General Provisions--This Chapter

(INCLUDING TRANSFER OF FUNDS)

Sec. 4601. The Committee recommends extending the
availability of funds previously appropriated for the Employee
Benefits Security Administration and providing for a transfer
of funds from the Pension Benefit Guaranty Corporation for
development of an electronic Form 5500 filing system (EFAST2).
Sec. 4602. The Committee recommends extending the
availability of a portion of funds previously appropriated for
veterans employment and training activities within the
Department of Labor.
Sec. 4603. (a) The Committee recommends a provision to
enable the Department of Education to continue to obtain from
the Census Bureau updated local educational agency poverty
estimates that are used to determine allocations under title I
of the Elementary and Secondary Education Act of 1965.
(b) The Committee includes a provision to allow funds under
``Education for the Disadvantaged'' of the Continuing
Appropriations Resolution, 2007 to be used for comprehensive
school reform activities authorized under part D of title V of
the Elementary and Secondary Education Act.
Sec. 4604. The Committee recommends a provision to
redistribute funding for the Assistive Technology Act in a
manner consistent with the reauthorized Act.

CHAPTER 7

LEGISLATIVE BRANCH

House of Representatives

PAYMENT TO WIDOWS AND HEIRS OF DECEASED MEMBERS OF CONGRESS

The Committee recommends the customary death gratuity to
Gloria W. Norwood, widow of Charles W. Norwood, Jr., late
Representative from the State of Georgia.

Architect of the Capitol

CAPITOL POWER PLANT

The Committee recommends an additional amount of
$50,000,000 for the next two increments of a $125 million
dollar project for asbestos abatement and other safety
improvements to the utility tunnels throughout the Capitol
complex.

CHAPTER 8

STATE, FOREIGN OPERATIONS AND RELATED PROGRAMS

DEPARTMENT OF STATE

INTERNATIONAL COMMISSIONS

INTERNATIONAL BOUNDARY AND WATER COMMISSION, UNITED STATES AND MEXICO

CONSTRUCTION

The Committee recommendation includes $10,000,000 for the
International Boundary and Water Commission, United States and
Mexico. The additional funds are provided to augment funding in
fiscal year 2007 for the Rio Grande Flood Control System
Rehabilitation project. Last year's flood of the Rio Grande
River resulted in the deposit of thousands of tons of silt and
debris in the river channel as it passes through El Paso, TX,
severely reducing the capacity of the river channel. Should
last year's weather conditions repeat themselves this year, a
breach of the levees is much more likely due to the reduced
capacity of the river channel. The additional funds provided to
the Commission are to be directed towards emergency flood
mitigation work to address the most immediate and critical
dangers in order to avert a more significant disaster in the
future.

General Provisions--This Chapter

Sec. 4801. The Committee recommendation includes a
technical change to the composition of the Board of the Middle
East Foundation.
Sec. 4802. The Committee recommendation includes a
technical change to the terms and conditions applicable to the
Diplomatic and Consular Program funds for fiscal year 2007.
Sec. 4803. The Committee recommendation includes a
technical change to the terms and conditions applicable to the
funds appropriated for Debt Restructuring in fiscal year 2007.

CHAPTER 9

Sec. 4901. Allows funds provided in fiscal year 2007 for
the National Transportation Safety Board to be used to make
capital lease payments due in fiscal year 2007.
Sec. 4902. Clarifies funding levels for the Tenant-Based
Rental Assistance account.
Sec. 4903. Exempts four categories of public housing
authorities from the 12-month voucher formula in P.L. 110-5.
These four categories are PHAs impacted by hurricanes in 2004
and 2005; PHAs participating in the Moving to Work
Demonstration; PHAs that are in receivership; and PHAs that
overspent their 2006 allocation.
Sec. 4904. Authorizes OFHEO's funding at $67,568,000, to be
reimbursed from the Federal Housing Enterprises Oversight Fund.
Sec. 4905. Eliminates a proviso in the Fiscal Year 2007
continuing appropriations resolution regarding the Moving To
Work program.
Sec. 4906. Allows for the renewal of expiring Project-Based
Certificate Program projects under the Project-Based Voucher
program.

General Provision--This Act

Section 4910 states that none of the appropriations made by
this Act shall remain available beyond the current fiscal year
unless expressly so provided in this Act.

TITLE V--CONTRACTING REFORM

Sec. 5001, Minimizing sole-source contracts.
Spending on sole-source contracts has more than doubled in
the past 6 years. Section 5001 requires agencies that spend
more than $1 billion on federal contracts to develop and
implement a plan to minimize the use of such contracts. The
plan must contain measurable goals and be submitted to Congress
within one year of enactment. The section also requires the
plan to be submitted to the Comptroller General, who is
required to submit an analysis of the plan to Congress within
18 months.
Sec. 5002, Minimizing cost-reimbursement type contracts.
Cost-reimbursement type contracts provide contractors with
little or no incentive to control costs and leave the taxpayer
vulnerable to wasteful spending. Section 5002, requires
agencies that spend more than $1 billion on federal contracts
to develop and implement a plan to minimize the use of such
contracts. The plan must contain measurable goals and be
submitted to Congress within one year of enactment. The section
also requires the plan to be submitted to the Comptroller
General, who is required to submit an analysis of the plan to
Congress within 18 months.
Sec. 5003, Public disclosure of justification and approval
documents for non-competitive contracts.
When an agency awards a sole-source contract, it must
prepare a justification and approval document to explain why
full and open competition was not used in awarding the
contract. Section 5003, requires those justification and
approval documents to be made publicly available within 14 days
of the award of the contract. Classified, business-sensitive,
and other information exempt from disclosure under the Freedom
of Information Act is exempt from the requirements of this
section.
Sec. 5004, Disclosure of government contractor overcharges.
Section 5004, promotes transparency in the federal
acquisition process by requiring contract overcharges to be
reported to Congress. Agencies would be required to report on a
quarterly basis all contractor costs in excess of $1 million
that are unjustified, unsupported, questioned, or unreasonable.
The section also requires unredacted copies of any audit
finding such costs to be submitted to Congress upon request.

TITLE VI--ELIMINATION OF SCHIP SHORTFALL

DEPARTMENT OF HEALTH AND HUMAN SERVICES

Centers for Medicare and Medicaid Services

STATE CHILDREN'S HEALTH INSURANCE FUND

The Committee appropriates $750,000,000 in emergency funds
to eliminate anticipated State Children's Health Insurance
Program (SCHIP) funding shortfalls for fiscal year 2007 for
fourteen States. Bill language amends the authorizing law to
describe the States considered to be in shortfall.

TITLE VII

CHAPTER 1

Sections 7101-7103 contain language identical to H.R. 2, as
passed by the House on January 10, 2007, relating to an
increase in the Federal minimum wage. Section 7104 addresses
the applicability of the minimum wage to American Samoa.

CHAPTER 2

This chapter contains language identical to H.R. 976, as
passed by the House on February 16, 2007, relating to small
business tax relief.

Changes in the Application of Existing Law

Pursuant to clause 3(f)(1) of rule XIII of the Rules of the
House of Representatives, the following statements are
submitted describing the effect of provisions in the
accompanying bill that directly or indirectly change the
application of existing law.
The bill includes several appropriations that are not
authorized by law and as such may be construed as legislative
in nature.
The bill includes several emergency appropriation
designations that may be construed as legislative in nature.
Language is included that designates the various
appropriations as emergency requirements directly related to
the Global War on Terrorism pursuant to section 402 of H. Con.
Res. 376 of the 109th Congress.
Language is included in various accounts that provides for
the availability of certain funds for a period in excess of one
year.
Language is included that provides for the transfer of
funds under the heading ``Operation and Maintenance, Navy'' to
be transferred to the United States Coast Guard.
Language is included under ``Operation and Maintenance,
Defense-Wide'' which makes available not to exceed
$300,000,000, to remain available until expended, for payments
to certain governments for logistical and other military
support to United States military operations; provides that
such payments shall be based on certain documentation; and
requires notification of the congressional defense committees.
Language is included that creates a strategic reserve fund
for training, operations and other expenses to improve the
readiness of non-deployed United States military forces;
provides for the transfer (and return) of such appropriations
to certain accounts; provides for purposes and duration which
such funds shall be available; and provides for the
notification of such transfers to the congressional defense
committees.
Language is included under ``Defense Health Program'' which
sets aside certain amounts for operation and maintenance;
research, development test and evaluation activities within the
total appropriation.
Language is included that provides for the transfer of
funds appropriated to the Department of Defense when such
transfer is in the national interest.
Language is included that provides for the obligation of
funds pursuant to section 504(a)(1) of the National Security
Act of 1947 (50 U.S.C. 414(a)(1)).
Language is included that prohibits the Department of
Defense from using funds provided in this chapter to finance
programs or activities denied by Congress in fiscal years 2006
or 2007 appropriations or to initiate a procurement or
research, development, test and evaluation new start program
without prior written notification to the congressional defense
committees.
Language is included that provides in fiscal year 2007, the
Secretary of Defense may transfer amounts in or credited to the
Defense Cooperation Account; provides the availability of such
funds; and requires a report to the Congress of such transfers
made pursuant to any transfer.
Language is included that provides that up to $100,000,000
of the funds provided under the heading ``Drug Interdiction and
Counter-Drug Activities-Defense'' may be used to support
counter-drug activities of certain governments; provides that
such support shall be in addition to support for counter-drug
activities of such governments.
Language is included that provides up to $456,000,000 from
funds made available from ``Operation and Maintenance, Army''
may be used to support the Commander's Emergency Response Fund
and provides for quarterly reports.
Language is included that permits supervision and
administrative costs associated with a construction project
funded with appropriations available for operation and
maintenance and executed in direct support of the Global War on
Terrorism only in Iraq and Afghanistan may be obligated at the
time a construction contract is awarded.
Language is included that amends section 9010 of Public Law
109-289, relating to reporting of measurements of stability in
Iraq.
Language is included that amends section 1005(c)(2) of the
National Defense Act, 2007, relating to United States'
contributions to the North Atlantic Treaty Organization common-
funded budget.
Language is included that prohibits the establishment of
any permanent military installation or base of United States
Armed Forces in Iraq and prohibits the exercise of United
States control over any oil resource of Iraq.
Language is included that provides for the transfer of
funds from ``Operation and Maintenance, Defense-Wide'' to
Department of State ``Economic Support Fund'' to support
provincial reconstruction teams and requires notification of
the transfer to the congressional defense committees.
Language is included that prohibits the use of funds to
contravene laws or regulations promulgated to implement the
United Nations Convention Against Torture and Other Cruel,
Inhuman or Degrading Treatment or Punishment.
Language is included that limits the availability of funds
available in this title under the heading ``Iraq Security
Forces Fund'' and ``Afghan Security Forces Fund'' until certain
conditions and reporting requirements are met.
Language is provided that prohibits the provision of award
fees to any defense contractor in contravention of the
provisions of section 814 of the National Defense Authorization
Act, 2007.
Language is provided that limits to not more than 90
percent of the funds provided in this chapter for operation and
maintenance until the Secretary of Defense submits to the House
and Senate Committees on Appropriations a report detailing the
extent to which the United States has relied on contracted
services in support of US. military operations in Iraq and
Afghanistan. The provision further reduces appropriations under
the aforementioned headings in this chapter by $815,000,000 due
to anticipated contractor efficiencies.
Language is included that provides, in cases where a minor
child is the next of kin, the ability for the service member to
designate the grandparents, siblings, or guardian to receive
part or all of the benefit to care for the child.
Language is included that provides up to 170 heavy and
light armored vehicles for force protection purposes in Iraq
and Afghanistan.
Language is included that amends section 1403(a) of the
Floyd D. Spence National Defense Authorization Act for Fiscal
Year 2001 (as amended).
Language is included that provides emergency appropriations
to implement recommendations of the Army Inspector General with
regard to trained military attorneys dedicated to representing
soldiers who are pursuing claims before physical evaluation
boards and earlier in the Army disability evaluation system
process.
Language is included that, notwithstanding any other
provision of law, prohibits the use of funds in this or any
other Act to close Walter Reed Army Medical Center.
Language is included that is a Congressional pledge to
fully support members of the U.S. Armed Forces in harm's way.
Language is included that is a sense of Congress regarding
the President as the Commander in Chief and Congressional power
to declare war.
Language is included that is a sense of Congress regarding
the conduct of the war in Iraq by U.S. commanders.
Language is included prohibiting the obligation of funds
for the Secretary of the Department of Homeland Security to
approve a chemical site security plan unless the facility meets
or exceeds security standards established by State or local
governments. Bill language also clarifies that chemical
security plans are designated as sensitive security
information, removes restrictions on enforcement actions, and
allows the Secretary to require specific security measures.
Language is included under Title I, Chapter 7 that enables
various appropriations to remain available for more than one
year for some programs for which the basic authority
legislation does not presently authorize such extended
availability.
Language is included under Title I, Chapter 7 to carryout
activities not otherwise authorized by law.
Language is included under Title I, Chapter 7 which place
limitations on the use of funds in the bill and as such may be
construed as legislative in nature.
Language is included under Title I, Chapter 9 that
prohibits the use of funds in this or any other Act to close
Walter Reed Army Medical Center.
Language is included that provides that several of the
appropriations shall remain available for obligation beyond the
current fiscal year that may be construed as legislative in
nature.
Language is included that restricts the obligation of funds
made available for Iraq operations under the ``Diplomatic and
Consular Programs'' heading that may be construed as
legislative in nature.
Language is included under the heading ``Diplomatic and
Consular Programs'' that may be construed as legislative in
nature to allow up to $50,000,000 to maintain and establish a
civilian reserve corps, provided that specific authorization is
provided in a subsequent act of Congress for the corps.
Language is included in a general provision placing
limitations on funds available to the Government of Lebanon for
cash transfer assistance and Foreign Military Financing that
may be construed as legislative in nature.
Language is included in a general provision placing
limitations on the obligation of certain funds available for
military and reconstruction operations in Iraq which may be
construed as legislative in nature.
Language is included in a general provision directing the
President to appoint a Coordinator for Iraq Assistance which
may be construed as legislative in nature.
Language is included which changes the application of the
terms and conditions of the fiscal year 2006 Department of
State and Related Agency Appropriations Act, 2006 with respect
to funds available under the heading ``Diplomatic and Consular
Programs'' in fiscal year 2007 which may be construed as
legislative in nature.
Language is included providing authority for funds
available for debt restructuring in fiscal year 2007 to be used
to assist Liberia in retiring its debt arrearages which may be
construed as legislative in nature.
Language is included for National Aeronautics and Space
Administration, in title II, chapter 2, which makes $48,000,000
available for costs incurred by NASA in fiscal year 2005.
Language is included for the National Oceanic and
Atmospheric Administration, in title II, chapter 2, which makes
$120,000,000 available for disaster relief for fisheries in the
Gulf region due to the effects of Hurricane Katrina.
Language is included in title II, under Department of the
Army, Corps of Engineers, which makes funds subject to
authorization and requires certain reports.
Language is included that eliminates State and Local match
requirement for certain federal assistance provided prior to
enactment through Title IV of the Stafford Act in response to
Hurricanes Katrina, Wilma, Dennis, and Rita in Louisiana,
Mississippi, Florida, and Texas.
Language is included allowing FEMA to forgive Community
Disaster Loans that were issued in response to Hurricane
Katrina.
Language is included that permits FEMA to continue to pay
for utility costs for those leases negotiated by State and
local governments on FEMA's behalf.
Language is included providing extended availability and
indicating that amounts appropriated under this heading are
designated as an emergency requirement.
Language is included establishing affirmative directions
and imposing new duties on the Secretary with respect to
amounts appropriated under this heading for certain States to
assist local educational agencies in rebuilding the capacity of
public schools impacted by Hurricane Katrina or Hurricane Rita
and providing that such amounts are designated as an emergency
requirement.
Language is included imposing affirmative duties and
providing flexibility to eligible States and local educational
agencies in the use of emergency aid to restart school
operations appropriated in Public Law 109-148.
Language is included requiring new determinations and
imposing new duties with respect to amounts appropriated under
this heading for institutions of higher education that are
located in an area in which a major disaster was declared
related to hurricanes in the Gulf of Mexico and providing that
such amounts are designated as an emergency requirement.
Language is included directly amending existing law to
extend waiver authority granted to the Secretary of Education
in title IV of division B of Public Law 109-148 through
September 30, 2008.
Language is included in title II to extend the Disaster
Voucher Program to December 31, 2007.
Language is included in title II to provide an additional
$10,240,000 for the Office of the Inspector General in order to
conduct appropriate oversight of the resources provided for the
recovery of Gulf Coast regions affected by Hurricanes Katrina
and Rita.
Language is included in Title III, under the Department of
Agriculture, Emergency Conservation Program, which provides
funding for certain activities.
Language is included for the National Oceanic and
Atmospheric Administration, in title III, chapter 2, which
makes $60,400,000 available for disaster relief to those
affected by a declared salmon fishery disaster.
Language is included in Title IV, under Chapter 1, General
Provisions, regarding allowable uses of certain funds provided
in previous appropriations Acts.
Language is included in Title IV, under Chapter 1, General
Provisions, relating to the availability of funds until certain
conditions are met.
Language is included to amend the Help America Vote Act of
2002 (Public Law 107-252).
Language is included extending until the end of fiscal year
2007 two provisos contained in the fiscal year 2006 Salaries
and Expenses appropriation for Customs and Border Protection
that relate to Border Patrol checkpoints in the Tucson sector.
Language is included tightening Coast Guard procurement
practices and mandates a number of changes to current
procurement practices. In addition, the bill prohibits the
obligation of any 2007 funding appropriated to the Deepwater
program until the Coast Guard prepares a robust expenditure
plan that is reviewed by the Government Accountability Office.
Language is included limiting the Department of Homeland
Security's use of lead system integrator contracts.
Language is included making a technical correction to the
Bureau of Indian Affairs language in the Continuing
Appropriations Resolution, 2007 (division B of Public Law 109-
289, as amended by Public Law 110-5) so the Bureau may pay
certain contract support costs.
Language is included making a technical correction to the
Continuing Appropriations Resolution, 2007 (division B of
Public Law 109-289, as amended by Public Law 110-5) to allow
the Indian Health Service to pay certain contract support costs
and to allow the Service to transfer up to $7,300,000 from the
operations account into the facilities account to allow for
repair and rehabilitation of certain health care facilities.
Language is included making a technical correction to the
Continuing Appropriations Resolution, 2007 (division B of
Public Law 109-289, as amended by Public Law 110-5) to
designate the funding level for the Save America's Treasures
program of the National Park Service, Historic Preservation
Fund.
Language is included granting new authority to State
officials and providing that amounts appropriated under this
heading are designated as an emergency requirement.
Language is included conferring new authority to the
Secretary and waiving existing law with respect to amounts
appropriated under this heading and providing that such amounts
shall remain available until expended and are designated as an
emergency requirement.
Language is included providing that amounts appropriated
under this heading shall remain available until expended and
are designated as an emergency requirement.
Language is included directly amending existing law to
extend availability for funds provided to the Employee Benefits
Security Administration.
Language is included directly amending existing law to
extend availability for funds provided to Veterans Employment
and Training.
Language is included directly amending existing law to
provide for updated local educational agency poverty estimates
and a clearinghouse on comprehensive school reform.
Language is included waiving the application of existing
law with respect to the distribution of funding for the
Assistive Technology Act.
Language is included which changes the application of the
terms and conditions of the fiscal year 2006 Department of
State and Related Agency Appropriations Act, 2006 with respect
to funds available under the heading ``Diplomatic and Consular
Programs'' in fiscal year 2007 which may be construed as
legislative in nature.
Language is included providing authority for funds
available for debt restructuring in fiscal year 2007 to be used
to assist Liberia in retiring its debt arrearages which may be
construed as legislative in nature.
Language is included to allow funds provided for the
National Transportation Safety Board to be used to make capital
lease payments due in fiscal year 2007.
Language is included in title IV to clarify funding levels
for the Tenant-Based Rental Assistance account.
Language is included in title IV to exempt four categories
of public housing authorities from the 12-month voucher formula
in P.L. 110-5. These four categories are PHAS impacted by
hurricanes in 2004 and 2005; PHAs participating in the Moving
To Work Demonstration; PHAs that are in receivership; and PHAs
that overspent their 2006 allocation.
Language is included in title IV to authorize OFHEO's
funding at $67,568,000, to be reimbursed from the Federal
Housing Enterprise Oversight Fund.
Language is included in title IV to eliminate a proviso in
the Fiscal Year 2007 continuing appropriations resolution
regarding the Moving To Work program.
Language is included in title IV to allow for the renewal
of expiring ProjectBased Certificate Program projects under the
Project-Based Voucher program.
Language is included relating to Contracting Reform.
Language is included providing that amounts appropriated
under this heading shall remain available until expended and
are designated an emergency requirement.
Language is included directly amending existing law to
provide additional funding to the State Children's Hospital
Insurance (SCHIP) program to certain States.
Language is included relating to an increase in the Federal
minimum wage.
Language is included relating to small business tax relief.

Transfer of Funds

Pursuant to clause 3(f)(2) of rule XIII of the Rules of the
House of Representatives, the following is submitted describing
the transfer of funds provided in the accompanying bill:
Language is included that provides for the transfer of
$120,293,000 from funds appropriated under ``Operation and
Maintenance, Navy'' to the Coast Guard for reimbursement for
activities in support of activities requested by the Navy.
Language is included under ``Strategic Reserve Readiness
Fund'' which provides for the transfer of such appropriations
to various operations and maintenance accounts within the
Department of Defense.
Language is included that provides for the transfer of
funds under the heading ``Operation and Maintenance, Navy'' to
be transferred to the United States Coast Guard.
Language is included under ``Drug-Interdiction and Counter-
Drug Activities, Defense'' which provides for the transfer of
such funds only to appropriations for military personnel;
operation and maintenance; procurement; and research,
development, test and evaluation.
Language is included that provides for the transfer of
funds appropriated to the Department of Defense in this Act
when such transfer is in the national interest.
Language is included that provides in fiscal year 2007, the
Secretary of Defense may transfer amounts in or credited to the
Defense Cooperation Account; provides the availability of such
funds; and requires a report to the Congress of such transfers
made pursuant to any transfer.
Language is included that provides for the transfer of
funds from ``Operation and Maintenance, Defense-Wide'' to
Department of State ``Economic Support Fund'' to support
provincial reconstruction teams and requires notification of
the transfer to the congressional defense committees.
Language is included that provides for the transfer of
$225,400,000 from US Navy, Operations and Maintenance to US
Coast Guard, Operating Expenses.
Language is included that provides for the transfer of
$1,000,000 from CBP, Salaries and Expenses to FLETC, Salaries
and Expenses.
Language is included that provides for the transfer of
$4,000,000 from FEMA, Disaster Relief to the Office of the
Inspector General.
Language is included that provides for the transfer of
$7,300,000 from Department of Health and Human Services, Indian
Health Services, Indian Health Services to Department of Health
and Human Services, Indian Health Services, Indian Health
Facilities.
Language is included that provides for the transfer of
$49,500,000 from Department of Health and Human Services,
National Institutes of Health, National Institute of Allergy
and Infectious Diseases to Department of Health and Human
Services, Office of the Secretary, Public Health and Social
Services Emergency Fund.
Language is included that provides for the transfer of
$34,650,000 from Department of Health and Human Services,
Office of the Secretary, Public Health and Social Services
Emergency Fund to Centers for Disease Control and Prevention,
Disease Control, Research and Training.
Language is included that provides for the transfer of
$7,000,000 from Department of Labor, Pension Benefit Guaranty
Corporation to Department of Labor, Employee Benefits Security
Administration.
Under ``Department of State, Administration of Foreign
Affairs, Diplomatic and Consular Programs'' $258,000 is to be
transferred to, and merged with, funds available in fiscal year
2007 for the United States Commission on International
Religious Freedom.
Under ``Department of State, Administration of Foreign
Affairs, Office of Inspector General'' $45,500,000 shall be
transferred to the Special Inspector General for Iraq
Reconstruction.''

Rescissions

Pursuant to 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:

RESCISSIONS RECOMMENDED IN THE BILL

Department/Activity Rescissions

Department of Homeland Security, Salaries and Expenses $89,800,000
Department of Housing and Urban Development, 80,000,000
unobligated balances, Tenant-based Rental Assistance,
Disaster Voucher Program.............................

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 which are not
authorized by law:

Comparison With the Budget Resolution

Section 308(a)(1)(A) of the Congressional Budget Act
requires the report accompanying a bill providing new budget
authority to contain a statement comparing the levels in the
bill to the suballocations submitted under section 302(b) of
the Act for the most recently agreed to concurrent resolution
on the budget for the applicable fiscal year. That information
is provided in the table headed ``Comparison of Reported Bill
to Section 302(b) Suballocations''.
Most appropriations in the bill are designated as emergency
requirements under section 402 of H. Con. Res. 376 (109th
Congress), as made applicable to the House of Representatives
by section 511(a)(4) of H. Res. 6 (110th Congress). Pursuant to
section 402 of H. Con. Res. 376, such amounts are not counted
against the allocations under section 302 of the Budget Act,
and are therefore not reflected in the accompanying table. New
discretionary budget authority in the bill designated under
section 402 totals $111,281,839,000.
In addition, $12,976,439,000 in discretionary
appropriations are designated as emergency requirements under
section 501 of H. Con. Res. 376. Appropriations designated
under that section are counted for purposes of section 302 of
the Budget Act, with H. Con. Res. 376 providing a mechanism for
the Budget Committee to make an offsetting adjustment to the
section 302 allocations. The ``Comparison of Reported Bill to
Section 302(b) Suballocations'' table shows the amounts of
these emergency appropriations.
As the table indicates, excluding amounts designated as
emergency requirements under section 501 of H. Con. Res. 376,
enactment of the reported bill would leave the Committee on
Appropriations slightly below its section 302(a) allocation for
new discretionary budget authority, and would also leave all
but one of the Appropriations subcommittees at or below its
section 302(b) suballocation. (The one exception is the Defense
Subcommittee, which would be $1 million over its suballocation
because of an amendment adopted during the Committee markup.)

Five-Year Outlay Projections

In compliance with section 308(a)(1)(B) of the
Congressional Budget Act, the following table contains five-
year projections associated with the budget authority provided
in the accompanying bill:

Millions

Budget Authority, 2007................................ $124,330
Outlays:
2007.............................................. 31,526
2008.............................................. 49,606
2009.............................................. 26,114
2010.............................................. 11,783
2011 and beyond................................... 9,318

The Committee is also advised by the Congressional Budget
Office that they would score the bill as increasing budget
authority by $447 million in FY 2008, $449 million in FY 2009,
$445 million in FY 2010, $436 million in FY 2011, and by a
total of $2,672 million in fiscal years 2012 through 2017. All
of these amounts (other than $1 million in FY 2008) result from
the language in title VI alleviating the FY 2007 shortfall in
the State Children's Health Insurance Program (SCHIP). The
Committee did not intend that provision to provide any new
budget authority in years after FY 2007, and the Chairman
intends to offer an amendment at the appropriate time making
the necessary technical correction so that no new budget
authority is scored for this provision in FY 2008 and
subsequent years.

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 financial assistance to
State and local governments is as follows:

Millions

Budget Authority...................................... $4,548
Fiscal Year 2007 outlays resulting therefrom.......... 1,440

Revenues and Compliance With Pay-As-You-Go Rule

Chapter 2 of title VII of the bill affects revenues. The
Committee is advised that the net effect of provisions in that
chapter would be to reduce revenues by $162 million in FY 2007,
increase revenues by a total of $225 million over the six-year
period from FY 2007 through FY 2012, and increase revenues by a
total of $45 million over the 11-year period from FY 2007
through FY 2017. The latter two periods are those that would be
used for determining compliance with the House ``pay-as-you-go
rule (clause 10 of Rule XXI).

Constitutional Authority

Clause 3(d)(1) of rule XIII of the Rules of the House of
Representatives states that:

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.

Earmarks

Pursuant to clause 9 of rule XXI of the Rules of the House
of Representatives, this bill, as reported, contains no
congressional earmarks, limited tax benefits, or limited tariff
benefits as defined in clause 9(d), 9(e), or 9(f) of rule XXI.

Compliance With Clause 3 of Rule XIII (Ramseyer Rule)

In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, existing law in which no change is
proposed is shown in roman):

DEPARTMENT OF DEFENSE APPROPRIATIONS ACT, 2007

(Public Law 109-289, Division A)

DIVISION A--DEPARTMENT OF DEFENSE APPROPRIATIONS ACT, 2007

* * * * * * *

GENERAL PROVISIONS

* * * * * * *

Sec. 9007. Amounts provided in this title for operations in
Iraq and Afghanistan may be used by the Department of Defense
for the purchase of up to [20] 170 heavy and light armored
vehicles for force protection purposes, notwithstanding price
or other limitations specified elsewhere in this Act, or any
other provision of law: Provided, That the Secretary of Defense
shall submit a report in writing no later than 30 days after
the end of each fiscal quarter notifying the congressional
defense committees of any purchase described in this section,
including the cost, purposes, and quantities of vehicles
purchased.

* * * * * * *

Sec. 9010. (a) Not later than 60 days after the date of the
enactment of this Act and every 90 days thereafter through the
end of fiscal year [2007] 2008, the Secretary of Defense shall
set forth in a report to Congress a comprehensive set of
performance indicators and measures for progress toward
military and political stability in Iraq.

* * * * * * *

(c) In specific, the report requires, at a minimum, the
following:
(1) * * *
(2) With respect to the training and performance of
security forces in Iraq, the following:
(A) * * *

* * * * * * *

(J) An assessment, in a classified annex if
necessary, of United States military
requirements, including planned force
rotations, through the end of calendar year
[2007] 2008.

* * * * * * *

CONTINUING APPROPRIATIONS RESOLUTION, 2007

(Public Law 109-289, Division B)

DIVISION B--CONTINUING APPROPRIATIONS RESOLUTION, 2007

* * * * * * *

CHAPTER 5--DEPARTMENT OF THE INTERIOR, ENVIRONMENT, AND RELATED
AGENCIES

Sec. 20501. Notwithstanding section 101, the level for each
of the following accounts shall be as follows: ``Bureau of Land
Management, Management of Lands and Resources'', $862,632,000;
``United States Fish and Wildlife Service, Resource
Management'', $1,009,037,000; ``National Park Service, Historic
Preservation Fund'', $55,663,000 of which $13,000,000 shall be
for Save America's Treasures; ``United States Geological
Survey, Surveys, Investigations, and Research'', $977,675,000;
and ``Environmental Protection Agency, Hazardous Substance
Superfund'', $1,251,574,000.

* * * * * * *

Sec. 20512. Notwithstanding section 101, the level for
``Indian Health Service, Indian Health Services'', shall be
$2,817,099,000, of which, not to exceed $5,000,000 shall be
available, in addition to amounts otherwise available, for
contract support costs; and of which, not to exceed $7,300,000
may be transferred to the ``Indian Health Facilities'' account,
and the $15,000,000 allocation of funding under the eleventh
proviso shall not be required.

* * * * * * *

Sec. 20515. Notwithstanding section 101, the level for
``Bureau of Indian Affairs, Operation of Indian Programs''
shall be $1,984,190,000, of which not less than $75,477,000 is
for post-secondary education programs; and of which, not to
exceed $9,019,000 shall be available, in addition to amounts
otherwise available, for contract support costs.

* * * * * * *

CHAPTER 6--DEPARTMENTS OF LABOR, HEALTH AND HUMAN SERVICES, AND
EDUCATION, AND RELATED AGENCIES

* * * * * * *

Sec. 20602. Notwithstanding section 101, the level for
``Employee Benefits Security Administration, Salaries and
Expenses'' shall be $140,834,000, [of which no less than
$5,000,000 shall be] of which $7,500,000 (together with an
additional $7,000,000 which shall be transferred by the Pension
Benefit Guaranty Corporation as an authorized administrative
cost) shall be available when needed through September 30,
2008, for the development of an electronic Form 5500 filing
system (EFAST2).

* * * * * * *

Sec. 20608. (a) Notwithstanding section 101, the level for
``Veterans Employment and Training, Salaries and Expenses''
shall not exceed $193,753,000 which may be derived from the
Employment Security Administration Account in the Unemployment
Trust Fund to carry out the provisions of sections 4100 through
4113, 4211 through 4215, and 4321 through 4327 of title 38,
United States Code, and Public Law 103-353, and which shall be
available for obligation by the States through December 31,
2007, of which $1,967,000 is for the National Veterans
Employment and Training Services Institute.

* * * * * * *

Sec. 20625. (a) * * *
(b) Of the amount provided in subsection (a)--
(1) [$7,172,994,000] $7,176,431,000 shall become
available on July 1, 2007, and shall remain available
through September 30, 2008, of which: [(A)
$5,451,387,000 shall be for basic grants under section
1124 of the Elementary and Secondary Education Act of
1965 (ESEA);] (A) $5,454,824,000 shall be for basic
grants under section 1124 of the Elementary and
Secondary Education Act of 1965 (ESEA), of which up to
$3,437,000 shall be available to the Secretary of
Education on October 1, 2006, to obtain annually
updated educational-agency-level census poverty data
from the Bureau of the Census; (B) $125,000,000 shall
be for school improvement grants authorized under
section 1003(g) of the ESEA; and [(C) not to exceed
$2,352,000 shall be available for section 1608 of the
ESEA;] (C) not to exceed $2,352,000 may be available
for section 1608 of the ESEA and for a clearinghouse on
comprehensive school reform under part D of title V of
the ESEA; and

* * * * * * *

CHAPTER 10--TRANSPORTATION, TREASURY, HOUSING AND URBAN DEVELOPMENT,
THE JUDICIARY, THE DISTRICT OF COLUMBIA, AND INDEPENDENT AGENCIES

* * * * * * *

Sec. 21033. Notwithstanding section 101, the level for
``Department of Housing and Urban Development, Public and
Indian Housing, Tenant-Based Rental Assistance'' shall be
$15,920,000,000, to remain available until expended, of which
$11,727,000,000 shall be available on October 1, 2006, and
notwithstanding section 109, $4,193,000,000 shall be available
on October 1, 2007: Provided, That paragraph (1) under such
heading in Public Law 109-115 (119 Stat. 2440) shall not apply
to funds appropriated by this division: Provided further, That
of the amounts available for such heading, $14,436,200,000
shall be for renewals of expiring section 8 tenant-based annual
contributions contracts (including renewals of enhanced
vouchers under any provision of law authorizing such assistance
under section 8(t) of the United States Housing Act of 1937, as
amended (42 U.S.C. 1437 et seq.) (``the Act'' herein)):
Provided further, That paragraph (2) under such heading in
Public Law 109-115 (119 Stat. 2441) shall be funded at
$149,300,000, but additional section 8 tenant protection rental
assistance costs may be funded in 2007 by using unobligated
balances, notwithstanding the purposes for which such amounts
were appropriated, including recaptures and carryover,
remaining from funds appropriated to the Department of Housing
and Urban Development under this heading, the heading ``Annual
Contributions for Assisted Housing'', the heading ``Housing
Certificate Fund'', and the heading ``Project-Based Rental
Assistance'' for fiscal year 2006 and prior fiscal years:
Provided further, That paragraph (3) under such heading in
Public Law 109-115 (119 Stat. 2441) shall be funded at
$47,500,000: Provided further, That paragraph (4) under such
heading in Public Law 109-115 (119 Stat. 2441) shall be funded
at $5,900,000: Provided further, That paragraph (5) under such
heading in Public Law 109-115 (119 Stat. 2441) shall be funded
at $1,281,100,000, of which $1,251,100,000 shall be allocated
for the calendar year 2007 funding cycle on a pro rata basis to
public housing agencies based on the amount public housing
agencies were eligible to receive in calendar year 2006, and of
which up to $30,000,000 shall be available to the Secretary to
allocate to public housing agencies that need additional funds
to administer their section 8 programs, with up to $20,000,000
to be for fees associated with section 8 tenant protection
rental assistance: Provided further, That notwithstanding any
other provision of law, from amounts provided under the second
proviso under this section the Secretary shall, for the
calendar year 2007 funding cycle, provide renewal funding for
each public housing agency based on voucher management system
(VMS) leasing and cost data for the most recently completed
period of 12 consecutive months for which the Secretary
determines the data is verifiable and complete, prior to
prorations, and by applying the 2007 Annual Adjustment Factor
as established by the Secretary, and by making any necessary
adjustments for the costs associated with the first-time
renewal of tenant protection or HOPE VI vouchers or vouchers
that were not in use during the 12-month period in order to be
available to meet a commitment pursuant to section 8(o)(13) of
the Act: Provided further, That notwithstanding the previous
proviso, except for applying the 2007 Annual Adjustment Factor
and making any other specified adjustments, public housing
agencies in the following categories shall receive renewal
funding for calendar year 2007 equal to the amounts, prior to
prorations, such public housing agencies were eligible to
receive in calendar year 2006, prorated at the calendar year
2006 rate: (1) public housing agencies that would receive less
funding under the previous proviso than they would receive
under this proviso and that are located in any area declared a
major disaster under the Robert T. Stafford Disaster Relief and
Emergency Act (42 U.S.C. 1521 et seq.) with respect to
hurricanes that occurred in calendar years 2004 and 2005; (2)
public housing agencies participating in the Moving to Work
Demonstration; (3) public housing agencies that, during
calendar year 2007 but prior to June 1, 2007, are in
receivership, or the Department of Housing and Urban
Development has declared to be in breach of an Annual
Contributions Contract; or (4) public housing agencies that
overspent their allocation for calendar year 2006 and available
housing assistance payments balance from calendar year 2005:
Provided further, That the Secretary shall, to the extent
necessary to stay within the amount provided under the second
proviso under this section, pro rate each public housing
agency's allocation otherwise established pursuant to this
section: Provided further, That except as provided in the
following proviso, the entire amount provided under the second
proviso under this section shall be obligated to the public
housing agencies based on the allocation and pro rata method
described above: [Provided further, That public housing
agencies participating in the Moving to Work demonstration
shall be funded pursuant to their Moving to Work agreements and
shall be subject to the same pro rata adjustments under the
previous proviso:] Provided further, That from amounts provided
under the second proviso of this section up to $100,000,000
shall be available only: (1) for adjustments for public housing
agencies that experienced a significant increase, as determined
by the Secretary, in renewal costs resulting from unforeseen
circumstances or from the portability under section 8(r) of the
Act of tenant-based rental assistance; and (2) for adjustments
for public housing agencies that could experience a significant
decrease in voucher funding that could result in the risk of
loss of voucher units due to the shift to using VMS data based
on a 12-month period: Provided further, That none of the funds
provided under the second proviso of this section may be used
to support a total number of unit months under lease which
exceeds a public housing agency's authorized level of units
under contract.

* * * * * * *

Sec. 21041A. The provisions under the heading ``Department of
Housing and Urban Development, Office of Federal Housing
Enterprise Oversight, Salaries and Expenses'' in title III of
division A of Public Law 109-115 shall be applied to funds
appropriated by this division by substituting ``$67,568,000''
for ``$60,000,000''.

* * * * * * *

----------

SECTION 1005 PUBLIC LAW 109-364

SEC. 1005. UNITED STATES CONTRIBUTION TO NATO COMMON-FUNDED BUDGETS IN
FISCAL YEAR 2007.

(a) * * *

* * * * * * *

(c) Authorized Amounts.--Amounts authorized to be
appropriated by titles II and III of this Act are available for
contributions for the common-funded budgets of NATO as follows:
(1) * * *
(2) Of the amount provided in section 301(1),
[$310,277,000] $376,446,000 for the Military Budget.

* * * * * * *

----------

TITLE 10, UNITED STATES CODE

* * * * * * *

Subtitle A--General Military Law

* * * * * * *

PART II--PERSONNEL

* * * * * * *

CHAPTER 75--DECEASED PERSONNEL

* * * * * * *

SUBCHAPTER II--DEATH BENEFITS

* * * * * * *

Sec. 1477. Death gratuity: eligible survivors

(a) [A death gratuity] Subject to subsection (d), a death
gratuity payable upon the death of a person covered by section
1475 or 1476 of this title shall be paid to or for the living
survivor highest on the following list:
(1) * * *

* * * * * * *

(d) During the period beginning on the date of the enactment
of this subsection and ending on September 30, 2007, a person
covered by section 1475 or 1476 of this title may designate
another person to receive not more than 50 percent of the
amount payable under section 1478 of this title. The
designation shall indicate the percentage of the amount, to be
specified only in 10 percent increments up to the maximum of 50
percent, that the designated person may receive. The balance of
the amount of the death gratuity shall be paid to or for the
living survivors of the person concerned in accordance with
paragraphs (1) through (5) of subsection (a).
[(d) If an eligible survivor dies before he] (e) If a person
entitled to all or a portion of a death gratuity under
subsection (a) or (d) dies before the person receives the death
gratuity, it shall be paid to the living survivor next in the
order prescribed by subsection (a).

* * * * * * *

PART IV--SERVICE, SUPPLY, AND PROCUREMENT

* * * * * * *

CHAPTER 137--PROCUREMENT GENERALLY

* * * * * * *

Sec. 2304. Contracts: competition requirements

(a) * * *

* * * * * * *

(l)(1) In the case of a procurement permitted by subsection
(c), the head of an agency shall make publicly available,
within 14 days after the award of the contract, the documents
containing the justification and approval required by
subsection (f)(1) with respect to the procurement.
(2) The documents shall be made available on the website of
the agency and through the Federal Procurement Data System.
(3) This subsection does not require the public availability
of information that is exempt from public disclosure under
section 552(b) of title 5, United States Code.

* * * * * * *

----------

SECTION 550 OF THE DEPARTMENT OF HOMELAND SECURITY APPROPRIATIONS ACT,
2007

Sec. 550. (a) No later than six months after the date of
enactment of this Act, the Secretary of Homeland Security shall
issue interim final regulations establishing risk-based
performance standards for security of chemical facilities and
requiring vulnerability assessments and the development and
implementation of site security plans for chemical facilities:
Provided, That such regulations shall apply to chemical
facilities that, in the discretion of the Secretary, present
high levels of security risk: Provided further, That such
regulations shall permit each such facility, in developing and
implementing site security plans, to select layered security
measures that, in combination, appropriately address the
vulnerability assessment and the risk-based performance
standards for security for the facility: Provided further, That
[the Secretary may not disapprove a site security plan
submitted under this section based on the presence or absence
of a particular security measure, but] the Secretary may
disapprove a site security plan if the plan fails to satisfy
the risk-based performance standards established by this
section: Provided further, That the Secretary may approve
alternative security programs established by private sector
entities, Federal, State, or local authorities, or other
applicable laws if the Secretary determines that the
requirements of such programs meet the requirements of this
section and the interim regulations: Provided further, That the
Secretary shall review and approve each vulnerability
assessment and site security plan required under this section:
Provided further, That the Secretary shall not apply
regulations issued pursuant to this section to facilities
regulated pursuant to the Maritime Transportation Security Act
of 2002, Public Law 107-295, as amended; Public Water Systems,
as defined by section 1401 of the Safe Drinking Water Act,
Public Law 93-523, as amended; Treatment Works as defined in
section 212 of the Federal Water Pollution Control Act, Public
Law 92-500, as amended; any facility owned or operated by the
Department of Defense or the Department of Energy, or any
facility subject to regulation by the Nuclear Regulatory
Commission.

* * * * * * *

(c) Notwithstanding any other provision of law and subsection
(b), information developed under this section, including
vulnerability assessments, site security plans, and other
security related information, records, and documents shall be
given protections from public disclosure [consistent with
similar] identical to the protections given information
developed by chemical facilities subject to regulation under
section 70103 of title 46, United States Code: Provided, That
this subsection does not prohibit the sharing of such
information, as the Secretary deems appropriate, with State and
local government officials possessing the necessary security
clearances, including law enforcement officials and first
responders, for the purpose of carrying out this section,
provided that such information may not be disclosed pursuant to
any State or local law: Provided further, That in any
proceeding to enforce this section, vulnerability assessments[,
site security plans, and other information submitted to or
obtained by the Secretary under this section, and related
vulnerability or security information, shall be treated as if
the information were classified material] and site security
plans shall be treated as sensitive security information (as
that term is used in section 1520.5 of title 49, Code of
Federal Regulations).
(d) Any person who violates an order issued under this
section shall be liable for a civil penalty under section
70119(a) of title 46, United States Code[: Provided, That
nothing in this section confers upon any person except the
Secretary a right of action against an owner or operator of a
chemical facility to enforce any provision of this section].

* * * * * * *

----------

SECTION 3001 OF THE EMERGENCY SUPPLEMENTAL APPROPRIATIONS ACT FOR
DEFENSE AND FOR THE RECONSTRUCTION OF IRAQ AND AFGHANISTAN, 2004

SEC. 3001. SPECIAL INSPECTOR GENERAL FOR IRAQ RECONSTRUCTION.

(a) * * *

* * * * * * *

(o) Termination.--(1)(A) * * *
(B) For purposes of calculating the termination of the Office
of the Inspector General under this subsection, any United
States funds appropriated or otherwise made available for
[fiscal year 2006] fiscal years 2006, 2007, or 2008 for the
reconstruction of Iraq, irrespective of the designation of such
funds, shall be deemed to be amounts appropriated or otherwise
made available to the Iraq Relief and Reconstruction Fund.

* * * * * * *

----------

SECTION 2 OF THE COMMUNITY DISASTER LOAN ACT OF 2005

SEC. 2. DISASTER LOANS.

(a) Essential Services.--Of the amounts provided in Public
Law 109-62 for ``Disaster Relief'', up to $750,000,000 may be
transferred to the Disaster Assistance Direct Loan Program for
the cost of direct loans as authorized under section 417 of the
Robert T. Stafford Disaster Relief and Emergency Assistance Act
(42 U.S.C. 5184) to be used to assist local governments in
providing essential services: Provided, That such transfer may
be made to subsidize gross obligations for the principal amount
of direct loans not to exceed $1,000,000,000 under section 417
of the Stafford Act: Provided further, That notwithstanding
section 417(b) of the Stafford Act, the amount of any such loan
issued pursuant to this section may exceed $5,000,000:
[Provided further, That notwithstanding section 417(c)(1) of
the Stafford Act, such loans may not be canceled:] Provided
further, That the cost of modifying such loans shall be as
defined in section 502 of the Congressional Budget Act of 1974
(2 U.S.C. 661a).

* * * * * * *

----------

EMERGENCY SUPPLEMENTAL APPROPRIATIONS ACT FOR DEFENSE, THE GLOBAL WAR
ON TERROR, AND HURRICANE RECOVERY, 2006

* * * * * * *

TITLE II

FURTHER HURRICANE DISASTER RELIEF AND RECOVERY

* * * * * * *

CHAPTER 4

DEPARTMENT OF HOMELAND SECURITY

* * * * * * *

Federal Emergency Management Agency

* * * * * * *

DISASTER ASSISTANCE DIRECT LOAN PROGRAM ACCOUNT

For an additional amount for ``Disaster Assistance Direct
Loan Program Account'' for the cost of direct loans as
authorized under section 417 of the Robert T. Stafford Disaster
Relief and Emergency Assistance Act (42 U.S.C. 5184),
$279,800,000, to be used to assist local governments affected
by Hurricane Katrina and other hurricanes of the 2005 season in
providing essential services, of which $1,000,000 is for
administrative expenses to carry out the direct loan program:
Provided, That such funds may be made to subsidize gross
obligations for the principal amount of direct loans not to
exceed $371,733,000: Provided further, That notwithstanding
section 417(b) of such Act, the amount of any such loan issued
pursuant to this section may exceed $5,000,000, and may be
equal to not more than 50 percent of the annual operating
budget of the local government in any case in which that local
government has suffered a loss of 25 percent or more in tax
revenues due to Hurricane Katrina or Hurricane Rita: [Provided
further, That notwithstanding section 417(c)(1) of such Act,
such loans may not be canceled:] Provided further, That the
cost of modifying such loans shall be as defined in section 502
of the Congressional Budget Act of 1974 (2 U.S.C. 661a):
Provided further, That the amounts provided under this heading
are designated as an emergency requirement pursuant to section
402 of H. Con. Res. 95 (109th Congress), the concurrent
resolution on the budget for fiscal year 2006.

* * * * * * *

GENERAL PROVISIONS--THIS CHAPTER

Sec. 2401. The Federal Emergency Management Agency may
provide funds to a State or local government or, as necessary,
assume an existing agreement from such unit of government, to
pay for utility costs resulting from the provision of temporary
housing units to evacuees from Hurricane Katrina and other
hurricanes of the 2005 season if the State or local government
has previously arranged to pay for such utilities on behalf of
the evacuees for the term of any leases, not to exceed [12] 24
months, contracted by or prior to February 7, 2006: Provided,
That the Federal share of the costs eligible to be paid shall
be 100 percent.

* * * * * * *

----------

DEPARTEMENT OF DEFENSE, EMERGENCY SUPPLEMENTAL APPROPRIATIONS ACT TO
ADDRESS HURRICANES IN THE GULF OF MEXICO AND PANDEMIC INFLUENZA, 2006

(Public Law 109-148)

DIVISION B

* * * * * * *

TITLE IV--HURRICANE EDUCATION RECOVERY ACT

Subtitle A--Elementary and Secondary Education Hurricane Relief

* * * * * * *

SEC. 105. REGULATORY AND FINANCIAL RELIEF.

(a) * * *
(b) Duration.--A waiver under this section shall be for the
fiscal year 2006 and, at the discretion of the Secretary, for
fiscal year 2007. With respect to the program authorized by
section 102 of this Act, the waiver authority in subsection (a)
of this section shall be available until the end of fiscal year
2008.

* * * * * * *

----------

SECTION 102 OF THE HELP AMERICA VOTE ACT OF 2002

SEC. 102. REPLACEMENT OF PUNCH CARD OR LEVER VOTING MACHINES.

(a) Establishment of Program.--
(1) * * *

* * * * * * *

(3) Deadline.--
(A) * * *
(B) Waiver.--If a State certifies to the
Administrator not later than January 1, 2004,
that the State will not meet the deadline
described in subparagraph (A) for good cause
and includes in the certification the reasons
for the failure to meet such deadline, the
State shall ensure that all of the punch card
voting systems or lever voting systems in the
qualifying precincts within that State will be
replaced in time for the first election for
Federal office held after [January 1, 2006]
January 1, 2008.

* * * * * * *

----------

SECTION 534 OF THE FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED
PROGRAMS APPROPRIATIONS ACT, 2006

SPECIAL AUTHORITIES

Sec. 534. (a) * * *

* * * * * * *

(k) Middle East Foundation.--Of the funds appropriated by
this Act under the heading ``Economic Support Fund'' that are
available for the Middle East Partnership Initiative, up to
$35,000,000 may be made available, including as an endowment,
notwithstanding any other provision of law and following
consultations with the Committees on Appropriations, to
establish and operate a Middle East Foundation, or any other
similar entity, whose purpose is to support democracy,
governance, human rights, and the rule of law in the Middle
East region: Provided, That such funds may be made available to
the Foundation only to the extent that the Foundation has
commitments from sources other than the United States
Government to at least match the funds provided under the
authority of this subsection: Provided further, That provisions
contained in section 201 of the Support for East European
Democracy (SEED) Act of 1989 (excluding the authorizations of
appropriations provided in subsection (b) of that section and
the requirement that a majority of the members of the board of
directors be United States citizens provided in subsection
(d)(3)(B) of that section) shall be deemed to apply to any such
foundation or similar entity referred to under this subsection,
and to funds made available to such entity, in order to enable
it to provide assistance for purposes of this section: Provided
further, That prior to the initial obligation of funds for any
such foundation or similar entity pursuant to the authorities
of this subsection, other than for administrative support, the
Secretary of State shall take steps to ensure, on an ongoing
basis, that any such funds made available pursuant to such
authorities are not provided to or through any individual or
group that the management of the foundation or similar entity
knows or has reason to believe, advocates, plans, sponsors, or
otherwise engages in terrorist activities: Provided further,
That section 530 of this Act shall apply to any such foundation
or similar entity established pursuant to this subsection:
Provided further, That the authority of the Foundation, or any
similar entity, to provide assistance shall cease to be
effective on September 30, 2010.

* * * * * * *

----------

SECTION 232 OF THE DEPARTMENTS OF VETERANS AFFAIRS AND HOUSING AND
URBAN DEVELOPMENT, AND INDEPENDENT AGENCIES APPROPRIATIONS ACT, 2001

SECTION 8 PHA PROJECT-BASED ASSISTANCE

Sec. 232. (a) * * *
[(b) Applicability.--In the case of any dwelling unit that,
upon the date of the enactment of this Act, is assisted under a
housing assistance payment contract under section 8(o)(13) of
the United States Housing Act of 1937 (42 U.S.C. 1437f(o)(13))
as in effect before such enactment, such assistance may be
extended or renewed notwithstanding the requirements under
subparagraphs (C), (D), and (E) of such section 8(o)(13), as
amended by subsection (a).]
(b) Applicability.--In the case of any dwelling unit that,
upon the date of the enactment of this Act, is assisted under a
housing assistance payment contract under section 8(o)(13) as
in effect before such enactment, or under section 8(d)(2) of
the United States Housing Act of 1937 (42 U.S.C. 1437f(d)(2))
as in effect before the enactment of the Quality Housing and
Work Responsibility Act of 1998 (title V of Public Law 105-
276), assistance may be renewed or extended under such section
8(o)(13), as amended by subsection (a), provided that the
initial contract term and rent of such renewed or extended
assistance shall be determined pursuant to subparagraphs (F)
and (H), and subparagraphs (C) and (D) of such section shall
not apply to such extensions or renewals.

* * * * * * *

----------

SECTION 303 OF THE FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF
1949

SEC. 303. COMPETITION REQUIREMENTS.

(a) * * *

* * * * * * *

(j)(1) In the case of a procurement permitted by subsection
(c), the head of an executive agency shall make publicly
available, within 14 days after the award of the contract, the
documents containing the justification and approval required by
subsection (f)(1) with respect to the procurement.
(2) The documents shall be made available on the website of
the agency and through the Federal Procurement Data System.
(3) This subsection does not require the public availability
of information that is exempt from public disclosure under
section 552(b) of title 5, United States Code.
----------

SOCIAL SECURITY ACT

* * * * * * *

TITLE II--FEDERAL OLD-AGE, SURVIVORS, AND DISABILITY INSURANCE BENEFITS

* * * * * * *

SELF-EMPLOYMENT

Sec. 211. For the purposes of this title--

Net Earnings From Self-Employment

(a) The term ``net earnings from self-employment'' means the
gross income, as computed under subtitle A of the Internal
Revenue Code of 1986, derived by an individual from any trade
or business carried on by such individual, less the deductions
allowed under such subtitle which are attributable to such
trade or business, plus his distributive share (whether or not
distributed) of the ordinary net income or loss, as computed
under section 702(a)(8) of such Code, from any trade or
business carried on by a partnership of which he is a member;
except that in computing such gross income and deductions and
such distributive share of partnership ordinary net income or
loss--
(1) * * *

* * * * * * *

(14) There shall be excluded income excluded from
taxation under section 7873 of the Internal Revenue
Code of 1986 (relating to income derived by Indians
from exercise of fishing rights); [and]
(15) The deduction under section 162(l) (relating to
health insurance costs of self-employed individuals)
shall not be allowed[.]; and
(16) Notwithstanding the preceding provisions of this
subsection, each spouse's share of income or loss from
a qualified joint venture shall be taken into account
as provided in section 761(f) of the Internal Revenue
Code of 1986 in determining net earnings from self-
employment of such spouse.

* * * * * * *

TITLE XXI--STATE CHILDREN'S HEALTH INSURANCE PROGRAM

* * * * * * *

SEC. 2104. ALLOTMENTS.

(a) * * *

* * * * * * *

(h) Special Rules to Address Fiscal Year 2007 Shortfalls.--
(1) Redistribution of unused fiscal year 2004
allotments.--
(A) * * *
(B) Shortfall state described.--For purposes
of this paragraph, a shortfall State described
in this subparagraph is a State with a State
child health plan approved under this title for
which the Secretary estimates, [subject to
paragraph (4)(B) and] on a monthly basis using
the most recent data available to the Secretary
as of such month, that the projected
expenditures under such plan for such State for
fiscal year 2007 will exceed the sum of--
(i) * * *

* * * * * * *

(2) Funding [remainder of reduction] part of
shortfall for fiscal year 2007 through redistribution
of certain unused fiscal year 2005 allotments.--
(A) * * *
(B) Shortfall state described.--For purposes
of this paragraph, a shortfall State described
in this subparagraph is a State with a State
child health plan approved under this title for
which the Secretary estimates, [subject to
paragraph (4)(B) and] on a monthly basis using
the most recent data available to the Secretary
as of March 31, 2007, that the projected
expenditures under such plan for such State for
fiscal year 2007 will exceed the sum of--
(i) * * *

* * * * * * *

[(4) Special rules.--
[(A) Expenditures limited to coverage for
populations eligible on october 1, 2006.--A
State shall use amounts redistributed under
this subsection only for expenditures for
providing child health assistance or other
health benefits coverage for populations
eligible for such assistance or benefits under
the State child health plan (including under a
waiver of such plan) on October 1, 2006.
[(B) Regular fmap for expenditures for
coverage of nonchild populations.--To the
extent a State uses amounts redistributed under
this subsection for expenditures for providing
child health assistance or other health
benefits coverage to an individual who is not a
child or a pregnant woman, the Federal medical
assistance percentage (as defined in the first
sentence of section 1905(b)) applicable to the
State for the fiscal year shall apply to such
expenditures for purposes of making payments to
the State under subsection (a) of section 2105
from such amounts.]
(4) Additional amounts to eliminate remainder of
fiscal year 2007 funding shortfalls.--
(A) In general.--From the amounts provided in
advance in appropriations Acts, the Secretary
shall allot to each remaining shortfall State
described in subparagraph (B) such amount as
the Secretary determines will eliminate the
estimated shortfall described in such
subparagraph for the State for fiscal year
2007.
(B) Remaining shortfall state described.--For
purposes of subparagraph (A), a remaining
shortfall State is a State with a State child
health plan approved under this title for which
the Secretary estimates, on the basis of the
most recent data available to the Secretary as
of the date of the enactment of this paragraph,
that the projected federal expenditures under
such plan for the State for fiscal year 2007
will exceed the sum of--
(i) the amount of the State's
allotments for each of fiscal years
2005 and 2006 that will not be expended
by the end of fiscal year 2006;
(ii) the amount of the State's
allotment for fiscal year 2007; and
(iii) the amounts, if any, that are
to be redistributed to the State during
fiscal year 2007 in accordance with
paragraphs (1) and (2).
(5) Retrospective adjustment.--
(A) In general.--The Secretary may adjust the
estimates and determinations made under
paragraphs (1), (2), [and (3)] (3), and (4) as
necessary on the basis of the amounts reported
by States not later than November 30, 2007, on
CMS Form 64 or CMS Form 21, as the case may be
and as approved by the Secretary, but in no
case may the applicable amount described in
paragraph (3)(C)(ii) exceed the amount
determined by the Secretary on the basis of the
most recent data available to the Secretary as
of March 31, 2007.

* * * * * * *

(6) 1-year availability; no further redistribution.--
Notwithstanding subsections (e) and (f), amounts
redistributed to a State pursuant to this subsection
for fiscal year 2007 shall only remain available for
expenditure by the State through September 30, 2007,
and any amounts of such redistributions that remain
unexpended as of such date, shall not be subject to
redistribution under subsection (f). Nothing in the
preceding sentence shall be construed as limiting the
ability of the Secretary to adjust the determinations
made under paragraphs (1), (2), [and (3)] (3), and (4)
in accordance with paragraph (5).

* * * * * * *

----------

SECTION 6 OF THE FAIR LABOR STANDARDS ACT OF 1938

minimum wages

Sec. 6. (a) Every employer shall pay to each of his employees
who in any workweek is engaged in commerce or in the production
of goods for commerce, or is employed in an enterprise engaged
in commerce or in the production of goods for commerce, wages
at the following rates:
[(1) except as otherwise provided in this section,
not less than $4.25 an hour during the period ending on
September 30, 1996, not less than $4.75 an hour during
the year beginning on October 1, 1996, and not less
than $5.15 an hour beginning September 1, 1997;]
(1) except as otherwise provided in this section, not
less than--
(A) $5.85 an hour, beginning on the 60th day
after the date of enactment of the Fair Minimum
Wage Act of 2007;
(B) $6.55 an hour, beginning 12 months after
that 60th day; and
(C) $7.25 an hour, beginning 24 months after
that 60th day;

* * * * * * *

[(3) if such employee is employed in American Samoa,
in lieu of the rate or rates provided by this
subsection or subsection (b), not less than the
applicable rate established by the Secretary of Labor
in accordance with recommendations of a special
industry committee or committees which he shall appoint
pursuant to sections 5 and 8. The minimum wage rate
thus established shall not exceed the rate prescribed
in paragraph (1) of this subsection;]
[(4)] (3) if such employee is employed as a seaman on
an American vessel, not less than the rate which will
provide to the employee, for the period covered by the
wage payment, wages equal to compensation at the hourly
rate prescribed by paragraph (1) of this subsection for
all hours during such period when he was actually on
duty (including periods aboard ship when the employee
was on watch or was, at the direction of a superior
officer, performing work or standing by, but not
including off-duty periods which are provided pursuant
to the employment agreement); or
[(5)] (4) if such employee is employed in
agriculture, not less than the minimum wage rate in
effect under paragraph (1) after December 31, 1977.

* * * * * * *

----------

INTERNAL REVENUE CODE OF 1986

* * * * * * *

Subtitle A--Income Taxes

* * * * * * *

CHAPTER 1--NORMAL TAXES AND SURTAXES

* * * * * * *

Subchapter A--Determination of Tax Liability

* * * * * * *

PART I--TAX ON INDIVIDUALS

* * * * * * *

SEC. 1. TAX IMPOSED.

(a) * * *

* * * * * * *

(h) Maximum Capital Gains Rate.--
(1) * * *

* * * * * * *

(12) Certain individuals not eligible for lowest
rate.--
(A) In general.--In the case of an individual
described in subparagraph (B)--
(i) the amount determined under
paragraph (1)(A)(ii)(II) shall not be
less than the amount of taxable income
which would (without regard to this
subsection) be taxed at a rate below 15
percent,
(ii) the sum of the amounts
determined under subparagraphs (B) and
(C) of paragraph (1) shall be an amount
equal to the rate of tax specified in
paragraph (1)(C) multiplied by so much
of the adjusted net capital gain (or,
if less, taxable income) as exceeds the
excess (if any) of--
(I) the amount of taxable
income which would (without
regard to this subsection) be
taxed at a rate below 15
percent, over
(II) the taxable income
reduced by the adjusted net
capital gain, and
(iii) no amount of qualified 5-year
gain shall be taken into account under
subparagraph (A) of paragraph (2) (as
in effect after the application of
section 303 of the Jobs and Growth Tax
Relief Reconciliation Act of 2003).
(B) Individuals to whom paragraph applies.--
(i) In general.--For purposes of this
paragraph, an individual is described
in this subparagraph if--
(I) such individual meets the
age requirements of section
152(c)(3) (determined without
regard to subparagraph (B)
thereof), and
(II) such individual's earned
income (as defined in section
911(d)(2)) for the taxable year
does not exceed one-half of
such individual's support
(within the meaning of section
152) for such taxable year.
(ii) Special rules for joint
returns.--In the case of a joint
return--
(I) the taxpayer and the
taxpayer's spouse shall be
treated as a single individual
for purposes of applying
subclause (II) of clause (i),
and
(II) the taxpayer shall be
treated as an individual
described in this subparagraph
only if the taxpayer and the
taxpayer's spouse are described
in clause (i) (determined after
application of subclause (I)).

* * * * * * *

PART IV--CREDIT AGAINST TAX

* * * * * * *

Subpart D-- Business Related Credits

* * * * * * *

SEC. 38. GENERAL BUSINESS CREDIT.

(a) * * *

* * * * * * *

(4) Special rules for specified credits.--
(A) * * *
(B) Specified credits.--For purposes of this
subsection, the term ``specified credits''
means--
(i) for taxable years beginning after
December 31, 2004, the credit
determined under section 40, [and]
(ii) the credit determined under
section 45 to the extent that such
credit is attributable to electricity
or refined coal produced--
(I) at a facility which is
originally placed in service
after the date of the enactment
of this paragraph, and
(II) during the 4-year period
beginning on the date that such
facility was originally placed
in service,
(iii) the credit determined under
section 45B, and
(iv) the credit determined under
section 51.

* * * * * * *

SEC. 45B. CREDIT FOR PORTION OF EMPLOYER SOCIAL SECURITY TAXES PAID
WITH RESPECT TO EMPLOYEE CASH TIPS.

(a) * * *
(b) Excess Employer Social Security Tax.--For purposes of
this section--
(1) In general.--The term ``excess employer social
security tax'' means any tax paid by an employer under
section 3111 with respect to tips received by an
employee during any month, to the extent such tips--
(A) * * *
(B) exceed the amount by which the wages
(excluding tips) paid by the employer to the
employee during such month are less than the
total amount which would be payable (with
respect to such employment) at the minimum wage
rate applicable to such individual under
section 6(a)(1) of the Fair Labor Standards Act
of 1938 (as in effect on January 1, 2007, and
determined without regard to section 3(m) of
such Act).

* * * * * * *

Subpart F--Rules for Computing Work Oppportunity Credit

* * * * * * *

SEC. 51. AMOUNT OF CREDIT.

(a) * * *
(b) Qualified Wages Defined.--For purposes of this subpart--
(1) * * *

* * * * * * *

(3) [Only first $6,000 of] Limitation on wages per
year taken into account.--The amount of the qualified
first-year wages which may be taken into account with
respect to any individual shall not exceed $6,000 per
year ($12,000 per year in the case of any individual
who is a qualified veteran by reason of subsection
(d)(3)(A)(ii)).
(c) Wages Defined.--For purposes of this subpart--
(1) * * *

* * * * * * *

(4) Termination.--The term ``wages'' shall not
include any amount paid or incurred to an individual
who begins work for the employer--
(A) * * *
(B) after December 31, [2007] 2008.
(d) Members of Targeted Groups.--For purposes of this
subpart--
(1) In general.--An individual is a member of a
targeted group if such individual is--
(A) * * *

* * * * * * *

[(D) a high-risk youth,]
(D) a designated community resident,

* * * * * * *

(3) Qualified veteran.--
(A) The term ``qualified veteran'' means any
veteran who is certified by the designated
local [agency as being a member of a family
receiving assistance under a food stamp program
under the Food Stamp Act of 1977 for at least a
3-month period ending during the 12-month
period ending on the hiring date.] agency as--
(i) being a member of a family
receiving assistance under a food stamp
program under the Food Stamp Act of
1977 for at least a 3-month period
ending during the 12-month period
ending on the hiring date, or
(ii) entitled to compensation for a
service-connected disability, and--
(I) having a hiring date
which is not more that 1 year
after having been discharged or
released from active duty in
the Armed Forces of the United
States, or
(II) having aggregate periods
of unemployment during the 1-
year period ending on the
hiring date which equal or
exceed 6 months.

* * * * * * *

(C) Other definitions.--For purposes of
subparagraph (A), the terms ``compensation''
and ``service-connected'' have the meanings
given such terms under section 101 of title 38,
United States Code.

* * * * * * *

[(5) High-risk youth.--
[(A) In general.--The term ``high-risk
youth'' means any individual who is certified
by the designated local agency--
[(i) as having attained age 18 but
not age 25 on the hiring date, and
[(ii) as having his principal place
of abode within an empowerment zone,
enterprise community, or renewal
community.
[(B) Youth must continue to reside in zone or
community.--In the case of a high-risk youth,
the term ``qualified wages'' shall not include
wages paid or incurred for services performed
while such youth's principal place of abode is
outside an empowerment zone, enterprise
community, or renewal community.]
(5) Designated community residents.--
(A) In general.--The term ``designated
community resident'' means any individual who
is certified by the designated local agency--
(i) as having attained age 18 but not
age 40 on the hiring date, and
(ii) as having his principal place of
abode within an empowerment zone,
enterprise community, or renewal
community.
(B) Individual must continue to reside in
zone or community.--In the case of a designated
community resident, the term ``qualified
wages'' shall not include wages paid or
incurred for services performed while the
individual's principal place of abode is
outside an empowerment zone, enterprise
community, or renewal community.
(6) Vocational rehabilitation referral.--The term
``vocational rehabilitation referral'' means any
individual who is certified by the designated local
agency as--
(A) * * *
(B) having been referred to the employer upon
completion of (or while receiving)
rehabilitative services pursuant to--
(i) an individualized written plan
for employment under a State plan for
vocational rehabilitation services
approved under the Rehabilitation Act
of 1973, [or]
(ii) a program of vocational
rehabilitation carried out under
chapter 31 of title 38, United States
Code[.], or
(iii) an individual work plan
developed and implemented by an
employment network pursuant to
subsection (g) of section 1148 of the
Social Security Act with respect to
which the requirements of such
subsection are met.

* * * * * * *

PART VI--ALTERNATIVE MINIMUM TAX

* * * * * * *

SEC. 55. ALTERNATIVE MINIMUM TAX IMPOSED.

(a) * * *

* * * * * * *

(f) Certain Individuals Not Eligible for Lowest Rate.--In the
case of an individual described in section 1(h)(12)(B), no
amount shall be determined under subsection (b)(3)(B).

* * * * * * *

Subchapter B--Computation of Taxable Income

* * * * * * *

PART VI--ITEMIZED DEDUCTIONS FOR INDIVIDUALS AND CORPORATIONS

* * * * * * *

SEC. 179. ELECTION TO EXPENSE CERTAIN DEPRECIABLE BUSINESS ASSETS.

(a) * * *
(b) Limitations.--
(1) Dollar limitation.--The aggregate cost which may
be taken into account under subsection (a) for any
taxable year shall not exceed $25,000 ([$100,000 in the
case of taxable years beginning after 2002] $125,000 in
the case of taxable years beginning after 2006 and
before [2010] 2011).
(2) Reduction in limitation.--The limitation under
paragraph (1) for any taxable year shall be reduced
(but not below zero) by the amount by which the cost of
section 179 property placed in service during such
taxable year exceeds $200,000 ([$400,000 in the case of
taxable years beginning after 2002] $500,000 in the
case of taxable years beginning after 2006 and before
[2010] 2011).

* * * * * * *

(5) Inflation adjustments.--
(A) In general.--In the case of any taxable
year beginning in a calendar year after [2003]
2007 and before [2010] 2011, the [$100,000 and
$400,000] $125,000 and $500,000 amounts in
paragraphs (1) and (2) shall each be increased
by an amount equal to--
(i) such dollar amount, multiplied by
(ii) the cost-of-living adjustment
determined under section 1(f)(3) for
the calendar year in which the taxable
year begins, by substituting ``calendar
year [2002] 2006'' for ``calendar year
1992'' in subparagraph (B) thereof.

* * * * * * *

(c) Election.--
(1) * * *
(2) Election irrevocable.--Any election made under
this section, and any specification contained in any
such election, may not be revoked except with the
consent of the Secretary. Any such election or
specification with respect to any taxable year
beginning after 2002 and before [2010] 2011 may be
revoked by the taxpayer with respect to any property,
and such revocation, once made, shall be irrevocable.
(d) Definitions and Special Rules.--
(1) Section 179 property.--For purposes of this
section, the term ``section 179 property'' means
property--
(A) which is--
(i) tangible property (to which
section 168 applies), or
(ii) computer software (as defined in
section 197(e)(3)(B)) which is
described in section 197(e)(3)(A)(i),
to which section 167 applies, and which
is placed in service in a taxable year
beginning after 2002 and before [2010]
2011,

* * * * * * *

Subchapter K--Partners and Parnerships

* * * * * * *

PART III--DEFINITIONS

* * * * * * *

SEC. 761. TERMS DEFINED.

(a) * * *

* * * * * * *

(f) Qualified Joint Venture.--
(1) In general.--In the case of a qualified joint
venture conducted by a husband and wife who file a
joint return for the taxable year, for purposes of this
title--
(A) such joint venture shall not be treated
as a partnership,
(B) all items of income, gain, loss,
deduction, and credit shall be divided between
the spouses in accordance with their respective
interests in the venture, and
(C) each spouse shall take into account such
spouse's respective share of such items as if
they were attributable to a trade or business
conducted by such spouse as a sole proprietor.
(2) Qualified joint venture.--For purposes of
paragraph (1), the term ``qualified joint venture''
means any joint venture involving the conduct of a
trade or business if--
(A) the only members of such joint venture
are a husband and wife,
(B) both spouses materially participate
(within the meaning of section 469(h) without
regard to paragraph (5) thereof) in such trade
or business, and
(C) both spouses elect the application of
this subsection.
[(f)] (g) Cross Reference.--
For rules in the case of the sale, exchange, liquidation, or
reduction of a partner's interest, see sections 704(b) and
706(c)(2).

* * * * * * *

CHAPTER 2--TAX ON SELF-EMPLOYMENT INCOME

* * * * * * *

SEC. 1402. DEFINITIONS

(a) Net Earnings from Self-Employment.--The term ``net
earnings from self-employment'' means the gross income derived
by an individual from any trade or business carried on by such
individual, less the deductions allowed by this subtitle which
are attributable to such trade or business, plus his
distributive share (whether or not distributed) of income or
loss described in section 702(a)(8) from any trade or business
carried on by a partnership of which he is a member; except
that in computing such gross income and deductions and such
distributive share of partnership ordinary income or loss--
(1) * * *

* * * * * * *

(15) in the case of a member of an Indian tribe, the
special rules of section 7873 (relating to income
derived by Indians from exercise of fishing rights)
shall apply[, and];
(16) the deduction provided by section 199 shall not
be allowed[.]; and
(17) notwithstanding the preceding provisions of this
subsection, each spouse's share of income or loss from
a qualified joint venture shall be taken into account
as provided in section 761(f) in determining net
earnings from self-employment of such spouse.

* * * * * * *

Subtitle F--Procedure and Administration

* * * * * * *

CHAPTER 65--ABATEMENTS, CREDITS, AND REFUNDS

* * * * * * *

Subchapter A--Procedure in General

* * * * * * *

SEC. 6404. ABATEMENTS.

(a) * * *

* * * * * * *

(g) Suspension of Interest and Certain Penalties Where
Secretary Fails to Contact Taxpayer.--
(1) Suspension.--
(A) In general.--In the case of an individual
who files a return of tax imposed by subtitle A
for a taxable year on or before the due date
for the return (including extensions), if the
Secretary does not provide a notice to the
taxpayer specifically stating the taxpayer's
liability and the basis for the liability
before the close of the [18-month period] 22-
month period beginning on the later of--
(i) * * *

* * * * * * *

(3) Suspension period.--For purposes of this
subsection, the term ``suspension period'' means the
period--
(A) beginning on the day after the close of
the [18-month period] 22-month period under
paragraph (1); and

* * * * * * *

----------

SECTION 401 OF THE TAX INCREASE PREVENTION AND RECONCILIATION ACT OF
2005

SEC. 401. TIME FOR PAYMENT OF CORPORATE ESTIMATED TAXES.

Notwithstanding section 6655 of the Internal Revenue Code of
1986--
(1) in the case of a corporation with assets of not
less than $1,000,000,000 (determined as of the end of
the preceding taxable year)--
(A) * * *
(B) the amount of any required installment of
corporate estimated tax which is otherwise due
in July, August, or September of 2012 shall be
[106.25 percent] 112.75 percent of such amount,

* * * * * * *

----------

SECTION 1403 OF THE FLOYD D. SPENCE NATIONAL DEFENSE AUTHORIZATION ACT
FOR FISCAL YEAR 2001

SEC. 1403. REPORTS.

(a) Final Report.--Not later than [September 30, 2007] June
30, 2008, the Commission shall submit to Congress a report
providing the Commission's assessment of the matters specified
in section 1402. That report shall include recommendations for
any steps the Commission believes should be taken by the United
States to better protect systems referred to in section 1402(1)
from an EMP attack.

* * * * * * *

MINORITY VIEWS SUBMITTED BY MR. LEWIS

There is no question that if Chairman Obey was permitted to
write this bill on his own, it would be a much better product.
Instead, the House is being asked to consider a spending bill
that reflects the priorities of Speaker Pelosi and a deeply
divided Democratic Caucus. It attempts to bridge these widening
divisions over the War in Iraq by delivering billions of
dollars in unrelated and unauthorized spending under an
emergency designation.
This legislation ought to focus on our troops. It ought to
focus on providing those in harm's way with the resources they
need to complete their mission successfully. It ought to
respect--not micromanage--our combatant commanders in whom we
place the ultimate responsibility of prosecuting military
actions.
Instead, this legislation continues the majority's ``slow
bleed'' strategy by tying the hands of our Commander-in-Chief
during a time of war; places military decisions in the hands of
politicians; and attempts to buy votes for its passage--on the
left and on the right--by literally promising something to
everyone.
If the majority's goal is to end the war or withdraw our
troops, then that should be addressed in separate legislation.
The majority cannot have it both ways, pretending on the one
hand to support our troops while, on the other hand,
undercutting their ability to complete their mission.
Men and women of good conscience can disagree about the war
in Iraq. But on one thing we must all agree--our men and women
in uniform must continue to receive our unqualified support and
the resources they need to complete their mission successfully.
All Members should consider carefully the consequences of
their actions regarding this legislation. Enactment of this
measure in its present form will signal to insurgents and
terrorists that the United States doesn't have the political
will to continue supporting this fledgling Iraqi democracy.
Al Qaeda and other enemies of freedom will simply lay in
wait until our troops are withdrawn. And, with the collapse of
this fragile democracy, our efforts--and the sacrifices of our
troops--will have been for nothing.
The fight in Iraq is also critical to the future of Israel.
A failure in Iraq will further destabilize the region, posing a
direct threat to Israel. We must not let that occur to our
friend and ally.
There should be no carrot big enough to force Members into
choosing between their principled support of our troops in the
field and funding for the many unrelated, parochial items
sprinkled throughout this bill.
Republican Members of this committee--and in the House--are
simply not going to abandon our principles--and troops in the
field--for the promise of pork back in our districts. To their
credit, many Democrats continue to express grave reservations
about this approach--and this legislation.
Last year, Congress sent to the President a clean
supplemental spending bill for our troops. This Congress would
be better served by sending a clean bill, free of extraneous
spending and unrelated legislative provisions, in order to
continue funding for our troops who stand in harm's way.
However, as a result of the extraneous spending included in
this bill, as well as the unrelated authorizing provisions, it
will take months to complete work on a final bill that the
President can sign. In the meantime, our troops will face the
uncertainty that stems from not understanding whether the
majority party is committed to providing the resources
necessary in a timely fashion for them to complete their
mission successfully.

Lewis-Young Amendment

During full Committee consideration of this measure, Mr.
Lewis and Mr. Young offered an amendment to strike Sections
1901-1904 and insert the text of H.R. 511. In addition to
striking the provisions that tie the President's hands in an
unprecedented and likely unconstitutional manner, the amendment
pledged the faithful support of Congress to the members of the
United States Armed Forces serving in harm's way by
specifically stating that ``Congress will not cut off or
restrict funding for units and members of the Armed Forces that
the Commander-in-Chief has deployed in harm's way in support of
Operation Iraqi Freedom and Operation Enduring Freedom.''
Sadly, Committee Democrats voted in lockstep (37-27) to reject
the Lewis-Young language, replacing it with feel good
platitudes in lieu of an iron-clad guarantee of financial
support. Their vote creates the dangerous precedent of tying
the President's hands during a time of war, and sends an
ominous message to our men and women in uniform.

Young Amendment

On behalf of those Members of Congress who advocate an
immediate withdrawal from Iraq, Mr. Young offered an amendment
that would have funded the immediate withdrawal of our military
forces from Iraq. The amendment was defeated unanimously (0-
64), drawing the votes of several members who have long
advocated for this immediate withdrawal. It is unfathomable
that the majority, on one hand, unanimously rejects the
immediate withdrawal of troops; proceeds to vote against a
declaration that Congress will not cut off funding for those
same troops; and then supports legislation that requires troops
to begin withdrawing by the arbitrary deadline of March 1, 2008
at the latest. Members of the majority party are mandating a
withdrawal from Iraq using a legislative sleight of hand, but
won't admit to it with a direct vote on the matter.

Constitutional Impact

While the bill proposes egregious micromanagement with
respect to Iraq, there is an even more disturbing consequence
with respect to its impact on the U.S. Constitution. The
delineation of powers between the Executive and the Legislative
branches is quite clear--and is even reflected in an amendment
adopted by the Appropriations Committee duringconsideration of
the bill. Specifically, that amendment identifies the President as
Commander-in-Chief. Sadly, the majority included text in the bill that
restricts the manner in which the Commander-in-Chief is permitted to
deploy the Armed Forces of the United States. If Congress wishes to end
military operations in Iraq, its only constitutional recourse is to cut
off funding--a notion the Appropriations Committee unanimously
rejected.

Extraneous Spending

To make matters worse, this bill proposes more than $22
billion in emergency spending items that are completely
unrelated to the troops, veterans' health, and Iraq. The
majority has gone on a shopping spree, including many items
designated as emergencies, to entice the support of Members
while simultaneously making room for additional spending under
the fiscal year 2008 spending caps.
What does a $25 million bail out for spinach producers, $60
million for the salmon fishing industry, or $5 million for
aquaculture have to do with our troops, veterans' health or
Iraq, as the short title of the bill suggests.
The bill includes nearly $1 billion in emergency funding
for activities related to avian influenza. This is a fiscally
irresponsible attempt to off-load $1 billion in spending that
ought to be considered in the regular FY08 appropriations
process. In FY06, Congress provided $5.6 billion in emergency
funding for this purpose, and included additional funding in
the FY07 omnibus appropriations bill. Today, half-way through
FY07, more than $2.6 billion of that money remains unspent. The
Department of Health and Human Services requested the funds
this bill designates as an emergency in the FY08 Labor-HHS
bill--without an emergency designation.
The bill also includes $750 million for the State
Children's Health Insurance Program--a mandatory program under
the jurisdiction of the Energy and Commerce Committee. If there
is a shortfall in some states that are unable to live within
their means, it should be addressed by the committee of
jurisdiction--not in a supplemental spending bill that purports
to be for our troops, veterans' health, and Iraq.
Additionally, the supplemental includes over $7 billion for
programs under the jurisdiction of the Homeland Security
Subcommittee, almost $3.5 billion over the President's request.
While almost two-thirds is for disaster relief, the remaining
$2.5 billion was added to address so-called FY07 emergencies.
Many of the majority's funding increases are for worthy and
important items such as nuclear and explosive detection systems
and additional aircraft for the northern border. However, they
should in no way be considered an FY07 emergency. In every
instance these items could, and should be, addressed in the
regular FY08 appropriations process. By including them as an
FY07 emergency, the majority is simply trying to look strong on
security and buy down requirements to free up funds in FY08 for
additional spending. As we have demonstrated through our past
action, while we certainly support Homeland Security spending,
we support such spending within the confines of the Budget
Resolution without the emergency designation when no true
emergency exists.
The agriculture-related provisions in the supplemental,
which are far too numerous and costly to mention individually,
were developed without any opportunity for input from the
Ranking Minority Member nor from any of the other Republican
Members of the Agriculture Subcommittee. Some of the more
egregious examples include $5 million for aquaculture and $25
million for spinach producers. Clearly, this type of spending
does not have a place in a wartime emergency supplemental bill.
Furthermore, this legislation includes authorization
language to increase the minimum wage. Again, why can't the
committees of jurisdiction in the House and Senate meet in open
conference to resolve the differences between these two bills?
What place has this provision in a wartime supplemental? Quite
simply, it is included at the behest of the Democrat leadership
for no other reason than to act as a sweetener, to appeal to
those who, for varying reasons, believe the Iraq policy
included in this spending bill is misguided and wrong.
Lastly, the bill includes an entire title on contracting
``reform.'' To our knowledge, there is no crisis in
contracting--nothing that would suggest that this legislation
is an emergency. Perhaps the reforms are necessary, perhaps
not. That is a question better addressed by the authorizing
committees of jurisdiction rather than the Appropriations
Committee. What is certain is that this issue ought to be
considered in regular order, not by ``airdropping'' it into
this supplemental spending bill.

Conclusion

It is clear that Chairman Obey has been asked to carry
egregious spending and legislative provisions by Speaker Pelosi
and the majority leadership without regard for the
constitutional prerogatives of the Commander-in-Chief, without
regard for the strategic and tactical expertise of our
combatant commanders in the field, and without regard for the
morale of our troops who faithfully execute their duly
authorized mission. It is in the best interest of our troops to
send a clean bill to the President--a bill that provides the
financial resources necessary for our troops and for our
veterans. The President has stated unequivocally that he will
veto this legislation, a decision that we in the minority
strongly endorse.

Jerry Lewis.

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