For other versions of this document, see http://wikileaks.org/wiki/CRS-RL31003
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Order Code RL31003
CRS Report for Congress
Received through the CRS Web
Appropriations for FY2002:
Labor, Health and Human Services,
and Education
Updated March 11, 2002
Paul M. Irwin
Specialist in Social Legislation
Domestic Social Policy Division
Congressional Research Service ~ The Library of Congress
Appropriations are one part of a complex federal budget process that includes budget
resolutions, appropriations (regular, supplemental, and continuing) bills, rescissions, and
budget reconciliation bills. The process begins with the President's budget request and is
bound by the rules of the House and Senate, the Congressional Budget and Impoundment
Control Act of 1974 (as amended), the Budget Enforcement Act of 1990, and current
program authorizations.
This report is a guide to one of the 13 regular appropriations bills that Congress considers
each year. It is designed to supplement the information provided by the House and Senate
Labor, Health and Human Services, and Education Appropriations Subcommittees. It
summarizes the current legislative status of the bill, its scope, major issues, funding levels,
and related legislative activity. The report lists the key CRS staff relevant to the issues
covered and related CRS products.
This report is updated as soon as possible after major legislative developments, especially
following legislative action in the committees and on the floor of the House and Senate.
NOTE: A Web version of this document with active links is
available to congressional staff at:
[http://www.crs.gov/products/appropriations/apppage.sht
ml].
Appropriations for FY2002:
Labor, Health and Human Services, and Education
Summary
This report tracks the enactment by the 107th Congress of the FY2002
appropriations for the Departments of Labor, Health and Human Services, and
Education, and Related Agencies (L-HHS-ED). This Act provides discretionary
funds for three federal departments and related agencies. The report summarizes
L-HHS-ED discretionary funding issues, but not authorization or entitlement issues.
On April 9, 2001, the President submitted the FY2002 budget request to the
Congress. The L-HHS-ED request was $116.3 billion for discretionary programs;
the FY2001 appropriation was $109.7 billion, enacted primarily through P.L. 106-
554. The House version of the FY2002 L-HHS-ED bill, H.R. 3061, passed with a
discretionary total of $123.5 billion; the Senate version of H.R. 3061 (first reported
as S. 1536) passed with a discretionary total of $124.2 billion. The conference
version of H.R. 3061 was signed into law January 10, 2002, as P.L. 107-116, with
a discretionary total of $124.3 billion, 13.3% more than for FY2001. A series of
eight continuing resolutions provided interim FY2002 funding prior to January 10,
2002.
U.S. Department of Labor (DOL): DOL discretionary appropriations were
$11.7 billion in FY2001; $12.0 billion is enacted for FY2002. An increase of $153
million is provided for job training under the Workforce Investment Act.
U.S. Department of Health and Human Services (DHHS): DHHS
discretionary appropriations were $47.0 billion in FY2001; $54.1 billion is enacted
for FY2002. Increases are enacted of $3.0 billion for the National Institutes of Health,
$1.4 billion for Low-Income Home Energy Assistance Program (LIHEAP), and $1.3
billion for the Child Care and Development Block Grant. Smaller increases are
provided for Community Health Centers, Ryan White AIDS programs, the Centers
for Disease Control and Prevention, Substance Abuse and Mental Health Services
Administration, Centers for Medicare and Medicaid Services Program Management,
and Head Start. Funding is decreased for the LIHEAP Emergency Allocation.
U.S. Department of Education (ED): ED discretionary appropriations were
$42.2 billion in FY2001; $48.9 billion is enacted for FY2002. Increases are enacted
of $1.6 billion each for Title I Part A Grants to Local Educational Agencies and Pell
Grants, and $1.2 billion for Individuals with Disabilities Education Act (IDEA)
Part B Grants to States. Smaller increases are provided for reading programs, Impact
Aid, teaching programs, 21st Century Community Learning Centers, Fund for the
Improvement of Education, English Language Acquisition, and Higher Education
programs. A State Assessments program receives initial funding of $387 million.
School Repair and Renovation, funded at $1.2 billion in FY2001, is terminated.
Related Agencies: Discretionary appropriations for related agencies were $8.7
billion in FY2001; $9.2 billion is enacted for FY2002. Increases are enacted of $277
million for the Supplemental Security Income (SSI) program and $167 million for
Administrative Expenses at the Social Security Administration (SSA).
Key Policy Staff
CRS
Area of Expertise Name Division Tel.
Coordinator Paul M. Irwin DSP 7-7573
U.S. Department of Labor
Job training and employment services Ann Lordeman DSP 7-2323
Labor market information Linda Levine DSP 7-7756
Labor standards enforcement William G. Whittaker DSP 7-7759
Mine Safety and Health Administration Edward B. Rappaport DSP 7-7740
Occupational Safety and Health Administration Edward B. Rappaport DSP 7-7740
Older Americans Act, employment programs Carol V. O'Shaughnessy DSP 7-7329
Pension and Welfare Benefits Paul J. Graney DSP 7-2290
Trade Adjustment Assistance Paul J. Graney DSP 7-2290
Unemployment compensation Celinda Franco DSP 7-7360
Welfare-to-Work Christine Devere DSP 7-2587
Welfare-to-Work Gene Falk DSP 7-7344
Workforce Investment Act Ann Lordeman DSP 7-2323
U.S. Department of Health and Human Services
Abortion, legal issues Karen J. Lewis ALD 7-6190
Abortion, legal issues Jon Shimabakuro ALD 7-7990
Abortion procedures Judith A. Johnson DSP 7-7077
AIDS, Ryan White programs Judith A. Johnson DSP 7-7077
Bioterrorism, DHHS funding C. Stephen Redhead DSP 7-2261
Bioterrorism, DHHS funding Pamela W. Smith DSP 7-7048
Cancer research Judith A. Johnson DSP 7-7077
Centers for Disease Control and Prevention Pamela W. Smith DSP 7-7048
Child care and development Melinda Gish DSP 7-4618
Child welfare Karen Spar DSP 7-7319
Child welfare Emilie Stoltzfus DSP 7-2324
Cloning, Stem Cell Research Judith A. Johnson DSP 7-7077
Community Health Centers Sharon Kearney Coleman DSP 7-7367
Family Planning, Title X Sharon Kearney Coleman DSP 7-7367
Head Start Melinda Gish DSP 7-4618
Health professions education and training Bernice Reyes-Akinbileje DSP 7-2260
Immigration and refugee policy Ruth Wasem DSP 7-7342
Immunization Pamela W. Smith DSP 7-7048
Low-Income Home Energy Assistance Program Melinda Gish DSP 7-4618
Low-Income Home Energy Assistance Program Emilie Stoltzfus DSP 7-2324
Maternal and Child Health Block Grant Sharon Kearney Coleman DSP 7-7367
Medicaid Elicia Herz DSP 7-1377
Medicare Jennifer O'Sullivan DSP 7-7359
Needle exchange, AIDS Judith A. Johnson DSP 7-7077
NIH, health research policy Pamela W. Smith DSP 7-7048
NIH, health research policy Judith A. Johnson DSP 7-7077
Older Americans Act Carol V. O'Shaughnessy DSP 7-7329
CRS
Area of Expertise Name Division Tel.
Social Services Block Grant Melinda Gish DSP 7-4618
State Children's Health Insurance Program Evelyne Baumrucker DSP 7-8913
Stem Cell Research, Cloning Judith A. Johnson DSP 7-7077
Substance Abuse and Mental Health Services C. Stephen Redhead DSP 7-2261
Tobacco settlement C. Stephen Redhead DSP 7-2261
Welfare reform Vee Burke DSP 7-7304
Welfare reform Gene Falk DSP 7-7344
U.S. Department of Education
Adult education and literacy Paul M. Irwin DSP 7-7573
After-school programs Gail McCallion DSP 7-7758
Assessment in education Wayne C. Riddle DSP 7-7382
Bilingual education Jeff Kuenzi DSP 7-8645
Charter Schools David Smole DSP 7-0624
Education block grants Paul M. Irwin DSP 7-7573
Education of the Disadvantaged, Title I Wayne C. Riddle DSP 7-7382
Education technology James B. Stedman DSP 7-7356
English Language Acquisition Jeff Kuenzi DSP 7-8645
Impact Aid Richard N. Apling DSP 7-7352
Indian Education Roger Walke DSP 7-8641
Pell Grants James B. Stedman DSP 7-7356
Reading programs Gail McCallion DSP 7-7758
Rehabilitation Act Carol V. O'Shaughnessy DSP 7-7329
Safe and Drug-Free Schools and Communities Edith Fairman Cooper DSP 7-7019
School facilities Susan Boren DSP 7-6899
Special education, IDEA Richard N. Apling DSP 7-7352
Special education, IDEA, legal issues Nancy Lee Jones ALD 7-6976
Student aid Margot A. Schenet DSP 7-7378
Student loans Adam Stoll DSP 7-4375
Teacher recruitment, preparation, and training James B. Stedman DSP 7-7356
21st Century Community Learning Centers Gail McCallion DSP 7-7758
Vocational and Technical Education Richard N. Apling DSP 7-7352
Related Agencies
Corporation for National and Community Ann Lordeman DSP 7-2323
Service
Corporation for Public Broadcasting Glenn McLoughlin RSI 7-7073
Library Services Gail McCallion DSP 7-7758
Museum Services Susan Boren DSP 7-6899
National Labor Relations Board Gail McCallion DSP 7-7758
National Labor Relations Board, legal issues Jon Shimabukuro ALD 7-7990
Railroad Retirement Board Dawn Nuschler DSP 7-6283
Social Security Administration Geoffrey Kollmann DSP 7-7316
Supplemental Security Income Jennifer Lake DSP 7-0620
Division abbreviations: ALD = American Law; DSP = Domestic Social Policy; and RSI = Resources,
Science, and Industry.
Contents
Most Recent Developments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Summary and Key Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Program Level and Current Year Appropriations . . . . . . . . . . . . . . . . . . . . . 3
Terrorism . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Supplemental FY2001 Appropriations ($20 billion) . . . . . . . . . . . . . . . 5
Supplemental FY2002 Appropriations ($20 billion) . . . . . . . . . . . . . . . 5
Regular FY2001 Appropriations to Combat Terrorism . . . . . . . . . . . . . 7
Funding Changes Proposed by the President . . . . . . . . . . . . . . . . . . . . . . . . . 8
House Legislative Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Senate Legislative Action . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Public Law Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
302(a) and 302(b) Allocation Ceilings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Advance Appropriations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Major Funding Trends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Related World Wide Web Sites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
U.S. Department of Labor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Key Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
President's Request . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
House Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Senate Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Public Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
For Additional Reading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
CRS Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Selected World Wide Web Sites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Detailed Appropriations Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
U.S. Department of Health and Human Services . . . . . . . . . . . . . . . . . . . . . . . . . 23
Key Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
President's Request . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
House Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Senate Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
Public Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
Abortion: Funding Restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
Embryonic Stem Cell Research: Funding Restrictions . . . . . . . . . . . . 26
For Additional Reading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
CRS Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Selected World Wide Web Sites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Detailed Appropriations Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
U.S. Department of Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
Key Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
President's Request . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
House Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
Senate Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
Public Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Pell Grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
IDEA Part B Grants to States . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Forward Funding and Advance Appropriations . . . . . . . . . . . . . . . . . . 35
For Additional Reading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
CRS Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
Selected World Wide Web Sites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37
Detailed Appropriations Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37
Related Agencies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
Key Issues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
President's Request . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
House Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
Senate Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
Public Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
For Additional Reading . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
CRS Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
Selected World Wide Web Sites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
Detailed Appropriations Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43
Related Legislation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
FY2002 Continuing Resolutions: P.L. 107-44, as Amended . . . . . . . . . . . 46
FY2002 Anti-Terrorism Supplemental, P.L. 107-117 (H.R. 3338) . . . . . . . 47
FY2001 Anti-Terrorism Supplemental, P.L. 107-38 (H.R. 2888) . . . . . . . . 47
FY2001 Supplemental Appropriations, P.L. 107-20 (H.R. 2216) . . . . . . . . 47
FY2002 Budget Resolution, H.Con.Res. 83 . . . . . . . . . . . . . . . . . . . . . . . . 48
Appropriations Action in the 106th Congress, Second Session . . . . . . . . . . 48
Appendix A: Terminology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50
Appendix B: Scope of the L-HHS-ED Bill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51
List of Tables
Table 1. Legislative Status of Labor, Health and Human Services, and
Education Appropriations, FY2002 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Table 2. Summary of L-HHS-ED Appropriations . . . . . . . . . . . . . . . . . . . . . . . . 4
Table 3. 302(b) Discretionary Allocations for L-HHS-ED Programs . . . . . . . . . 15
Table 4. L-HHS-ED Discretionary Funding Trends from FY1997 . . . . . . . . . . 16
Table 5. Department of Labor Discretionary Appropriations . . . . . . . . . . . . . . . 18
Table 6. Detailed Department of Labor Appropriations . . . . . . . . . . . . . . . . . . . 21
Table 7. U.S. Department of Health and Human Services
Discretionary Appropriations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Table 8. Detailed Department of Health and Human Services Appropriations . 29
Table 9. Department of Education Discretionary Appropriations . . . . . . . . . . . 31
Table 10. Detailed Department of Education Appropriations . . . . . . . . . . . . . . 38
Table 11. Related Agencies Discretionary Appropriations . . . . . . . . . . . . . . . . . 40
Table 12. Detailed Related Agencies Appropriations . . . . . . . . . . . . . . . . . . . . . 44
Table B.1. Scope of the L-HHS-ED Bill, FY2001 . . . . . . . . . . . . . . . . . . . . . . . 51
Appropriations for FY2002:
Labor, Health and Human Services,
and Education
Most Recent Developments
On January 10, 2002, the conference version of H.R. 3061, the Departments of
Labor, Health and Human Services, and Education, and Related Agencies (L-HHS-
ED) Appropriations Act, 2002, was signed into law by the President as P.L. 107-116.
The conference report, H.Rept. 107-342, was approved by the House (393-30) on
December 19, and by the Senate (90-7) on December 20, 2001. Eight continuing
resolutions -- P.L. 107-44, as amended -- provided temporary FY2002 funding for
L-HHS-ED programs from October 1, 2001, through January 10, 2002. The FY2002
appropriations process began when the President submitted the FY2002 budget
request to the Congress on April 9, 2001.
Status
Table 1 tracks the key legislative steps that are necessary to enact the FY2002
L-HHS-ED Appropriations Act.
Table 1. Legislative Status of Labor, Health and Human
Services, and Education Appropriations, FY2002
Subcommittee Conference
markup report approval
House House Senate Senate Conference
House Senate Report passage Report passage Report House Senate Public law
H.R. 3061 S. 1536
H.R. 3061 P.L. 107-
10/03/01 10/10/01 H.Rept. 10/11/01 S.Rept. 11/06/01 12/19/01 12/20/01
H.Rept. 116
uc uc 107-229 373-43a 107-84 89-10b 393-30d 90-7e
107-342c 01/10/02f
uc uc
Note: uc = unanimous consent.
a
The House amended and passed H.R. 3061, the FY2002 L-HHS-ED Appropriations Act, on October
11, 2001, after the House did not reach agreement on a rule, H.Res. 258 (H.Rept. 107-233), that
would have governed floor consideration. For House consideration of H.R. 3061, see Congressional
Record, daily edition, October 11, 2001, p. H6568-81. Roll call no. 381 (373-43), October 11, 2001,
p. H6680-81. For text of the Committee's table, see October 11, 2001, p. H6572-6628.
b
The Senate amended and passed its version of H.R. 3061 on November 6, 2001, following several
days of deliberations. For Senate consideration of H.R. 3061, see Congressional Record, daily
edition, October 30, 2001, p. S11154-85; October 31, p. S11255-75; November 1, p. S11300-29,
S11340-51; November 2, p. S11411-12; November 5, p. S11445-48; November 6, p. S11449-75. Roll
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call no. 324 (89-10), November 6, 2001, p. S11458. For text of the Senate amendment to H.R. 3061,
see Congressional Record, daily edition, November 6, 2001, p. S11458-75.
c
The H.R. 3061 conference report, H.Rept. 107-342, was filed on December 18, 2001. For the text
of the report, see Congressional Record, daily edition, December 18, 2001, p. H10239-353.
d
For House passage of the conference report, see Congressional Record, daily edition, December 19,
2001, p. H10431-42. Roll call no. 504 (393-30), December 19, 2001, p. H10442.
e
For Senate passage of the conference report, see Congressional Record, daily edition, December
20, 2001, p. S13773-830. Roll call no. 378 (90-7), December 20, 2001, p. S13830.
f
Eight FY2002 continuing resolutions, beginning with P.L. 107-44 (H.J.Res. 65), extended funding
for existing L-HHS-ED programs for the period October 1 through January 10, 2002 (see Related
Legislation, p. 46).
As shown in Table 1, the House and Senate Appropriations Committees
reported different versions of their L-HHS-ED bills, H.R. 3061 (H.Rept. 107-229),
and S. 1536 (S.Rept. 107-84), respectively. In May 2001, the House and Senate
agreed to H.Con.Res. 83, the FY2002 Budget Resolution, setting the aggregate
congressional spending limits for FY2002 appropriations. Two FY2001
supplemental appropriations bills have been enacted with provisions for L-HHS-ED
programs: P.L. 107-20 and P.L. 107-38. In addition, FY2002 supplemental anti-
terrorism funds for L-HHS-ED programs are provided by P.L. 107-117 (H.R. 3338),
an Act that also provides the Department of Defense Appropriations for FY2002.
DATA NOTE: Unless otherwise indicated in the report, FY2001 and FY2002
appropriations data are based on H.Rept. 107-342, the H.R. 3061 conference report
for FY2002 L-HHS-ED appropriations. The conference report includes the
provisions of P.L. 107-20, the Supplemental Appropriations Act, 2001, as well as the
initial allocations from P.L. 107-38, the 2001 Emergency Supplemental
Appropriations Act for Recovery from and Response to Terrorist Attacks on the
United States. The conference report does not include FY2002 appropriations
enacted through P.L. 107-117, the Department of Defense and Emergency
Supplemental Appropriations for Recovery from and Response to Terrorist Attacks
on the United States Act, 2002 (enacted January 10, 2002). In most cases data
represent net funding for specific programs and activities and take into account
current and forward funding and advance appropriations; however, all data are
subject to additional budgetary scorekeeping. Except where noted, budget data refer
only to those programs within the purview of the L-HHS-ED appropriations bill, and
not to all programs within the jurisdiction of the relevant departments and agencies.
Summary and Key Issues
This report describes the President's proposal for FY2002 appropriations for
L-HHS-ED programs, as submitted to the Congress April 9, 2001. It compares the
President's FY2002 request to the FY2001 L-HHS-ED amounts. It tracks legislative
action and congressional issues related to the FY2002 L-HHS-ED appropriations bill,
with particular attention paid to discretionary programs. In addition, the report
summarizes activities related to the annual budget process, such as the congressional
budget resolution, continuing resolutions, and supplemental appropriations (see
Related Legislation, page 46). However, the report does not follow specific funding
issues related to mandatory L-HHS-ED programs -- such as Medicare or Social
Security -- nor will it follow the authorizing legislation necessary prior to funding
CRS-3
some of the President's initiatives. For a glossary of budget terms, please see
Appendix A: Terminology (page 50). For a discussion of the L-HHS-ED bill
jurisdiction, please see Appendix B: Scope of the L-HHS-ED Bill (page 51).
The L-HHS-ED bill typically is one of the more controversial of the 13 regular
appropriations bills, not only because of the size of its funding total and the scope of
its programs, but also because of the continuing importance of various related issues,
such as restrictions on the use of federal funds for abortion and stem cell research.
This bill provides most of the discretionary funds for three federal departments and
several related agencies including the Social Security Administration (SSA). Of the
13 annual appropriations bills, the L-HHS-ED bill is the largest single source of
discretionary funds for domestic federal programs; the Defense bill is the largest
source of discretionary funds among all federal programs. For FY2001, the
L-HHS-ED bill accounted for $109.4 billion (17.2%) and the Defense bill accounted
for $287.5 billion (45.3%) of the estimated $634.9 billion total for all federal
discretionary budget authority, as reported in Budget of the United States Government
Fiscal Year 2002, Table S-7 (these numbers were calculated prior to the enactment
of additional FY2001 supplemental appropriations for L-HHS-ED programs, P.L.
107-20 and P.L. 107-38). This section summarizes the larger funding changes
proposed for L-HHS-ED and related budget issues such as 302(b) allocations and
advance appropriations. Later sections will provide additional details for each
L-HHS-ED department.
Program Level and Current Year Appropriations
Table 2 summarizes the L-HHS-ED appropriations for FY2002, including both
discretionary and mandatory appropriations. The table shows various aggregate
measures of the FY2001 enacted and the proposed FY2002 L-HHS-ED
appropriations, including discretionary program level, current year, and advance
appropriations, as well as mandatory appropriations in the L-HHS-ED bill. Because
appropriations may consist of mixtures of budget authority enacted in various years,
at least two summary measures are used: program level appropriations and current
year appropriations. Program level appropriations reflect the total discretionary
appropriations in a given bill, regardless of the year in which they will be spent, and
therefore include advance funding for future years. Unless otherwise specified,
appropriations levels in this report refer to program level amounts. Current year
appropriations represent discretionary appropriations in a given bill for the current
year, plus discretionary appropriations for the current year that were enacted in prior
years. Current year discretionary appropriations are similar to the amount counted
for the 302(b) allocations ceilings (discussed later, page 14). An advance
appropriation is funding that will become available in a fiscal year beyond the fiscal
year for which the appropriations act is enacted, for example, funds included in the
FY2001 Act that cannot be spent until FY2002 at the earliest. Scorekeeping
adjustments are made to account for special funding situations; the Congressional
Budget Office (CBO) monitors these adjustments. All of these amounts are shown
in Table 2, along with current year funding for mandatory programs and some grand
totals for the L-HHS-ED bill. How do these terms fit together? For an "operational
definition," program level funding equals (a) current year, plus (b) advances for
future years, minus (c) advances from prior years, plus (d) scorekeeping adjustments.
CRS-4
Table 2. Summary of L-HHS-ED Appropriations
($ in billions)
FY2001 FY2002 FY2002 FY2002 FY2002
Type of budget authority enacted a request House Senate conference
Discretionary appropriations
Program level: current bill for $109.7 $116.3 $123.5 $124.2 $124.3
any year
Current year: current year from 109.4 135.1 123.4 123.4 123.4
any bill
Advances for future years (from 18.8 0.0 18.5 18.9 19.3
the current bill)
Advances from prior years 19.0 18.8 18.8 18.8 18.8
(from previous bills)
Scorekeeping adjustments -0.5 0.0 -0.4 -0.7 -0.4
Current year discretionary and mandatory funding
Discretionary 109.4 135.1 123.4 123.4 123.4
Mandatory 248.6 272.6 272.5 272.6 272.6
Total current year 358.0 407.7 395.9 396.0 396.0
Grand total of funding for L-HHS-ED bill, any year
Grand total any year $365.0 $399.7 $406.8 $407.6 $407.7
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002. Data are given
only for programs included in the L-HHS-ED appropriations bill.
Note: FY2001 and FY2002 mandatory amounts are estimates that are subject to adjustments after the
close of the fiscal year.
a
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38.
Other FY2001 Discretionary Estimates. The two estimates for FY2001
current year L-HHS-ED discretionary appropriations that are shown in Table 2 --
$109.7 billion for program level and $109.4 billion for current year appropriations
-- are based on the December 19, 2001 staff table of the House Appropriations
Committee. Several other estimates exist that may differ because of scorekeeping
and other definitional distinctions. The Office of Management and Budget (OMB)
estimated the FY2001 L-HHS-ED discretionary total to be $109.4 billion (Budget of
the United States Government Fiscal Year 2002, Table S-7). The FY2001 L-HHS-
ED conference report table in H.Rept. 106-1033 shows $108.9 billion as the current
year discretionary total. The CBO also keeps track of discretionary appropriations
for each Appropriations Subcommittee bill, and shows the total regular and
emergency amount for L-HHS-ED in "CBO's Current Status of Discretionary
Appropriations," available at [http://www.cbo.gov/]. According to the CBO, the
FY2001 L-HHS-ED discretionary total is $109.6 billion for both the House and the
Senate (downloaded March 4, 2002). Except for P.L. 107-38, the anti-terrorism
supplemental, which has not yet been allocated fully among various agencies and
programs, the CBO amounts include supplemental appropriations and rescissions.
CRS-5
However, CBO data may reflect legislation that has been reported or passed only by
the House or the Senate, but do not necessarily distinguish amounts actually enacted.
Terrorism
Several L-HHS-ED programs include activities that relate to preparing for and
responding to terrorism. Other L-HHS-ED programs are available to provide
assistance in response to many kinds of emergencies, including terrorism. Both types
of programs were in place prior to the terrorist attacks of September 11, 2001. The
funding for both types of programs have been augmented since that date. For more
information, see CRS Report RL31173, Terrorism Funding: Emergency
Supplemental Appropriations -- Distribution of Funds to Departments and Agencies.
Supplemental FY2001 Appropriations ($20 billion). On September 18,
2001, the President signed into law P.L. 107-38, the 2001 Emergency Supplemental
Appropriations Act for Recovery from and Response to Terrorist Attacks on the
United States. The Act provides $40 billion of FY2001 funds to respond to the
terrorist attacks of September 11, 2001. Of the total $40 billion, $10 billion may be
obligated by the President immediately, $10 billion may be obligated following a 15-
day notification of the Congress, and $20 billion may be obligated only after the
allocations are enacted in another emergency appropriations act. For the allocation
of the final $20 billion, see the section on Supplemental FY2002 Appropriations.
Of the $20 billion provided by P.L. 107-38 that does not need additional
legislation, approximately $19.7 billion has been allocated so far; this distribution
includes the following amounts for L-HHS-ED programs:
! $126 million for U.S. Department of Health and Human Services
(DHHS) activities for health-related needs in areas affected by the
disaster; and
! $29 million for U.S. Department of Labor (DOL) activities, mostly
for temporary jobs to assist the cleanup and restoration efforts in
New York City.
Supplemental FY2002 Appropriations ($20 billion). Of the $40 billion
appropriated by P.L. 107-38, $20 billion cannot be obligated until allocations are
specified in another appropriations act. In addition, P.L. 107-38 requires OMB to
submit to the Congress a proposal for the allocation of these funds as well. The
OMB submitted its $20 billion proposal on October 17, 2001. Subsequently, the
Congress agreed to allocate these funds as FY2002 appropriations, as enacted by
Division B of P.L. 107-117, the Department of Defense and Emergency
Supplemental Appropriations for Recovery from and Response to Terrorist Attacks
on the United States Act, 2002.
OMB Supplemental Proposal. For the $20 billion provided by P.L. 107-38
that cannot be obligated until allocations are specified in another appropriations act,
the OMB submitted to the Congress an allocation proposal on October 17, 2001. The
proposal includes funding of $3.6 billion for the following L-HHS-ED activities:
CRS-6
! $2.0 billion for National Emergency Grants under the Workforce
Investment Act of 1998 (WIA) for assistance to workers dislocated
as a result of the September 11 attacks, including retraining and the
continuation of health coverage;
! $1.6 billion for the DHHS Public Health and Social Service
Emergency Fund (PHSSEF) to support activities related to
countering biological, disease, and chemical threats to civilian
populations, including $644 million for the National Pharmaceutical
Stockpile;
! $10 million for Project SERV (School Emergency Response to
Violence), administered by the U.S. Department of Education (ED);
! $7.5 million for the Social Security Administration (SSA) and $0.2
million for the National Labor Relations Board (NLRB) for the
reconstruction of offices destroyed during the attacks and increased
security.
House FY2002 Supplemental. On November 28, 2001, the House
amended and passed H.R. 3338. Division A of that bill is the Department of Defense
Appropriations Act, 2002, and Division B is the Emergency Supplemental Act,
2002. Division B would appropriate $20 billion, including $2.4 billion for
emergency L-HHS-ED activities. The House bill would not fund WIA National
Emergency Grants, but would fund other activities, as follows:
! $4.1 million for emergency expenses under the State Unemployment
Insurance and Employment Service Operations (SUI/ESO);
! $1.6 million for emergency expenses under the Pension and Welfare
Benefits Administration (PWBA);
! $1.0 million for emergency expenses at the Occupational Safety and
Health Administration (OSHA);
! $5.9 million for emergency expenses under DOL Departmental
Management;
! $32.5 million for Training and Employment Services for an
Emergency Employment Clearinghouse for New York City;
! $175.0 million for emergency expenses for Workers Compensation
Programs;
! $1,990.6 million for the PHSSEF to support activities related to
countering potential biological, disease, and chemical threats to
civilian populations;
! $12.0 million for the Centers for Disease Control and Prevention
(CDC) for emergency services personnel and rescue and recovery
personnel;
! $10.0 million for Project SERV;
! $0.2 million for emergency expenses at the NLRB; and
! $7.5 million for emergency expenses at SSA.
Earlier, in the version of H.R. 3338 reported by the House Appropriations
Committee (H.Rept. 107-298, November 19, 2001), $1.5 billion would have been
provided for the DOL National Emergency Grants program under the Workforce
Investment Act of 1998 (WIA). These funds would have provided assistance to
workers dislocated as a result of the September 11 attacks, including both retraining
CRS-7
and temporary health care coverage. This provision was removed by the rule for
House floor consideration of H.R. 3338, H.Res. 296, and replaced by a provision that
included $1.8 billion for a Community Development Fund at the U.S. Department
of Housing and Urban Development.
Senate FY2002 Supplemental. On December 7, 2001, the Senate amended
and passed its version of H.R. 3338. The Senate version would fund L-HHS-ED
activities at the same level as the House bill, with two exceptions: the Senate bill
would provide $2,575.0 million to the PHSSEF (instead of $1,990.6 million) to
support activities related to countering potential biological, disease, and chemical
threats to civilian populations; and it would provide an additional $140 million for
the PHSSEF to support grants for health care related expenses and lost revenues
directly attributable to the public health emergency resulting from September 11,
2001. The L-HHS-ED total provided by the Senate amendment would be $3.0
billion.
FY2002 Supplemental, as Enacted. As agreed by the House and the
Senate and signed into law on January 10, 2002, P.L. 107-117 (H.R. 3338, H.Rept.
107-350) includes appropriations of $2.9 billion out of the $20 billion total FY2002
supplemental for the following L-HHS-ED activities:
! $32.5 million for Training and Employment Services for an
Emergency Employment Clearinghouse for New York City;
! $4.1 million for emergency expenses under SUI/ESO;
! $175.0 million for emergency expenses for Workers Compensation
Programs;
! $1.6 million for emergency expenses under PWBA;
! $1.0 million for emergency expenses at OSHA;
! $5.9 million for emergency expenses under DOL Departmental
Management;
! $12.0 million for the CDC for emergency services personnel and
rescue and recovery personnel;
! $140.0 million for the PHSSEF to support grants for health care
related expenses and lost revenues directly attributable to the public
health emergency resulting from September 11, 2001;
! $2,504.3 million for the PHSSEF to support activities related to
countering potential biological, disease, and chemical threats to
civilian populations;
! $10.5 million for emergency expenses at the National Institute of
Environmental Health Sciences;
! $10.0 million for Project SERV;
! $0.2 million for emergency expenses at the NLRB; and
! $7.5 million for emergency expenses at SSA.
Regular FY2001 Appropriations to Combat Terrorism. In addition to
the L-HHS-ED portion of the $40 billion from the FY2001 and FY2002 Anti-
Terrorism Supplemental Appropriations, several regular FY2001 appropriations for
programs and activities are available to prevent or respond to terrorist attacks or other
major disasters. The OMB catalogs this information in its August 2001 report,
Annual Report to Congress on Combating Terrorism; the report is available at
CRS-8
[http://www.whitehouse.gov/omb/legislative/nsd_annual_report2001.pdf]. The
report summarizes relevant L-HHS-ED programs, primarily DHHS programs.
According to the OMB report (Table 1, page 7), the FY2002 budget request includes
$348.3 million for DHHS programs that combat terrorism. This amount would
represent a 20% increase compared to the $290.6 million enacted from regular
appropriations for FY2002. Annex 1 of the OMB Report summarizes FY2001
DHHS funding as follows:
! $181 million for CDC, including $144 million for "preparing for and
responding to terrorist acts" (P&RTA) and $37 million for research
and development (R&D);
! $50 million for the National Institutes of Health (NIH) for R&D; and
! $60 million for the Office of the Secretary, Office of Emergency
Preparedness (OEP), including $30 million for P&RTA and $30
million for R&D.
The CDC programs for combating terrorism include the Rapid Response and
Advanced Technology Laboratory, which was established specifically for
bioterrorism-related activities; the Laboratory Response Network, which works to
assure containment and diagnostic capabilities for public health laboratories; and the
National Pharmaceutical Stockpile, which was developed to ensure the availability
of critical medical supplies and equipment. The NIH conducts basic and applied
research on likely bioterrorism chemical and biological agents. The OEP manages
the Metropolitan Medical Response System, which provides funds and technical
assistance to local areas for coordinating emergency services. The DHHS also
manages the National Disaster Medical System, in partnership with other federal
agencies, to provide emergency medical care for mass casualties and other disasters.
Other Assistance Available for Emergencies. Some L-HHS-ED
programs are designed with enough flexibility that their funds might be used to
respond to emergencies. For example, the Low-Income Home Energy Assistance
Program (LIHEAP) and the Social Services Block Grant (SSBG) programs
administered by DHHS might be available for such situations. In addition, other
L-HHS-ED programs automatically address some types of emergency needs, as in the
case of the Unemployment Compensation program, which provides financial
assistance for those suddenly finding themselves unemployed.
Funding Changes Proposed by the President
With regard to the President's FY2002 budget, the issues in the early stages of
the appropriations process generally relate to proposed funding changes. The
summary below notes changes proposed for discretionary budget authority of at least
$100 million compared to the L-HHS-ED appropriations for FY2001. Viewing this
list by itself should be done with caution, since the relative impact of a $100 million
funding change to a $500 million program (a 20% increase or decrease) is greater
than a $100 million change to a $5 billion program (a 2% increase or decrease).
Later discussions for budgets of individual departments include tables to compare the
FY2002 request with the FY2001 funding for many of the major programs in the
L-HHS-ED bill. Overall, $116.3 billion in discretionary appropriations is requested
for L-HHS-ED, a 6.0% increase over the FY2001 amount of $109.7 billion.
CRS-9
NOTE: The following amounts take into account the provisions of the
Supplemental Appropriations Act, 2001 (P.L. 107-20, signed into law July 24, 2001)
and the initial allocations from the Anti-Terrorism Supplemental Appropriations,
2001 (P.L. 107-38, signed into law September 18, 2001). These Acts became law
after the President submitted the FY2002 budget request to the Congress on April 9,
2001.
! For DOL programs, a reduction of $349 million is requested for job
training programs authorized by WIA. Overall, $11.3 billion in
discretionary appropriations is requested for DOL, a 3.4% decrease
compared to the FY2001 amount of $11.7 billion.
! For DHHS programs, the largest discretionary funding change (in
absolute terms) is a requested increase of $2.7 billion for the
National Institutes of Health (NIH). Other major increases include
$124 million more for Community Health Centers; $109 million
additional for Program Management at the Centers for Medicare and
Medicaid Services (CMS, formerly the Health Care Financing
Administration); $1.1 billion more for LIHEAP; an additional $1.4
billion for the Child Care and Development Block Grant (CCDBG);
and $125 million more for Head Start. Requested decreases include
a $248 million reduction for Health Professions; $475 million less
for various Health Resources and Services Administration (HRSA)
programs; and $166 million less for the CDC. Overall, $51.7 billion
in discretionary appropriations is requested for DHHS, a 10.0%
increase over the FY2001 amount of $47.0 billion.
! For ED programs, the two largest proposed discretionary changes (in
absolute terms) are $1.0 billion more for Individuals with
Disabilities Education Act (IDEA) Part B Grants to States and $1.0
billion more for Pell Grants. Other major increases include $298
million for Title I Part A Grants to Local Educational Agencies
(LEAs) for the Education of the Disadvantaged; $689 million for the
various reading programs; $138 million for the Impact Aid program;
$0.5 billion for several teaching programs; $185 million for Charter
Schools; and initial funding of $320 million for a State Assessment
Initiative. No funds are requested for the $1.2 billion School Repair
and Renovation program, the $339 million Fund for the
Improvement of Education (FIE), and the $125 million Small, Safe
and Successful High Schools program. Overall, $44.5 billion in
discretionary appropriations is requested for ED, 5.5% more than the
FY2001 amount of $42.2 billion.
! For the related agencies, the budget includes proposed increases of
$167 million for SSA Limitation on Administrative Expenses and
$277 million for discretionary administrative activities related to the
Supplemental Security Income (SSI) program. The 2-year advance
appropriations (for FY2004) for the Corporation for Public
Broadcasting (CPB) would not be funded in the FY2002 bill; an
advance appropriation for FY2003 of $365 million for the CPB was
CRS-10
enacted by P.L. 106-554. Overall, $8.8 billion in discretionary
appropriations is requested for related agencies, a 1.1% increase over
the FY2001 amount of $8.7 billion.
House Legislative Action
The L-HHS-ED Subcommittee of the House Appropriations Committee held a
markup session on the FY2002 L-HHS-ED Appropriations on October 3, 2001, and
reported favorably to the full Committee. The House Appropriations Committee
reported the bill, H.R. 3061 (H.Rept. 107-229), on October 9, 2001. Working
without a specific rule to govern floor consideration, the House amended and passed
H.R. 3061 on October 11, 2001 (roll call no. 381, 373-43). Previously, the House did
not reach agreement on the rule, H.Res. 258, that was to have governed the
consideration of H.R. 3061 on the House floor.
House Funding Highlights. Overall, the discretionary amount that would
be provided in the House bill would be $123.5 billion; the comparable FY2002
budget request amount is $116.3 billion, and the FY2001 amount was $109.7 billion.
! For DOL programs, the House bill would provide $455 million more
than the requested amount for WIA programs. Within WIA, Youth
Training would receive $352 million more than requested, and
Dislocated Worker Assistance would receive $152 million more
than requested. Overall, the bill would provide $11.9 billion in
discretionary funding for DOL programs; the request was for $11.3
billion.
! For DHHS programs, in comparison with the request, the House bill
would provide increases of $330 million for Health Professions,
$112 million for Ryan White AIDS programs, $380 million for the
CDC, $300 million for LIHEAP, and $151 million for Head Start.
In comparison with the request, a decrease of $167 million would be
provided or the NIH. Overall, the House bill would provide $53.2
billion for DHHS; the request was for $51.7 billion.
! For ED programs, in comparison with the request, the bill would
provide increases of $1.4 billion for Title I Part A Grants to LEAs;
$0.6 billion for Teacher Quality; $183 million for Education
Technology; $154 million for 21st Century Community Learning
Centers; $200 million for Small, Safe, Successful High Schools;
$200 million for Rural Education; $240 million for Bilingual and
Immigrant Education; $375 million for IDEA Part B Grants to
States; $154 million for Vocational Education; and $0.7 billion for
Pell Grants. The House bill would provide $175 million less than
requested for Charter Schools. Overall, the House bill would
provide $49.3 billion for ED; the request was for $44.5 billion.
! For related agencies, in comparison with the request, the House bill
would provide FY2004 advance appropriations of $365 million for
the CPB, instead of zero funding, as requested. Overall, the House
CRS-11
bill would provide $9.2 billion for the related agencies; the request
was for $8.8 billion.
! As reported and subsequently passed, the House bill also includes a
Title VI, the Mark-to-Market Extension Act of 2001, which amends
and extends for 5 years the mark-to-market program for multifamily
assisted housing (for additional information, see CRS Report
RL30916, Housing Issues in the 107th Congress).
House Floor Amendments. On the House floor, nine amendments were
introduced for consideration. Of these, two amendments were accepted by the
House, including:
! A prohibition on the funding of any person or entity that violates the
Buy America Act (Representative Traficant); and
! A prohibition on exclusive or partially exclusive licenses for drugs
developed with taxpayer-supported research (Representative
Sanders).
Neither of these amendments affects the amounts specified for appropriations in the
bill as reported by the House Appropriations Committee. The House did not consider
a proposal by Representative Hart. This legislative proposal would have amended
the Elementary and Secondary Education Act of 1965 (ESEA) by adding to it a
"Schoolchildren's Health Protection Act" to prohibit the distribution of ESEA funds
to any state or local educational agency that provides postcoital emergency
contraception, or "morning after" pills, to unemancipated minors. The Hart proposal
was not independently offered as an amendment to H.R. 3061. However, it would
have been made in order for consideration under the provisions of H.Res. 258 if the
House had agreed to the resolution for the floor debate of H.R. 3061, but the House
did not accept that resolution.
Senate Legislative Action
The L-HHS-ED Subcommittee of the Senate Appropriations Committee held
a markup session on its version of the FY2002 L-HHS-ED bill on October 10, 2001,
and reported favorably to the full Committee. The Senate Appropriations Committee
reported the bill, S. 1536 (S.Rept. 107-84), on October 11, 2001. The Senate began
floor consideration by substituting into H.R. 3061 its version of the FY2002 bill.
After several days of deliberation, the Senate amended and passed H.R. 3061 on
November 6, 2001 (roll call no. 324, 89-10).
Senate Funding Highlights. Overall, the discretionary total provided in the
Senate bill would be $124.2 billion for L-HHS-ED programs. The comparable
House amount would be $123.5 billion; the request was for $116.3 billion; and the
FY2001 amount was $109.7 billion.
! For DOL programs, in comparison with the House bill, the Senate
bill would provide $50 million less for WIA programs. Within that
total, Youth Training program would receive $225 million less, but
Youth Opportunity Grants would receive $250 million instead of
CRS-12
zero funding as proposed in the House bill. Overall, the Senate bill
would provide $11.9 billion for DOL, the same as the House bill.
! For DHHS programs, in comparison with the House bill, the Senate
bill would provide $342 million more for the CDC, $0.8 billion
more for NIH, $123 million more for the AHRQ, $104 million more
for CMS Program Management, and $124 million more for Head
Start. The Senate bill would provide $200 million less for the
CCDBG, and zero fund the PHSSEF. Overall, the Senate bill would
provide $54.3 billion for DHHS, compared to $53.2 billion in the
House bill.
! For ED programs, the Senate bill would provide $460 million more
than the House bill for a variety of School Improvement programs,
and $925 million for School Repair and Renovation, a program that
would be zero funded under the House bill. In comparison with the
House bill, the Senate bill would provide $0.3 billion less for Title
I Part A Grants to LEAs; $135 million less for Teacher Quality;
$100 million less for Small, Safe, Successful High Schools; $375
million less for IDEA Part B Grants to States; $138 million less for
Vocational Education; and $144 million less for Pell Grants.
Overall, the Senate bill would provide $48.7 billion for ED,
compared to $49.3 billion in the House bill.
! For the related agencies, in comparison with the House bill, the
Senate bill would provide $395 million for FY2004 for the CPB,
$30 million more than the advance appropriation provided in the
House bill. Overall, the Senate bill would provide $9.2 billion for
the related agencies, the same as the House bill.
! As reported and subsequently passed, the Senate bill includes as
Title VI the Mark-to-Market Extension Act of 2001, the same as the
House bill.
Senate Floor Amendments. In the Senate, a total of 85 amendments were
introduced for consideration. The Senate agreed to 36 of these. Some of the
accepted amendments changed the funding levels for individual programs; among the
remainder were the following:
! A substitute for the bill as reported by Committee (Senators Harkin
and Specter);
! A new Title VII, Mental Health Equity (see CRS Report RS21031,
Mental Health Parity) (Senators Domenici, Wellstone, and
Kennedy);
! A new Title VIII to amend the Tariff Act of 1930 to require
mandatory information for air cargo and passengers entering the
United States (Senator Dorgan);
! Construction of a new John Edward Porter Neuroscience Research
Center (Senator Harkin);
CRS-13
! Study of the state and local impact of the Health Insurance
Portability and Accountability Act of 1996 (HIPAA) (Senator Bayh);
! Audit of federal AIDS programs (Senator Sessions and Helms);
! Study of federal loans to students attending foreign schools (Senator
Sessions);
! Provision of services for children affected by major violence or other
traumatic crises (Senator Clinton);
! Removal of proposed language regarding allowable use of federal
funds for stem cell research (Senator Specter);
! Cancer prevention and screening programs and a study of radiation
exposure and associated cancers or other diseases (Senators Hatch,
Reid, and Domenici);
! Authorization of a program to address children's traumatic stress
(Senator Lieberman); and
! Sense of the Senate resolutions regarding the FY2001 LIHEAP
Emergency Allocations (Senators Collins and Reed); guidelines for
the manufacture of dietary supplements (Senators Hatch and
Harkin); assistance for workers dislocated by the September 11
terrorist attacks (Senator Torricelli); reimbursement of hospitals for
the testing and treatment of anthrax (Senator Torricelli); lead
poisoning screening and treatment (Senator Torricelli); and research
and services related to post-abortion depression and psychosis
(Senator Smith of New Hampshire).
Public Law Summary
H.R. 3061, the Departments of Labor, Health and Human Services, and
Education, and Related Agencies Appropriations Act, 2002, was signed into law by
the President on January 10, 2002, as P.L. 107-116. The H.R. 3061 conference
report, H.Rept. 107-342, was approved by the House on December 19, 2001 (roll
call no. 504, 393-30) and by the Senate on December 20, 2001 (roll call no. 378,
90-7).
Funding Highlights. P.L. 107-116 increases appropriations for many
L-HHS-ED programs for FY2002; in a number of instances, the funding provided is
more than the amount requested by the President. Funding for a few programs is
decreased or terminated. As shown previously in Table 2 (see p. 4), the program
level funding contained in the FY2002 L-HHS-ED Act provides discretionary
appropriations of $124.3 billion, $14.6 billion (13.3%) more than the $109.7 billion
provided by the FY2001 L-HHS-ED Act. The current year discretionary funding for
L-HHS-ED programs for FY2002 is $123.4 billion, $14.0 billion (12.8%) more than
the FY2001 amount of $109.4 billion. The FY2002 Act includes $19.3 billion in
advance appropriations compared to the $18.8 billion provided in FY2001. As
enacted, discretionary funding is increased for FY2002 over the FY2001 level for
each of DOL, DHHS, and ED, as well as for the related agencies in aggregate.
Funding is changed by at least $100 million for the following agencies or programs;
details are provided in separate agency summaries.
CRS-14
! For DOL, increases are provided for WIA Youth Training and
Dislocated Worker Assistance programs.
! For DHHS, increases are provided for Community Health Centers,
Ryan White AIDS programs, the CDC, the NIH, Substance Abuse
and Mental Health Services Administration (SAMHSA), CMS
Program Management, LIHEAP, the CCDBG, and Head Start.
! For ED, increases are provided for Title I Part A Grants to LEAs,
Reading First, Teacher Quality, 21st Century Community Learning
Centers, State Assessment, the FIE, English Language Acquisition
(Bilingual and Immigrant Education), IDEA Part B State Grants, and
Pell Grants. Funding is eliminated for the School Repair and
Renovation program.
! For Related Agencies, increases are provided for SSI discretionary
activities and the SSA Limitation on Administrative Expenses.
Modification of Existing Programs and Activities. In addition to
enacting appropriations, the L-HHS-ED Act for FY2002 authorizes or amends
several existing programs or activities.
! Title VI of P.L. 107-116 authorizes the Mark-to-Market Extension
Act of 2001, which amends and extends for 5 years the mark-to-
market program for multifamily assisted housing (for additional
information, see CRS Report RL30916, Housing Issues in the 107th
Congress).
! Title VII extends major provisions of the Mental Health Parity Act
for an additional 15 months through December 31, 2002; the Act
establishes standards for mental health coverage provided by group
health plans (for additional information, see CRS Report RS21031,
Mental Health Parity).
302(a) and 302(b) Allocation Ceilings
The ceiling for L-HHS-ED discretionary spending is set through the annual
budget allocation process. The congressional budget resolution for FY2002,
H.Con.Res. 83 (see Related Legislation, page 46; also see CRS Issue Brief IB10079,
The Budget for Fiscal Year 2002), sets the aggregate discretionary spending limit for
the 13 annual appropriations bills; this limit is known as the 302(a) allocation. From
this amount the House and Senate appropriations committees allocate funds among
their subcommittees for each of the 13 appropriations bills, known as the 302(b)
allocations. The 302(b) allocations can and do get adjusted during the year as the
various appropriations bills progress toward final enactment. Current 302(b)
allocations for the FY2002 L-HHS-ED appropriations bills from the House and
Senate Appropriations Committees are shown in Table 3. Comparable amounts for
FY2001 and the President's FY2002 budget are also shown. Subject to scorekeeping
considerations, 302(b) allocations are similar to current year discretionary
appropriations. Both the 302(a) and the 302(b) allocations regularly become
contested issues in their own right.
CRS-15
Table 3. 302(b) Discretionary Allocations
for L-HHS-ED Programs
(budget authority in billions of dollars)
FY2001 FY2002 FY2002 FY2002 FY2002
enacted request House Senate conference
comparable comparable allocation allocation comparable
$109.4 $135.1 $123.4 $123.4 $123.4
Source: The House FY2002 allocation is based on H.Rept. 107-230, October 9, 2001; the Senate
FY2002 allocation is based on S.Rept. 107-110, December 6, 2001. The comparable FY2001 enacted
appropriations, the FY2002 request, and the FY2002 conference amounts represent the comparable
discretionary appropriations for the current year; they are based on the H.R. 3061 conference report,
H.Rept. 107-342 (December 19, 2001), which includes the provisions of P.L. 107-20 and the initial
allocations from P.L. 107-38.
Note: Under current scorekeeping provisions, advance appropriations that were enacted as part of the
FY2001 appropriations are counted in FY2002 or later, and any advance appropriations enacted as
part of the FY2002 appropriations would be counted in FY2003 or later.
Advance Appropriations
Advance appropriations occur when funding enacted in one fiscal year cannot
be spent until the following fiscal year, at the earliest (see CRS Report RS20441,
Advance Appropriations, Forward Funding, and Advance Funding). For example,
P.L. 106-554, which included FY2001 L-HHS-ED appropriations, provided $365
million for the Corporation for Public Broadcasting (CPB) for use in FY2003.
Advance appropriations can be used for several objectives. These include the
provision of long-term budget information to agencies and other recipients, such as
state and local educational systems, to enable better planning of future program
activities and personnel levels. The more contentious aspect of advance
appropriations, however, is that they avoid the 302(a) and 302(b) allocation ceilings
for the current year. Such funding must be counted in the year in which it first
becomes available, thereby using up ahead of time part of what will be counted
against the allocation ceiling in future years. For an example of the impact of
advance appropriations on program administration, see the discussion below in the
section on ED (page 35).
Prior to the FY2001 appropriations, annual L-HHS-ED bills provided increasing
amounts of advance appropriations for discretionary programs; since that time, the
funding amounts have stabilized, as follows:
! FY1998, $4.0 billion;
! FY1999, $8.9 billion;
! FY2000, $19.0 billion;
! FY2001, $18.8 billion;
! FY2002, as requested, $0.0 billion;
! FY2002, House bill, as passed, $18.5 billion;
! FY2002, Senate bill, as passed, $18.9 billion; and
! FY2002, $19.3 billion, as enacted by P.L. 107-116.
CRS-16
For FY2002, the President's request proposes to eliminate advance appropriations
for federal discretionary programs, including those at L-HHS-ED, for FY2003 and
beyond. The Congressional Budget Resolution for FY2002, H.Con.Res. 83,
generally would maintain the use of advance appropriations for programs for which
they were provided in FY2001 (�201 and �202).
Major Funding Trends
The L-HHS-ED appropriations bills consist of mandatory and discretionary
funds; however, the Appropriations Committees fully control only the discretionary
funds. Mandatory funding levels for programs included in the annual appropriations
bills are modified through changes in the authorizing legislation. These changes
typically are accomplished through the authorizing committees and combined into
large, omnibus reconciliation bills. Table 4 shows the trend in discretionary budget
authority under the L-HHS-ED appropriations for FY1997 through FY2001.
Table 4. L-HHS-ED Discretionary Funding Trends from FY1997
(budget authority in billions of dollars)
FY2001
Type of funds FY1997 FY1998 FY1999 FY2000
estimate a
L-HHS-ED discretionary $74.7 $81.1 $89.5 $87.1 $109.4
L-HHS-ED discretionary in
$80.0 $85.6 $93.2 $89.0 $109.4
estimated FY2001 dollars
L-HHS-ED % of all federal
14.6% 15.3% 15.4% 14.9% 17.2%
discretionary funds b
L-HHS-ED % of total
4.5% 4.8% 5.0% 4.8% 5.8%
federal budget authority
Total federal discretionary $511.2 $529.6 $581.9 $584.4 $634.9
Total federal budget
$1,642.9 $1,692.3 $1,776.7 $1,825.0 $1,893.5
authority
GDP deflator 1.0195 1.0340 1.0485 1.0687 1.0914
Source: Federal totals and the GDP deflator are based on the Budget of the United States Government
Historical Tables Fiscal Year 2002, Tables 5.2, 5.4, and 10.1. The L-HHS-ED discretionary budget
authority amounts are based on the Budget of the United States Government from various years, and
therefore may not be completely comparable from year to year.
a
Estimates are based on FY2001 appropriations enacted as of the submission of the FY2002 budget
request in April 2001; they do not include the various supplemental appropriations and rescissions for
L-HHS-ED and other bills enacted later in FY2001.
b
Discretionary funds include both defense and non-defense activities.
Total L-HHS-ED discretionary funds have increased by 46.5% during this 5-
year period. The 5-year increase is reduced to an estimated 36.8% after adjustment
for inflation by use of the Gross Domestic Product (GDP) deflator. When compared
to all federal discretionary budget authority, the L-HHS-ED portion increased from
14.6% in FY1997 to 17.2% in FY2001. When compared to all federal budget
authority, both discretionary and nondiscretionary (mandatory), the L-HHS-ED
CRS-17
portion of the federal total increased during this period from 4.5% in FY1997 to 5.8%
in FY2001.
Related World Wide Web Sites
General information on budget and appropriations may be found at these web
sites. Specific L-HHS-ED agency sites are listed in relevant sections of this report.
House Committee on Appropriations
[http://www.house.gov/appropriations]
[http://www.house.gov/budget/]
Senate Committee on Appropriations
[http://www.senate.gov/~appropriations/]
[http://www.senate.gov/~budget/]
Congressional Budget Office (CBO)
[http://www.cbo.gov]
Congressional Research Service (CRS)
[http://www.crs.gov/products/appropriations/apppage.shtml]
General Accounting Office (GAO)
[http://www.gao.gov/]
Government Printing Office (GPO)
[http://www.access.gpo.gov/congress/legislation/02appro.html]
Office of Management & Budget (OMB)
[http://www.whitehouse.gov/OMB/budget/index.html]
[http://www.whitehouse.gov/OMB/legislative/sap/index.html]
CRS-18
U.S. Department of Labor
The FY2002 budget proposal for discretionary appropriations at DOL is $11.3
billion, $0.4 billion (3.4%) less than the FY2001 appropriations of $11.7 billion, as
shown in Table 5. The House bill would provide $11.9 billion, as would the Senate
bill. The FY2002 conference amount is $12.0 billion, $0.3 billion (2.6%) more than
in FY2001.
Table 5. Department of Labor Discretionary Appropriations
($ in billions) a
FY2001 FY2002 FY2002 FY2002 FY2002
Funding enacted b request House Senate conference
Budget authority $11.7 $11.3 $11.9 $11.9 $12.0
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
The amounts shown represent only discretionary programs funded by the L-HHS-ED appropriations
bill; appropriations for mandatory programs are excluded.
b
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38.
Mandatory DOL programs included in the FY2001 L-HHS-ED bill were funded
at $2.0 billion, and consist of the Black Lung Disability Trust Fund ($1.0 billion),
Federal Unemployment Benefits and Allowances ($0.4 billion), Advances to the
Unemployment Insurance and Other Trust Funds ($0.4 billion), Energy Employees
Occupational Illness Fund ($0.1 billion), and Employment Standards Administration
Special Benefits programs ($0.1 billion).
Key Issues
President's Request. The President's FY2002 budget request for DOL
focuses on the preparation of a 21st Century Workforce, the employment of disabled
individuals, worker health and safety, labor law compliance, revision of the
Consumer Price Index, centralized labor information technology, and protection of
workers' benefits. Funding for training and employment services would be reduced
by $324 million in the FY2002 request; the Administration asserts that states and
localities have enough funds carried over from FY1999 and FY2000 that current
service levels can be maintained. After the President submitted the FY2002 budget
request to the Congress, an FY2001 supplemental appropriations and rescissions bill
was enacted, P.L. 107-20 (see Related Legislation, page 46), which required a net
reduction of $217.5 million in FY2001 appropriations for training and employment
services programs.
Discretionary changes of at least $100 million requested for DOL programs
under the President's FY2002 budget include the following:
! A reduction of $0.3 billion is requested for programs authorized by
the Workforce Investment Act of 1998 (WIA), which was initially
CRS-19
funded at $5.7 billion in FY2001, but was reduced to $5.5 billion by
P.L. 107-20. Regarding specific WIA programs, $0.1 billion less is
requested for Youth Training, funded at $1.1 billion in FY2001; $0.1
billion less is proposed for Dislocated Worker Assistance, initially
funded at $1.6 billion in FY2001, but reduced to $1.4 billion by
P.L. 107-20; and $0.1 billion less is requested for Other Federally
Administered WIA programs, funded at $0.3 billion in FY2001.
Other Federally Administered programs include the Responsible
Reintegration for Young Offenders ($55 million in FY2001) -- a
program proposed for elimination in the request -- as well as other
pilot and demonstration programs, research, and evaluation.
House Bill. As passed, the House bill differs in several respects from the
President's FY2002 budget request for DOL programs.
! WIA programs would be funded at $5.6 billion, $0.5 billion more
than was requested; the WIA total was $5.5 billion in FY2001.
Regarding specific WIA programs, Youth Training would be
funded at $1.4 billion, $0.4 billion more than requested; the FY2001
amount was $1.1 billion. Dislocated Worker Assistance would be
funded at $1.5 billion, $0.2 billion more than requested; the FY2001
amount was $1.4 billion. Youth Opportunity Grants would not be
funded separately but only as a part of WIA Youth Training; the
request was for separate funding of $250 million, the same as the
FY2001 amount.
Senate Bill. As passed, the Senate bill differs from the House bill with regard
to several DOL programs.
! WIA programs would be funded at $5.5 billion, $0.1 billion less
than the House proposal. For specific WIA programs, Youth
Training would be funded at $1.1 billion, $0.2 billion less than the
House amount. Dislocated Worker Assistance would be funded at
$1.5 billion, approximately the same level as in the House bill.
Youth Opportunity Grants would receive $250 million as a separate
amount, the same as the request and the FY2001 amount; the House
proposes funding for these grants only as a part of the WIA Youth
Training program.
Public Law. Under the conference agreement, the largest changes in funding
from FY2001 to FY2002 for DOL programs are as follows.
! WIA programs are funded at $5.6 billion, $0.5 billion more than the
request and $0.2 billion more than in FY2001. The WIA Youth
Training program is provided $1.1 billion, $0.1 billion more than
requested but the same as in FY2001. Dislocated Worker Assistance
is funded at $1.5 billion, $0.2 billion more than requested and $0.1
billion more than in FY2001.
CRS-20
For Additional Reading
CRS Products.
CRS Report 97-724, Ergonomics in the Workplace: Is it Time for an OSHA
Standard?, by Edward Rappaport.
CRS Report 97-536, Job Training Under the Workforce Investment Act: An
Overview, by Ann Lordeman.
CRS Report 95-917, Older Americans Act: Programs and Funding, by Carol
O'Shaughnessy and Paul J. Graney.
CRS Report 95-742, Unemployment Benefits: Legislative Issues in the 107th
Congress, by Celinda M. Franco.
CRS Report RS20244, The Workforce Investment Act: Training Programs Under
Title I at a Glance, by Ann Lordeman.
Selected World Wide Web Sites.
U.S. Department of Labor
[http://www.dol.gov]
[http://www.dol.gov/dol/_sec/public/Budget2002/budgetfy2002.htm]
Detailed Appropriations Table
Table 6 shows the appropriations details for offices and major programs of
DOL.
CRS-21
Table 6. Detailed Department of Labor Appropriations
($ in millions)
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Employment and Training Administration (ETA)
Training and Employment
Services, Workforce Investment
950 900 950 950 950
Act (WIA) Adult Training Grants
to States
WIA Youth Training b 1,128 1,001 1,353 1,128 1,128
WIA Dislocated Worker
1,438 1,383 1,535 1,549 1,549
Assistance
WIA Job Corps 1,399 1,399 1,474 1,399 1,459
WIA Youth Opportunity Grants
250 250 0 250 225
(YOG) b
WIA other federally administered
308 191 267 253 315
programs
WIA subtotal 5,473 5,124 5,579 5,529 5,626
Training and Employment
5 5 5 5 5
Services (TES), other
Community Service Employment
440 440 440 450 445
for Older Americans
Federal Unemployment Benefits
and Allowances, Trade
407 416 416 416 416
Adjustment and NAFTA
Activities (mandatory)
State Unemployment Insurance
and Employment Service
2,367 2,414 2,414 2,414 2,414
Operations (SUI/ESO)
Unemployment Compensation
SUI/ESO Employment Service 846 846 846 848 847
SUI/ESO One-Stop Career
150 134 120 148 120
Centers
SUI/ESO Work Incentives Grants 20 20 20 20 20
SUI/ESO subtotal 3,383 3,414 3,400 3,430 3,401
Advances to Unemployment Trust
435 464 464 464 464
Fund and other funds (mandatory)
ETA Program Administration 159 161 162 161 161
ETA subtotal 10,302 10,024 10,465 10,454 10,518
Pension and Welfare Benefits
108 108 110 112 110
Administration
Pension Benefit Guaranty
Corporation (PBGC) 12 12 12 12 12
Administration
PBGC program level (non-add) 191 191 191 191 191
CRS-22
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Employment Standards Administration (ESA)
ESA Salaries and Expenses 363 284 370 377 371
ESA Special Benefits
56 121 121 121 121
(mandatory)
ESA Energy Employees
Occupational Illness Fund 60 136 136 136 136
(mandatory)
ESA Black Lung Disability Trust
1,028 1,036 1,036 1,036 1,036
Fund (mandatory)
ESA subtotal 1,507 1,577 1,663 1,670 1,664
Occupational Safety and Health
426 426 435 450 444
Administration (OSHA)
Mine Safety and Health
246 246 252 256 255
Administration (MSHA)
Bureau of Labor Statistics 451 476 477 476 477
Office of Disability Employment
23 43 33 43 38
Policy
Departmental Management,
148 72 148 148 148
International Labor Affairs
Departmental Management,
Veterans Employment and 212 212 212 214 213
Training
Departmental Management, other 264 315 293 271 288
Departmental Management
647 599 653 633 649
subtotal
TOTALS, DEPARTMENT OF LABOR
Total appropriations c 13,698 13,511 14,099 14,107 14,166
Current year: FY2002 11,235 13,511 12,001 11,644 11,703
Advance year: FY2003 2,463 0 2,098 2,463 2,463
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38. In particular,
P.L. 107-20 provided a supplemental $25 million for WIA Youth Training, and rescinded $177.5
million for Dislocated Worker Assistance, $25 million for Youth Opportunity Grants, and $40 million
for Other Federally Administered WIA Programs. The overall effect on WIA was a net reduction of
$217.5 million. P.L. 107-38 provided an additional $25 million for Training and Employment
Services, $3.5 million for SUI/ESO, and $0.5 million for OSHA. The table reflects these changes.
b
The House bill would include funds for Youth Opportunity Grants within the WIA Youth Training
program.
c
Appropriations totals include discretionary and mandatory funds, and may be subject to additional
scorekeeping and other adjustments.
CRS-23
U.S. Department of Health and Human Services
The FY2002 budget proposal for discretionary appropriations at the U.S.
Department of Health and Human Services (DHHS) is $51.7 billion, $4.7 billion
(10.0%) more than the FY2001 appropriations of $47.0 billion, as shown in Table
7. The House bill would provide $53.2 billion, and the Senate bill would provide
$54.3 billion. The FY2002 conference amount is $54.1 billion, $7.1 billion (15.1%)
more than in FY2001.
Table 7. U.S. Department of Health and Human Services
Discretionary Appropriations
($ in billions) a
FY2001 FY2002 FY2002 FY2002 FY2002
Funding enacted b request House Senate conference
Budget authority $47.0 $51.7 $53.2 $54.3 $54.1
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
The amounts shown represent discretionary programs funded by the L-HHS-ED appropriations bill;
appropriations for mandatory programs are excluded.
b
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38.
Mandatory DHHS programs included in the FY2001 L-HHS-ED bill were
funded at $219.3 billion, and consist primarily of Grants to States for Medicaid
($135.8 billion), Payments to Medicare Trust Funds ($70.4 billion), Foster Care and
Adoption ($6.6 billion), and Social Services Block Grant ($1.7 billion).
Key Issues
President's Request. The President's FY2002 budget request for DHHS
focuses on a number of programs related to the funding and delivery of health care,
medical research, and social services. The DHHS budget request emphasizes
Medicare improvements and expanded access to health care; increased support for
children and families; enhanced scientific research and public health protection;
revitalizing research laboratories; and improvements in financial management and
information technology systems. Discretionary spending changes of at least $100
million are requested for the following programs.
! An increase of $2.7 billion is requested for the National Institutes of
Health (NIH), which currently is funded at $20.3 billion, to support
activities that maintain and improve health through medical science.
This is the largest increase in discretionary funds (in terms of
absolute dollars) in the FY2002 L-HHS-ED budget request. The
FY2002 request gives presidential support to a 5-year effort to
double the size of NIH funding, from $13.6 billion in FY1998 to
$27.2 billion in FY2003 (see CRS Issue Brief IB10083, Research
and Development Funding: Fiscal Year 2002).
CRS-24
! An additional $0.1 billion is proposed for Community Health
Centers, which was funded at $1.2 billion in FY2001.
! A decrease of $248 million is requested for the Health Professions
program, which was funded at $588 million in FY2001.
! Various other discretionary programs administered by the Health
Resources and Services Administration (HRSA) would be reduced
by $475 million; $920 million was provided for FY2001. Among
other proposals, the $252 million Health Care and Other Facilities
would be eliminated and the $140 million Community Access
program would be reduced by $125 million (to $15 million).
! A decrease of $0.2 billion is requested for the Centers for Disease
Control and Prevention (CDC); $3.9 billion was provided for
FY2001 for the prevention and control of diseases, injuries, and
disabilities.
! The budget proposes no new funding for the Agency for Healthcare
Research and Quality (AHRQ), funded at $105 million in FY2001.
On a program level basis (program services regardless of funding
source), AHRQ funding would actually be increased from $270
million in FY2001 to $306 million under the request, using funds
from other programs for AHRQ activities.
! An increase of $0.1 billion is requested for Program Management
activities under the Centers for Medicare and Medicaid Services
(CMS, formerly the Health Care Financing Administration); $2.2
billion was provided in FY2001. In June 2001, the Health Care
Financing Administration (HCFA) was renamed and reorganized as
the CMS.
! An increase of $1.1 billion is proposed for the Low-Income Home
Energy Assistance Program (LIHEAP); $0.3 billion was
appropriated under the FY2001 L-HHS-ED Appropriations Act.
However, program level funding would remain constant at $1.4
billion, since the FY2000 L-HHS-ED Appropriations Act provided
an advance appropriations of $1.1 billion for FY2001.
! For the LIHEAP Emergency Allocation, $300 million is requested.
For FY2001, $300 million was initially appropriated in P.L. 106-
554; subsequently, an FY2001 supplemental appropriation of $300
million was added by P.L. 107-20, for a total of $600 million in
FY2001 (see Related Legislation, page 46).
! An additional $1.4 billion is proposed for the Child Care and
Development Block Grant (CCDBG), including $0.4 billion that
would be reserved for an After School Certificates proposal, for a
FY2002 total of $2.2 billion. For FY2001, P.L. 106-554 provided
$0.8 billion, but with $1.2 billion advance funded from FY2000, the
FY2001 program level became $2.0 billion.
! An additional $0.1 billion is requested for Head Start, which was
funded at $6.2 billion in FY2001.
House Bill. As passed, the House bill differs in several respects from the
President's FY2002 budget request for DHHS programs.
CRS-25
! The bill would provide $670 million for Health Professions, $330
million more than requested; the FY2001 amount was $588 million.
! Ryan White AIDS programs would receive $1.9 billion, $0.1 billion
more than requested and the FY2001 amount.
! Other HRSA programs would be funded at $642 million, $197
million more than requested; $920 million was provided in FY2001.
! The CDC would receive $4.1 billion, $0.4 billion more than
requested; the FY2001 amount was $3.9 billion.
! The bill would provide $22.9 billion for the NIH, $0.2 billion less
than requested; the FY2001 amount was $20.3 billion.
! The AHRQ would receive $168 million; the request was for zero
funding and the FY2001 amount was $105 million. At the program
level, the AHRQ would receive $306 million, the same as the
requested amount.
! The bill would provide $1.7 billion for LIHEAP, $0.3 billion more
than requested; the comparable FY2001 amount was $0.3 billion.
! For the CCDBG, the bill provides $2.2 billion, the same as the
requested amount, but it would not designate a $0.4 billion set-aside
from the total for an After School Certificates Initiative, as was
requested; $0.8 billion was provided for the CCDBG in FY2001.
! Head Start would be funded at $6.5 billion, $0.2 billion more than
requested; the FY2001 amount was $6.2 billion.
Senate Bill. As passed, the Senate bill differs from the House bill with regard
to several DHHS programs.
! The CDC would be funded at $4.4 billion, $0.3 billion more than the
House amount; it received $3.9 billion in FY2001.
! The NIH would receive $23.7 billion, $0.8 billion more than in the
House bill; the FY2001 amount was $20.3 billion.
! The bill would provide $291 million for the AHRQ, $123 million
more than the House amount; $105 million was the FY2001 amount.
! CMS Program Management would receive $2.5 billion, $0.1 billion
more than the House amount; it received $2.2 billion in FY2001.
! The CCDBG would receive $2.0 billion, $0.2 billion less than the
House amount; it received $0.8 billion in FY2001.
! Head Start would be funded at $6.6 billion, $0.1 billion more than
in the House bill; it was funded at $6.2 billion in FY2001.
! The Public Health and Social Service Emergency Fund (PHSSEF)
would not be funded under the Senate bill; it would receive $301
million under the House bill, and $251 million under the request.
The PHSSEF was funded at $367 million in FY2001.
! The Senate bill would provide $182 million under the CDC account
and $69 million more under the Office of the Secretary for
bioterrorism; these activities were funded under the PHSSEF in
FY2001, and would continue to receive funding there under the
House bill and the request.
Public Law. Under the conference agreement, the largest changes in funding
from FY2001 to FY2002 for DHHS programs are as follows.
CRS-26
! The FY2002 L-HHS-ED Act provides $1.3 billion for Community
Health Centers, $0.1 billion more than the request and $0.2 billion
more than in FY2001.
! The Ryan White AIDS programs receive $1.9 billion, $0.1 billion
more than the request and the FY2001 amount.
! The CDC is provided $4.3 billion, $0.6 billion more than requested
and $0.4 billion more than the FY2001 amount.
! The NIH receives $23.3 billion, $0.2 million more than requested
and $3.0 billion more than in FY2001.
! SAMHSA is provided $3.1 billion, $0.1 billion more than requested
and $0.2 billion more than the FY2001 amount.
! CMS Program Management is provided $2.4 billion, $0.1 billion
more than requested and $0.2 billion more than in FY2001.
! The LIHEAP receives $1.7 billion, $0.3 billion more than requested
and $1.4 billion more than the FY2001 amount. The comparable
program level amount is $1.7 billion for FY2002, $0.3 billion less
than the amount requested and the FY2001 amount.
! The LIHEAP Emergency Allocation receives $300 million, the same
as the request but $300 million less than in FY2001.
! The CCDBG is funded at $2.1 billion, $0.1 billion less than
requested but $1.3 billion more than the FY2001 amount.
! Head Start is provided $6.5 billion, $0.2 billion more than requested
and $0.3 billion more than in FY2001.
Abortion: Funding Restrictions. Annual L-HHS-ED appropriations acts
regularly contain restrictions that limit the circumstances under which federal funds
can be used to pay for abortions. Congress has not amended these restrictions since
FY1999. From FY1977 to FY1993, abortions could be funded only when the life of
the mother was endangered. Restrictions on appropriated funds, popularly referred
to as the Hyde Amendments, generally apply to all L-HHS-ED funds. Medicaid is
the largest program affected. The 103rd Congress modified the provisions to permit
federal funding of abortions in cases of rape or incest. The FY1998 L-HHS-ED
Appropriations Act, P.L. 105-78, extended the Hyde provisions to prohibit the use
of federal funds to buy managed care packages that include abortion coverage, except
in the cases of rape, incest, or life endangerment. For FY1999, the FY1998 Hyde
Amendment provisions were continued, along with a clarification to ensure that the
Hyde Amendment applies to all trust fund programs (namely, Medicare) funded by
the FY1999 L-HHS-ED Appropriations Act, P.L. 105-277, as well as an assurance
that Medicare + Choice plans cannot require the provision of abortion services. The
FY2000, FY2001, and FY2002 L-HHS-ED Appropriations Acts have retained the
FY1999 language without amendment. Current provisions can be found in �508 and
�509 of the FY2002 L-HHS-ED Appropriations Act, P.L. 107-116. (For additional
information, see CRS Issue Brief IB95095, Abortion: Legislative Response.)
Embryonic Stem Cell Research: Funding Restrictions. On August 9,
2001, President Bush announced a decision to use federal funds for research on
human embryonic stem cells for the first time, but limited the funding to "existing
stem cell lines." Embryonic stem cells have the ability to develop into virtually any
cell in the body, and may have the potential to treat medical conditions such as
diabetes and Parkinson's disease. The use of stem cells, however, frequently raises
CRS-27
difficult ethical and social issues regarding embryo and fetal tissue research. An
FY1996 appropriations continuing resolution, P.L. 104-99 (�128), prohibited NIH
funds from being used for the creation of human embryos for research purposes or
for research in which human embryos are destroyed. From FY1997 through FY2001,
annual appropriations acts extended the prohibition to all L-HHS-ED funds, but the
NIH is the agency primarily affected. The restriction, originally introduced by
Representative Jay Dickey, has not changed significantly since it was first enacted.
The current provision can be found in �510 of the FY2002 L-HHS-ED
appropriations, P.L. 107-116. (For additional information, see CRS Report
RL31015, Stem Cell Research.)
For Additional Reading
CRS Products.
CRS Issue Brief IB95095, Abortion: Legislative Response, by Karen J. Lewis, et al.
CRS Report 95-1101, Abortion Procedures, by Irene E. Stith-Coleman.
CRS Report RL30785, The Child Care and Development Block Grant: Background
and Funding, by Alice Butler and Melinda Gish.
CRS Report RL30944, Child Care Issues in the 107th Congress, by Melinda Gish.
CRS Report RS20124, Community Service Block Grants: Background and Funding,
by Karen Spar.
CRS Report 97-757, Federal Health Centers Program, by Sharon Kearney.
CRS Report RL30952, Head Start: Background and Funding, by Alice Butler and
Melinda Gish.
CRS Report 94-211, The Low-Income Home Energy Assistance Program (LIHEAP),
by Melinda Gish.
CRS Report 97-350, Maternal and Child Health Block Grant, by Sharon Kearney.
CRS Report RL30483, Medical Research Funding: Summary of a CRS Seminar on
Challenges and Opportunities of Proposed Large Increases for the National
Institutes of Health, by John K. Iglehart, Contractor, and Pamela W. Smith,
Coordinator.
CRS Report RL31058, Medicare Structural Reform: Background and Options, by
Jennifer O'Sullivan, et al.
CRS Report 95-917, Older Americans Act: Programs and Funding, by Carol
O'Shaughnessy and Paul J. Graney.
CRS Issue Brief IB10083, Research and Development Funding: Fiscal Year 2002,
by John Dimitri Moteff, Coordinator.
CRS Report 94-953, Social Services Block Grants (Title XX of the Social Security
Act), by Melinda Gish.
CRS Report RL31015, Stem Cell Research, by Judith A. Johnson.
CRS Report 97-1048, The Title X Family Planning Program, by Sharon Kearney.
CRS Issue Brief IB93034, Welfare Reform: An Issue Overview, by Vee Burke.
CRS-28
Selected World Wide Web Sites.
U.S. Department of Health and Human Services
[http://www.hhs.gov]
[http://www.hhs.gov/budget/]
[http://www.hhs.gov/budget/pdf/hhs2002.pdf]
[http://www.hhs.gov/budget/testify/b20010502a.html]
Detailed Appropriations Table
Table 8 shows the appropriations details for offices and major programs of
DHHS.
CRS-29
Table 8. Detailed Department of Health and Human Services
Appropriations
($ in millions)
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Public Health Service (PHS)
Health Resources and Services
Administration (HRSA), 1,169 1,293 1,319 1,344 1,344
Community Health Centers
HRSA National Health Service
129 130 143 154 154
Corps
HRSA Health Professions 588 340 670 596 663
HRSA Maternal and Child Health
714 709 740 719 732
Block Grant
HRSA Ryan White AIDS
1,808 1,808 1,920 1,883 1,911
Programs
HRSA Family Planning (Title X) 254 254 264 266 265
HRSA Vaccine Injury
114 115 115 115 115
Compensation (mandatory)
HRSA, other 920 445 642 576 1,019
HRSA subtotal 5,696 5,094 5,813 5,653 6,203
Centers for Disease Control and
3,863 3,697 4,077 4,419 4,293
Prevention (CDC)
National Institutes of Health
20,295 23,042 22,875 23,695 23,285
(NIH) b
Substance Abuse and Mental
Health Services Administration
420 420 440 420 433
(SAMHSA) Mental Health Block
Grant
SAMHSA Substance Abuse
1,665 1,725 1,725 1,725 1,725
Block Grant
SAMHSA, other 878 884 967 943 980
SAMHSA subtotal 2,963 3,029 3,132 3,088 3,138
Agency for Healthcare Research
105 0 168 291 3
and Quality (AHRQ)
AHRQ program level (non-add) 270 306 306 291 299
PHS subtotal 32,922 34,862 36,065 37,146 36,922
Centers for Medicare and Medicaid Services (CMS)
Medicaid Grants to States
135,821 153,424 153,424 153,424 153,424
(mandatory)
Payments to Medicare Trust
70,382 81,924 81,924 81,994 81,979
Funds (mandatory)
CMS Program Management 2,242 2,351 2,361 2,465 2,441
CMS subtotal 208,445 237,699 237,709 237,883 237,844
Administration for Children and Families (ACF)
Family Support Payments to
States (Welfare, Child Support) 4,098 4,008 4,008 4,008 4,008
(mandatory)
Low Income Home Energy
300 1,400 1,700 1,700 1,700
Assistance Program (LIHEAP)
LIHEAP program level (non-add) 1,400 1,400 1,700 1,700 1,700
CRS-30
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
LIHEAP Emergency Allocation 600 300 300 300 300
Refugee and Entrant Assistance 433 445 460 445 460
Child Care and Development
817 2,200 2,200 2,000 2,100
Block Grant (CCDBG)
CCDBG program level (non-add) 2,000 2,200 2,200 2,000 2,100
CCDBG After School Certificates
0 400 deferred 0 0
(non-add)
Social Services Block Grant
1,725 1,700 1,700 1,700 1,700
(Title XX) (mandatory)
Children and Family Services
6,200 6,325 6,476 6,600 6,538
Programs (CFSP), Head Start
CFSP Child Welfare Services 292 292 292 292 292
CFSP Developmental Disabilities 134 133 136 141 141
CFSP Community Services Block
600 600 620 675 650
Grant
CFSP Violent Crime Reduction 134 134 144 139 142
CFSP, other 605 707 607 745 666
Rescission of mandatory funds -21 0 -21 -21 -21
Promoting Safe and Stable
305 305 305 305 305
Families (mandatory)
Foster Care and Adoption
6,599 6,699 6,639 6,639 6,639
Assistance (mandatory)
AFC, Other 0 268 71 71 71
ACF subtotal 22,821 25,516 25,637 25,739 25,691
Administration on Aging 1,103 1,098 1,145 1,210 1,200
Office of the Secretary, Public
367 246 301 0 243
Health and Social Service Fund
Retirement Pay and Medical
Benefits, Commissioned Officers 220 243 243 243 243
(mandatory)
Office of the Secretary, Other 377 427 408 510 417
TOTALS, DEPARTMENT OF HEALTH AND HUMAN SERVICES
Total appropriations c 266,255 300,091 301,509 302,731 302,560
Current year: FY2002 225,882 250,635 250,652 251,845 251,704
Advance year: FY2003 40,373 49,456 50,856 50,886 50,856
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38. In particular,
P.L. 107-20 provided a supplemental $300 million for the LIHEAP Emergency Allocation. P.L. 107-
38 provided an additional $125 million for the PHSSEF. The table reflects these changes.
b
The VA-HUD Appropriations Act provides additional funding for NIH -- $63 million in FY2001.
c
Appropriations totals include discretionary and mandatory funds, and may be subject to additional
scorekeeping and other adjustments.
CRS-31
U.S. Department of Education
The FY2002 budget proposal for discretionary appropriations at the U.S.
Department of Education (ED) is $44.5 billion, $2.3 billion (5.5%) more than the
FY2001 appropriations of $42.2 billion, as shown in Table 9. The House bill would
provide $49.3 billion, and the Senate bill would provide $48.7 billion. The FY2002
conference amount is $48.9 billion, $6.7 billion (15.9%) more than in FY2001.
Table 9. Department of Education Discretionary Appropriations
($ in billions) a
FY2001 FY2002 FY2002 FY2002 FY2002
Funding enacted b request House Senate conference
Budget authority $42.2 $44.5 $49.3 $48.7 $48.9
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
These amounts represent only discretionary programs funded in the L-HHS-ED appropriations bill;
appropriations for mandatory programs are excluded.
b
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38.
A single mandatory ED program was included in the FY2001 L-HHS-ED bill,
the Vocational Rehabilitation State Grants program; it was funded at $2.4 billion.
Key Issues
President's Request. The amount of federal support for education has been
a priority of both the Congress and the White House in recent years, and the FY2002
budget request for ED continues to reflect that emphasis. Discretionary spending
changes of at least $100 million are requested by the President for the following
programs.
! An increase of $0.3 billion is requested for the Title I Part A Grants
to Local Educational Agencies (LEAs) program, which was funded
at $8.8 billion in FY2001.
! An additional $689 million is requested for reading programs under
the Reading First Initiative; reading programs were funded at $286
million under the Reading Excellence Act in FY2001.
! The Impact Aid program would be increased by $138 million;
FY2001 funding was $993 million.
! The proposed Teacher Quality Initiative would receive an initial
funding of $2.6 billion. This program would replace the $0.5 billion
Eisenhower Professional Development program, the $1.6 billion
Class Size Reduction program, and several smaller programs.
! A Choice and Innovation Initiative would be funded at $472 million;
the Innovative Education Program Strategies, funded at $385 million
in FY2001, would be eliminated.
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! An increase of $185 million would be provided for Charter Schools;
FY2001 funding was $190 million.
! The State Assessment Initiative would receive an initial funding of
$320 million.
! An additional $1.0 billion would be provided for Special Education
Part B Grants to States program under IDEA, funded at $6.3 billion
in FY2001.
! An increase of $1.0 billion is requested for the $8.8 billion Pell
Grant program. The proposed maximum award would be increased
by $100 to $3,850 for FY2002.
Along with the programs indicated above that would be replaced by new
initiatives, the President's budget request would decrease or terminate funding for the
following programs.
! The Small, Safe and Successful High Schools program would be
eliminated; FY2001 funding was $125 million.
! The School Repair and Renovation program, initially funded at $1.2
billion in FY2001, would be eliminated.
! No funds are requested for the Fund for the Improvement of
Education (FIE), which was funded at $339 million in FY2001.
! Reductions totaling $190 million would be made for several Higher
Education programs that were funded at $494 million in FY2001,
including a decrease of $95 million for the Fund for the
Improvement of Postsecondary Education (FIPSE), funded at $147
million in FY2001.
House Bill. As passed, the House bill differs in several respects from the
President's FY2002 budget request for ED programs, as summarized below. In
addition, funding for many of these programs would be contingent on amendments
to the Elementary and Secondary Education Act of 1965 (ESEA), as proposed by
H.R. 1, as it was passed by the House on May 23, 2001.
! Title I Part A Grants to LEAs would receive $10.5 billion, $1.4
billion more than requested; $8.8 billion was provided in FY2001.
! The Teacher Quality Initiative would receive $3.2 billion, $0.6
billion more than requested; the Initiative would replace programs
funded at more than $2.1 billion in FY2001.
! The bill would provide $1.0 billion for Educational Technology,
$0.2 billion more than the request; $0.9 billion was provided in
FY2001.
! The bill would provide $1.0 billion for 21st Century Community
Learning Centers, $0.2 billion more than the request; $0.8 billion
was provided in FY2001.
! Small, Safe, Successful High Schools would receive $200 million;
the request was for zero funding and the FY2001 amount was $125
million.
! The bill would provide $200 million for Charter Schools, $175
million less than requested; the FY2001 amount was $190 million.
CRS-33
! Other School Improvement programs would receive $559 million,
$354 million more than requested; $232 million was provided in
FY2001. The amount in the House bill would include $200 million
for Rural Education; no funds were requested for FY2002 and no
funds were provided in FY2001.
! Bilingual and Immigrant Education would receive $700 million,
$240 million more than requested; $460 million was provided in
FY2001.
! IDEA Part B Grants to States would receive $7.7 billion, $0.4 billion
more than requested; the FY2001 amount was $6.3 billion.
! The bill would provide $1.4 billion for Vocational Education, $0.2
billion more than requested; $1.2 billion was the FY2001 amount.
! Pell Grants would receive $10.5 billion, $0.7 billion more than
requested; $8.8 billion was the FY2001 amount. The maximum
award would be increased to $4,000, an amount $150 more than
requested; the maximum award was $3,750 for FY2001.
Senate Bill. As passed, the Senate bill differs from the House bill with regard
to several ED programs, as summarized below. In addition, funding for many of
these programs would be contingent on amendments to the ESEA, as proposed by
H.R. 1, as it was passed by the Senate on June 14, 2001.
! Title I Part A Grants to LEAs would be funded at $10.2 billion, $0.3
billion less than the House proposal; $8.8 billion was provided in
FY2001.
! Other Education for the Disadvantaged programs would receive
$702 million, $371 million less than the House amount; the FY2001
amount was $931 million. In particular, the Senate bill would zero
fund Comprehensive School Reform; the House bill would fund this
activity at $310 million. The budget request for Comprehensive
School Reform was $260 million; the FY2001 amount was $210
million.
! The Teacher Quality Initiative would be funded at $3.0 billion, $0.1
billion less than the House bill; this initiative would replace
programs funded at more than $2.1 billion in FY2001.
! The bill would provide $100 million for Small, Safe, Successful
High Schools, $100 million less than the House amount; $125
million was provided in FY2001.
! School Repair and Renovation would be funded at $925 million,
$275 million less than in FY2001; the program would be zero
funded under the House bill.
! Other School Improvement programs would be funded at $1.0
billion, $0.5 billion more than the House amount; $0.2 billion was
provided in FY2001. However, the Senate amount includes $0.3
billion for the Local Innovations for Education (LIFE), a Senate
initiative which would include activities of FIE, which was funded
under the Educational Research and Improvement account at $0.3
billion in FY2001.
! IDEA Part B Grants to States would receive $7.3 billion, $0.4 billion
less than the House provision; $6.3 billion was provided in FY2001.
CRS-34
! The bill would provide $1.2 billion for Vocational Education, $0.1
billion less than the House amount; the FY2001 amount was $1.2
billion.
! Pell Grants would receive $10.3 billion, $0.1 billion less than the
House amount, but with the same maximum award amount of
$4,000; the FY2001 amount was $8.8 billion, with a maximum
award of $3,750.
Public Law. Under the conference agreement, the largest changes in funding
from FY2001 to FY2002 for ED programs are as follows.
! For Title I Part A Grants to LEAs, $10.4 billion is provided for
FY2002, $1.3 billion more than requested and $1.6 billion more than
in FY2001.
! The new Reading First program receives $1.0 billion, the same as
requested and $0.7 billion more than the FY2001 amount provided
for the former Reading Excellence Act.
! The new Teacher Quality program receives $2.9 billion, $0.3 billion
more than the request; it replaces the former Eisenhower
Professional Development program, funded at $0.5 billion in
FY2001, and the former Class Size Reduction program, funded at
$1.6 billion in FY2001, among other programs.
! The 21st Century Community Learning Centers program is funded at
$1.0 billion, $0.2 billion more than the request and the FY2001
amount.
! Funding is eliminated for School Repair and Renovation, as
requested; $1.2 billion was provided in FY2001.
! The new State Assessment program is funded at $387 million, $67
million more than requested.
! The Fund for the Improvement of Education (FIE) receives $833
million, $494 million more than in FY2001; no funds were
requested.
! The new English Language Acquisition program is funded at $665
million, $205 million more than both the amount requested and the
FY2001 amount that was appropriated for the former Bilingual and
Immigrant Education programs.
! IDEA Part B State Grants receive $7.5 billion, $0.2 billion more
than the request and $1.2 billion more than in FY2001.
! The Vocational Education program is funded at $1.3 billion, $0.1
billion more than both the request and the FY2001 amount.
! Pell Grants are funded at $10.3 billion, $0.6 billion more than
requested and $1.6 billion more than the FY2001 amount. In
addition, the maximum award is increased to $4,000, $150 more
than requested and $250 more than the FY2001 maximum.
Pell Grants. The FY2002 L-HHS-ED bill, as enacted, increases the FY2002
maximum Pell Grant to $4,000, an amount $250 above the FY2001 maximum of
$3,750. The $1.6 billion increase in appropriations originally was thought to be
sufficient to pay for the increased maximum awards (see H.Rept. 107-229, p. 7, and
S.Rept. 107-84, p. 313). Pell Grant appropriations are available for 2 full fiscal
CRS-35
years, but generally go to fund awards for the school year that begins near the end of
the initial fiscal year. For example, the FY2002 appropriations will be available from
October 1, 2001, through September 30, 2003, but for the most part these funds will
be used to meet the estimated program costs for the academic year 2002-2003.
In an October 30, 2001 letter from OMB, the Administration indicated that the
level of Pell Grant funding proposed for FY2002 might be sufficient only to continue
the previous maximum award level of $3,750. The reason given was that new
projections of program costs for FY2001 (for academic year 2001-2002) were
exceeding previous estimates, thereby creating the potential for an FY2001 funding
shortfall. If such a shortfall actually occurs, part of the FY2002 appropriations would
then be used to cover the FY2001 shortfall. Consequently, any funds so used would
be unavailable for FY2002 expenditures. Since the conference agreement specifies
the $4,000 maximum and, according to current OMB estimates, provides insufficient
funds to pay full program costs, ED has two alternative courses of action: (1) request
an FY2002 supplemental appropriation to fund the full $4,000 maximum; or (2) pay
the $4,000 maximum by borrowing when necessary from the subsequent FY2003
appropriation to cover any FY2002 shortfall that might occur.
IDEA Part B Grants to States. The IDEA is the major federal program
providing assistance to states and school districts to help them fulfill their
constitutional obligation to provide a free appropriate public education to children
with disabilities. In 1975, the Congress authorized state payments up to a maximum
amount of 40% of the national average per-pupil expenditure (APPE) times the
number of children with disabilities ages 3 and above that each state serves. The
rationale for this formula was the assumption that the education of children with
disabilities cost twice the national APPE -- 100% more than the "average" child --
and the maximum federal share of the extra cost would be 40%. Appropriations have
never been sufficient to reach the 40% level. Some view this deficiency as a promise
made that has not yet been kept. Achieving the 40% funding level for FY2002 for
Part B grants would take an estimated $18.2 billion, whereas the FY2002
appropriation is $7.5 billion, the equivalent of 16.5% of the current APPE times the
number of children served. An additional appropriation of $10.7 billion would be
necessary to provide the 40% authorized maximum for FY2002. In addition, funding
requirements for maximum grants are likely to grow in the future, as increases are
anticipated for both the APPE and the number of children with disabilities served.
The latter may increase in part as a result of medical advances that have resulted in
more medically fragile children surviving to school age and requiring relatively more
expensive services to attend school and benefit from public education. (For
additional information, see CRS Report 97-433, Individuals with Disabilities
Education Act: Full Funding of State Formula.)
Forward Funding and Advance Appropriations. Many of the larger ED
programs have either authorization or appropriations provisions that allow funding
flexibility for school program years that differ from the federal fiscal year. For
example, some of the elementary and secondary education formula grant programs
receive funding through appropriations that become available for obligation to the
states on July 1 of the same year as the appropriations, and remain available through
the end of the following fiscal year. That is, FY2001 appropriations for some
programs became available for obligation to the states on July 1, 2001, and will
CRS-36
remain available for a 15-month period until September 30, 2002. This budgetary
procedure is popularly known as "forward" or "multi-year" funding, and is
accomplished through funding provisions in the L-HHS-ED appropriations bill.
Forward funding in the case of elementary and secondary education programs
was designed to allow additional time for school officials to develop budgets in
advance of the beginning of the school year. For Pell Grants, however, aggregate
program costs for individual students applying for postsecondary educational
assistance cannot be known with certainty ahead of time. Appropriations from one
fiscal year primarily support Pell Grants during the following academic year, that is,
the FY2001 appropriations support the 2001-2002 academic year. Unlike forward
funded programs, however, the funds remain available for obligation for 2 full fiscal
years. Thus, if cost estimates turn out to be too low, funds may be borrowed from
the following year's appropriations, or conversely, if the estimates are too high, the
surplus may be obligated during the following year.
An advance appropriation occurs when the appropriation is provided for a
fiscal year beyond the fiscal year for which the appropriation was enacted. In the
case of FY2001 appropriations, funds normally would have become available
October 1, 2000, under regular funding provisions, but would not become available
until July 1, 2001, under the forward funding provisions discussed above. However,
if the July 1, 2001 forward funding date were to be postponed for obligation by 3
months, until October 1, 2001, the appropriation would be classified as an "advance
appropriation" since the funds would become available only in the next fiscal year,
FY2002. For example, the FY2001 appropriation was $8.6 billion for Title I Part A
Grants to LEAs for the Education of the Disadvantaged. This amount included not
only forward funding of $1.8 billion (available July 1, 2001), but also an advance
appropriation of $6.8 billion (available October 1, 2001).
What is the impact of these changes in funding provisions? At the program or
service level, relatively little is changed by the 3-month delay in the availability of
funds, since most expenditures for a standard school year occur after October 1. At
the appropriations level, however, a significant technical difference occurs because
forward funding is counted as part of the current fiscal year, and is therefore fully
included in the current 302(b) allocation for discretionary appropriations. Under
federal budget scorekeeping rules, an advance appropriation is not counted in the
302(b) allocation until the following year. In essence, a 3-month change from
forward funding to an advance appropriation for part or all of the annual
appropriations for a given program allows a one-time shift from the current year to
the next year in the scoring of discretionary appropriations. (For additional
information on budget enforcement procedures, see CRS Report 98-720, Manual on
the Federal Budget Process.)
For Additional Reading
CRS Products.
CRS Report RL31035, Adequate Yearly Progress Under ESEA: Provisions, Issues,
and Options Regarding House and Senate Versions of H.R. 1, by Wayne Riddle.
CRS-37
CRS Report RS20447, Class Size Reduction Program: Background and Status, by
James B. Stedman.
CRS Issue Brief IB10029, Education for the Disadvantaged: ESEA Title I
Reauthorization Issues, by Wayne Riddle.
CRS Issue Brief IB10066, Elementary and Secondary Education: Reconsideration
of the Federal Role by the 107th Congress, by Wayne Riddle and James
Stedman.
CRS Report RL30921, ESEA Reauthorization Proposals: Comparison of Major
Features of the House and Senate Versions of H.R. 1, by Wayne Riddle,
Coordinator.
CRS Report RL30448, Even Start Family Literacy Programs: Background and
Reauthorization Issues, by Gail McCallion and Wayne Riddle.
CRS Report 98-676, Federal Elementary and Secondary Education Programs: Ed-
Flex and Other Forms of Flexibility, by Wayne Riddle.
CRS Report RL30075, Impact Aid: Current Status and Proposed H.R. 1
Amendment, by Richard N. Apling.
CRS Report 97-433, Individuals with Disabilities Education Act: Full Funding of
State Formula, by Richard N. Apling.
CRS Report RS20366, Individuals with Disabilities Education Act (IDEA):
Overview of Major Provisions, by Richard Apling and Nancy Lee Jones.
CRS Report RL31034, K-12 Teacher Quality: Issues and Legislative Action, by
James B. Stedman.
CRS Report RL31041, Provisions for Limited English Proficient Students in H.R. 1,
as Passed by the House and Senate, by Patricia Osorio-O'Dea.
CRS Report RL30663, The Reading Excellence Act: Implementation Status and
Issues, by Gail McCallion.
CRS Report RS20532, The Safe and Drug-Free Schools and Communities Act:
Reauthorization and Appropriations, by Edith Fairman Cooper.
CRS Issue Brief IB98035, School Choice: Current Legislation, by Wayne Riddle
and James Stedman.
CRS Report RS20171, School Facilities Infrastructure: Background and Legislative
Proposals, by Susan Boren.
CRS Report RL30306, 21st Century Community Learning Centers: An Overview of
the Program and Analysis of Reauthorization Issues, by Gail McCallion.
Selected World Wide Web Sites.
U.S. Department of Education Home Page
[http://www.ed.gov/]
[http://www.ed.gov/offices/OUS/budget.html]
[http://www.ed.gov/offices/OUS/Budget02/]
[http://www.ed.gov/offices/OUS/Budget02/Summary/]
[http://www.ed.gov/offices/OUS/budnews.html]
[http://www.ed.gov/Speeches/04-2001/010425.html]
[http://www.ed.gov/Speeches/05-2001/010510.html]
Detailed Appropriations Table
Table 10 shows the appropriations details for offices and major programs of
ED.
CRS-38
Table 10. Detailed Department of Education Appropriations
($ in millions)
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Office of Elementary and Secondary Education (OESE)
Goals 2000: Educate America
38 0 0 0 0
Act, Parental Assistance
Title I Education for the
8,763 9,061 10,500 10,200 10,350
Disadvantaged, Grants to LEAs
Reading Excellence and Reading
286 975 975 975 975
First Initiative
Education for the Disadvantaged,
954 997 1,096 751 1,022
other
Impact Aid 993 1,131 1,131 1,131 1,144
School Improvement (SI),
0 2,600 3,175 3,040 2,850
Teacher Quality
SI Eisenhower Professional
485 0 0 0 0
Development
SI Class Size Reduction 1,623 0 0 0 0
SI Innovative Education/Choice
385 472 385 410 385
and Innovation
SI Educational Technology 872 817 1,016 941 785
SI 21st Century Community
846 846 1,000 1,000 1,000
Learning Centers
SI School Repair and Renovation 1,200 0 0 925 0
SI Safe and Drug-Free Schools 644 644 644 644 644
SI Magnet Schools 110 110 110 110 110
SI Charter Schools 190 375 200 250 200
SI State Assessment Initiative 0 320 400 320 387
SI Fund for the Improvement of
339 0 0 305 833
Education (FIE)
School Improvement, other 365 183 744 807 633
Indian Education 116 116 123 117 120
English Language Acquisition
(Bilingual and Immigrant 460 460 700 616 665
Education)
Office of Special Education and Rehabilitative Services
IDEA Special Education, Part B,
6,340 7,340 7,715 7,340 7,529
Grants to States
IDEA, other programs 1,100 1,086 1,145 1,100 1,144
Vocational Rehabilitation State
2,400 2,481 2,481 2,481 2,481
Grants (mandatory)
Rehabilitation Services, other 405 449 461 451 465
Special Institutions for Persons
155 154 164 166 166
With Disabilities
Office of Vocational and Adult Education
Vocational Education 1,243 1,224 1,378 1,240 1,321
Adult Education 561 556 611 556 591
Incarcerated Youth Offenders 22 22 17 22 22
CRS-39
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Office of Student Financial Assistance Programs
Pell Grants, maximum awards (in
3,750 3,850 4,000 4,000 4,000
dollars, non-add)
Pell Grants 8,756 9,756 10,458 10,314 10,314
Supplemental Educational
691 691 725 713 725
Opportunity Grants
Federal Work-Study 1,011 1,011 1,011 1,011 1,011
Federal Perkins Loans, Capital
100 100 100 100 100
Contributions
Federal Perkins Loans, Loan
60 60 60 75 68
Cancellations
Leveraging Educational
55 55 55 70 67
Assistance Partnership (LEAP)
Loan Forgiveness for Child Care 1 1 1 1 1
Federal Family Education Loans,
48 50 50 50 50
Administration
Office of Postsecondary Education
Aid for Institutional Development 393 412 443 422 439
Federal TRIO Programs 730 780 800 805 803
GEAR UP 295 227 285 285 285
Other Higher Education 494 304 380 314 504
Howard University 232 232 242 232 237
College Housing and Academic
1 1 1 1 1
Facilities Loans, Administration
Office of Educational Research and Improvement
Research and Statistics 306 382 414 375 386
Other Research and Improvement 45 0 8 15 58
Departmental Management 524 543 546 543 543
TOTALS, DEPARTMENT OF EDUCATION
Total Appropriations b 44,638 47,023 51,750 51,224 51,414
Current year: FY2002 30,056 47,023 37,151 36,642 36,402
Advance year: FY2003 14,581 0 14,599 14,582 15,011
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38. In particular,
P.L. 107-20 provided an additional $161 million for Title I Part A Grants to LEAs; the table reflects
this amount.
b
Appropriations totals include discretionary and mandatory funds, and may be subject to additional
scorekeeping and other adjustments.
CRS-40
Related Agencies
The FY2002 budget proposal for discretionary appropriations for L-HHS-ED
Related Agencies is $8.8 billion, $0.1 billion (1.1%) more than the FY2001
appropriations of $8.7 billion, as shown in Table 11. The House bill would provide
$9.2 billion, as would the Senate bill. The FY2002 conference amount is $9.2
billion, $0.5 billion (5.7%) more than in FY2001.
Table 11. Related Agencies Discretionary Appropriations
($ in billions) a
FY2001 FY2002 FY2002 FY2002 FY2002
Funding enacted b request House Senate conference
Budget authority $8.7 $8.8 $9.2 $9.2 $9.2
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
These amounts represent only discretionary programs funded by the L-HHS-ED appropriations bill;
appropriations for mandatory programs are excluded.
b
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, and P.L. 107-38.
Mandatory programs for related agencies included in the FY2001 L-HHS-ED
bill were funded at $31.7 billion, including $31.2 billion for the Supplemental
Security Income (SSI) program and $0.5 billion for the Special Benefits for Disabled
Coal Miners program.
Key Issues
President's Request. The President's FY2002 budget for related agencies
would change discretionary spending by at least $100 million for the following
programs.
! The 2-year advance funding for the Corporation for Public
Broadcasting (CPB) would be eliminated, consistent with the
Administration's policy to end all advance appropriations; $365
million was enacted in the FY2001 L-HHS-ED appropriations for
obligation by the CPB in FY2003. Previously, the CPB has been
funded at $340 million for FY2001 and $350 million for FY2002.
! An increase of $0.3 billion is requested for discretionary activities
related to the SSI program, primarily administrative activities; the
FY2001 funding level was $2.7 billion.
! An additional $0.2 billion is proposed for the SSA Limitation on
Administrative Expenses, which was funded at $4.5 billion in
FY2001.
A smaller increase is proposed for the Corporation for National and Community
Service (CNS) programs ($13 million). Reductions are requested for several
programs, including Institute of Museum and Library Services ($39 million) and the
CRS-41
Railroad Retirement Board ($10 million). The budget request would terminate
funding for the National Commission on Libraries and Information Science, which
was funded at $1 million in FY2001.
House Bill. As passed, the House bill treats CPB funding differently than
requested in the President's FY2002 budget.
! The House bill would provide a 2-year advance appropriations of
$365 million for the CPB for FY2004, the same amount as was
enacted previously for FY2003. Zero funding was requested for
FY2004, consistent with the Administration's policy to eliminate all
advance appropriations.
Senate Bill. As passed, the Senate bill is nearly the same as the House bill for
most of the related agencies, with one exception.
! The Senate bill would provide $395 million for the CPB for
FY2004, $30 million more than the House proposal.
Public Law. Under the conference agreement, the largest changes in funding
from FY2001 to FY2002 for related agency programs are as follows.
! The FY2002 L-HHS-ED Act provides the CPB $380 million for
FY2004, $15 million more than the FY2003 amount; no funds were
requested.
! SSI discretionary activities receive $2.9 billion, the same as the
requested amount and $0.3 billion more than the FY2001
appropriations.
! The SSA Limitation on Administrative Expenses is funded at $4.6
billion, the same as the request and $0.2 billion more than in
FY2001.
For Additional Reading
CRS Products.
CRS Report RL30186, Community Service: A Description of AmeriCorps, Foster
Grandparents, and Other Federally Funded Programs, by Ann Lordeman and
Alice D. Butler.
CRS Report RS20548, Public Broadcasting: Frequently Asked Questions, by
Bernevia McCalip.
CRS Report RS20408, Railroad Retirement and Unemployment Benefits: A Fact
Sheet, by Rachel W. Kelly.
CRS Report 98-422, Social Security and the Federal Budget: What Does Social
Security's Being "Off Budget" Mean?, by David Stuart Koitz.
CRS Report RS20165, Social Security and Medicare "Lock Box", by David Stuart
Koitz, et al.
CRS Issue Brief IB98048, Social Security Reform, by David S. Koitz and Geoffrey
Kollmann.
CRS-42
CRS Report 94-486, Supplemental Security Income (SSI): A Fact Sheet, by Rachel
Kelly.
CRS Report RS20019, Supplemental Security Income (SSI): Fraud Reduction and
Overpayment Recovery, by Carmen Solomon-Fears.
CRS Report RS20419, VISTA and the Senior Volunteer Service Corps: Description
and Funding Levels, by Ann Lordeman.
Selected World Wide Web Sites.
Note: Not all of the L-HHS-ED related agencies have web sites, and not all web
sites include FY2002 budget information.
Armed Forces Retirement Home
[http://www.afrh.com]
Corporation for National and Community Service
[http://www.cns.gov]
[http://www.cns.gov/news/pr/040901.html]
Corporation for Public Broadcasting
[http://www.cpb.org]
Federal Mediation and Conciliation Service
[http://www.fmcs.gov]
Institute of Museum and Library Services
[http://www.imls.gov]
[http://www.imls.gov/whatsnew/leg/leg_bdrq02.htm]
Medicare Payment Advisory Commission
[http://www.medpac.gov/]
National Commission on Libraries and Information Science
[http://www.nclis.gov/]
National Council on Disability
[http://www.ncd.gov/]
National Education Goals Panel
[http://www.negp.gov/]
National Labor Relations Board
[http://www.nlrb.gov]
Railroad Retirement Board
[http://www.rrb.gov]
CRS-43
Social Security Administration
[http://www.ssa.gov]
[http://www.ssa.gov/budget/2002bud.html]
United States Institute of Peace
[http://www.usip.org]
Detailed Appropriations Table
Table 12 shows the appropriations details for offices and major programs of the
L-HHS-ED related agencies.
CRS-44
Table 12. Detailed Related Agencies Appropriations
($ in millions)
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Armed Services Retirement Home 70 71 71 71 71
b
Corporation for National and Community Service (CNS)
CNS Volunteers in Service to
83 82 83 86 85
America (VISTA)
CNS Volunteers in Homeland
0 0 0 0 5
Security
CNS National Senior Volunteer
189 203 209 203 206
Corps
CNS Program Administration 32 32 32 32 32
CNS subtotal 304 317 324 321 328
Corporation for Public
Broadcasting (CPB), 2-Year 365 0 365 395 380
Advance
CPB current year (non-add) 340 350 350 350 350
CPB Digitalization Program 20 20 25 25 25
Federal Mediation and
38 39 39 40 40
Conciliation Service
Federal Mine Safety and Health
6 7 7 7 7
Review Committee
Institute of Museum and Library
Services (IMLS), Library 207 168 168 168 198
Services and Technology Act c
Medicare Payment Advisory
8 8 8 9 8
Commission
National Commission on
1 0 1 1 1
Libraries and Information Science
National Council on Disability 3 3 3 3 3
National Education Goals Panel 2 2 0 2 < 0.5
National Labor Relations Board 216 221 221 226 226
National Mediation Board 10 11 11 11 11
Occupational Safety and Health
9 9 9 9 9
Review Commission
Railroad Retirement Board 251 241 241 241 241
CRS-45
FY2001 FY2002 FY2002 FY2002 FY2002
Office or major program enacted a request House Senate conference
Social Security Administration (SSA)
SSA Payments to Social Security
20 434 434 434 434
Trust Fund (mandatory)
SSA Special Benefits for
Disabled Coal Miners 480 441 441 441 441
(mandatory)
SSA Supplemental Security
31,165 29,434 29,434 29,441 29,441
Income (SSI) (mandatory)
SSA SSI, other (discretionary) 2,650 2,927 2,927 2,927 2,927
SSA Limitation on Administrative
4,474 4,641 4,641 4,641 4,641
Expenses
SSA Office of Inspector General 69 75 75 75 75
SSA subtotal 38,858 37,952 37,952 37,959 37,959
United States Institute for Peace 15 15 15 15 15
TOTALS, RELATED AGENCIES
Total appropriations d 40,383 39,085 39,461 39,504 39,523
Current year: FY2002 29,434 28,187 28,198 28,211 28,245
Advance year: FY2003 10,584 10,898 10,898 10,898 10,898
Advance year: FY2004 365 0 365 395 380
Source: Amounts are based on the December 19, 2001 staff table of the House Appropriations
Committee; FY2002 appropriations are subject to further legislation during FY2002.
a
The FY2001 amounts are based on P.L. 106-554, P.L. 107-20, P.L. 107-38.
b
Funds are provided only for CNS Domestic Volunteer Service Act programs -- the Corporation also
receives funds from the Veterans Affairs and Housing and Urban Development (VA-HUD)
Appropriations Act for AmeriCorps Grants and other programs under the National Community Service
Act ($434 million in FY2001).
c
Funds are provided only for IMLS programs authorized by the Library Services and Technology Act
-- the Institute also receives funds from the Interior Appropriations for Museum Services programs
($25 million in FY2001).
d
Appropriations totals include discretionary and mandatory funds, and may be subject to additional
scorekeeping and other adjustments.
CRS-46
Related Legislation
Several proposals related to L-HHS-ED appropriations have been considered by
the 107th Congress, including the FY2002 continuing resolutions, FY2001
supplemental appropriations, and emergency supplemental appropriations for
FY2001 and FY2002 in response to the terrorist attacks on the United States on
September 11, 2001. In addition, the House and Senate agreed to the FY2002 budget
resolution.
FY2002 Continuing Resolutions: P.L. 107-44, as Amended
A series of eight continuing resolutions have extended appropriations for
FY2002 on a temporary basis for most ongoing L-HHS-ED projects and activities,
including the costs of direct loans and loan guarantees. These resolutions are
necessary because the regular L-HHS-ED appropriations were not enacted by the start
of FY2002 on October 1, 2001 (for background, see CRS Report RL30343,
Continuing Appropriations Acts: Brief Overview of Recent Practices). Funding
under the continuing resolution is provided at a rate of operations not exceeding the
"current rate," under FY2001 conditions and program authority.1 New initiatives are
prohibited. For programs with high spend-out rates that normally would occur early
in the fiscal year, special restrictions are made to prevent spending that would
impinge on final funding decisions.
! 1st FY2002 Continuing Resolution, P.L. 107-44 (H.J.Res. 65),
provided temporary appropriations for the period October 1 through
October 16, 2001, as long as the regular appropriations were not
enacted sooner. The resolution was passed by the House on
September 24, 2001 (roll call no. 350, 390-0), and by the Senate on
September 25 (by unanimous consent). It was signed into law by the
President on September 28, 2001, as P.L. 107-44.
! 2nd Continuing Resolution, P.L. 107-48 (H.J.Res. 68), extended the
provisions of P.L. 107-44 through October 23, 2001.
! 3rd Continuing Resolution, P.L. 107-53 (H.J.Res. 69), extended the
provisions of P.L. 107-44 through October 31, 2001.
! 4th Continuing Resolution, P.L. 107-58 (H.J.Res. 70), extended the
provisions of P.L. 107-44 through November 16, 2001.
! 5th Continuing Resolution, P.L. 107-70 (H.J.Res. 74), extended the
provisions of P.L. 107-44 through December 7, 2001.
! 6th Continuing Resolution, P.L. 107-79 (H.J.Res. 76), extended the
provisions of P.L. 107-44 through December 15, 2001.
! 7th Continuing Resolution, P.L. 107-83 (H.J.Res. 78), extended the
provisions of P.L. 107-44 through December 21, 2001.
1
The term "current rate" as used in a continuing resolution refers to the amount of money
available for an activity during the previous fiscal year. This amount usually means the
appropriations for the previous year with adjustments for any supplemental appropriations,
rescissions, unobligated balances, and sometimes for advance appropriations provisions as
well. As a result, the current rate would not necessarily correspond to the FY2001 amounts
stated in this report.
CRS-47
! 8th Continuing Resolution, P.L. 107-97 (H.J.Res. 79), extended the
provisions of P.L. 107-44 through January 10, 2002.
FY2002 Anti-Terrorism Supplemental,
P.L. 107-117 (H.R. 3338)
Division B, the Emergency Supplemental Act, 2002, of P.L. 107-117 -- the
Department of Defense and Emergency Supplemental Appropriations for Recovery
from and Response to Terrorist Attacks on the United States Act, 2002 -- transfers
and allocates the $20 billion previously appropriated by P.L. 107-38 (discussed
below). Of the $20 billion total, $2.9 billion is allocated for L-HHS-ED activities in
FY2002, discussed in the Terrorism section, above (p. 5).
The House amended and passed H.R. 3338 on November 28, 2001 (roll call no.
458, 406-20). The Senate amended and passed H.R. 3338 on December 7, 2001 (by
voice vote). The conference report, H.Rept. 107-350, was passed by the House (roll
call no. 510, 408-6) and by the Senate (roll call no. 380, 94-2) on December 20,
2001. For general terrorism funding information, see CRS Report RL31173,
Terrorism Funding: Emergency Supplemental Appropriations -- Distribution of
Funds to Departments and Agencies.
FY2001 Anti-Terrorism Supplemental, P.L. 107-38 (H.R. 2888)
P.L. 107-38, the 2001 Emergency Supplemental Appropriations Act for
Recovery from and Response to Terrorist Attacks on the United States, provides $40
billion of emergency funds to respond to the attack, assist its victims, and deal with
"other consequences" of the attack. Not less than 50% of these funds must be spent
on disaster recovery activities and assistance for New York, Virginia, and
Pennsylvania. Of the total $40 billion, $20 billion cannot be obligated until enacted
in a subsequent emergency appropriations bill -- see P.L. 107-117, above -- and the
President must submit an amended budget request that proposes an allocation of
these funds. The Director of OMB must submit quarterly reports to the Committees
on Appropriations describing the use of supplemental funds beginning no later than
January 2, 2002. Of the $20 billion that does not require additional legislation, $145
million has been allocated for L-HHS-ED programs.
On September 14, 2001, (1) the House considered and passed H.R. 2888 (roll
call no. 341, 422-0); (2) the Senate considered and passed the bill without
amendment (by unanimous consent); and (3) the bill was sent to the White House.
The bill was signed into law by the President on September 18, 2001, as P.L. 107-38.
FY2001 Supplemental Appropriations, P.L. 107-20 (H.R. 2216)
P.L. 107-20, the Supplemental Appropriations Act, 2001, provides $6.5 billion
in new budget authority primarily for the U.S. Department of Defense (see CRS
Report RL30995, Supplemental Appropriations for FY2001: Defense Readiness and
Other Programs). L-HHS-ED provisions include:
CRS-48
! a net decrease of $217.5 million for WIA training programs at DOL;
! $300 million additional for the LIHEAP Emergency Allocation;
! $161 million additional for Title I Part A Grants to LEAs for the
Education of the Disadvantaged; and
! relatively smaller increases for a few other L-HHS-ED programs, as
well as amendments and technical corrections to other statutes.
The House amended and passed H.R. 2216 (H.Rept. 107-102) on June 20, 2001
(roll call no.176, 341-87). The Senate amended the House bill by inserting the text
of S. 1077 (S.Rept. 107-33), as amended, on July 10, 2001 (roll call no. 228, 92-1).
The conference report on H.R. 2216, H.Rept. 107-148, was passed by the House (roll
call no. 256, 375-30) and by the Senate (by unanimous consent) on July 20, 2001.
The bill was signed into law by the President on July 24, 2001, as P.L. 107-20.
FY2002 Budget Resolution, H.Con.Res. 83
The FY2002 concurrent resolution on the budget sets forth for the Congress the
annual federal budget targets through FY2011 (CRS Issue Brief IB10079, The Budget
for Fiscal Year 2002). The resolution establishes the aggregate discretionary
spending limit for the 13 regular appropriations bills, known as the 301(a) allocation.
The resolution sets a target of $661.3 billion in FY2002 discretionary budget
authority, compared to $642.0 billion for FY2001. In addition, it specifies the budget
reconciliation process for the modification of mandatory spending limits and tax cut
legislation. The resolution sets spending targets for functional categories of the
budget. It establishes "reserve fund" mechanisms for activities such as Medicare and
student loans, and contains "sense of the Congress" declarations concerning
programs such as Graduate Medical Education at Children's Teaching Hospitals.
Report language indicates the funding assumptions made for selected programs that
might be used to reach the spending targets. Actual FY2002 discretionary
appropriations for specific departments, agencies, and programs, however, are to be
determined only through the enactment of individual appropriations bills.
H.Con.Res. 83 (H.Rept. 107-26) was passed by the House March 28, 2001 (roll call
no. 70, 222-205). The resolution was amended and passed by the Senate April 6 (roll
call no. 86, 65-35). The conference report, H.Rept. 107-60, was agreed to by the
House (roll call no. 104, 221-207) on May 9, and by the Senate (roll call no. 98, 53-
47) on May 10, 2001.
Appropriations Action in the 106th Congress, Second Session
Most FY2001 appropriations for L-HHS-ED activities were provided through
P.L. 106-554, the Consolidated Appropriations Act, 2001, which was signed into
law by the President on December 21, 2000 (H.R. 4577, conference report H.Rept.
106-1033; for details, see CRS Report RS20756, FY2001 Consolidated
Appropriations Act: Reference Guide and CRS Report RS20758, The 0.22 Percent
Across-the-Board Cut in FY2001 Appropriations). Section 1(a)(1) of P.L. 106-554
enacted into law by cross reference H.R. 5656, the FY2001 L-HHS-ED
Appropriations (CRS Report RL30503, FY2001 Appropriations: Labor, Health and
Human Services, and Education). Other legislation in the second session related to
L-HHS-ED appropriations included the following:
CRS-49
! P.L. 106-246 (H.R. 4425, H.Rept. 106-710), Division B, the
Emergency Supplemental Appropriations Act, 2000, provided
FY2000 supplemental appropriations and rescissions for L-HHS-ED
programs (CRS Report RL30457, Supplemental Appropriations for
FY2000: Plan Columbia, Kosovo, Foreign Debt Relief, Home
Energy Assistance, and Other Initiatives). Only the conference
version of H.R. 4425 included L-HHS-ED provisions and not the
versions initially passed by the House and the Senate. However,
similar L-HHS-ED funding would have been provided by H.R. 3908
(H.Rept. 106-521) as passed by the House, amended, March 30,
2000 (roll call no. 95, 263-146), and by S. 2536, the Department of
Agriculture Appropriations, 2001 (S.Rept. 106-288), as reported by
the Senate Appropriations Committee May 9. The H.R. 4425
conference report (H.Rept. 106-710) was passed by the House June
29 (roll call no. 362, 306-110), and by the Senate June 30 (voice
vote). H.R. 4425 was signed into law by the President on July 13,
2000, as P.L. 106-246.
! Twenty-one continuing resolutions (CRS Report RL30343,
Continuing Appropriations Acts: Brief Overview of Present
Practices) provided temporary funding for L-HHS-ED programs in
FY2001 prior to the enactment of P.L. 106-554 (P.L. 106-275, as
amended by P.L. 106-282, P.L. 106-306, P.L. 106-344, P.L. 106-
358, P.L. 106-359, P.L. 106-381, P.L. 106-388, P.L. 106-389, P.L.
106-401, P.L. 106-403, P.L. 106-416, P.L. 106-426, P.L. 106-427,
P.L. 106-428, P.L. 106-520, P.L. 106-537, P.L. 106-539, P.L. 106-
540, P.L. 106-542, P.L. 106-543).
! H.Con.Res. 290, the FY2001 budget resolution, set annual levels for
the federal budget through FY2005 (CRS Issue Brief IB10052, The
Budget for Fiscal Year 2001). H.Con.Res. 290 (H.Rept. 106-530)
was passed by the House March 24, 2000 (roll call no. 75, 211-207).
The text of S.Con.Res. 101 (S.Rept. 106-251) was incorporated into
H.Con.Res. 290 and passed by the Senate April 7, 2000 (roll call no.
79, 51-45). The conference report (H.Rept. 106-577) was agreed to
by the House (roll call no. 125, 220-208) and by the Senate (roll call
no. 85, 50-48) on April 13, 2000.
CRS-50
Appendix A: Terminology
Note: Definitions are based on CRS Report 98-720, Manual on the Federal Budget
Process.
Advance appropriation is budget authority that will become available in a fiscal
year beyond the fiscal year for which the appropriations act is enacted; scorekeeping
counts the entire amount in the fiscal year it first becomes available for obligation.
Appropriation is budget authority that permits federal agencies to incur obligations
and to make payments out of the Treasury for specified purposes. Appropriations
represent the amounts that agencies may obligate during the period of time specified
in the law. Annual appropriations are provided in appropriations acts; most
permanent appropriations are provided in substantive law. Major types of
appropriations are regular, supplemental, and continuing.
Budget authority is legal authority to incur financial obligations that normally result
in the outlay of federal government funds. Major types of budget authority are
appropriations, borrowing authority, and contract authority. Budget authority also
includes the subsidy cost of direct and guaranteed loans, but excludes the portion of
loans that is not subsidized.
Budget resolution is a concurrent resolution passed by both Houses of Congress, but
not requiring the signature of the President, setting forth the congressional budget for
at least 5 fiscal years. It includes various budget totals and functional allocations.
Discretionary spending is budget authority provided in annual appropriations acts,
other than appropriated entitlements.
Entitlement authority is the authority to make payments to persons, businesses, or
governments that meet the eligibility criteria established by law; as such, it represents
a legally binding obligation on the part of the federal government. Entitlement
authority may be funded by either annual or permanent appropriations acts.
Forward funding is budget authority that becomes available after the beginning of
one fiscal year and remains available into the next fiscal year; the entire amount is
counted or scored in the fiscal year it first becomes available.
Mandatory (direct) spending includes: (a) budget authority provided in laws other
than appropriations; (b) entitlement authority; and (c) the Food Stamp program.
Rescission is the cancellation of budget authority previously enacted.
Scorekeeping is a set of procedures for tracking and reporting on the status of
congressional budgetary actions.
Supplemental appropriation is budget authority provided in an appropriations act
in addition to regular appropriations already provided.
CRS-51
Appendix B: Scope of the L-HHS-ED Bill
The FY2001 budget authority for all federal programs is estimated to be
$1,893.5 billion, as shown in Table B.1. Of this amount, $984.8 billion (52.0%) is
the total for the departments and related agencies funded through the L-HHS-ED bill.
Table B.1. Scope of the L-HHS-ED Bill, FY2001
(Estimated budget authority in billions of dollars)
Estimated
budget Percent of
Budget category authority federal budget
Total federal budget authority $1,893.5 100.0%
U.S. Department of Labor 39.2 2.1%
U.S. Department of Health and Human Services 436.4 23.0%
U.S. Department of Education 40.3 2.1%
Social Security Administration (On-budget) 43.8 2.3%
Social Security Administration (Off-budget) 423.6 22.4%
Other related agencies 1.5 0.1%
L-HHS-ED agency total 984.8 52.0%
L-HHS-ED bill, total current year funds 351.2 18.5%
L-HHS-ED bill, current year mandatory funds 242.3 12.8%
L-HHS-ED bill, current year discretionary funds 108.9 5.8%
Total federal discretionary funds 634.9 33.5%
Source: Budget of the United States Government Historical Tables, Fiscal Year 2002, Table 5.2;
Budget of the United States Government, Fiscal Year 2002, Table S-7; and the conference report
H.Rept. 106-1033, which provides details for the FY2001 L-HHS-ED amounts under P.L. 106-554.
Note: For comparability, this table uses data based on the April 2001 OMB budget documents and
the FY2001 L-HHS-ED conference report of December 15, 2000; the data therefore do not include
changes made during FY2001 in scorekeeping, entitlements, or supplemental appropriations.
The estimated FY2001 appropriations for L-HHS-ED was $351.2 billion in
current year funds -- $108.9 billion in discretionary funds and $242.3 billion in
mandatory funds. The L-HHS-ED Appropriations Subcommittees generally have
effective control only over the discretionary funds, which constitute 5.8% of the
aggregate budget authority for all federal departments and agencies, and 11.1% of the
total budget authority for L-HHS-ED departments and agencies.2 What accounts for
the remaining 88.9% ($875.9 billion) of L-HHS-ED funds?
2
The annual congressional budget resolution sets aggregate budget goals; House and Senate
committees initiate and report legislation to achieve these targets. Typically, appropriations
committees develop proposals to meet discretionary targets through appropriations bills.
Likewise, authorizing committees develop proposals to meet mandatory targets; these
proposals are often reported by separate authorizing committees and combined into a single,
omnibus reconciliation bill.
CRS-52
First, some DOL, DHHS, and ED programs receive automatic funding without
congressional intervention in the annual appropriations process; these programs
receive funds from permanent appropriations and trust funds instead. These
programs account for most of the difference between the L-HHS-ED bill total of
$351.2 billion and the agency total of $984.8 billion in FY2001. The major programs
in this group include Unemployment Compensation, Medicare, Railroad Retirement,
Temporary Assistance for Needy Families (TANF, the welfare assistance program),
Student Loans, State Children's Health Insurance, and Social Security benefits.3
Second, mandatory programs account for the difference between the
L-HHS-ED total of $351.2 billion and the subtotal of $108.9 billion for discretionary
funds in FY2001. Although annual appropriations are made for these programs --
these are sometimes called "appropriated entitlements" -- in general the amounts
provided must be sufficient to cover program obligations and entitlements to
beneficiaries. For these programs, as well as the programs funded through trust funds
and permanent authorities, most changes in funding levels are made through
amendments to authorizing legislation rather than through annual appropriations
bills. Federal administrative costs for these programs typically are subject to annual
discretionary appropriations, however. For L-HHS-ED agencies, these programs
include Supplemental Security Income, Black Lung Disability payments, Foster Care
and Adoption, the Social Services Block Grant, and Vocational Rehabilitation, as
well as general (non-earmarked) fund support for Medicare and Medicaid.
Third, two DHHS programs are funded in other appropriations bills.
! The Food and Drug Administration is funded by the Agriculture
appropriations bill ($1.1 billion in FY2001).
! The Indian Health Service is funded by the Interior appropriations
bill ($3.2 billion in FY2001).
Note: Three L-HHS-ED activities receive funds from both the L-HHS-ED bill
and another appropriations bill in FY2001.
! The Corporation for National and Community Service (CNS)
was funded at $304 million from L-HHS-ED appropriations for
programs authorized under the Domestic Volunteer Service Act of
1973; it received an additional $434 million from the Veterans
Affairs and Housing and Urban Development (VA-HUD)
Appropriations Act for AmeriCorps and other programs authorized
by the National Community Service Act.
3
The Social Security Administration (SSA) was separated from DHHS and established as
an independent federal agency on March 31, 1995. Within the L-HHS-ED bill, however,
the SSA merely was transferred from DHHS to "related agency" status. The operation of
the Social Security trust funds is considered off-budget. Of the estimated $984.8 billion
total for L-HHS-ED departments and agencies in FY2001, the SSA accounted for $467.4
billion, or 47.5% of the total. As shown in Table B.1, the SSA amount represents $43.8
billion for designated on-budget activities and $423.6 billion for off-budget activities.
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! The Institute of Museum and Library Services (IMLS) was
funded at $207 million under L-HHS-ED appropriations for the for
the Library Services and Technology Act programs of the Office of
Library Services; it received an additional $25 million under the
Interior Appropriations for the Office of Museum Services.
! The National Institutes of Health (NIH) was funded at $20.3
billion under L-HHS-ED appropriations; it received an additional
$63 million under VA-HUD Appropriations Act for certain
environmental health sciences activities.
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