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News Room
September 22nd, 2006 - -
FY06 Comparable funding:     $358.5 billion
FY07 Request:                            $381.7 billion
FY07 Bill:                                      $377.6 billion (PLUS a $70.0 billion bridge fund for military operations in Iraq and Afghanistan)
The conferees also decided to include a continuing resolution that funds government operations at the lower rate of House-passed, Senate-passed or last year’s funding level through November 17th
Overall Budgetary Highlights
Military Personnel                                                    $86.4 billion
Operation and Maintenance                                  $119.8 billion
Procurement                                                             $80.9 billion
Research, Development, Test and Evaluation  $75.7 billion
Revolving and Management Funds                     $2.5 billion
Emergency Wartime Appropriations                    $70.0 billion
Troop Support:  Fully funds the 2.2% military pay raise, effective January 1, 2007, and end strength levels requested for active duty and Guard and Reserve Personnel in the President's budget.  Conference agreement provides $557.0 million for the Army Reserve and Army National Guard military personnel and operation and maintenance accounts that were reduced in the budget request on the basis of their current, not authorized, end strength levels.

Title IX “Bridge Fund”:  The conference recommendation includes $70.0 billion in emergency funding for military operations in Iraq and Afghanistan.  Funds are also provided for the following:

o       Counter IED:  $1.9 billion is provided for the Joint IED Defeat Organization of the Department of Defense in order to test and field new jammers to counter improvised explosive devices (IEDs) employed by our enemies in Iraq and Afghanistan. 
o       Reset of Army and Marine Corps:  Approximately $17.1 billion is provided for the full fiscal year 2007 costs to reset the Army in order to fully equip deploying forces and to provide new and refurbished equipment for returning units.  This is the total identified by the Army Chief of Staff to cover all such costs for the coming year.  The Marine Corps is provided $5.8 billion for the same purposes.  Of the funds provided for the Army, $2.94 billion is for the Army Guard and Reserve, including $500 million to continue the effort initiated last year to outfit the Army National Guard with the equipment it needs for homeland defense and disaster response.
o       Other Items:  The Commander’s Emergency Response Program (CERP) is provided $500 million to help combatant commanders secure the peace by addressing emergency civilian needs in Afghanistan and Iraq.  $3.2 billion is provided to train and equip Iraqi and Afghan security forces.
Army Ground Systems:  The Army’s Future Combat System (FCS) research and development program is funded at $3 billion, about $320 million below the request. 
Army Aviation:  The Army’s UH-60 Blackhawk procurement is funded at $577 million.  The recommendation includes an additional $19.2 million for a medical evacuation helicopter for the Army Reserve.  The Administration’s requests for AH-64 Apache helicopter modifications and CH-47 Chinook helicopter modifications are fully funded at $776 million and $583 million respectively.
Navy Shipbuilding:  The conference provides a total of $11.0 billion for Navy shipbuilding and conversion.  This includes $1.8 billion to purchase one Virginia-class submarine, $1.1 billion for one LHA(R) amphibious assault ship, $455 million for one T-AKE ammunition ship, and $521 million for two Littoral Combat Ships (LCSs). The recommendation funds the purchase of two DD(X) destroyers, including $2.6 billion for this purpose. 
Navy/Marine Corps Aviation:  The conference recommendation includes $2.5 billion for 34 F/A-18’s.  The conference agreement fully funds the V-22 aircraft procurement program at $1.3 billion.  The conference agreement funds development of the VH-71 Presidential Helicopter Program ($632 million) and the Multimission Maritime Patrol Aircraft ($1.1 billion). 
Air Force programs:  The conference recommendation includes $2.7 billion to fully fund the procurement of 20 F/A-22 aircraft and $687 million for advance procurement of 20 aircraft in fiscal year 2008.  The C-17 program is funded at $2.2 billion for 12 aircraft and an additional $2.1 billion is provided in the bridge fund to purchase 10 additional aircraft.  The bill provides $697 million in funding for the C-130J Air Force procurement program and $90 million for advance procurement.  In addition, $198 million is provided for the Navy’s KC-130J program and $45 million for advance procurement.  Research and development for the Joint Strike Fighter (a joint program with the Navy) is funded at $4.3 billion.  The conference report funds 2 of the 5 JSF production aircraft requested, for a savings of $389 million.
Missile Defense:  The conference recommendation provides a total of $9.4 billion for ballistic missile defense, an increase of $1.6 billion over FY06 and $110 million above the request.  The agreement includes additional funding of $5 million for an Asymmetric Warfare Initiative, and $20 million for ballistic missile defense signals processor and open architecture. The Kinetic Energy Interceptor (KEI) program is funded at $357.5 million and the Airborne Laser program is funded at $631.6 million.  In addition, funding of $32.8 million is provided for a third ground-based interceptor site in Europe, as well as long-lead items for 10 interceptors for this site.
Space ProgramsThe conference recommendation continues its support for Operationally Responsive Space and adds $25 million to the budget request.  The conference recommendation makes reductions to the request for two programs: Space Radar (-$80 million) and Transformational Communications Satellite (-$130 million).  Additionally, the recommendation reduces the Evolved Expendable Launch Vehicle program by $80 million for launch delays and infrastructure costs as well as recognizes programmatic difficulty causing delays in the Global Positioning System IIF through a reduction of $54.6 million.
Drug Interdiction and Counter-drug Activities:  The conference recommendation provides $977 million for DOD’s counter-drug activities and to fight narcoterrorism, $50.7 million over the request and $69.2 million above last year’s level.  In addition, $100 million is added in title IX for counter-drug activities in Afghanistan.
Other programs:  The conference recommendation provides the Defense Advanced Research Projects Agency (DARPA) with $3.1 billion, and the Chemical and Biological Defense Program $1.496 million which is $38 million above the request.  The Israeli Arrow program is funding at $136 million which is $58 million above the request.  Within the $136 million, co-production is funded at $98 million which is $40 million above the request and the Short Range Ballistic Missile is funded at $20.4 million which is $18.4 million above the request.
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