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International Affairs Budget Update
December 9, 2016

Congress Passes Continuing Resolution;
Significant Funding Increase for International Affairs

Before adjourning for the year, Congress is set to send to the
President's desk a Continuing Resolution (CR) that will fund the
government through April 28, 2017 and provide a significant increase
for the International Affairs Budget.

The bill, which passed the House by a vote of 326-96 yesterday and is
expected to pass the Senate soon, includes $1.07 trillion in total
discretionary spending. For the International Affairs Budget, the CR
includes $39.6 billion in base funding. This is slightly below current
levels, as the result of a 0.19% across-the-board cut needed to align
funding levels with the spending caps.

Importantly, the proposal includes a significant increase ($4.3
billion) for Overseas Contingency Operations (OCO) funding for
international affairs, raising total OCO funding for the State
Department and USAID to $19.2 billion. As USGLC reported earlier this
fall, the Administration requested an additional $5.8 billion to
counter ISIS and support humanitarian programs in the Middle East (see
below for specifics). So while Congress approved less than the
Administration's request, the additional funding nonetheless
provides a significant and much needed boost in funding for these
important programs.

Altogether, the new CR provides a total of $58.8 billion for the
International Affairs Budget, an increase of $4.2 billion (8%) above
FY16 levels.

International Affairs Budget Snapshot

FY16 Enacted
FY17 Request
FY17 House
FY17 Senate
FY17 CR

Base
$39.7 billion
$39.4 billion
$39.1 billion
$39.2 billion
$39.6 billion

OCO
$14.9 billion
$20.7 billion*
$14.9 billion
$14.9 billion
$19.2 billion*

Total
$54.6 billion
$60.1 billion
$54.0 billion
$54.1 billion
$58.8 billion

*Reflects the additional $5.8 billion requested in November, and the
$4.3 billion provided in the CR.

As mentioned above, the additional $4.3 billion in State/USAID funding
includes funding for programs aimed at countering ISIS, providing
humanitarian relief, and support for programs in the Middle East.
Specifically, the funding includes:

* $1.7 billion for Embassy Security and Diplomatic Operations:
This funding, which is close to the level requested, would be
used to improve security and support diplomatic and USAID
personnel.

* $1.2 billion for Economic and Stabilization Assistance: Intended
primarily to help stabilize countries in the Middle East region,
this funding level is significantly below the
Administration's $2.5 billion request. It also includes
some economic assistance to help countries threatened by Russia.

* $916 million for Humanitarian Assistance: Funding in this
category, which is about $300 million below the
Administration's request, is focused on addressing the
crisis caused by the growing numbers of displaced persons and
refuges in the region.

* $404 million for Security Assistance: This includes funding for
counterterrorism programs to help U.S. allies in the Middle
East, as well as security assistance to Ukraine and other
countries resisting Russian aggression.

Next Steps

The Senate is expected to approve the CR soon, and once passed no more
legislative action is expected this year.

USGLC salutes our partners and Members of Congress for a remarkable
year that included passage of eight significant pieces of bipartisan
legislation that advance our interests and strengthen U.S. foreign
assistance programs, including the:

* African Growth and Opportunity Act;
* Water for the World Act;
* Girls Count Act;
* Electrify Africa Act;
* Global Food Security Act;
* Foreign Aid Transparency and Accountability Act;
* E.N.D. Wildlife Trafficking Act; and
* End Modern Slavery Initiative Act.

The 115th Congress will be sworn in on January 3, 2017.


U.S. Global Leadership Coalition

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