February 14, 2019

The Consolidated Appropriations Act 2019

NOTEWORTHY

Background: Seventy-five percent of fiscal year 2019 discretionary appropriations have been enacted. Agencies without full year appropriations, however, have been operating under a series of continuing resolutions: P.L. 115-245; P.L. 115-298; and P.L. 116-5. The inability to reach consensus on funding for the Department of Homeland Security before the statutory deadline led to a partial government shutdown lasting 35 days, from December 22, 2018, throughJanuary 25, 2019. On January 24, 2019, the House passed H. J. Res 31, a bill providing continuing appropriations for the Department of Homeland Security through February 15, 2019. The Senate amended the measure and sent it back to the House. Reaching the stage of disagreement, the House requested a conference. Congressional negotiators announced the outline of a spending agreement on February 11 and the conference report was released onFebruary 14. 

Floor Situation: Under the rule, the motion to proceed is privileged and the conference report is not amendable. The Senate is expected to vote on the measure this week.

Executive Summary: H.J.Res 47 provides $333 billion in total budget authority across the seven remaining fiscal year 2019 appropriations measures: Agriculture and Rural Development;Commerce/Justice/Science; Financial Services and General Government; HomelandSecurity; Interior and Environment; State and Foreign Operations; andTransportation, Housing and Urban Development. The non-DHS titles reflect conference negotiations completed just prior to the shutdown, with minor updates. The Homeland Security division reflects the recent bipartisan, bicameral border compromise including: nearly $1.4 billion for 55 miles of new border barriers in high-priority sectors; funding for an average detention population of 45,300; and an additional $750 million in transfer and reprogramming authority that could support an additional 13,000 detention beds.The Senate AppropriationsCommittee posted text of the conference report and division summaries here.

OVERVIEW OF THE ISSUE

Approximately 75 percent of fiscal year 2019discretionary funding has been enacted. A partial government shutdown began onDecember 22, 2018, when a continuing resolution for the remaining 25 percent of appropriations expired. Affected departments and agencies have been operating under a continuing resolution that will expire after February 15. The president has demanded new resources to secure the southern U.S. border as part of any conference agreement. 

NOTABLE BILL PROVISIONS 

DIVISION A — HOMELAND SECURITY

Appropriates $61.6 billion in discretionary funding for the Department of Homeland Security. Includes $22.55 billion for overall border security with funding for physical barriers, additional law enforcement personnel, humanitarian aid, and counter-drug and counter-weapons technology. Here is the Appropriations Committee summary.

The division provides:

Customs and Border Protection

· $14.96 billion overall, an increase of $942million above the fiscal year 2018 enacted level.

· $1.375 billion for additional steel physical barriers, including 55 new miles of pedestrian fencing in the Rio GrandeValley.

· Funds 200 more border patrol agents than the fiscal year 2018 enacted level.

· $414 million to address the humanitarian needs, including improved processing facilities and medical professionals at the border.

· $715 million for non-intrusive drug detection at ports of entry, for a total of $625 million in technology to stop drugs and weapons from entering the U.S.

Immigration and Customs Enforcement

· $7.6 billion in funding for ICE for fiscal year2019, an increase of $512 million above the fiscal year 2018 enacted level.

· No arbitrary numerical restrictions on the number of beds ICE can maintain for detention.

· Provides for an average daily population of45,274 detention beds with the ability to reprogram funds for more capacity if needed.

Coast Guard

· $12.0 billion for Coast Guard personnel, operations, maintenance, and acquisition of new ships, an increase of $242 million over the fiscal year 2018 request.

· Appropriates $655 million for the production of a new Polar Security Cutter and $20 million for long-lead materials for a second PSC. This program, formerly known as the Polar Icebreaker, will acquire the first new heavy icebreaker to enter service in more than 40 years.

United States Secret Service

· $2.49 billion for operations and for increased capability and preparation for the 2020 presidential campaign.

Federal Emergency Management Agency

· $16.6 billion for FEMA with $12.6 billion for the Disaster Relief Fund to assist with expenses resulting from recent wildfires, floods, and other natural disasters, as well as disasters that may occur in 2019.

Transportation Security Administration

·  $4.93 billion for TSA, $5 million above the fiscal year 2018 enacted level. Fully funds the Federal Air Marshal Service and the Federal Flight Deck Officer program.

· Funds 1,144 new TSA personnel to staff checkpoints and mitigate wait times, enough to accommodate a predicted 4.5percent increase in passengers.

· Provides $11 million for 50 additional canine teams and 92 million to deploy 203 advanced checkpoint scanners at major airports around the nation. 

DIVISION B — AGRICULTURE, RURAL DEVELOPMENT, AND FOOD AND DRUG ADMINISTRATION

Appropriates $23 billion in discretionary funding. Here is the Appropriations Committee summary and explanatory statement. The division provides:

· $550 million for a rural broadband pilot grant/loan program to develop broadband internet service in areas currently lacking access.

· $3 billion for agricultural research.

· $3 billion for rural development, equal to the enacted fiscal year 2018 funding level.

· $3.1 billion in discretionary funding for theFood and Drug Administration. Prohibits use of funds for research or clinical applications where a human embryo is intentionally created or modified to include a heritable genetic modification.

· $47 million in base funding for regulatory science, enforcement, and innovation to fight the opioid epidemic. Another $16million is provided for distance learning and telemedicine grants to help rural communities deal with the opioid crisis.

· $73.5 billion for Supplemental NutritionAssistance Program, almost all of which is mandatory funding. It is a $536million decrease from fiscal year 2018.

· $23 billion in mandatory funding for children’s nutrition programs.

DIVISION C — COMMERCE, JUSTICE, SCIENCE 

Appropriates $64.1 billion in discretionary funding. Here is the Appropriations Committee summary.

The division provides:

· $30.9 billion for the Department of Justice, including 2 to 3 percent increases for federal law enforcement agencies: FBI;DEA; ATF; Marshals Service; and Bureau of Prisons.

· $563 million for the Executive Office forImmigration Review, a $59 million increase over fiscal year 2018 to help reduce the immigration court backlog.

· $29.6 billion for science programs, including$21.5 billion for NASA, which is a 3.7 percent increase from fiscal year 2018.It also has an increase of $308 million for the National Science Foundation, ora 4 percent increase from fiscal year 2018.

· $11.4 billion for the Department of Commerce, including $5.4 billion for the National Oceanic and Atmospheric Administration,$3.8 billion for the Census Bureau, and $30 million in grants to assist troubled coal mining communities.

DIVISION D — FINANCIAL SERVICES AND GENERAL GOVERNMENT 

Appropriates $23.4 billion in discretionary funding. Here is the Appropriations summary and explanatory statement.

The division provides:

· $215 million for Treasury’s departmental offices.

· $159 million for the Office of Terrorism and FinancialIntelligence, $17 million above last year’s level, for issuing sanctions and going after terrorism financing.

· $11.3 billion for the Internal Revenue Service, with $77 million set aside for tax reform implementation.

· $739 million for the Executive Office of the President, $13 million more than last year.

· $7.3 billion for all federal courts activities of the judiciary.

· Independent agencies funded in this division include the CommodityFutures Trading Commission at $268 million; the Securities and ExchangeCommission at $1.7 billion; and the Consumer Product Safety Commission at $127million.

· Prohibits funding for a CPSC rule making in fiscal year 2019 related to recreational off-highway vehicles until the National Academy of Sciences completes its study of the issue.

· Includes a prohibition on any SEC rule making that requires the disclosure of political contributions, trade association dues, or contributions to any tax-exempt organizations in SEC filings.

· Provides out of appropriations an average 1.9 percent increase for federal employees, retroactive to the first full pay period of2019. Also limits increases in pay for the vice president and some senior political appointees to 1.9 percent.

DIVISION E — INTERIOR AND ENVIRONMENT 

Appropriates a total of $35.6 billion in discretionary funding. Here is the Appropriations summary.

The division provides:

  1. $3.9 billion for wild land fire programs, including $624 million to reduce hazardous fuels that feed fires.

  2. $6.1 billion for the U.S. Forest Service.

  3. $1.6 billion for the Fish and Wildlife Service.

  4. $3.2 billion for the National Park Service.

  5. $31 million in increased funding for energy and mineral development, including drafting the new five-year offshore leasing plan.

  6. $435 million for the Land and Water Conservation Fund.

DIVISION F — STATE AND FOREIGN OPERATIONS 

Appropriates $54.2 billion for the Department of State, U.S.Agency for International Development, and other related agencies, including$8.0 billion for “overseas contingency operations.” Here is the Appropriations summary.

The division provides:

International security assistance

· $9.2 billion for international security assistance, including $6.0 billion for the Foreign Military Financing Program.
· $3.3 billion for assistance to Israel, an increase of $200 million over last year’s bill.

Humanitarian assistance

· $3.4 billion for migration and refugee assistance and $4.4 billion for international disaster assistance.

Palestinian Authority

· Maintains current law restrictions on U.S.taxpayer-funded assistance for the Palestinian Authority, as well as restrictions on assistance for the West Bank and Gaza.

Safeguarding the right to life

· Maintains the “Helms amendment” banning the use of foreign aid funding for abortions; ensures family planning programs funded through the bill are voluntary; and prohibits funding of organizations the president determines support coercive abortions and involuntary sterilization.

DIVISION G — TRANSPORTATION, HOUSING AND URBAN DEVELOPMENT 

Appropriates $71.1 billion in discretionary funding. Justas last year’s bill did, it includes a $10 billion increase above fiscal year2017 levels for infrastructure programs. Here is the Appropriations Committee summary and explanatory statement.

The division provides:

Transportation

· $900 million for National InfrastructureInvestments, also called BUILD grants, which are for highway, bridge, trail, transit, and port projects. It continues to preclude the Department of Transportation from using an applicant’s federal cost-share or non-federal revenue as criteria.

· $49.3 billion for Federal Highway Administration programs out of the Highway Trust Fund and general fund.

· $17.5 billion for Federal Aviation Administration programs, out of the Airport and Airway Trust Fund and the general fund. It provides for a $3.35 billion limit on obligations for grants to airports for runway, airfield, and other improvements; it is level with last year.

· $2.9 billion for the Federal RailroadAdministration, including $1.9 billion for Amtrak.

· $13.4 billion out of Highway Trust Fund and general fund for the Federal Transit Administration. Of this, $2.6 billion is for capital investment grants for constructing or improving fixed guideway rail or bus rapid transit systems.

· $1.1 billion for the Maritime Administration, which includes $300 million to design and construct a new vessel for state maritime academies.

Housing and Urban Development

· $22.6 billion, or $583 million over last year’s level, for the Section 8 tenant-based voucher program that gives families rental assistance in the private rental market.

· $11.7 billion, an increase of $232 million from last year, for Section 8 project-based rental assistance, which provides subsidized housing non-profit and private landlords.

· $3.3 billion for Community Development Block Grant program.

· $1.3 billion for the Home InvestmentPartnerships program.  

DIVISION H — EXTENSIONS, TECHNICAL CORRECTIONS, AND OTHER MATTERS 

Includes these immigration extensions:

· EB-5;E-Verify; Conrad 30 program for international medical school graduates; SpecialImmigrant Religious Workers program; and H2B returning worker authority forDHS.

· Section 301(a)-(b) prevents the direct spending effects of H.J. Res 31 from being recorded on the Pay-As-You-Go scorecards maintained by the Office of Management and Budget and the Senate BudgetCommittee.

· Section 301(c) ensures that the direct spending effects of Division H (attributable to the extension of immigration visas) do not count against the discretionary spending caps. 

ADMINISTRATION POSITION

The president has not released a Statement of Administration Policy.

COST 

According to the cost estimate provided by theCongressional Budget Office, Divisions A through G of H.J. Res. 31 would provide $333 billion in total budget authority: $313 billion in regular discretionary spending; $12 billion in disaster-designated funds; and $8billion for overseas contingency operations. When combined with fiscal year2019 appropriations provided in prior legislation, total, full-year discretionary budget authority – for both defense and non-defense categories – falls within the statutory caps established by the Budget Control Act of 2011, as amended.

The immigration-related extensions in Division H would increase the number of aliens lawfully present in the U.S. These individuals would be eligible for certain federal benefits (e.g., ACA exchange premium support, emergency Medicaid, food stamps, Supplemental Security Income), and would increase the unified budget deficit by $30 million over the 2019-2029 period.

AMENDMENTS

The conference report is not amendable.