*EPF311 07/16/2003
House Authorizes $29,500 Million Two-Year Foreign Operations Bill
(Also authorizes $1,300 million for Millennium Challenge Account) (540)

By Kathryn McConnell
Washington File Staff Writer

Washington -- The House of Representatives solidly passed a bill authorizing spending of nearly $30,000 million over the next two years for foreign operations spending.

The bill authorizes $14,300 million for the year beginning October 1 (FY04) and $15,200 million for FY05 for foreign operations.

Separately, the House and Senate must also pass a FY04 spending bill for foreign programs -- actually committing the federal government's money. For more than a decade Congress has passed foreign programs spending legislation without even considering separate authorization legislation.

The House measure passed 382-42 July 16 also would authorize spending $1,300 million in FY04 and $3,000 million in FY05 for the Millennium Challenge Account (MCA), President Bush's new program that would direct foreign aid to countries that meet such standards as investing in education, promoting economic and democratic reforms, and respecting human rights.

The bill would authorize spending $357 million in FY04 and $500 million in the following year for the Peace Corps, which Bush wants to expand to 14,000 volunteers by 2007.

Under the bill the State Department would have authority to spend $9,600 million in FY04 and $9,500 million in FY05. The legislation would authorize $1,300 million over the next two years for the Broadcasting Board of Governors, which is responsible for the Voice of America (VOA) and other overseas broadcasts, including a new Middle East Broadcasting Network. The bill singles out the need for more public diplomacy, especially in Muslim and Arabic-speaking countries.

The Senate was considering a foreign operations authorization bill, but Majority Leader Bill Frist, a Republican from Tennessee, pulled it off the floor when Democrats tried to attach an unrelated minimum wage amendment.

After the Senate passes its version of the bill, both chambers must then negotiate and pass a final version before sending it to the president for signature or veto.

As it now stands the Senate bill would authorize $25,500 million for foreign operations in FY04 and FY05, including $1,000 million for MCA in FY04.

The bill would authorize $1,300 million in FY04 for security improvements and replacement of vulnerable embassies.

The legislation contains provisions that do not involve money such as expanding prohibitions on weapons transactions with countries that sponsor terrorism and restricting exports of U.S.-made satellites and related technology.

It would sustain a policy of withholding money from foreign organizations that perform abortions or advocate abortion rights, the so-called Mexico City policy.

Also July 16 the House Appropriations Committee was working to approve a spending bill for foreign operations for FY04. The committee rejected 33-28 a proposed amendment that would have increased spending against HIV/AIDS.

The committee approved HIV/AIDS spending of $1,350 million, in line with the Bush administration request. Over five years the administration has pledged to spend $15,000 million.

The total FY04 foreign spending approved by the committee would amount to $17,100 million, less than the administration request for $18,900 million and less than the $23,700 million spending in the current year.

The foreign spending bill must still be considered in the full House and Senate.

(The Washington File is a product of the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)

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