United States Department of State THE BUDGET IN BRIEF E PL M UR U IB U N S U Fiscal Year 2002 THE BUDGET IN BRIEF — FISCAL YEAR 2002 TABLE OF CONTENTS BUDGET SUMMARY...........................................................................................1 FY 2002 Request — Department of State.............................................................5 Part One: Administration of Foreign Affairs Overview Table ...................................................................................................9 State Programs Diplomatic & Consular Programs .................................................................11 Worldwide Security Upgrades......................................................................38 Capital Investment Fund...............................................................................43 Border Security Program..............................................................................49 Embassy Security, Construction and Maintenance...............................................57 Other Administration of Foreign Affairs Office of Inspector General..........................................................................67 Educational & Cultural Exchanges ................................................................69 Representation Allowances...........................................................................73 Buying Power Maintenance Fund .................................................................75 Protection of Foreign Missions and Officials..................................................77 Emergencies in the Diplomatic and Consular Service.....................................79 Repatriation Loans Program Account ...........................................................83 Payment to the American Institute in Taiwan.................................................85 Payment to Foreign Service Retirement & Disability Fund .............................89 Part Two: International Organizations and Conferences Overview Table .................................................................................................91 Contributions to International Organizations ........................................................93 Contributions for International Peacekeeping Activities........................................97 CIO/CIPA Arrearage Payments.......................................................................101 i THE BUDGET IN BRIEF — FISCAL YEAR 2002 Part Three: International Commissions Overview Table ...............................................................................................103 International Boundary and Water Commission – S&E .....................................105 International Boundary and Water Commission – Construction..........................107 International Fisheries Commissions..................................................................113 International Boundary Commission..................................................................115 International Joint Commission..........................................................................117 Border Environment Cooperation Commission .................................................121 Part Four: Related Appropriations Overview Table ...............................................................................................123 The Asia Foundation........................................................................................125 National Endowment for Democracy................................................................127 East-West Center ............................................................................................129 North-South Center.........................................................................................131 Eisenhower Exchange Fellowship Program.......................................................133 Israeli Arab Scholarship Program.....................................................................135 Part Five: Foreign Assistance Appropriations Overview Table ...............................................................................................137 Migration and Refugee Assistance ....................................................................139 Emergency Refugee and Migration Assistance...................................................145 Appendix: Schedule of Fee Collections .............................................................................147 Explanation of Language Changes.....................................................................149 April 9, 2001 This document is available on-line at www.state.gov ii BUDGET SUMMARY “Our goal is to turn this time of American influence into generations of democratic peace.” President George W. Bush At the U.S. State Department February 15, 2001 Overview For almost half a century, America waged the Cold War. It was an ideological struggle of the first order which, finally, freedom won. But a result of that long twilight struggle was an imbalance of resources. Too few dollars fueled the engines of the Department of State. This imbalance was accepted because our survival was at stake. All one needs to do to understand how stunningly valid that proposition was is to study the crisis that occurred in October, 1962 – the series of events now referred to as “The Cuban Missile Crisis.” Looking back almost 40 years, we find it difficult to remember – but we were frightened, frightened almost unto death. And well we should have been, for it would have taken only thirty minutes to obliterate our way of life – and with missiles in Cuba, that fragile bit of time was cut to nine minutes. So we can understand, indeed we can applaud, the tremendous diversion of dollars that was necessary to safeguard our way of life and to win that twilight struggle. But our very victory changed the world almost overnight. Not only that, our victory coincided with the full force of two world revolutions, in information and in technology. This confluence of forces – freedom, democracy, and open markets, alongside the globalizing effects of the information and technology revolutions – produced a new age and a new need. The need is for a greater emphasis on fueling the engines of state – the diplomatic, economic, and cultural instruments that America must use to map the course ahead, to pursue that path in a still- dangerous world, and eventually to gather all the peoples of the world to freedom’s flag and to the bounty and prosperity of open markets from the Yukon to Cape Horn, from Vladivostok to Vancouver. New Needs for a New Age With the President’s Budget for FY 2002, we begin to fulfill this need. It will be accomplished in stages for in a democracy there is no other way. And we would have it no other way because our country has many other needs – education, health care, social security, and defense to mention only four of the very highest priority. The first stage, which we begin with this Budget, involves bringing our platform for foreign policy into the 21st Century. To do that, we need to refurbish – and in some cases establish – our presence in every place in the world where America needs to be. And we need to do it not extravagantly but professionally, competently, and securely. Our embassies must hum with quiet efficiency, illuminating both the pride we have in our country and the humility we feel expressly because of that pride – and 1 BUDGET SUMMARY our embassies must afford sufficient security to our people so that the conduct of our foreign policy is foremost in their minds instead of the safety of their families or their colleagues. To this end, the President’s Budget provides sufficient funds to keep improving our infrastructure across the world. It also provides funds for new hiring – including the security personnel that we need to fill out and make effective the all-important human dimension of our security apparatus. We also need to finish aligning the State Department with the information and technology revolutions. Our people need state-of-the-art information systems, from computers to e-mail. They need full time access to the Internet. They need classified Local Area Networks. This budget begins to address these crucial needs. We must also revamp and revitalize our hiring and training programs for the Foreign and Civil Service. We need the very best and brightest young men and women that America has to offer. We need to demonstrate to these dynamic young people that public service can be as rewarding as making high salaries in the corporate world – even more rewarding. And we need to raise the morale of our employees already out in the world doing their jobs well and professionally – and ending the shortages in their ranks will go a long way toward that goal. This budget provides the dollars to start this critical reinvigoration of the Department’s Foreign and Civil Service staff. The Course Ahead There will be further stages in this process. Balancing the national scales is not an effort that can be accomplished in a year or two. It will take longer. But it must be done. The imbalances left over from the Cold War must be corrected. When President Bush visited the State Department in February, he said he would be the Department’s constituency. We could not ask for a firmer pledge, or a better client -- because the American people will be right behind their president. One other point: We will use the dollars we are given like the wise stewards the American people want us to be. And we will continue to be prudent managers in our effort to burnish