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                                                       Calendar No. 277
108th Congress                                                   Report
                                 SENATE
 1st Session                                                    108-146

======================================================================



 
 TRANSPORTATION, TREASURY AND GENERAL GOVERNMENT APPROPRIATIONS BILL, 
                                  2004
                                _______
                                

               September 8, 2003.--Ordered to be printed

                                _______
                                

           Mr. Shelby, from the Committee on Appropriations, 
                        submitted the following

                              R E P O R T

                    [To accompany S. 1589]

    The Committee on Appropriations, to which was referred the 
bill (H.R. 0000) making appropriations for the Department of 
Transportation and related agencies for the fiscal year ending 
September 30, 2001, and for other purposes, reports the same to 
the Senate with an amendment and recommends that the bill as 
amended do pass. deg.
    The Committee on Appropriations reports the bill (S. 1589) 
making appropriations for the Departments of Transportation and 
the Treasury; the Executive Office of the President; and 
certain independent agencies for the fiscal year ending 
September 30, 2004, and for other purposes, reports favorably 
thereon and recommends that the bill do pass.



Amounts of new budget (obligational) authority for fiscal year 2004

Amount of bill as reported to Senate.................... $45,276,508,000
Amount of budget estimates, 2004........................  45,507,343,000
Fiscal year 2003 enacted................................  44,782,592,000


                            C O N T E N T S

                              ----------                              
                                                                   Page

Total Obligational Authority Provided--General Funds and Trust 
  Funds..........................................................     4
Program, Project, and Activity...................................     4
TEA21 Authorizations Expiration..................................     4
Agency Fees for FECA Administration..............................     5
Title I--Department of Transportation:
    Office of the Secretary......................................     6
    Federal Aviation Administration..............................    20
    Federal Highway Administration...............................    47
    Federal Motor Carrier Safety Administration..................    65
    National Highway Traffic Safety Administration...............    71
    Federal Railroad Administration..............................    83
    Federal Transit Administration...............................    89
    St. Lawrence Seaway Development Corporation..................   107
    Maritime Administration......................................   108
    Research and Special Programs Administration.................   110
    Office of Inspector General..................................   115
    Surface Transportation Board.................................   116
Title II--Department of the Treasury:
    Departmental Offices.........................................   117
    Financial Crime Enforcement Network..........................   122
    Financial Management Service.................................   122
    Alcohol and Tobacco Tax and Trade Bureau.....................   123
    United States Mint...........................................   124
    Bureau of Engraving and Printing.............................   124
    Bureau of the Public Debt....................................   124
    Internal Revenue Service.....................................   125
Title III--Executive Office of the President and Funds 
  Appropriated to the President:
    Compensation of the President and the White House Office.....   132
    Executive Residence at the White House.......................   133
    Special Assistance to the President..........................   133
    Offical Residence of the Vice President......................   134
    Council of Economic Advisers.................................   134
    Office of Policy Development.................................   134
    National Security Council....................................   135
    Homeland Security Council....................................   135
    Office of Administration.....................................   135
    Office of Management and Budget..............................   136
    Office of National Drug Control Policy.......................   137
    Funds Appropriated to the President..........................   139
    Unanticipated Needs..........................................   145
Title IV--Independent Agencies:
    Architectural and Transportation Barriers Compliance Board...   146
    Committee for Purchase From People Who Are Blind or Severely 
      Disabled...................................................   146
    Election Assistance Commission...............................   147
    Federal Election Commission..................................   147
    Federal Labor Relations Authority............................   148
    Federal Maritime Commission..................................   148
    General Services Administration..............................   149
    Merit Systems Protection Board...............................   157
    Morris K. Udall Scholarship and Excellence in National 
      Environmental Policy Foundation............................   158
    National Archives and Records Administration.................   159
    National Historical Publications and Records Commission......   160
    National Transportation Safety Board.........................   160
    Office of Government Ethics..................................   161
    Office of Personnel Management...............................   162
    Office of Special Counsel....................................   165
    United States Postal Service.................................   165
    United States Tax Court......................................   167
    White House Commission on the National Moment of Remembrance.   167
Statement Concerning General Provisions..........................   167
Title V--General Provisions This Act.............................   169
Title VI--General Provisions, Departments, Agencies, and 
  Corporations...................................................   172
Compliance With Paragraph 7, Rule XVI, of the Standing Rules of 
  the Sen- 
  ate............................................................   175
Compliance With Paragraph 7(c), Rule XXVI of the Standing Rules 
  of the Senate..................................................   176
Compliance With Paragraph 12, Rule XXVI of the Standing Rules of 
  the Senate.....................................................   177
Budgetary Impact Statement.......................................   178
Comparative Statement............................................   179

  TOTAL OBLIGATIONAL AUTHORITY PROVIDED--GENERAL FUNDS AND TRUST FUNDS

    The accompanying bill contains recommendations for new 
budget (obligational) authority for the Department of 
Transportation, Treasury Department, the United States Postal 
Service, the Executive Office of the President, and certain 
independent agencies for the fiscal year ending September 30, 
2004.
    The Committee considered budget estimates for new budget 
authority for fiscal year 2004 in the aggregate amount of 
$45,507,343,000. Compared to that amount, the accompanying bill 
recommends new budget authority totaling $45,219,498,000. In 
addition to new budget authority for fiscal year 2004, large 
amounts of contract authority are provided by law, the 
obligation limits for which are contained in the annual 
appropriations bill. The principal items in this category are 
the trust funded programs for Federal-aid highways, for mass 
transit, and for airport development grants. For fiscal year 
2004, estimated obligation limitations and exempt obligations 
total $44,751,309,000.

                     PROGRAM, PROJECT, AND ACTIVITY

    During fiscal year 2004, for the purposes of the Balanced 
Budget and Emergency Deficit Control Act of 1985 (Public Law 
99-177), as amended, with respect to appropriations contained 
in the accompanying bill, the terms ``program, project, and 
activity'' shall mean any item for which a dollar amount is 
contained in appropriations acts (including joint resolutions 
providing continuing appropriations) or accompanying reports of 
the House and Senate Committees on Appropriations, or 
accompanying conference reports and joint explanatory 
statements of the committee of conference. This definition 
shall apply to all programs for which new budget (obligational) 
authority is provided, as well as to discretionary grants and 
discretionary grant allocations made through either bill or 
report language. In addition, the percentage reductions made 
pursuant to a sequestration order to funds appropriated for 
facilities and equipment, Federal Aviation Administration, 
shall be applied equally to each budget item that is listed 
under said accounts in the budget justifications submitted to 
the House and Senate Committees on Appropriations as modified 
by subsequent appropriations acts and accompanying committee 
reports, conference reports, or joint explanatory statements of 
the committee of conference.

                    TEA21 AUTHORIZATIONS EXPIRATION

    The Transportation Equity Act for the 21st Century [TEA21] 
provides authorizations for most Federal highway, transit and 
highway safety programs, and most of those authorizations 
provide contract authority. The role of the appropriations 
process with respect to contract authority programs generally 
is to set obligation limitations so that overall Federal 
spending stays within legislated targets and to appropriate 
liquidating cash to cover the outlays associated with 
obligations that have been made.
    TEA21 authorized these Federal surface transportation 
programs through fiscal year 2003, and the Congress must 
reauthorize these programs in order to create new contract 
authority for fiscal year 2004 and later years. The Congress 
has begun the process to reauthorize TEA21, but neither the 
Senate nor the House has passed reauthorization legislation. 
Until such legislation is enacted, there will not be new 
contract authority to fund such surface transportation programs 
as the Federal-aid highway program, transit discretionary 
grants, or highway safety grants, although any unobligated 
balances from prior years will carry over and be available for 
obligation.
    In developing the fiscal year 2004 appropriations 
recommendations for the Federal surface transportation programs 
authorized by TEA21, the Committee has generally assumed 
continuation of current law.

                  AGENCY FEES FOR FECA ADMINISTRATION

    The President's budget included a legislative proposal 
under the jurisdiction of the Senate Committee on Health, 
Education, Labor, and Pensions to charge individual agencies, 
starting in fiscal year 2003, the administrative cost of the 
Federal Employees' Compensation Act [FECA] program. Currently 
Federal agencies are budgeted for and billed each year for 
monetary and medical benefits that have been paid to their 
employees under FECA, while the program's discretionary 
administrative costs are financed in the Department of Labor 
[DOL].
    The authorizing committee has not acted on this 
legislation; therefore, the Senate Appropriations Committee 
will continue to fund this administrative cost through the 
Department of Labor, Employment Standards Administration 
Salaries and Expenses Account.

                 TITLE I--DEPARTMENT OF TRANSPORTATION

                        Office of the Secretary

                         SALARIES AND EXPENSES

Appropriations, 2003 \1\ \2\............................     $88,865,594
Budget estimate, 2004...................................     108,931,000
Committee recommendation................................      91,276,000

\1\ Reflects reduction of $581,406 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $508,594 pursuant to section 362 of 
Public Law 108-7.

    Section 3 of the Department of Transportation Act of 
October 15, 1966 (Public Law 89-670) provides for establishment 
of the Office of the Secretary of Transportation [OST]. The 
Office of the Secretary is composed of the Secretary and the 
Deputy Secretary immediate offices, the Office of the General 
Counsel, the Office of Under Secretary for Transportation 
Policy, and four assistant secretarial offices for aviation and 
international affairs, budget and programs, governmental 
affairs, and administration. These secretarial offices have 
policy development and central supervisory and coordinating 
functions related to the overall planning and direction of the 
Department of Transportation, including staff assistance and 
general management supervision of the counterpart offices in 
the operating administrations of the Department.
    The Committee recommends a total of $91,276,000 for the 
Office of the Secretary of Transportation including $60,000 for 
reception and representation expenses. The budget request 
proposes a consolidated appropriation for the various offices 
comprising the Office of the Secretary. The Committee does not 
approve the request and has continued to provide appropriations 
for each office.
    Furthermore the Committee recommendation does not reflect a 
consolidated budget activity for the Immediate Office of the 
Secretary, the Immediate Office of the Deputy Secretary, and 
the Executive Secretariat, as requested.
    The following table summarizes the Committee's 
recommendation in comparison to the budget estimate:

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                           Fiscal year--
                                                                 --------------------------------    Committee
                                                                   2003 enacted                   recommendation
                                                                        \1\        2004 estimate
----------------------------------------------------------------------------------------------------------------
Immediate Office of the Secretary and Deputy Secretary..........  ..............           5,149  ..............
Immediate Office of the Secretary...............................           2,197  ..............           2,500
Immediate Office of the Deputy Secretary........................             804  ..............             706
Office of the Executive Secretariat.............................           1,382  ..............           1,458
Board of Contract Appeals.......................................             607             730             700
Office of Small and Disadvantaged Business Utilization..........           1,296           1,268           1,268
Office of Intelligence and Security.............................  ..............           2,225           1,792
Office of the Chief Information Officer.........................          13,101          23,369          13,327
Office of the Assistant Secretary for Governmental Affairs......           2,437           2,518           2,477
Office of the General Counsel...................................          15,555          15,992          15,403
Office of the Under Secretary for Transportation Policy.........          12,371          12,717          12,312
Office of the Assistant Secretary for Budget and Programs.......           8,321           8,630           8,536
Office of the Assistant Secretary for Administration............          28,882          34,351          28,882
Assistant to the Secretary and Director of Public Affairs.......           1,913           1,982           1,915
Transfer of functions to Department of Homeland Security........           1,292  ..............  ..............
                                                                 -----------------------------------------------
      Total.....................................................          88,866         108,931          91,276
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reductions of $581,406 pursuant to section 601 of Public Law 108-7; and $508,594 pursuant to
  section 362 of Public Law 108-7.

                   IMMEDIATE OFFICE OF THE SECRETARY

    The Secretary of Transportation provides leadership and has 
the primary responsibility to provide overall planning, 
direction, and control of the Department. The Committee 
recommends $2,500,000 for fiscal year 2004 for the Immediate 
Office of the Secretary, an increase of $303,000 above the 
fiscal year 2003 enacted level.

                IMMEDIATE OFFICE OF THE DEPUTY SECRETARY

    The Committee has recommended a total of $706,000 for the 
Immediate Office of the Deputy Secretary which has the primary 
responsibility of assisting the Secretary in the overall 
planning and direction of the Department.

                     OFFICE OF THE GENERAL COUNSEL

    The Office of the General Counsel provides legal services 
to the Office of the Secretary including the conduct of 
aviation regulatory proceedings and aviation consumer 
activities and coordinates and reviews the legal work in the 
chief counsels' offices of the operating administrations. The 
General Counsel is the chief legal officer of the Department of 
Transportation and the final authority within the Department on 
all legal questions.
    The Committee recommends $15,403,000 for expenses of the 
Office of the General Counsel for fiscal year 2004. The 
Committee is aware of the current and persistent number of 
vacancies in the office and is confident that the level of 
resources provided will be sufficient. The Committee 
recommendation includes $3,641,000 for the Department's 
``Accessibility for all America'' initiative, which represents 
an increase of $208,000 from the fiscal year 2003 enacted level 
and is $250,000 less than the budget request. The Committee 
defers funds that exceed those necessary to annualize the costs 
to operate and maintain the hotline.
    Aviation Stabilization Act Administration.--The Committee 
is concerned with the report of the Department relating to air 
carrier claims and unprocessed applications for claims and 
amounts that was required by the Fiscal Year 2003 
Transportation Appropriations Act. The report states that the 
Department is engaged in a continuing review of some, but not 
all, claims by all-cargo carriers, citing factors common to 
those carriers. It is the Committee's expectation that the 
Department would administer funds made available by the Air 
Transportation Safety and System Stabilization Act to pay 
compensation under Title I of that Act without discrimination 
among directly competitive air carriers and to ensure that 
competitive air carriers receive comparable percentages of the 
maximum amount of compensation payable under section 103(b)(2) 
of that Act. The conference report to the Federal Aviation 
Administration reauthorization legislation directs the 
Comptroller General to review the criteria and procedures used 
by the Secretary to compensate air carriers under the Act. 
Therefore, the Committee directs the Secretary to defer any 
final determination on disputed claims until the Comptroller 
General's review is completed, and thereafter refer any 
remaining disputed claims to an Administrative Law Judge for 
resolution, consistent with the procedures of the Debt 
Collection Act. As a separate matter, the report also notes 
that the Department is a respondent in a proceeding for 
judicial review of the regulations implementing the Act, on 
both substantive and procedural grounds. The Committee also 
directs the Department to report to the House and Senate 
Committees on Appropriations on the outcome of that proceeding, 
including its potential effects on the funds and balances still 
available under the Act.

       OFFICE OF THE UNDER SECRETARY OF TRANSPORTATION FOR POLICY

    The position of the Under Secretary of Transportation for 
Policy in the Department was established by section 215 of the 
Maritime Transportation Security Act of 2002 and consolidated 
the Offices of Policy, Aviation and International Affairs, and 
Intermodalism. The Under Secretary for Policy is the chief 
policy officer of the Department and is responsible to the 
Secretary for the analysis, development, and review of policies 
and plans for domestic and international transportation. The 
Office administers the economic regulatory functions regarding 
the airline industry and is responsible for international 
aviation programs, the essential air service program, airline 
fitness licensing, acquisitions, international route awards, 
computerized reservation systems, and special investigations 
such as airline delays.
    For fiscal year 2004, the Committee recommendation includes 
$12,312,000 for the Office of the Under Secretary for Policy.

       OFFICE OF THE ASSISTANT SECRETARY FOR BUDGET AND PROGRAMS

    The Assistant Secretary for Budget and Programs is the 
principal staff advisor to the Secretary on the development, 
review, presentation, and execution of the Department's budget 
resource requirements, and on the evaluation and oversight of 
the Department's programs. The primary responsibilities of this 
office are to ensure the effective preparation and presentation 
of sound and adequate budget estimates for the Department, to 
ensure the consistency of the Department's budget execution 
with the action and advice of the Congress and the Office of 
Management and Budget, to evaluate the program proposals for 
consistency with the Secretary's stated objectives, and to 
advise the Secretary of program and legislative changes 
necessary to improve program effectiveness.
    The Committee recommends a total of $8,586,000 for the 
Office of the Assistant Secretary for Budget and Programs. The 
amount provided is $265,000 more than the comparable fiscal 
year 2003 appropriated level. The Committee recommendation 
includes $60,000 for reception and representation expenses for 
the Secretary.
    The Committee directs the Office of the Secretary to report 
at the beginning of each fiscal quarter on the status of all 
outstanding reports and reporting requirements, including how 
delinquent congressionally mandated or requested reports are 
and an estimated date for delivery. The Committee expects that 
the Department will constitute this responsibility in the 
Office of the Assistant Secretary for Budget and Programs.

       OFFICE OF THE ASSISTANT SECRETARY FOR GOVERNMENTAL AFFAIRS

    The Assistant Secretary for Governmental Affairs advises 
the Secretary on all congressional and intergovernmental 
activities and on all departmental legislative initiatives and 
other relationships with Members of Congress. The Assistant 
Secretary promotes effective communication with other Federal 
agencies and regional Department officials, and with State and 
local governments and national organizations for development of 
departmental programs; and ensures that consumer preferences, 
awareness, and needs are brought into the decision-making 
process.
    The Committee recommends $2,477,000 for the Office of the 
Assistant Secretary for Governmental Affairs. The amount 
provided is slightly more than the comparable fiscal year 2003 
enacted level. The Committee has carried a provision requiring 
the 3-day notification for certain discretionary awards. The 
Committee directs the Assistant Secretary to submit to the 
House and Senate Committees on Appropriations options for 
providing grant notification to the Committees in an electronic 
format.

          OFFICE OF THE ASSISTANT SECRETARY FOR ADMINISTRATION

    The Assistant Secretary for Administration is responsible 
for establishing policies and procedures, setting guidelines, 
working with the Operating Administrations to improve the 
effectiveness and efficiency of the Department in human 
resource management, security and administrative management, 
real and personal property management, and acquisition and 
grants management.
    The Committee is concerned about the growth in the level of 
funding assumed in the budget request. If the budget request 
were approved, expenses and programs in the office would have 
roughly doubled in 2 years even though its responsibilities 
have diminished due to the transfer of two large operating 
agencies--the United States Coast Guard and Transportation 
Security Administration--to the new Department of Homeland 
Security.
    The Committee recommends $28,882,000 for the Office of the 
Assistant Secretary for Administration, which is the same as 
fiscal year 2003 enacted level. The Committee is aware that the 
staffing level is far below the budget request estimated number 
of employees and believes that the recommended level provides 
sufficient funding for pursuing the Department's priority 
programs and policy initiatives.

                        OFFICE OF PUBLIC AFFAIRS

    The Director of Public Affairs is the principal advisor to 
the Secretary and other senior Departmental officials and news 
media on public affairs questions. The Office issues news 
releases, articles, fact sheets, briefing materials, 
publications, and audiovisual materials. It also provides 
information to the Secretary on opinions and reactions of the 
public and news media on transportation programs and issues. It 
arranges news conferences and provides speeches, talking 
points, and byline articles for the Secretary and other senior 
departmental officials, and arranges the Secretary's 
scheduling. The Committee recommends $1,915,000 for the Office 
of Public Affairs.

                         EXECUTIVE SECRETARIAT

    The Executive Secretariat assists the Secretary and Deputy 
Secretary in carrying out their management functions and 
responsibilities by controlling and coordinating internal and 
external written materials.
    The Committee recommends an appropriation of $1,458,000 for 
the expenses of the Executive Secretariat. The amount provided 
is $76,000 more than the comparable fiscal year 2003 enacted 
level and the same level assumed in the budget request.

                       BOARD OF CONTRACT APPEALS

    The primary responsibility of the Board of Contract Appeals 
is to provide an independent forum for the trial and 
adjudication of all claims by, or against, a contractor 
relating to a contract of any element of the Department, as 
mandated by the Contract Disputes Act of 1978, 41 U.S.C. 601.
    The Committee has provided $730,000 for the Board of 
Contract Appeals Board. The amount provided is the same as the 
amount requested.

         OFFICE OF SMALL AND DISADVANTAGED BUSINESS UTILIZATION

    The Office of Small and Disadvantaged Business Utilization 
has primary responsibility for providing policy direction for 
small and disadvantaged business participation in the 
Department's procurement and grant programs, and effective 
execution of the functions and duties under sections 8 and 15 
of the Small Business Act, as amended. The Committee recommends 
$1,268,000, the full amount requested.

                  OFFICE OF INTELLIGENCE AND SECURITY

    With the transfer of the Transportation Security 
Administration to the new Department of Homeland Security, the 
Office of Intelligence and Security has been reconstituted in 
the Office of the Secretary to keep the Secretary and his 
advisors informed on intelligence and security issues 
pertaining to transportation.
    The Committee recommends $1,792,000 for the Office of 
Intelligence and Security for fiscal year 2004. The budget 
request assumes an ambitious staffing level for the office. The 
Committee recommendation does not reflect those staffing levels 
and has reduced funding for personnel compensation and benefits 
accordingly. In addition, the Committee has not provided funds 
to annualize the new FTE because that position is vacant. The 
Committee recommendation, however, is adequate to allow for the 
hire of additional personnel beyond the current staffing level.

                OFFICE OF THE CHIEF INFORMATION OFFICER

    The Office of the Chief Information Officer serves as the 
principal adviser to the Secretary on matters involving 
information resources and information systems management.
    The budget request assumes a funding level that is almost 
80 percent more than the fiscal year 2003 enacted level. The 
Committee recommends an appropriation of $13,327,000. The 
Committee is disinclined to provide funding for programmatic 
increases of this magnitude due to the high level of generality 
and vagueness presented in the budget justification and is 
concerned that adequate measures are not in place to assure 
effective planning and coordination throughout the Department. 
It is unclear to the Committee, for example, how the CIO's 
initiative to develop an electronic grants office are related 
to the request of the Federal Transit Administration for 
funding to improve that agency's electronic grant system. The 
Committee directs the Office of Inspector General to submit to 
the House and Senate Committees on Appropriations a report on 
plans and progress made by the DOT to improve information 
technology security, E-government services, and information 
technology investment management. The Committee also directs 
that the Inspector General evaluate the effectiveness of the 
office of the CIO to coordinate these actions with respective 
officials from the operating agencies that have acquired and 
operate the majority of the Department's information technology 
systems.

                         OFFICE OF CIVIL RIGHTS

Appropriations, 2003 \1\ \2\............................      $8,643,450
Budget estimate, 2004...................................       8,569,000
Committee recommendation................................       8,569,000

\1\ Reflects reduction of $56,550 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $129,450 pursuant to section 362 of 
Public Law 108-7.

    The Office of Civil Rights is responsible for advising the 
Secretary on civil rights and equal employment opportunity 
matters, formulating civil rights policies and procedures for 
the operating administrations, investigating claims that small 
businesses were denied certification or improperly certified as 
disadvantaged business enterprises, and overseeing the 
Department's conduct of its civil rights responsibilities and 
making final determinations on civil rights complaints. In 
addition, the Civil Rights Office is responsible for enforcing 
laws and regulations which prohibit discrimination in federally 
operated and federally assisted transportation programs. The 
Committee has provided a funding level of $8,569,000 for the 
Office of Civil Rights, the full amount requested.

                       NEW HEADQUARTERS BUILDING

Appropriations, 2003....................................................
Budget estimate, 2004...................................     $45,000,000
Committee recommendation................................................

    The administration requested $45,000,000 for the new 
Department of Transportation headquarters project to 
consolidate all of the department's headquarters operating 
administration functions (except FAA), from various locations 
into leased buildings within the central employment area of the 
District of Columbia.
    The Committee believes that it is premature to provide 
funding for this project. The Department is still in a state of 
flux due to the transition of certain operating agencies to the 
new Department of Homeland Security and the overwhelming 
majority of its remaining programs and agencies by size and 
resources are currently undergoing reauthorization. Given the 
sweeping changes proposed in many of the administration's 
proposals for those reauthorizations, the nature and the scope 
of the Department's grant making and oversight, administrative, 
and regulatory functions could change substantially. In 
addition, given current budgetary constraints, it would be 
imprudent to commit this level of resources to a new building 
for the Department as it is undergoing significant transition.

           TRANSPORTATION PLANNING, RESEARCH, AND DEVELOPMENT

Appropriations, 2003 \1\ \2\............................     $20,863,500
Budget estimate, 2004...................................      10,836,000
Committee recommendation................................      15,836,000

\1\ Reflects reduction of $136,500 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $400,500 pursuant to section 362 of 
Public Law 108-7.

    The Office of the Secretary performs those research 
activities and studies which can more effectively or 
appropriately be conducted at the departmental level. This 
research effort supports the planning, research and development 
activities needed to assist the Secretary in the formulation of 
national transportation policies. The program is carried out 
primarily through contracts with other Federal agencies, 
educational institutions, nonprofit research organizations, and 
private firms. The Committee recommends $15,836,000 for 
transportation planning, research, and development, $5,027,500 
more than the fiscal year 2003 enacted level and $5,000,000 
more than the President's budget request. The recommendation 
assumes no more than $2,250,000 for aviation and international 
policy studies. The Committee directs funding to be allocated 
to the following projects that are listed below:

------------------------------------------------------------------------
                      Project name                            Amount
------------------------------------------------------------------------
Center for Integrated Transportation & Traffic Systems,         $750,000
 AZ....................................................
Center for Spatial Technologies, MS....................          750,000
Circumpolar Infrastructure Task Force of the Arctic            1,000,000
 Council and Northern Forum, AK........................
Integrated data query sharing system for Maritime              1,250,000
 Domain Awareness, WA..................................
Regional Interstate Commerce and Transportation Policy           250,000
 Harmonization Project, SD.............................
UA Transportation Hybrid Electric Vehicle and Fuel Cell        1,250,000
 Research Program, AL..................................
WestStart Vehicular Flywheel Project--Pacific                  1,000,000
 Northwest, WA.........................................
Worcester Polytechnic University Center for Human                500,000
 Impact Protection Systems, MA.........................
------------------------------------------------------------------------

                          WORKING CAPITAL FUND

Limitation, 2003 \1\ \2\................................  ($130,991,421)
Budget estimate, 2004 \3\...............................................
Committee recommendation................................   (116,715,000)

\1\ Reflects reduction of $774,579 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $12,600,000 pursuant to section 342 of 
Public Law 108-7.
\3\ Proposed without limitations.

    In fiscal year 1997 the Working Capital Fund was renamed 
the Transportation Administrative Service Center [TASC] to 
reflect the expanded level of services and the new TASC 
organization. In fiscal year 2003 the functions of TASC were 
realigned to place service providers in the same organization 
as the office responsible for service policies. The Department 
claimed that the realignment would promote greater program 
efficiency, make the best use of employee expertise, allow the 
Department to identify and eliminate redundancies and reduce 
organizational layers, and provide the best possible value to 
the Government by consolidating and delivering services more 
efficiently. During fiscal year 2003 the TASC account was 
renamed to the previously titled Working Capital Fund.
    The Working Capital Fund finances common administrative 
services that are centrally performed in the interest of 
economy and efficiency of the Department. The fund is financed 
through negotiated agreements with the Department of 
Transportation operating administrations and other customers, 
which are billed on a fee-for-service basis to the maximum 
extent possible.
    The budget request proposes to remove the obligation 
limitation on the Working Capital Fund on services to the 
operating administrations of the Department. The Committee 
believes that the discipline of an annual limitation is 
necessary to keep assessments and services of the Working 
Capital Fund in line with costs. The accompanying bill provides 
a limitation of $116,715,000 on activities financed through the 
Working Capital Fund. As in past years, the limitation shall 
apply only to the Department and not to other entities. The 
Committee directs that services shall be provided on a 
competitive basis to the maximum extent possible.

               MINORITY BUSINESS RESOURCE CENTER PROGRAM

Appropriations, 2003 \1\................................        $894,150
Budget estimate, 2004...................................         900,000
Committee recommendation................................         900,000

\1\ Reflects reduction of $5,850 pursuant to section 601 of Public Law 
108-7.

    Office of Small and Disadvantaged Business Utilization 
[OSDBU]/Minority Business Resource Center [MBRC].--The OSDBU/
MBRC provides assistance in obtaining short-term working 
capital for disadvantaged, minority, and women-owned businesses 
[DBE/MBE/WBE's]. In fiscal year 2001, the short-term lending 
program was converted from a direct loan program to a 
guaranteed loan program. In fiscal year 2004, the program will 
continue to focus on providing working capital to DBE/MBE/WBE's 
for transportation-related projects in order to strengthen 
their competitive and productive capabilities.
    Since fiscal year 1993, the short-term lending program has 
been a separate line item appropriation, which segregated such 
activities in response to changes made by the Federal Credit 
Reform Act of 1990. The limitation on guaranteed loans under 
the Minority Business Resource Center is at the 
administration's requested level of $18,367,000.
    Of the funds appropriated, $500,000 covers subsidy costs 
and $400,000 is for administrative expenses to carry out the 
Guaranteed Loan Program.

                       MINORITY BUSINESS OUTREACH

Appropriations, 2003 \1\ \2\............................      $2,980,500
Budget estimate, 2004...................................       3,000,000
Committee recommendation................................       3,000,000

\1\ Reflects reduction of $19,500 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $31,456 pursuant to section 362 of 
Public Law 108-7.

    This appropriation provides contractual support to assist 
small, women-owned, Native American, and other disadvantaged 
business firms in securing contracts and subcontracts arising 
out of projects that involve Federal spending. It also provides 
support to historically black and Hispanic colleges. Separate 
funding is requested by the administration since this program 
provides grants and contract assistance that serves DOT-wide 
goals and not just OST purposes.

                        PAYMENTS TO AIR CARRIERS

                    (AIRPORT AND AIRWAY TRUST FUND)

----------------------------------------------------------------------------------------------------------------
                                                              Appropriations \2\   Mandatory \3\       Total
----------------------------------------------------------------------------------------------------------------
Appropriations, 2003 \1\....................................       $15,761,000       $50,000,000    $101,761,000
Budget estimate, 2004.......................................  ..................      50,000,000      50,000,000
Committee recommendation....................................        52,000,000        50,000,000     102,000,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $338,650 pursuant to section 601 of Public Law 108-7.
\2\ Payments to Air Carriers (Airport and Airway Trust Fund).
\3\ From overflight fees.

    The Essential Air Service [EAS] and Rural Airport 
Improvement Program provides funds directly to commuter/
regional airlines to provide air service to small communities 
that otherwise would not receive air service and for rural 
airport improvement as provided by the 1996 Federal Aviation 
Reauthorization Act.
    The Federal Aviation Reauthorization Act of 1996 authorizes 
user fees for flights that fly over, but do not land in, the 
United States. The first $50,000,000 of each year's fees were 
to go directly to carry out the Essential Air Service Program 
and, to the extent not used for essential air service, to 
improve rural airport safety. If $50,000,000 in fees is not 
available, then the funds must be made available from 
appropriations otherwise made available to the FAA 
Administrator.
    For fiscal year 2004, the administration has proposed a 
$50,000,000 EAS program to be fully funded from aviation 
overflight fees. The administration is also proposing major 
revisions to the program that would repeal the statutory 
entitlement that certain communities have to receiving at least 
a minimum level of scheduled air service. Specifically, the 
Department has proposed to eliminate minimum service 
requirements for eligible communities and the provision would 
allow service to consist, among other things, of ground 
transportation, single-engine, single-pilot operations, air 
taxi, charter service, or regionalized service. In addition, 
all communities would be required to contribute either 10 or 25 
percent of the total subsidy required: communities farther than 
210 driving miles from the nearest large or medium hub would 
have to contribute 10 percent while communities within 210 
miles would pay 25 percent. Communities would be ranked in 
order of isolation, with the most isolated having the highest 
priority if there are not sufficient funds for all communities.
    The Committee recommendation provides a total of 
$102,000,000 for fiscal year 2004, which is $52,000,000 more 
than the budget request. These funds, along with available 
carryover balances in the program from previous appropriations, 
are sufficient to continue subsidies for all current points 
receiving the service. The Committee has not included the 
requested general provision to restructure the EAS program. 
Although concerned about increases in program costs, the 
Committee notes that the aviation reauthorization legislation, 
which is awaiting conference committee deliberations, passed 
both bodies of the Congress without any reform to the EAS 
program.
    The following table reflects the points currently receiving 
service and the annual rates as of February 1, 2003 in the 
continental United States and Hawaii.

                                                    SUBSIDIZED EAS COMMUNITIES AS OF FEBRUARY 1, 2003
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               Estimated        Average daily
                                                               milease to      enplanements  at    Annual subsidy      Subsidy  per    Total  passengers
                    States/Communities                        nearest hub     EAS point  (YE 6/   rates at  Feb 1,      passenger         (YE 6/30/02)
                                                              (S,M, or L)           30/02)              2003
--------------------------------------------------------------------------------------------------------------------------------------------------------
ALABAMA: Muscle Shoals...................................                 69               19.3         $1,284,408            $106.32             12,081
ARIZONA:
    Kingman..............................................                101                4.9            541,502             177.89              3,044
    Page.................................................                280               11.1          1,251,977             180.61              6,932
    Prescott.............................................                102               12.4            541,502              69.79              7,759
    Show Low.............................................                168            ( \1\ )            538,432            ( \1\ )            ( \1\ )
ARKANSAS:
    El Dorado/Camden.....................................                108                4.2            828,438             315.00              2,630
    Harrison.............................................                 88                9.3            989,018             169.44              5,837
    Hot Springs..........................................                 53                7.7            989,018             206.09              4,799
    Jonesboro............................................                 79                6.9            828,438             192.57              4,302
CALIFORNIA:
    Crescent City........................................                362               33.8            333,717              15.78             21,143
    Merced...............................................                114               16.3            844,479              82.91             10,186
COLORADO:
    Alamosa..............................................                162               12.2            925,045             121.00              7,645
    Cortez...............................................                258               22.3            403,311              28.91             13,950
    Pueblo...............................................                 43                6.4            527,185             131.50              4,009
HAWAII:
    Hana.................................................                 32               17.5          1,048,555              95.90             10,934
    Kamuela..............................................                 39                8.5            781,270             146.50              5,333
    Kalaupapa............................................  .................                7.4            514,093             111.69              4,603
ILLINOIS:
    Decatur..............................................                120               27.9            917,077              52.44             17,487
    Marion/Herrin........................................                122               36.3            794,031              34.97             22,704
IOWA:
    Burlington...........................................                163                 29            929,085              51.23             18,136
    Fort Dodge...........................................                 94               26.5          1,088,354              65.54             16,605
    Mason City...........................................                128               45.3          1,088,354              38.42             28,329
KANSAS:
    Dodge City...........................................                149                9.7          1,159,886             190.71              6,082
    Garden City..........................................                201               23.1          1,159,886              80.07             14,485
    Great Bend...........................................                120                2.9            298,799             163.01              1,833
    Hays.................................................                180               19.1          1,330,824             111.32             11,955
    Salina...............................................                 93               12.6            ( \2\ )            ( \2\ )              7,872
    Liberal/Guymon.......................................                141                7.8            824,776             169.36              4,870
    Topeka...............................................                 71                3.7            621,872             266.21              2,336
KENTUCKY: Owensboro......................................                105               25.1            888,863              56.65             15,690
MAINE:
    Augusta/Waterville...................................                 68               11.5          1,205,855             167.53              7,198
    Bar Harbor...........................................                157               36.4          1,205,855              52.98             22,762
    Presque Isle.........................................                276               53.8          1,480,512              43.95             33,688
    Rockland.............................................                 80               20.3          1,205,855              94.99             12,695
MICHIGAN:
    Ironwood/Ashland.....................................                218                5.7            479,879             135.18              3,550
    Iron Mountain/Kingsford..............................                101                 24            674,328              44.81             15,050
    Manistee.............................................                115                3.8            485,545             205.83              2,359
MINNESOTA: Thief River Falls, MN.........................                302               14.3            707,017              79.22              8,925
MISSISSIPPI: Laurel/Hattiesburg, MS......................                 85               30.6          1,056,991              55.26             19,128
MISSOURI:
    Cape Girardeau.......................................                123               25.6            430,925              26.93             16,002
    Fort Leonard Wood....................................                130               27.5            573,725              33.37             17,192
    Kirksville...........................................                137                7.3            732,363             161.28              4,541
MONTANA:
    Glasgow..............................................                763                6.3            816,651             207.01              3,945
    Glendive.............................................                624                3.1            816,651             426.67              1,914
    Havre................................................                674                  3            816,651             428.24              1,907
    Lewistown............................................                558                2.3            816,651             566.73              1,441
    Miles City...........................................                529                3.2            816,651             403.09              2,026
    Sidney...............................................                653                6.7            816,651             194.63              4,196
    Wolf Point...........................................                698                4.8            816,651             270.59              3,018
NEBRASKA:
    Alliance.............................................                256                2.1            542,413             415.01              1,307
    Chadron..............................................                311                3.3            542,413             260.90              2,079
    Kearney..............................................                181               18.4            839,487              73.01             11,498
    McCook...............................................                271                5.5          1,325,289             382.04              3,469
    Norfolk..............................................                109                3.5            751,373             342.16              2,196
    North Platte.........................................                277               17.5            751,373              68.69             10,939
NEVADA: Ely..............................................                237            ( \1\ )            976,533            ( \1\ )            ( \1\ )
NEW MEXICO:
    Alamogordo/Holloman..................................                 91                4.3            849,235             316.52              2,683
    Carlsbad.............................................                139               12.5            ( \2\ )            ( \2\ )              7,836
    Hobbs................................................                 88                5.7            ( \2\ )            ( \2\ )              3,556
    Clovis...............................................                103                7.3          1,118,197             246.14              4,543
    Silver City/Hurley/Deming............................                133                6.4            935,667             235.09              3,980
NEW YORK:
    Massena..............................................                118                  8            635,144             126.65              5,015
    Ogdensburg...........................................                123                6.3            635,144             161.74              3,927
    Saranac Lake.........................................                 63                7.8            631,353             129.93              4,859
    Watertown............................................                 65                8.6            635,144             118.39              5,365
NORTH DAKOTA:
    Devils Lake..........................................                405                7.4            793,867             171.35              4,633
    Dickinson............................................                528                9.8          1,540,089             251.73              6,118
    Jamestown............................................                332                7.5            793,867             168.33              4,716
OKLAHOMA:
    Enid.................................................                 84               10.4            977,302             150.70              6,485
    Ponca City...........................................                 81                9.9            977,302             158.06              6,183
PENNSYLVANIA:
    Altoona..............................................                108               35.8            546,159              24.37             22,408
    Johnstown............................................                 82               55.6            301,417               8.66             34,825
    Oil City/Franklin....................................                 86                 13            510,261              62.46              8,169
PUERTO RICO: Ponce.......................................                 77               13.2            337,551              40.84              8,265
SOUTH DAKOTA:
    Brookings............................................                206                2.7            849,386             494.69              1,717
    Huron................................................                279                  4            394,585             157.64              2,503
    Pierre...............................................                397               18.9            318,861              26.93             11,839
    Watertown............................................                207               19.1          1,871,825             156.27             11,978
TENNESSEE: Jackson.......................................                 85               25.3          1,077,812              67.95             15,862
TEXAS: Brownwood.........................................                147                6.2            964,677             247.35              3,900
UTAH:
    Cedar City...........................................                178               28.9            836,102              46.22             18,089
    Moab.................................................                240                  4            971,444             384.58              2,526
    Vernal...............................................                174                5.8          1,102,967             304.94              3,617
VERMONT: Rutland.........................................                 69                7.3          1,205,855             263.17              4,582
VIRGINIA: Staunton.......................................                113               34.9            514,211              23.52             21,862
WASHINGTON: Ephrata/Moses Lake...........................                108               17.3          1,132,911             104.78             10,812
WEST VIRGINIA:
    Beckley..............................................                181                8.1          1,033,847             202.75              5,099
    Princeton/Bluefield..................................                145                  6          1,033,847             273.72              3,777
WISCONSIN: Oshkosh.......................................                 49                6.6          1,034,085             248.46              4,162
WYOMING:
    Laramie..............................................                144               27.4            297,633              17.35             17,151
    Rock Springs.........................................                184               25.7            465,023              28.86             16,115
    Worland..............................................                398                  7            353,345              80.58              4,385
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Service hiatus.
\2\ Rate under negotiation.

              GENERAL PROVISIONS--OFFICE OF THE SECRETARY

    Limitation on Political and Presidential Appointees.--The 
Committee recommendation includes a provision (sec. 504) 
similar to those carried in previous Department of 
Transportation and Related Agencies Appropriations Acts, which 
limits the number of political and Presidential appointees 
within the Department of Transportation. The recommended 
ceiling for fiscal year 2004 is 106 personnel. Further, the 
bill specifies that no political or Presidential appointee may 
be detailed outside the Department of Transportation or any 
other agency funded in this bill.
    Discretionary Grants.--The Committee continues to be 
concerned by the Department's oversight and review of the modal 
administrations discretionary grants, letters of intent, or 
full funding grant agreements. The Department is directed to 
comply with the letter, the spirit, and the intent of the 3-day 
notification language included in the bill (sec. 512) which has 
been carried in previous Department of Transportation and 
Related Agencies Appropriations Acts with respect to all 
discretionary grants totaling $1,000,000 or more of the Federal 
Highway Administration (excluding the emergency relief 
program), any program of the Federal Transit Administration 
(excluding the formula grants and fixed guideway modernization 
programs), and the airport improvement program of the Federal 
Aviation Administration. Further, no notification or 
announcement should involve funds that are not available for 
obligation.

                    Federal Aviation Administration


                  SUMMARY OF FISCAL YEAR 2004 PROGRAM

    The Federal Aviation Administration traces its origins to 
the Air Commerce Act of 1926, but more recently to the Federal 
Aviation Act of 1958 which established the independent Federal 
Aviation Agency from functions which had resided in the Airways 
Modernization Board, the Civil Aeronautics Administration, and 
parts of the Civil Aeronautics Board. FAA became an 
administration of the Department of Transportation on April 1, 
1967, pursuant to the Department of Transportation Act (October 
15, 1966).
    The total recommended program level for the FAA for fiscal 
year 2004 amounts to $13,970,587,000, which is $457,009,000 
more than the fiscal year 2003 enacted level. The following 
table summarizes the Committee's recommendations:

                        [In thousands of dollars]
------------------------------------------------------------------------
                               Fiscal year   Fiscal year
           Program            2003 enacted   2004 budget     Committee
                                   \1\        estimate    recommendation
------------------------------------------------------------------------
Operations..................     7,026,548     7,590,648      7,535,648
    General fund                 3,251,965     1,590,648      1,535,648
     appropriation \2\......
    Trust fund appropriation     3,774,583     6,000,000      6,000,000
Facilities and equipment \3\     2,961,645     2,916,000      2,916,000
Research, engineering and          147,485       100,000        118,939
 development................

Grants-in-Aid for airports..     3,377,900     3,400,000      3,400,000
                             -------------------------------------------
      Total available budget    13,513,578    14,006,648     13,970,587
       resources............
------------------------------------------------------------------------
\1\ Reflects reduction of $88,412,942 pursuant to section 601 of Public
  Law 108-7.
\2\ Does not reflect reduction of $3,900,000 pursuant to section 362 of
  Public Law 108-7; includes $3,477,250 for Midway Island Airfield per
  General Provisions, section 371, less its share of the reduction in
  footnote 1.
\3\ Does not reflect fiscal year 2003 rescission of $20,000,000 of
  unobligated balances.

                               OPERATIONS

Appropriations, 2003 \1\ \2\............................  $7,026,547,626
Budget estimate, 2004...................................   7,590,648,000
Committee recommendation................................   7,535,648,000

\1\ Does not reflect reduction of $3,900,000 pursuant to section 362, 
Public Law 108-7. Reflects reduction of $45,971,374 pursuant to section 
601 of Public Law 108-7.
\2\ Includes $3,477,250 for Midway Island Airfield per General 
Provisions, section 371, Public Law 108-7.

    FAA's Operations appropriation provides funds for the 
operation, maintenance, communications, and logistic support of 
the air traffic control and navigation systems and activities. 
It also covers the administration and management of the 
regulatory, commercial space, medical, engineering, and 
development programs.
    The bill includes $6,000,000,000 for the operations 
activities of the Federal Aviation Administration from the 
airport and airway trust fund. The balance of the operations 
appropriation will come from the general fund.
    As in past years, FAA is directed to report immediately to 
the House and Senate Committees on Appropriations in the event 
resources are insufficient to operate a safe and effective air 
traffic control system.
    The following table summarizes the Committee's 
recommendation in comparison to the budget estimate:

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                        Fiscal year--
                                                             -----------------------------------    Committee
                                                                2003 enacted      2004 budget    recommendations
                                                                    \1\            estimate
----------------------------------------------------------------------------------------------------------------
Air Traffic Services........................................        5,668,196        6,096,800         6,047,300
Regulation and Certification................................          829,932          873,374           873,374
Research and Acquisitions...................................          205,079          218,481           218,481
Commercial Space Transportation.............................           12,196           12,601            12,601
Regions and Center Coordination.............................           78,714           84,749            84,749
Human Resources.............................................           68,686           82,029            77,029
Financial Services..........................................           48,410           49,783            49,783
Staff Offices...............................................           82,418          143,150           142,650
Information Services/CIO....................................           29,439           29,681            29,681
Midway Island Airfield......................................            3,477  ................  ...............
                                                             ---------------------------------------------------
      TOTAL OPS.............................................        7,026,548        7,590,648         7,535,648
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $45,971,374 pursuant to section 601, but does not reflect reduction of $3,900,000
  pursuant to section 362 of Public Law 108-7. Includes $3,477,250 for Midway Island Airfield per General
  Provision, section 371, Public Law 108-7.

    Air Traffic Services.--The Committee recommends 
$6,047,300,000 for the operation and maintenance of the 
national air traffic control and flight service system. The 
recommended level is $379,104,000 more than the fiscal year 
2003 enacted level. The Committee is confident that although 
constrained, the recommended funding level is sufficient to 
continue safe and efficient management of the National Airspace 
System [NAS]. The recommendation gives the Administrator great 
flexibility to manage the reduction below the budget request, 
and the Committee notes that the changes to the budget request 
can be accommodated by adjusting controller staffing levels 
consistent with the FAA staffing standard, by controlling 
overtime staffing hours, and by reducing NAS handoff costs.
    Contract Tower Program.--The Committee continues to support 
the contract tower program and the cost-sharing program as a 
cost-effective way to enhance air traffic safety at smaller 
airports. The Committee's recommendation includes $82,500,000 
to fund the existing contract tower program, the remaining 
eligible non-Federal towers not currently operated by the FAA, 
and other non-towered airports eligible for the program. Of the 
funds provided for the contract tower program, $500,000 is to 
deploy computer-based interactive training systems for 
controllers at FAA contract towers. In designing the system, 
the FAA should utilize existing interactive computer-based 
training and testing systems in use at airports. In addition to 
these resources, the Committee has provided $6,500,000 for the 
contract tower cost-sharing program.
    Walla Walla Regional Airport Control Tower.--The Committee 
has recently learned about potential changes to the local cost 
share requirements of the Walla Walla Regional Airport Control 
Tower. Recognizing the important safety role that the control 
tower plays for the area's flying public, the Committee 
encourages the FAA to work with the Walla Walla Regional 
Airport to ensure that the control tower remains an air traffic 
service available to the community.
    Medallion Program.--The Committee recommends $4,000,000 to 
continue the Medallion Program, a key safety initiative that 
has been embraced in the FAA's future strategic plan. The 
Committee recommendation is $2,500,000 more than the fiscal 
year 2003 level to allow for additional participation in the 
program.
    Alien Species Action Plan [ASAP].--The Committee provides 
$3,000,000 out of available funds to continue the 
implementation of the Alien Species Action Plan which was 
adopted by the FAA as part of its August 26, 1998, Record of 
Decision approving certain improvements at Kahului Airport on 
the Island of Maui. These funds will be used to complete 
capital projects that were started in fiscal year 2002 and 
continue the operational requirements imposed by the ASAP.
    Air Operations.--The Committee directs the FAA to take into 
account Naknek River landings in its decision on air traffic 
services at King Salmon Airport.
    National Airspace Redesign.--Of the funds provided, 
$6,500,000 shall be for the NY/NJ Airspace Redesign effort and 
shall not be reprogrammed by the FAA for other activities, 
including airspace redesign activities outside the NY/NJ metro 
area. As the FAA moves forward with its redesign program in the 
New York/New Jersey and Philadelphia area, the Committee 
encourages the FAA, where appropriate, to consider air noise 
impacts as part of the redesign effort.
    Non-Precision GPS Approaches.--The Committee recommendation 
includes $5,000,000 to continue work associated with increasing 
the number of non-precision GPS instrument approaches developed 
and published for airports that are not Part 139 certificated.
    Human Resources.--The Committee recommends $77,029,000 for 
Human Resources, an increase of $8,343,000 above the fiscal 
year 2003 enacted level. The recommendation denies the budget 
request for five staff positions that were eliminated during 
fiscal year 2003 and reduces discretionary increases without 
prejudice.
    Staff Offices.--The Committee recommends a reduction of 
$500,000 to reflect that the current staffing levels in several 
offices are below the estimate included in the budget request. 
The Committee is confident that this reduction will not impact 
current services.

                             BILL LANGUAGE

    Second Career Training Program.--The Committee has included 
bill language which was included in the President's budget 
request which prohibits the use of appropriated funds for the 
second career training program. This prohibition has been 
carried in annual appropriations Acts for a number of years.
    Sunday Premium Pay.--The bill retains a provision, first 
included in the fiscal year 1995 appropriations Act, which 
prohibits FAA from paying Sunday premium pay, except in those 
cases where the individual actually worked on a Sunday. This 
provision is identical to that which was in effect for fiscal 
years 1995-2002. It was requested by the administration for 
fiscal year 2004.
    Manned Auxiliary Flight Service Stations.--The Committee 
has retained bill language that was requested by the 
administration to prohibit the use of funds for operating a 
manned auxiliary flight service station in the contiguous 
United States. There is no funding provided in the Operations 
account for such stations in fiscal year 2004.
    Aeronautical Charting and Cartography.--The bill prohibits 
funds in this Act from being used to conduct aeronautical 
charting and cartography [AC&C;] activities through the working 
capital fund [WCF]. Public Law 106-181 authorized the transfer 
of these activities from the Department of Commerce to the FAA.

                        FACILITIES AND EQUIPMENT

                    (AIRPORT AND AIRWAY TRUST FUND)

Appropriations, 2003 \1\................................  $2,961,645,357
Budget estimate, 2004...................................   2,916,000,000
Committee recommendation................................   2,916,000,000

\1\ Reflects reduction of $19,376,643 pursuant to section 601 of Public 
Law 108-7. Does not reflect rescission of $20,000,000 of unobligated 
balances pursuant to Public Law 108-7.

    Under the Facilities and Equipment appropriation, safety, 
capacity and efficiency of the Federal airway system are 
improved by the procurement and installation of new equipment 
and the construction and modernization of facilities to keep 
pace with aeronautical activity and in accordance with the 
Federal Aviation Administration's comprehensive capital 
investment plan [CIP], formerly called the national airspace 
system [NAS] plan.
    The Federal Aviation Administration's most recent estimate 
projects expenditures of approximately $41,901,000,000 on the 
Air Traffic Control Modernization effort from 1981 through 
2004.
    The bill includes an appropriation of $2,916,000,000 for 
the Facilities and Equipment of the Federal Aviation 
Administration. The Committee recommendation is the same as the 
budget estimate and is $45,645,367 less than the fiscal year 
2003 enacted level. The bill provides that $2,480,520,000 is 
available for obligation until September 30, 2006, and 
$435,480,000 is available until September 30, 2004.
    The Committee is concerned about the inconsistent 
composition of budget activities within the Facilities and 
Equipment account. The Terminal Business Unit, in particular, 
consolidates separate acquisition programs into a single budget 
line that totals several hundred million dollars while other 
activities with relatively modest funding levels receive 
separate lines. The Committee believes that the programs funded 
within the Terminal Business Unit should be requested as 
individual budget lines. Such treatment will provide greater 
budget discipline and enhance the level of internal and 
external oversight warranted by budget activities or budget 
items of this magnitude. The Committee expects that future 
budget requests will consolidate similar, relatively smaller 
requests and provide individual budget lines for the larger 
requests currently consolidated within Terminal Business Unit 
lines.
    The Committee's recommended distributions of the funds for 
each of the projects funded by the appropriation:

                                            FACILITIES AND EQUIPMENT
----------------------------------------------------------------------------------------------------------------
                                                                         Fiscal year--
                                                              ----------------------------------    Committee
                                                                 2003 enacted                     recommendation
                                                                     \1\         2004 estimate
----------------------------------------------------------------------------------------------------------------
Category 1, Improve Aviation Safety:
    Terminal Business Unit...................................      150,200,311      137,600,000      112,500,000
    Aviation Weather Services Improvements...................       23,287,640       13,200,000       22,200,000
    Low Level Windshear Alert System (LLWAS)--Upgrade........        1,589,600        3,900,000        2,700,000
    Aviation Safety Analysis System (ASAS)...................       14,902,500       13,900,000        6,900,000
    Integrated Flight Quality Assurance (IFQA)...............          496,750        2,100,000          500,000
    Safety Performance Analysis Subsystem (SPAS).............        2,086,350  ...............  ...............
    Performance Enhancement Systems (PENS)...................        2,583,100  ...............  ...............
    System Approach for Safety Oversight (SASO)..............  ...............       12,000,000  ...............
    Aviation Safety Knowledge Management Environment  (ASKME)  ...............        2,500,000  ...............
                                                              --------------------------------------------------
        Total, Reduce Commercial Aviation Fatalities.........      195,146,251      185,200,000      144,800,000
                                                              ==================================================
    Safe Flight 21...........................................       39,740,000       30,300,000       30,300,000
                                                              --------------------------------------------------
      Total, Reduce General Aviation Fatalities..............       39,740,000       30,300,000       30,300,000
                                                              ==================================================
    Advanced Technology Development and Prototyping..........       56,828,200       42,800,000       76,600,000
    Aircraft Related Equipment Program.......................       15,896,000       13,700,000        9,200,000
    National Aviation Safety Data Analysis Center (NASDAC)...        1,987,000        1,900,000        1,900,000
    Explosive Detection Technology...........................      143,064,000  ...............  ...............
    Technology Demonstration--Lousville KY...................        9,935,000  ...............  ...............
    Volcano Monitoring.......................................        2,980,500  ...............        4,000,000
                                                              --------------------------------------------------
      Total, Other Aviation Safety Programs..................      230,690,700       58,400,000       91,700,000
                                                              ==================================================
      Total Category 1, Safety Programs......................      465,576,951      273,900,000      266,800,000
                                                              ==================================================
Category 2, Improve Efficiency of the Air Traffic Control
 System:
    Terminal Business Unit...................................      491,812,603      458,128,300      479,978,300
    Aeronautical Data Link (ADL) Applications................       29,506,950       23,150,000       13,000,000
    Free Flight Phase 2......................................       69,545,000      113,100,000      105,100,000
    Air Traffic Management (ATM).............................       12,915,500       13,000,000       37,500,000
    Free Flight Phase 1......................................       36,362,100       37,400,000       37,400,000
    Automated Surface Observing System (ASOS)................       12,021,350       11,800,000       11,800,000
    Aviation Weather Sensor System...........................          526,555  ...............  ...............
    Information Display System (IDS)--Flight Service Station.  ...............        2,000,000  ...............
    Information Display System (IDS)--SAIDS..................  ...............        5,000,000        5,000,000
                                                              --------------------------------------------------
      Total, Increase Number of Flights Handled by Airports..      652,163,503      663,578,300      689,778,300
                                                              ==================================================
    Next Generation Very High Frequency Air/Ground                  65,670,350       85,850,000       85,850,000
     Communications System (NEXCOM)..........................
    En Route Automation Program..............................       70,588,175      173,900,000      223,575,000
    Weather and Radar Processor (WARP).......................       13,511,600        8,500,000        8,500,000
    Long Range Radar Sustainment.............................        7,451,250  ...............  ...............
                                                              --------------------------------------------------
      Total, Improve Routing Efficiency for Flights En Route.      157,221,375      268,250,000      317,925,000
                                                              ==================================================
      ATOMS Local Area/Wide Area Network.....................        1,092,850        1,100,000        1,100,000
    NAS Management Automation Program (NASMAP)...............          993,500        1,200,000        1,200,000
                                                              --------------------------------------------------
      Total, Overall NAS Efficiency Improvement..............        2,086,350        2,300,000        2,300,000
                                                              ==================================================
      Total Category 2, Efficiency Programs..................      811,471,228      934,128,300    1,010,003,300
                                                              ==================================================
Category 3, Increase Capacity of the NAS:
    Navigation and Landing Aids..............................      327,134,713      222,700,000      278,835,000
    Oceanic Automation System................................       86,831,900       69,000,000       69,000,000
    Gulf of Mexico Offshore Program..........................        2,285,050  ...............  ...............
    Voice Switching and Control System (VSCS)................       13,909,000       32,800,000       32,800,000
    Instrument Approach Procudures Automation (IAPA).........  ...............        4,000,000        4,000,000
    Aircraft Fleet Modernization.............................       14,902,500  ...............  ...............
    Transponder Landing Systems..............................       17,883,000  ...............        6,300,000
                                                              --------------------------------------------------
      Total, Capacity Programs...............................      445,063,163      328,500,000      390,935,000
                                                              ==================================================
Category 4, Improve Reliability of the NAS:
    Guam Center Radar Approach Control (CERAP)--Relocate.....        4,967,500        2,600,000        2,600,000
    Terminal Voice Switch Replacement/Enhancement Terminal          14,107,700       12,000,000       18,500,000
     Voice Switch............................................
    Airport Cable Loop Systems--Sustained Support............        5,464,250        5,000,000        6,500,000
                                                              --------------------------------------------------
      Total, Replace Terminal Equipment to Prevent Decreased        24,539,450       19,600,000       27,600,000
       Performance...........................................
                                                              ==================================================
    En Route Automation Program..............................      149,025,000      173,800,000  ...............
    ARTCC Building Improvements/Plant Improvements...........       34,772,500       34,200,000       34,200,000
    Air Traffic Management (ATM).............................       24,340,750       29,000,000  ...............
                                                              --------------------------------------------------
      Total, Replace En Route Equipment to Prevent Decreased       208,138,250      237,000,000       34,200,000
       Performance...........................................
                                                              ==================================================
    Critical Telecommunication Support.......................          993,500        1,500,000        1,500,000
    FAA Telecommunications Infrastructure....................       41,727,000       51,200,000       51,200,000
    Air/Ground Communication Infrastructure..................       22,651,800       24,100,000       24,100,000
    Voice Recorder Replacement Program (VRRP)................        4,967,500        3,300,000        3,300,000
    NAS Infrastructure Management System (NIMS)..............       15,896,000       22,100,000       22,100,000
    Flight Service Station (FSS) Modernization...............        5,662,950        5,800,000        5,800,000
    FSAS Operational and Supportability Implementation System       19,581,885       19,710,000       19,710,000
     (OASIS).................................................
    Weather Message Switching Center Replacement (WMSCR).....        1,987,000        1,500,000        1,500,000
    Flight Service Station Switch Modernization..............       13,114,200        5,400,000        5,400,000
    Alaskan NAS Interfacility Communications System (ANICS)..        3,974,000          900,000          900,000
    Electrical Power Systems--Sustain/Support................       44,707,500       51,000,000       45,000,000
    NAS Recovery Communications (RCOM).......................        9,338,900       12,000,000       11,600,000
    Aeronautical Center Infrastructure Modernization.........       11,623,950       13,000,000       11,700,000
    Frequency and Spectrum Engineering.......................        2,583,100        3,600,000        2,600,000
    NAS Interference, Detection, Location and Mitigation.....  ...............        1,000,000  ...............
                                                              --------------------------------------------------
      Total, Replace Supporting Systems that Impact Overall        198,809,285      216,110,000      206,410,000
       NAS Performance.......................................
                                                              ==================================================
      Total, Reliability Programs............................      431,486,985      472,710,000      268,210,000
                                                              ==================================================
Category 5, Improve the Efficiency of Mission Support:
    NAS Improvement of System Support Laboratory.............        2,682,450        2,700,000  ...............
    Technical Center Facilities..............................       11,922,000       14,000,000        3,300,000
    Technical Center Building and Plant Support..............        2,980,500        3,500,000        3,500,000
    En Route Communications and Control Facilities                   1,299,448        1,203,390        1,203,390
     Improvements............................................
    DOD/FAA Facilities Transfer..............................        3,179,200        1,200,000        3,250,000
    Terminal Communications--Improve.........................        1,241,180        1,012,000          112,000
    Flight Service Facilities Improvement....................        1,215,289        1,276,890          476,890
    Navigation and Landing Aids--Improve.....................        5,001,299        5,929,420        5,929,420
    FAA Buildings and Equipment..............................       10,928,500       11,200,000       11,200,000
    Air Navigational Aids and ATC Facilities (Local Projects)        2,086,350        2,200,000        2,200,000
    Computer Aided Engineering and Graphics (CAEG)                   2,781,800        2,000,000        1,000,000
     Modernization...........................................
    Information Technology Integration.......................        1,589,600        1,600,000        1,600,000
    Operational Data Management System (ODMS)--NAIMES........        2,980,500       10,300,000       10,300,000
    Logistics Support Systems and Facilities (LSSF)..........        4,967,500        5,000,000        5,000,000
    Test Equipment--Maintenance Support for Replacement......        1,688,950        4,000,000        4,000,000
    Facility Security Risk Management........................       24,837,500       41,600,000       36,900,000
    Information Security.....................................        7,948,000       11,500,000       11,500,000
    Distance Learning........................................        1,291,550        1,400,000        1,400,000
    National Airspace System (NAS) Training Facilities.......        2,285,050        4,200,000        4,200,000
    System Engineering and Development Support...............       23,645,300       28,300,000       25,800,000
    Program Support Leases...................................       36,163,400       41,100,000       41,100,000
    Logistics Support Services (LSS).........................        7,451,250        7,900,000        7,900,000
    Mike Monroney Aeronautical Center--Leases................       14,505,100       14,600,000       14,600,000
    In-Plant NAS Contract Support Services...................        2,881,150        2,800,000  ...............
    Transition Engineering Support...........................       34,772,500       39,800,000       35,000,000
    FAA Corporate Systems Architecture.......................          993,500        1,000,000  ...............
    Technical Support Services Contract (TSSC)...............       41,428,950       47,600,000       46,700,000
    Resource Tracking Program (RTP)..........................        2,483,750        3,600,000        3,600,000
    Center for Advanced Aviation System Development..........       80,835,134       90,800,000       82,000,000
    Operational Evolution Plan (OEP).........................          993,500        2,000,000       26,000,000
                                                              --------------------------------------------------
      Total, Increase Efficiency of Investment Management....      339,060,200      405,321,700      389,771,700
                                                              ==================================================
    NAS Facilities OSHA and Environmental Standards                 28,215,400       28,300,000       28,300,000
     Compliance..............................................
    Fuel Storage Tank Replacement and Monitoring.............        8,444,750        5,600,000        7,500,000
    Hazardous Materials Management...........................       20,366,750       19,000,000       19,000,000
                                                              --------------------------------------------------
      Total, Minimize Enviornmental Impact of Aviation              57,026,900       52,900,000       55,600,000
       Facilities............................................
                                                              ==================================================
      Category 5 Total.......................................      396,087,100      458,221,700      445,371,700
Category 6, PCB&T;:
    Personnel and Related Expenses...........................      402,024,981      448,540,000      435,480,000
                                                              --------------------------------------------------
      Category 6 Total.......................................      402,024,981      448,540,000      435,480,000
                                                              --------------------------------------------------
      Subtotal...............................................    2,951,710,408    2,916,000,000    2,816,000,000
    NAS Handoff-Transfer to Operating Expenses/Accountwide           9,934,949  ...............  ...............
     Adjustment..............................................
    Airport grants...........................................  ...............  ...............      100,000,000
                                                              --------------------------------------------------
      TOTAL FACILITIES AND EQUIPMENT.........................    2,961,645,357    2,916,000,000    2,916,000,000
----------------------------------------------------------------------------------------------------------------

                        IMPROVE AVIATION SAFETY

    Terminal Business Unit--Terminal Doppler Weather Radar 
[TDWR].--The Committee recommendation provides $2,700,000 for 
procurement of spare antenna drive motors, elevation drive 
bearings and additional replacement part costs. The $4,500,000 
requested for initiation of the service life extension program 
is denied without prejudice pending a more detailed 
articulation of the projected out-year costs.
    Terminal Business Unit--Airport Surface Detection 
Equipment--Model X [ASDE-X].--The Committee recommends 
$93,000,000 for procurement of 10 ASDE-X production systems, a 
reduction of $21,400,000 from the budget request. The Committee 
is concerned that this procurement's cost per unit as reflected 
in the budget request has grown by over 30 percent above the 
fiscal year 2003 requested level. The cost per production unit 
of this `low-cost' system is headed in the wrong direction over 
a fiscal year 2003 production cost that was already too high. 
The Committee recommendation provides growth over the fiscal 
year 2003 enacted level consistent with the negotiated 
inflation rate associated with the underlying contract. The 
reductions the program can be accommodated in activity tasks 1, 
2, and 5.
    Terminal Business Unit.--The Committee recommendation 
includes an increase of $800,000 for installation and 
calibration of two remote transmitter/receiver sites at Las 
Vegas-McCarran International Airport.
    Aviation Weather Services Improvements.--The Committee 
recommends an additional $4,000,000 to continue wake turbulence 
research that utilizes pulsed laser Doppler radar technology 
and $5,000,000 to expand the weather camera monitoring system 
in Alaska.
    Low Level Wind Shear Alert System [LLWAS]--Upgrade/
Sustain.--The Committee recommendation provides $2,700,000, a 
reduction of $1,200,000 below the budget request for this 
project. No funds are provided for activity task 2 which can be 
accommodated out of Operations funding.
    Aviation Safety Analysis System [ASAS].--The Committee 
recommendation reduces the request for ASAS by 50 percent. 
These activities are more appropriately funded out of the 
Operations account. The Committee expects that these activities 
will be requested in Operations in subsequent fiscal years.
    Integrated Flight Quality Assurance.--The Committee 
recommends $500,000 for this budget item, the same level 
appropriated in fiscal year 2003.
    Systems Approach for Safety Oversight.--The Committee 
recommendation denies the requested funding without prejudice 
and would consider a reprogramming request from within the 
funding for FAA Operations for this budget item.
    Aviation Safety Knowledge Management Environment [ASKME].--
The Committee recommendation denies the request for this new 
initiative as an activity appropriately funded out of the FAA 
Operations account.
    Advanced Technology Development and Prototyping.--The 
Committee recommends $29,600,000 for these research activities. 
No funding is provided in this budget item for activity tasks 
4, 7, 10, and 13 which are more appropriately funded out of the 
Operations account. In addition, the Committee has provided 
$3,500,000 for the demonstration of a prototype rapid response 
capability to transmit flight data from a commercial type 
aircraft using data management and communications equipment 
already installed on most modern commercial aircraft through 
software modifications. The recommendation includes $6,000,000 
to continue the wind profiling and associated weather 
activities for Juneau, Alaska. The recommended funding level 
includes $8,500,000 for the cabin air quality demonstration 
program which implements key civilian aircraft safety plans 
developed by the Airliner Cabin Environment Response Team at 
the FAA to identify, analyze, and study incidents of cabin air 
contamination associated with typical flight operations 
monitored with onboard sensors and demonstrate decontamination 
of aircraft by adapting proven technologies such as vapor 
hydrogen peroxide. Of the funding for air cabin air quality 
demonstration, $3,750,000 shall support operational activities 
related to testing and validating decontamination procedures 
and technologies at the Center for Domestic Preparedness. The 
Committee recommendation also provides $7,500,000 to 
demonstrate Pulsed Fast Neutron Analysis [PFNA] non-intrusive 
inspection of air cargo at George Bush Intercontinental 
Airport.
    Airport Technology Research.--The budget request included 
$15,000,000 for airport technology research within the 
limitation for ``Grants-in-Aid for Airports'' and that funding 
is provided within this budget item because research is not an 
authorized use of airport improvement funds. Within the amount 
provided, $1,000,000 is for the deployment of lithium 
technologies to prevent and mitigate alkali-silica reactivity. 
Of the additional funds provided for airport technology 
research, $4,000,000 is to continue the airfield pavements 
research program and to expand the scope of pavement research 
to include asphalt, and $1,500,000 is to continue an evaluation 
of the runway obstruction warning system at Gulfport-Biloxi 
Airport.
    Aircraft Related Equipment Program.--The Committee 
recommends $9,200,000 for the Aircraft Related Equipment 
Program. Funding is not provided for activity tasks 1 and 5.
    Volcano Monitoring.--The Committee recommendation includes 
$4,000,000 for volcano monitoring, which is $1,000,000 more 
than amount appropriated in fiscal year 2003.

        IMPROVE THE EFFICIENCY OF THE AIR TRAFFIC CONTROL SYSTEM

    Terminal Business Unit--Airport Traffic Control 
Facilities--Replace.--The Committee recommendation includes 
$138,700,000 for new and replacement facilities. The Committee 
recommendation includes funding for the following Air Traffic 
Control Tower [ATCT] and ATCT/TRACON consolidation projects:

------------------------------------------------------------------------

------------------------------------------------------------------------
Atlanta, GA.............................................      $4,159,909
Cleveland, OH...........................................       4,000,000
Morristown, NJ..........................................       1,300,000
Dayton, OH..............................................         975,000
Wilkes Barre, PA........................................         920,000
Oshkosh, WI.............................................         385,000
Toledo, OH..............................................         975,000
Abilene, TX.............................................       1,760,000
Cahokia, IL.............................................         625,000
Memphis, TN.............................................       5,000,000
Baltimore, MD...........................................         600,000
Deer Valley, AZ.........................................       5,658,300
Oakland, CA.............................................      21,636,600
Manchester, NH..........................................       8,300,000
St. Louis, MO...........................................       1,195,500
Dallas, TX..............................................       2,005,000
Reno, NV................................................       2,000,000
Seattle, WA [ATCT]......................................       2,000,000
Fort Wayne, IN..........................................       1,220,000
Newark, NJ..............................................         500,000
Pt. Columbus, OH........................................         700,000
Billings, MT............................................       3,000,000
Savannah, GA............................................       1,000,000
Newburgh, NY............................................       1,500,000
Richmond, VA............................................       1,000,000
Vero Beach, FL..........................................         750,000
Everett, WA.............................................       2,000,000
Roanoke, VA.............................................       1,500,000
Merrimack, NH...........................................       3,217,700
Seattle, WA [TRACON]....................................       5,280,000
Phoenix, AZ.............................................       3,027,000
Warrenton, VA...........................................       4,110,000
Chantilly, VA...........................................       4,500,000
Topeka, KS..............................................       1,500,000
Newport News, VA........................................       2,000,000
Battle Creek, MI........................................       1,000,000
Mathis, CA..............................................       4,300,000
Spokane, WA.............................................       6,000,000
Provo, UT...............................................       1,000,000
Missoula, MT............................................       4,000,000
Boise, ID...............................................       4,000,000
Las Vegas, NV...........................................       4,000,000
Las Cruces, NM..........................................       1,100,000
Traverse City, MI.......................................       2,000,000
Huntsville, AL..........................................       8,000,000
Long Island, NY.........................................       1,000,000
Palm Beach Couny, FL....................................       2,000,000
------------------------------------------------------------------------


    Morristown, NJ Tower Replacement.--The Committee is 
concerned that the FAA has not adhered to direction it received 
from the fiscal year 2001 conferees concerning the construction 
of a replacement air traffic control tower in Morristown, NJ. 
The existing tower continues to deteriorate, and it is critical 
that construction of the replacement facility be undertaken 
expeditiously. Specifically, the FAA was provided $2,500,000 in 
the fiscal year 2001 conference committee report to be applied 
to the construction of a replacement air traffic control tower, 
and was directed to enter into an agreement with the airport to 
reimburse the airport over the next several years for 
construction of the tower. We understand that FAA has only 
obligated approximately $500,000 of the $2,500,000 provided, 
which it has applied toward site and design work for the tower. 
Although the site and design work is nearly completed, FAA 
apparently has not established concrete plans to immediately 
proceed with tower construction. The Committee is disappointed 
that FAA has not addressed this project in a more timely 
manner, and expects construction to be initiated shortly. If 
entering into a reimbursable agreement has contributed to the 
agency's delay or would be expected to create additional delay 
in starting construction, the FAA should undertake the 
construction directly. The Committee also expects the FAA to 
report to the House and Senate Committees on Appropriations by 
December 1, 2003, with the projected tower construction 
schedule, including specific milestones to be accomplished.
    Terminal Business Unit--Airport Traffic Control Tower 
[ATCT]/Tracon Facilities--Improve.--The Committee 
recommendation includes $45,500,000 for ATCT improvements, of 
which $7,000,000 is for facilities upgrades required to deploy 
STARS. The reduction of the STARS deployment funding is 
manageable given the schedule delays to the STARS waterfall. In 
addition, the Committee recommendation includes funding for the 
projects listed below:

------------------------------------------------------------------------

------------------------------------------------------------------------
Des Moines, IA....................  Install loading dock        $272,030
Waterloo, IA......................  Install new tower            172,414
                                     cab consoles.
Erie, PA..........................  STARS Modernize,           1,204,104
                                     Scope II.
Burlington, VT....................  Replace HVAC                 370,315
                                     equipment.
Raleigh, NC.......................  Modernize tower,             220,000
                                     Phase I.
Jacksonville, FL..................  Expand base                  880,000
                                     building, Phase I.
Brownsville, TX...................  engineering and              299,450
                                     drafting.
DAL-Ft. Worth, TX.................  Modernize Ops areas,         110,000
                                     Phase I.
Camarillo, CA.....................  In-service upgrade           603,064
                                     to tower cab.
Lancaster, CA.....................  In-service upgrade           395,637
                                     to tower cab.
Santa Barbara, CA.................  Provide 2 new                550,000
                                     positions.
Denver, CO (TRACON)...............  Correct structural         3,400,000
                                     problems.
AGL various.......................  Various projects....         144,000
AEA various.......................  Various projects....         117,000
ASW various.......................  Various projects....         108,000
74 TRACON's and/or associated ATCT  Fiscal year 2006           5,000,000
                                     STARS installation
                                     design.
Sarasota, FL......................  Replace HVAC and             828,300
                                     modernize facility,
                                     Phase II.
Bellevue, NE......................  Replace hydronic             246,532
                                     water pumps.
St. Louis, MO.....................  Replace consoles....         550,000
Burlington, VT....................  Extend east wall of          255,750
                                     base building.
Falmouth, MA......................  Modernize operating          311,410
                                     quarters.
Daytona Beach, FL.................  Expand base                  506,000
                                     building, Phase I.
AAL various.......................  Various projects....          27,000
DAL-Ft. Worth, TX.................  Modernize Ops areas,         220,000
                                     Phase I.
DAL-Ft. Worth, TX.................  Modernize Ops areas,         110,000
                                     Phase I.
Van Nuys, CA......................  In-service upgrade           196,592
                                     to tower cab.
Scottsdale, AZ....................  Rehab consoles, new          220,400
                                     a/c & water heater.
Camp Springs, MD (Andrews AFB)....  Redesign                   2,283,300
                                     administrative
                                     space, Phase II.
Kenai, AK.........................  Modernization.......         940,942
AWP various.......................  Various projects....         162,000
ACE various.......................  Various projects....          45,000
ASO various.......................  Various projects....         171,000
ANE various.......................  Various projects....          45,000
ANM various.......................  Various projects....          81,000
Anchorage, AK.....................  Tower cab                    151,200
                                     modification.
Fairbanks, AK.....................  Tower cab                     74,700
                                     modification.
Central Region....................  Continue carpet              107,760
                                     replacement.
Cedar Rapids, IA..................  Smoking room with              6,650
                                     ventilation.
Morgantown, WV....................  Paint and seal               116,750
                                     exterior.
Milwaukee, WI.....................  Replace base                  81,000
                                     building roof.
Huntington, WV....................  Install radar scope.          99,500
Lancaster, PA.....................  Communication switch          19,950
Sioux Falls, SD...................  Renovate third floor          62,675
                                     conference room.
Providence, RI....................  Replace duct system.         100,550
Portland, OR......................  Repace center                 60,220
                                     console.
Salt Lake City, UT................  Replace card swipe            17,600
                                     system.
Lincoln, NE.......................  LLWAS to IDS                  27,500
                                     interface.
W. Palm Beach, FL.................  Add ops position....         303,804
Baton Rouge, LA...................  Install remote start         275,875
                                     capability.
DAL-Ft. Worth, TX.................  Replace roof........          88,810
Western Pacific...................  Various projects....         100,000
Scottsdale, AZ....................  Replace tower a/c...         185,356
Anchorage, AK.....................  Install                       66,027
                                     humidification
                                     system.
Wichita, KS.......................  Data display system.          57,325
Omaha, NE.........................  Renovate elevator              2,200
                                     lobby.
Albany, NY........................  Procure 2 SAIDS               52,840
                                     displays.
Houma, LA.........................  Paint exterior......         107,050
Jacksonville, FL..................  Replace elevator....          84,478
Parkersburg, WV...................  Lighting, carpeting,          34,800
                                     ceiling
                                     improvements.
Charlottesville, VA...............  Data display system.          11,600
Chicago, IL.......................  Repair outside               299,000
                                     louvers on roof.
Charleston, SC....................  Replace elevator....          84,478
Yakima, WA........................  Replace transformer/          74,200
                                     breaker panel.
New Orleans, LA...................  Data displays.......          17,400
New Orleans, LA...................  HVAC replace........         224,600
Las Vegas, NV.....................  Replace 3 a/c units.          54,902
Tucson, AZ........................  Rehab restroom......         179,400
Napa, CA..........................  Replace a/c system..          74,500
Long Beach, CA....................  Move wall...........          73,600
------------------------------------------------------------------------

    Terminal Business Unit--Terminal Digital Radar (ASR-11).--
The Committee recommendation for the ASR-11 radar provides 
$75,000,000, a reduction of $25,000,000 from the budget 
request. The Committee is alarmed at the continued difficulty 
in this program and will consider further reductions to this 
budget item unless a compelling recovery plan is submitted. 
Furthermore, the Committee continues to be concerned about the 
lack of radar coverage around central Oregon; Jackson Hole, 
Wyoming; and Eagle County, Colorado and directs the 
Administrator to provide to the Committee a process and 
timetable for addressing these radar gaps.
    Terminal Business Unit--Airport Surveillance Radar (ASR-
9).--The Committee provides $24,000,000 for the ASR-9/Mode S 
Service Life Extension Program [SLEP], which is $8,050,000 more 
than the budget request of $15,950,000 to accelerate this 
program. The Committee notes that the FAA has made good use of 
previously appropriated funds to complete an ASR-9/Mode S 
Service Life Extension Design Study and a prototype proof of 
design system. The Committee also notes the ASR-9/Mode S 
systems are extremely critical to aviation operations and to 
homeland security as these high performance assets are deployed 
at the most important airports in the NAS in major metropolitan 
areas. Several recent failures, with associated delays of 
hundreds of flights, have shown the importance of accelerating 
this modernization program. The Committee encourages the FAA to 
use the flexibility inherent in the AMS to make a Full Scale 
Development and Production award of the ASR-9/Mode S SLEP.
    Terminal Business Unit--Terminal Applied Engineering.--The 
Committee recommendation provides $8,200,000 for this program, 
the same level provided in fiscal year 2003.
    Terminal Business Unit--New York Integrated Control 
Complex.--The Committee recommendation includes $5,000,000 for 
completion of the economic analysis, environmental assessments, 
and engineering and design studies.
    Terminal Business Unit--Precision Runway Monitors [PRM].--
The PRM system allows simultaneous independent approaches on 
closely spaced parallel runways which enables airports to 
reduce potential delays during adverse weather conditions. The 
Committee has included $6,000,000 for the PRM program, which is 
$5,000,000 more than the budget request, to continue the 
deployment plan that was articulated by the Committee in fiscal 
year 2003.
    Terminal Business Unit--Automated Technical Support 
System.--The Committee provides $3,000,000 to develop, build 
and test an automated technical documentation pilot program for 
the Air Route Surveillance Radar [ARSR-4]. The pilot program 
should develop a clearly defined specification for 
troubleshooting; provide easy to use graphical user interface 
defined by user-driven queries; and create intelligent link 
data that ties the system logic to troubleshooting and 
diagnostics.
    Aeronautical Data Link [ADL] Applications.--The Committee 
recommendation provides $13,000,000 for this program to cover 
termination costs and sustain prototyping activities at the 
Miami test site. In addition, the Committee is very concerned 
by the FAA's cancellation of the program after spending almost 
$300,000,000 and routinely estimating the capacity and 
efficiency benefits at over $330,000,000 per year. The 
Committee encourages the Inspector General to look into the 
circumstances leading to the program termination, whether any 
of the work to this point is salvageable, and what controls 
could have been put into place to avoid a program failure of 
this type.
    Free Flight Phase 2.--The Committee recommendation provides 
$105,100,000 for free flight phase 2, fully funding activity 
tasks 1, 3, 4 and 5.
    Air Traffic Management [ATM].--The Committee recommendation 
provides $37,500,000, the same level provided in fiscal year 
2003. Funding for air traffic management that was requested in 
Category 4 has been included under this budget item.
    Information Display System [IDS]--Flight Service Station.--
The Committee recommendation does not include funding for this 
budget item due to inadequate justification and inconsistency 
with a completely automated flight service station system 
solution.
    Next Generation VHF Air/Ground Communications System 
[NEXCOM].--The Committee recommendation includes the full 
requested amount for this budget item, but notes that the 
budget justification for this item is exceptionally weak and 
the outyears costs are significant. The Committee 
recommendation for full funding may prove unsustainable without 
a more robust and compelling justification.
    En Route Automation Program [ERAM].--The Committee 
recommendation includes $223,575,000 for the budget items for 
en route automation modernization, which represents a 215 
percent increase over the fiscal year 2003 enacted level of 
$71,050,000. The FAA currently projects this program to cost 
$2,100,000,000 and be complete by 2010. Without question, ERAM 
is one of the most expensive, software-intensive acquisitions 
FAA has embarked on since the ill-fated Advanced Automation 
System. The program has already been designated as a high risk 
effort by the Department of Transportation Inspector General.
    The Committee is disappointed that FAA's budget request for 
ERAM provides insufficient details for a program of this 
importance and magnitude. As a condition for funding, the 
Committee expects the fiscal year 2005 budget justification to 
include a detailed explanation of specific ERAM tasks and the 
associated costs to complete each task breaking out the 
individual program elements and including milestones and 
timelines for ERAM, En Route Communications Gateway [ECG], and 
PAMRI, at a minimum.
    Given the FAA's traditional difficulty with complex, 
software-related acquisition programs, the Committee is 
concerned about the potential for dramatic cost escalation if 
the program is not managed effectively. Accordingly, the 
Committee directs the FAA to provide a cost constrained project 
plan for the procurement to the Committee with the fiscal year 
2005 budget request. Finally, the Committee directs the 
Department of Transportation Inspector General to examine the 
FAA's plan to provide new en route automation equipment within 
current cost and schedule parameters, assess whether or not 
FAA's procurement strategy is executable, and identify major 
risks to implementing ERAM.

           INCREASE CAPACITY OF THE NATIONAL AIRSPACE SYSTEM

    Navigation and Landing Aids--Loran-C.--The Committee 
recommendation includes $20,000,000 to continue the 
modernization of the Loran-C system, which is $5,000,000 less 
than the fiscal year 2003 enacted level.
    Navigation and Landing Aids--Wide Area Augmentation System 
[WAAS].--The Committee recommendation provides $107,100,000 for 
WAAS, $13,200,000 below the budget request. The Committee notes 
that the current estimated cost of the program is almost six 
times the initial estimated cost. No funding is provided for 
Activity Tasks 2 and 4. The Committee is also concerned by the 
sizeable outyear costs and the lack of justification for 
Activity Task 3 ATS enhancements. The Committee will continue 
to review this program pending conference Committee action and 
directs the FAA to provide a revised program cost estimate 
consistent with the concern raised in the Department of 
Transportation Inspector General's Status of FAA Major 
Acquisitions report.
    Navigation and Landing Aids--Instrument Landing Systems.--
The Committee recommendation provides funding for the following 
projects:

------------------------------------------------------------------------

------------------------------------------------------------------------
Baraboo-Wisconsin Dells, WI.............................        $375,000
Baton Rouge Municipal, LA...............................         500,000
Cincinnati/North Kentucky Int, OH.......................       1,500,000
Craig SPB, AK...........................................       2,000,000
Eagle County Regional, CO...............................       2,000,000
Eagle River Union, WI...................................         625,000
Eastern Iowa, IA........................................       1,500,000
Gadsden Muncipal, AL....................................       2,000,000
Logan-Cache, UT.........................................       2,000,000
McCook Municipal, NE....................................         910,000
North Little Rock Muncipal, AR..........................       1,200,000
O'Hare International, IL................................       1,500,000
Olive Branch, MS........................................         850,000
Sumter Municipal, SC....................................       1,500,000
Western Nebraska Regional/William B Helig Field, NE.....       1,000,000
------------------------------------------------------------------------


    Navigation and Landing Aids--Transponder Landing Systems.--
The Committee recommendation provides funding for the following 
projects:

------------------------------------------------------------------------

------------------------------------------------------------------------
Glasgow Muncipal, KY....................................      $2,100,000
Palm Springs, CA........................................       2,100,000
Steamboat Springs, CO...................................       2,100,000
------------------------------------------------------------------------


    Navigation and Landing Aids--Approach Lighting System 
Improvement Program [ALSIP].--The Committee includes 
$14,200,000, as requested, for the installation of High 
Intensity Approach Lighting System with Sequenced Flashing 
Lights [ALSF-2) and Medium Intensity Approach Lighting System 
with Runway Alignment Indicators Lights [MALSR] and recommends 
an increase of $5,000,000 for continued procurement of MALSR 
systems. The Committee recommends that the FAA continue to 
procure the latest equipment that has been approved for use in 
the National Areospace System [NAS].
    In addition, the Committee recommendation includes funding 
for the following projects:

------------------------------------------------------------------------

------------------------------------------------------------------------
Alaska statewide rural lighting     airfield lighting...       8,000,000
 (phase III).
Bessmer Regional, AL..............  lights and                   250,000
                                     navigation aids.
Cleveland Hopkins International     Precision Approach           175,000
 Airport, OH.                        Path Indicators
                                     [PAPI].
False Pass, AK....................  navigational               2,000,000
                                     lighting.
Green County Regional, GA.........  MALSR...............        $250,000
Hartsfield Atlanta International,   ALSF-2 approach            2,000,000
 GA (5th runway).                    lighting system.
Rhode Island Airport Corporation..  REIL and PAPI.......       2,500,000
Seattle-Tacoma International        Approach lighting          9,700,000
 Airport, WA (third runway).......   for runway 16......
------------------------------------------------------------------------


    Funding provided for the Alaska statewide airfield lighting 
initiative may also be used to acquire and install laser 
lights, upon certification by the FAA.
    Navigation and Landing Aids--Distance Measuring Equipment 
[DME].--Consistent with the budget justification, the Committee 
recommendation includes $4,000,000 for the procurement and 
installation of distance measuring equipment. The funding level 
included by the Committee will allow the FAA to procure and 
install commercial off-the-shelf DME electronic equipment at 
roughly 36 facilities. The Committee encourages the 
Administrator to install this updated safety equipment at Rice 
Lake Regional Airport in Wisconsin.
    Oceanic Automation System [OAS].--The Committee 
recommendation includes $69,000,000 for the Oceanic Automation 
System procurement. The Committee continues to be concerned 
with the cost and risk of the program and notes significant 
requested funding for Oceanic-related activities elsewhere in 
this account, which is generally an indication of cost 
containment problems in the central procurement activity. The 
Committee requests the Inspector General to conduct an audit of 
this procurement and to provide a comparison of the FAA's 
experience to date in pursuit of this capability (cost, 
schedule, performance specification modifications) to the 
NavCanada experience.

          IMPROVE RELIABILITY OF THE NATIONAL AIRSPACE SYSTEM

    Terminal Voice Switch Replacement [TVSR]/Enhanced Terminal 
Voice Switch [ETVS].--The Committee recommendation provides 
$18,500,000 for the TVSR/ETVS procurement. The additional 
funding of $6,500,000 is provided to accelerate deployment of 
this critical element of the NAS infrastructure. While the 
Committee notes that overall FAA budget constraints may have 
hampered this effort and resulted in the original deployment 
schedule being far behind expectations, the Committee believes 
the FAA has made good use of previously appropriated funds to 
address the original mandate for the replacement of all 421 
obsolete and unsupportable electro-mechanical voice switching 
systems in the National Airspace System [NAS]. Furthermore, the 
Committee encourages the FAA to use the flexibility inherent in 
existing TVSR contract vehicles to continue the ongoing 
deployment of TVSR systems to accomplish its original 
deployment goals.
    Airport Cable Loop Systems.--The Committee recommendation 
includes $1,500,000 for acquisition and installation of a fiber 
optic loop at Las Vegas-McCarran International Airport.
    FAA Telecommunications Infrastructure [FTI].--The Committee 
recommendation includes the full request for FTI form 
Facilities and Equipment funds. However, the Committee notes 
that as the FTI solution is implemented, this cost, for on-
demand service, should come from the Operations account.
    Electrical Power Systems--Sustain/Support.--The Committee 
recommendation provides $45,000,000, essentially the same 
amount as the fiscal year 2003 enacted level. The recommended 
level includes the full amount requested for activity task 1.
    National Airspace System [NAS] Recovery Communications 
[RCOM].--The Committee recommendation provides $11,600,000 
consistent with the justification.
    Aeronautical Center Infrastructure Modernization.--The 
Committee recommendation provides $11,700,00, the same level 
provided in fiscal year 2003.
    Frequency and Spectrum Engineering.--The Committee 
recommendation provides $2,600,000, the same level provided in 
fiscal year 2003.
    NAS Interference, Detection, Location and Mitigation.--The 
Committee recommendation does not include funding for this new 
budget initiative. This activity is more appropriately funded 
under Research, Engineering, and Development or the FAA 
Operations account.

               IMPROVE THE EFFICIENCY OF MISSION SUPPORT

    NAS Improvement of System Support Laboratory.--The 
Committee recommendation denies this request in order to fund 
higher priority items.
    FAA William J. Hughes Technical Center Facilities.--The 
Committee recommends $3,300,000 for Activity Tasks 1 and 4. 
Activity Tasks 2 and 3 are operations and maintenance 
activities. The Committee expects these items to be funded in 
operations.
    DOD/FAA ATC Facilities Transfer.--The Committee 
recommendation includes $3,250,000. Funding provided above the 
budget increase is for necessary improvements and continued 
operations of the airport radar approach control at Lawton/Fort 
Sill Regional Airport in Oklahoma.
    Terminal Communications--Improve.--The Committee 
recommendation provides the requested funding for Activity 
Tasks 1 and 2. Activity Task 3 is more appropriately budgeted 
and requested in the Operations account.
    Flight Service Facilities Improvements.--The Committee 
recommendation provides $476,890 for Activity Task 1.
    Computer Aided Engineering and Graphics [CAEG] 
Modernization.--The Committee recommendation provides 
$1,000,000 for this budget item, which should provide more than 
ample funds to procure fourteen new servers, consistent with 
the request.
    Facility Security Risk Management.--The Committee 
recommendation of $36,900,000 fully funds Activity Tasks 1, 2, 
3, and 4 and provides $4,700,000 for program management.
    System Engineering and Development Support.--The Committee 
recommendation provides $25,800,000, which is $2,200,000 more 
than the level appropriated in fiscal year 2003.
    In-Plant NAS Contract Support Services.--The Committee 
recommendation denies funding for this budget item. The 
contract support services should either be allocated to the 
individual budget item lines to better reflect the cost of the 
program or to the Operations account. The Committee will 
consider information from the FAA as to the most appropriate 
funding source for conference committee consideration.
    Transition Engineering Support.--The Committee 
recommendation provides $35,000,000, the same level that was 
provided in fiscal year 2003.
    FAA Corporate System Architecture.--The Committee 
recommendation denies funding for this request. This budget 
item is more appropriately funded in the Operations account.
    Technical Support Services Contract [TSSC].--The Committee 
recommendation provides $46,700,000 for this budget item, which 
represents $5,300,000 more than the level appropriated in 
fiscal year 2003.
    Center for Advanced Aviation System Development [CAASD].--
The Committee recommendation provides $82,000,000 for this 
budget item, a slightly higher support level than appropriated 
in the fiscal year 2003 bill.
    Operational Evolution Plan [OEP].--The Committee recommends 
$26,000,000 for the operational evolution plan. The Committee 
recommendation includes $1,000,000 for the contractor labor 
supported requested in this budget item, the same level 
appropriated for this activity in fiscal year 2003. The 
Committee also provides $25,000,000 to continue the Global 
Communication, Navigation, and Surveillance Systems initiative 
beyond the current fiscal year.
    As the FAA continues to implement and modify the OEP, the 
Committee encourages the FAA to examine enhancements for 
general aviation operations in the OEP. This could include 
charted visual flight rule access routes for operations in 
Class B airspace, airport infrastructure improvements, which 
provide improved all weather access at airports through 
instrument approach lighting systems, instrument approach 
runway markings, parallel taxiways, obstruction removal (trees 
etc), instrument approach surveys for precision approaches 
based on satellite navigation and where applicable, runway 
extensions.
    Fuel Storage Replacement and Monitoring.--The Committee 
recommends $7,500,000, which is $1,900,000 more than the budget 
request.
    Personnel and Related Expenses.--The Committee 
recommendation provides $435,480,000 and notes that the 
reduction from the budget estimate can be accommodated through 
responsible management of P, C, & B for direct labor costs from 
other parts of the FAA, travel costs, and within the 
annualization and inflation allotments. In addition, the 
Committee recommendation includes $2,400,000 for the personnel 
costs associated with the airport advanced technology 
development and prototyping funding included in Activity 1.

                 RESEARCH, ENGINEERING, AND DEVELOPMENT

                    (AIRPORT AND AIRWAY TRUST FUND)

Appropriations, 2003 \1\................................    $147,485,075
Budget estimate, 2004...................................     100,000,000
Committee recommendation................................     118,939,000

\1\ Reflects reduction of $964,925 pursuant to section 601 of Public Law 
108-7.

    This appropriation finances research, engineering, and 
development programs to improve the national air traffic 
control system by increasing its safety, security, 
productivity, and capacity. The programs are designed to meet 
the expected air traffic demands of the future and to promote 
flight safety. The major objectives are to keep the current 
system operating safely and efficiently; to protect the 
environment; and to modernize the system through improvements 
in facilities, equipment, techniques, and procedures in order 
to ensure that the system will safely and efficiently handle 
the volume of aircraft traffic expected in the future.

                        COMMITTEE RECOMMENDATION

    The Committee recommendation includes $118,939,000, for the 
FAA's research, engineering, and development activities.
    A table showing the fiscal year 2003 enacted level, the 
fiscal year 2004 budget estimate, and the Committee 
recommendation follows:

                                     RESEARCH, ENGINEERING, AND DEVELOPMENT
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                    Fiscal year
                                                                   2003 enacted     Fiscal year      Committee
                                                                        \1\        2004 estimate  recommendation
----------------------------------------------------------------------------------------------------------------
Improve Aviation Safety:
    Reduce Commercial Aviation Fatalities:
        Fire research...........................................           5,951           7,725           8,725
        Propulsion and Fuel Systems.............................           5,150             802           4,802
        Advanced Materials/Structural Safety....................           1,283           1,244           5,244
        Flight Safety/Atmospheric Hazards.......................           4,261           3,217           4,217
        Aging Aircraft..........................................          23,526          14,336          17,036
        Aircraft Catastrophic Failure Prevention................           1,809             762             762
        Flightdeck/Main/Sys Integration human factors...........           7,903           6,782           6,782
    Reduce General Aviation:
        Propulsion and Fuel Systems.............................           2,207             344           1,344
        Advanced Materials/Structural Safety....................           1,568           1,522           1,522
        Flight Safety/Atmospheric Hazards.......................           1,826           1,378           1,378
        Aging Aircraft..........................................           5,882           3,584           3,584
        Flightdeck/Main/Sys Integration human factors...........           1,854           1,612           1,612
    Aviation System Safety:
        Aviation safety risk analysis...........................           6,539           7,898           7,898
        ATC/AF human factors....................................          10,370           8,899           8,899
        Aeromedical research....................................           6,193           6,382           9,382
        Weather research safety.................................          21,101          20,852          20,852
Improve Efficiency of ATC System: Weather Research Efficiency...          11,505  ..............           3,000
Reduce Environmental Impact of Aviation: Environment and Energy.          21,612           7,975           7,975
Improve Efficiency of Mission Support:
    System planning and resource manag..........................             948           1,261             500
    Technical lab facility......................................           5,997           3,425           3,425
                                                                 -----------------------------------------------
      Total, R,E&D..............................................;         147,485         100,000         118,939
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $964,925 pursuant to section 601 of Public Law 108-7.

                        IMPROVE AVIATION SAFETY

    Fire Research and Safety.--The Committee recommends 
$8,725,000 for fire research and safety and includes $1,000,000 
for a comprehensive evaluation of advanced reticulated 
polyurethane safety foam in commercial aircraft.
    Propulsion and Fuel Systems.--The Committee recommendation 
provides a total of $4,802,000 for propulsion and fuel systems 
research to reduce commercial fatalities. The Committee 
provides $3,000,000 to study the effects of molecular markers 
designed for the purpose of detecting adulteration or dilution 
of jet fuel. The recommendation also includes $1,000,000 to 
continue the activities of the specialty metals processing 
consortium.
    Advanced Materials/Structural Safety.--The Committee 
recommends $5,244,000 for advanced materials/structural safety 
research. With the additional funds provided, $4,000,000 is to 
support and improve ongoing metallic and composite structures 
research at the National Institute for Aviation Research and 
$500,000 for advanced materials research at the University of 
Washington.
    Flight Safety/Atmospheric Hazards Research.--The Committee 
recommends $4,217,000, an increase of $1,000,000 above the 
requested funding level. The recommendation includes $1,000,000 
to continue development of in-flight simulator training for 
commercial pilots at the Roswell Industrial Center.
    Aging Aircraft.--The Committee recommendation includes a 
total of $17,036,000 for the aging aircraft program to reduce 
commercial aviation fatalities. The Committee has provided 
resources to continue the collaborative efforts between the FAA 
and several public and private organizations including the 
Center for Aviation Systems Reliability [CASR], the 
Airworthiness Assurance Center of Excellence [AACE] and the 
Engine Titanium Consortium [ETC]. Within the appropriation, the 
recommendation includes $3,000,000 for the Center for Aviation 
Systems Reliability [CASR]; $2,000,000 for the Engine Titanium 
Consortium [ETC]; $2,000,000 for the Aging Aircraft 
Nondestructive Inspection Validation Center [AANC]; and, 
$2,500,000 for the Center for Aviation Research and Aerospace 
Technology [CARAT].
    General Aviation Propulsion and Fuel Systems.--The 
Committee recommends $1,344,000 for propulsion and fuel systems 
research for general aviation. The recommended level of funding 
includes $1,000,000 for further research into the performance 
and combustion characteristics of aviation grade ethanol fuels 
at South Dakota State University.
    Aeromedical research.--The Committee recommends $9,382,000 
for aeromedical research, an increase of $3,000,000 above the 
budget request. The Committee notes that the FAA 
reauthorization bill requires the Administrator to carry out 
the studies and analysis called for in the National Research 
Council's report entitled ``The Airliner Cabin Environment and 
the Health of Passengers and Crew.'' The Committee has provided 
$3,000,000 for this effort. In carrying out this study, the 
Committee directs the Administrator to conduct surveillance to 
monitor ozone on a representative number of flights; collect 
pesticide exposure data; analyze samples of residue from 
aircraft ventilation ducts and filters after air quality 
incidents to identify the contaminants to which passengers and 
crew were exposed; analyze and study cabin air pressure and 
altitude; and, establish an air quality incident reporting 
system.

          IMPROVE THE EFFICIENCY OF AIR TRAFFIC CONTROL SYSTEM

    Weather Research Efficiency.--The Committee recommends 
$3,000,000 for weather research to improve the efficiency of 
the air traffic control system. These additional resources will 
ensure that this area of research is not suspended.

                       GRANTS-IN-AID FOR AIRPORTS

                (LIQUIDATION OF CONTRACT AUTHORIZATION)

                    (AIRPORT AND AIRWAY TRUST FUND)

Appropriations, 2003 \1\................................  $3,100,000,000
Budget estimate, 2004...................................   3,400,000,000
Committee recommendation................................   3,400,000,000

\1\ Reflects reduction of $22,100,000 pursuant to section 601 of Public 
Law 108-7.

    Chapter 471 of title 49, U.S.C. authorizes a program of 
grants to fund airport planning and development and noise 
compatibility planning and projects for public use airports in 
all States and territories.
    The Committee recommends $3,400,000,000 in liquidating cash 
for grants-in-aid for airports. This is consistent with the 
Committee's obligation limitation on airport programs for 
fiscal year 2003 and for the payment of previous years' 
obligations.

                       GRANTS-IN AID FOR AIRPORTS

                       LIMITATION ON OBLIGATIONS

                    (AIRPORT AND AIRWAY TRUST FUND)

Obligation limitation, 2003.............................  $3,377,900,000
Budget estimate, 2004...................................   3,400,000,000
Committee recommendation \1\............................   3,500,000,000

\1\ Includes additional $100,000,000 not subject to the limitation.

    The total program level recommended for fiscal year 2004 
for grants-in-aid to airports is $3,500,000,000, which is 
$100,000,000 more than the budget request and $122,100,000 more 
than the fiscal year 2003 enacted level. The Committee 
recommendation, which includes funds transferred from another 
aviation capital account, is intended to be sufficient to 
continue the important tasks of enhancing airport and airway 
safety, ensuring that airport standards continue to be met, 
maintaining existing airport capacity, and developing 
additional capacity.
    The Committee notes that a sizable alternative source of 
funding is available to airports in the form of passenger 
facility charges [PFC's]. The first PFC charge began for 
airline tickets issued on June 1, 1992. DOT data shows that as 
of December 31, 2002, 310 airports were approved to collect 
PFC's in the amount of $40,900,000,000. During calendar year 
2002, airports collected $1,857,000,000 in PFC charges, and 
$2,036,000,000 is estimated to be collected in calendar year 
2003. Of the airports collecting PFC's, approximately one-fifth 
collected about 90 percent of the total, and all of these are 
either large or medium hub airports. The first collections at 
the new $4.50 PFC level began on April 1, 2001, at 31 airports. 
Eventually, the funding to airports from the 50 percent nominal 
increase in authorized passenger facility charges will result 
in dramatically increased resources for airport improvements, 
expansions, and enhancements.
    EDS Installation.--The Committee is concerned that 
continuing to use a significant portion of AIP funds on 
security projects will adversely impact capacity and safety 
projects at the Nation's airports. In fiscal year 2002, the FAA 
awarded more than $561,000,000 of discretionary airport 
improvement funds for security-related projects, primarily for 
the costs associated with the installation of explosive 
detection systems. In contrast, only approximately $56,000,000 
was used for security in fiscal year 2001. In testimony before 
the Committee, the Department's Inspector General urged caution 
at continuing this level of security funding. Furthermore, now 
that this responsibility resides within the Department of 
Homeland Security, funds are being provided to the 
Transportation Security Administration specifically for 
explosive detection system installation. The Committee has 
included language to prohibit funding in fiscal year 2004 for 
airport improvements that are necessary to install bulk 
explosive detections systems.
    A table showing the distribution of these funds according 
to current law compared to the fiscal year 2003 levels and the 
President's budget request follows:

----------------------------------------------------------------------------------------------------------------
                                                                 Fiscal year      Fiscal year       Committee
                                                                 2003 enacted     2004 request    recommendation
----------------------------------------------------------------------------------------------------------------
Appropriations and Obligation Limitation.....................   $3,377,900,000   $3,400,000,000   $3,500,000,000
    Airports Operations......................................      -63,206,470      -69,737,000      -66,638,000
    Research & development...................................  ...............      -17,417,000  ...............
    Small Community Program..................................      -19,870,000  ...............       20,000,000
                                                              --------------------------------------------------
      Available for AIP Grants...............................    3,294,823,530    3,312,846,000    3,413,362,000
                                                              ==================================================
Primary Airports.............................................      961,151,965      788,414,978      899,650,650
Cargo Service Airports.......................................       98,844,706      102,253,530      102,400,860
Alaska Supplemental (Sec. 4714(e))...........................       21,345,114       21,345,114       21,345,114
States (General Aviation):
    Non-Primary Entitlement..................................      341,036,416      341,036,416      341,036,416
    State Apportionment by Formula...........................      317,928,290      312,532,784      341,635,984
                                                              --------------------------------------------------
      Subtotal...............................................      658,964,706      662,569,200      682,672,400
Carryover Entitlement........................................      354,986,941      350,000,000      350,000,000
                                                              --------------------------------------------------
      Subtotal, Entitlements.................................    2,095,293,432    1,924,582,822    2,056,068,974
Small Airport Fund:
    Non Hub Airports.........................................      220,407,322  ...............      217,001,737
    Non Commercial Service...................................      110,203,661  ...............      108,500,868
    Small Hub................................................       55,101,831  ...............       54,250,434
                                                              --------------------------------------------------
      Subtotal, Small Airport Fund...........................      385,712,814  ...............      379,753,039
                                                              --------------------------------------------------
      Subtotal, Non-Discretionary............................    2,481,006,246    1,924,582,822    2,435,822,013
                                                              ==================================================
Discretionary Set-Aside:
    Noise....................................................      276,697,877      278,156,140      332,363,596
    Environmental Research, Engineering and Development (from  ...............       20,000,000  ...............
     Noise)..................................................
    Reliever.................................................        5,371,194  ...............        6,451,764
    Military Airport Program.................................       32,552,691  ...............       34,101,599
    National Significance....................................  ...............      662,569,200  ...............
                                                              --------------------------------------------------
      Subtotal, Discretionary Set-asides.....................      314,621,762      960,725,340      377,916,959
                                                              --------------------------------------------------
C/S/S/N......................................................      374,396,641  ...............      499,717,271
Pure Discretionary...........................................      124,798,881       33,128,460      149,905,757
Fund for Small Airports......................................  ...............      394,409,378  ...............
                                                              --------------------------------------------------
      Subtotal, Other Discretionary..........................      499,195,522      427,537,838      599,623,028
                                                              ==================================================
      Subtotal, Discretionary................................      813,817,284    1,388,263,178      977,539,987
                                                              ==================================================
      GRAND TOTAL............................................    3,294,823,530    3,312,846,000    3,413,362,000
----------------------------------------------------------------------------------------------------------------

                      AIRPORT DISCRETIONARY GRANTS

    Within the budgetary resources provided in the accompanying 
bill, $977,539,837 is available for discretionary grants to 
airports. The Committee has carefully considered a broad array 
of discretionary grant requests that can be expected in fiscal 
year 2004. Specifically, the Committee expects the FAA to give 
priority consideration to applications for the projects listed 
below in the categories of AIP for which they are eligible. If 
funds in the remaining discretionary category are used for any 
projects in fiscal year 2004 that are not listed below, the 
Committee expects that they will be for projects for which FAA 
has issued letters of intent (including letters of intent the 
Committee recommends below that the FAA subsequently issues), 
or for projects that will produce significant aviation safety 
improvements or significant improvements in systemwide capacity 
or otherwise have a very high benefit/cost ratio.
    Within the program levels recommended, the Committee 
directs that priority be given to applications involving the 
further development of the following airports:

------------------------------------------------------------------------
                  Airport                              Project
------------------------------------------------------------------------
A L Mangham Jr. Regional Airport, TX......  Airport Improvements
Abbeville Chris Crusta Memorial Airport,    Runway Extension
 AL.
Abilene Regional Airport, TX..............  Renovations and Upgrades
Addison Airport, TX.......................  Runway Safety Area
                                             Improvements
Akutan Seaplane Base, AK..................  Access and Airport Road
Albany County Airport, NY.................  Runway 1-10 Extension, Phase
                                             II
Allaire Airport, NJ.......................  Land Acquisition
Allen Army Airbase, AK....................  Various Improvements
Andrews Municipal Airport (Robert F.        Airport Pavement
 Swinnie), SC.                               Reconstruction
Andrews-Murphy Airport, NC................  Development of Business
                                             Class Airport
Ankeny Regional Airport, IA...............  Apron area expansion,
                                             Various Improvements
Anoka Count-Blaine Airport, MN............  Runway Extension
Arkansas International Airport, AR........  Airport Relocation
Artesia Municipal Airport, NM.............  Runway Extension, Various
                                             Improvements
Ashe County Airport, NC...................  Obstruction Removal,
                                             Environmental Assessment,
                                             Runway Extension, Land
                                             Acquisition
Atka Airport, AK..........................  Runway Extension
Atmore Municipal, AL......................  Land Acquisition, Safety
                                             Upgrade, Various
                                             Improvements
Augusta Regional Airport at Bush Field, GA  Terminal Construction,
                                             Runway Rehabilitation,
                                             Various Improvements
Austin Straubel International Airport, WI.  Intersections, Various
                                             Improvements
Baltimore-Washington International          Various Improvements
 Airport, MD.
Bangor International Airport, ME..........  Air Cargo Facility
Barkley Regional Airport, KY..............  Various Improvements to
                                             Terminal, Parking & Runway
                                             Areas
Barter Island LRRS, AK....................  Various Improvements
Batesville Regional Airport, AR...........  Land Acquisition
Baton Rouge Metropolitan Airport, Ryan      Runway Extension, Drainage,
 Field, LA.                                  Lighting
Baxter County Regional Airport, AR........  New Crosswind Runway
Benedum, Airport, WV......................  Various Improvements
Bert Mooney Airport, MT...................  Airport Improvements
Bessemer Airport, AL......................  Runway, Drainage, Lighting,
                                             Various Improvements
Birmingham International Airport, AL......  Land Acquisition, Runway
                                             Extension
Block Island State Airport, RI............  Various Improvements
Blytheville Municipal Airport, AR.........  Airfield Upgrades & Airport
                                             Improvements
Bowman Field, KY..........................  Apron & Taxiway
                                             Reconstruction
Braxton County Airport, WV................  Various Improvements
Bremerton National Airport, WA............  Runway & Taxiway Lengthening
                                             & Strengthening
Brewton Municipal Airport, AL.............  Construction & Lighting of
                                             Taxiway & Runways, Various
                                             Improvements
Bruce Campbell Field, MS..................  Airport Renovation &
                                             Remodeling
Buffalo Niagara International Airport, NY.  Runway 5-23 and Taxiway A
                                             Rehabilitation
Burlington-Alamance Regional Airport, NC..  Runway & Taxiway Lengthening
                                             & Strengthening
Cape May County Airport, NJ...............  Obstruction removal &
                                             Various Improvements
Carson Airport, NV........................  Runway Realignment,
                                             Obstruction Removal, Land
                                             Acquisition
Central Nebraska Regional Airport, NE.....  Rehabilitate Runway 17-35
                                             and Connecting Taxiway
Central Wisconsin Airport, WI.............  Parallel Taxiway
Charles City Municipal Airport, IA........  Runway Rehabilitation &
                                             Extension
Cherry Capital Airport, MI................  Complete New South Airline
                                             Terminal Project
Cincinnati Municipal Airport Lunken Field,  Maintenance and Improvement
 OH.                                         Project
Clarion County Airport, PA................  Runway Expansion
Cleveland-Hopkins International Airport,    Various Security
 OH.                                         Improvements, Instrument
                                             Landing System & Runway
                                             Rehabilitation
Coffman Cove Seaplane Base, AK............  Floatplane Facility
Cold Bay Airport, AK......................  Terminal Facilities
Columbia Metropolitan Airport, SC.........  Land Acquisition
Concord Regional Airport, NC..............  Runway Extension
Connellsville Airport, PA.................  Runway Expansion
Council Bluffs Municipal Airport, IA......  Runway Expansion
Dane County Regional Airport-Truax Field,   Runway 14 Safety Area
 WI.                                         Construction
Davis Airport, WV.........................  Various Improvements
Denton Municipal Airport, TX..............  Airport Improvements
Dona Ana County Airport at Santa Teresa,    Fencing & Runway Extension
 NM.                                         [Phase II]
Double Eagle II Airport, NM...............  Runway 17-35 Reconstruction
Drake Field; Fayetteville, AR.............  Construction of New Hangars
E.F. Knapp State Airport, VT..............  Terminal Upgrades
Eagle River Union Airport, WI.............  Various Improvements
Eastern WV Regional/Shephard Field          Various Improvements
 Airport, WV.
Easterwood Field, TX......................  Approach Surveillance Radar
Egegik Airport, AK........................  Runway Improvements
Elkins--Randolph County--Jennings Randolph  Various Improvements
 Field Airport,  WV.......................
Elton Hensley Memorial Airport, MO........  New Runway
Erie International-Tom Ridge Field          Runway Extension
 Airport, PA.
Fairbanks International Airport, AK.......  Passenger Facility
Fairfield Municipal Airport, IA...........  Relocation of Roadway/
                                             Utilities, Grading, Various
                                             Improvements
Fairmont Municipal Airport, WV............  Various Improvements
False Pass Airport, AK....................  Various Improvements
Fitch H Beach Airport, MI.................  Runway Expansion
Fort Dodge Regional Airport, IA...........  Runway Extension
Gallatin Field Airport, MT................  Various Improvements
Gary/Chicago Airport, IN..................  Runway Rehabilitation
Gen Edward L Logan International Airport,   Runway Centerline Lighting
 MA.                                         System Replacement
General Mitchell International Airport, WI  Various Improvements
Glacier Park International Airport,         Various Improvements
 Kalispell MT.
Grant County Airport, WV..................  Various Improvements
Great Falls International Airport, MT.....  Northside Interstate Access
                                             Road
Greater Rochester International Airport,    Various improvements
 NY.
Greenbrier Valley, WV.....................  Various Improvements
Greene County Regional Airport, GA........  Runway Lengthening,
                                             Widening, Strengthening
Greenwood-Leflore Airport, MS.............  Runway Rehabilitation
Gulfport-Biloxi Regional Airport, MS......  General Aviation & Cargo
                                             Development
Hammonton Municipal Airport, NJ...........  Apron, Various Improvements
Hector International Airport, ND..........  Runway Reconstruction
Helena Regional Airport, MT...............  Terminal Remodeling &
                                             Expansion Project
Henderson City-County Airport, KY.........  Various Improvements to
                                             Terminal, Parking & Runway
                                             Areas
Henry E. Rohlsen Airport, VI..............  Terminal Modifications
Hickory Regional Airport, NC..............  Lighting, Runway & Taxiway
                                             Improvements
Houma-Terrebonne Airport, LA..............  Runway Upgrades
Huntsville International-Carl T Jones       Taxiway & Ramp Expansion
 Field Airport, AL.
Indiana County/Jimmy Stewart Field          Runway Extension
 Airport, PA.
Iowa City Municipal Airport, IA...........  Grading for the 7/25 Runway
                                             Extension
Jackson County Airport, WV................  Various Improvements
Jackson International Airport, MS.........  Apron & Taxiway Replacement
Jacksonville International Airport, FL....  Taxiway Improvements
Jonesboro Municipal Airport, AR...........  Airport Rescue and
                                             Firefighting Truck and
                                             Building
Juneau Harbor Seaplane Base, AK...........  Snow Removal Equipment
Kee Field Airport, WV.....................  Various Improvements
Ketchikan International Airport, AK.......  Various Improvements
Kodiak Airport, AK........................  Terminal Improvements
La Crosse Municipal Airport, WI...........  Reconstruct Taxiways F, G, H
                                             & remainder of Taxiway B.
Lafayette Regional Airport, LA............  Runway 4R/22L Extension,
                                             Various Improvements
Lambert-St. Louis International Airport,    Relocation of 131st Airborne
 MO.                                         Division
Las Cruces International Airport, NM......  Fire Station
Lawrenceville-Vincennes Airport, IL.......  Reconstruction of Terminal
                                             and Hangar Development
Leesville Airport, LA.....................  Runway Expansion
Lehigh Valley International Airport, PA...  Various Improvements
Liberty County Airport, GA................  Joint Use Aviation Facility
Logan County Airport, WV..................  Various Improvements
Long Island-MacArthur Airport, NY.........  Aircraft Apron, Access
                                             Roadway, Security Projects
Louis Armstrong New Orleans International   Airfield Safety Improvement
 Airport, LA.                                Program, Various
                                             Improvements
Louisville International-Standiford Field   Various Improvements
 Airport, KY.
Macon County Airport, NC..................  Runway Extension, Security
                                             Fencing
Mahlon Sweet Field, OR....................  Reauthorize funding airport
                                             capital improvements
Manistee County Blacker Airport, MI.......  Terminal Construction
Marion-Crittenden County Airport, KY......  Runway Paving
Marlinton Airport, WV.....................  Various Improvements
Marshall County Airport, WV...............  Various Improvements
Maryville Memorial Airport, MO............  Terminal Facility, Various
                                             improvements
Mason City Municipal Airport, IA..........  Runway Reconstruction
Mason County Airport, WV..................  Various Improvements
McCarran International Airport, NV........  Various Improvements
McComb-Pike County/John E Lewis Field       Runway Extension
 Airport, MS.
McKinney Municipal Airport, TX............  Runway & Taxiway
                                             Rehabilitation
Melbourne International Airport, FL.......  Terminal Surface Access
                                             Improvements
Memorial Field (Hot Springs), AR..........  Runway Safety 15, 13, 23, 31
                                             Improvements
Mercer County Airport, WV.................  Various Improvements
Mid-Delta Regional Airport, MS............  Various Improvements
Midway Airport, IL........................  Various Security
                                             Improvements
Millville Municipal Airport, NJ...........  Dike Project
Mingo County Airport, WV..................  Various Improvements
Minneapolis-St. Paul International/Wold-    Pavement Rehabilitation
 Chamberlain Airport, MN..................
Missoula International Airport, MT........  Land Acquisition
Mobile Downtown Airport [BFM], AL.........  Rehabilitate Ramp near
                                             Hangar 16 and 17, Security
                                             Fencing, Various
                                             Improvements
Mobile Regional Airport, AL...............  Land Acquisition, Security
                                             Upgrades, Runway
                                             Rehabilitation
Monroe Regional Airport, LA...............  New Airport Master Plan
Montgomery Regional (Dannelly Field)        Terminal Expansion &
 Airport, AL.                                Renovation
Morehouse Memorial Airport, LA............  Runway Expansion
Morganton-Lenoir Airport, NC..............  Runway Expansion
Morgantown Municipal--Walter L Bill Hart    Various Improvements
 Field Airport,  WV.......................
Morrisville-Stowe State Airport, VT.......  Environmental assessment for
                                             runway extension
Mount Pleasant Municipal Airport, MI......  Various Improvements
Nashville International Airport, TN.......  Taxiway Widening, Airfield
                                             Reconstruction
New Bedford Regional Airport, MA..........  Approach Road Improvements
New Castle County Airport, DE.............  Rehabilitation of Runway 1-
                                             19 & Taxiway M
Newport State Airport, RI.................  Perimeter Fencing, Various
                                             Improvements
Newport State Airport, VT.................  New Crosswind Runway
Newton Municipal Airport, IA..............  Obstruction removal &
                                             Partial Taxiway
Niagara Falls International Airport, NY...  Airport Rehabilitation
North Central State Airport, RI...........  Various Improvements
North Las Vegas Airport, NV...............  Lights
North Pickens Airport, AL.................  Land Acquisition, RSA
                                             Improvements, Runway
                                             Overlay
Northwest Arkansas Regional Airport, AR...  Cargo Apron & Taxiway
Oakland--Pontiac Airport, MI..............  Various Improvements
Ohio University, OH.......................  Airport Improvements
Olive Branch Airport, MS..................  Various Improvements
Orlando International Airport, FL.........  Elimination of Wildlife
                                             Attractants
Orlando Sanford International Airport, FL.  9R/27L Runway Extension
Ottumwa Industrial Airport, IA............  Partial Parallel Taxiway &
                                             Security
Outagamie County Regional Airport, WI.....  Various Improvements
Owensboro-Daviess County Airport, KY......  Various Improvements to
                                             Terminal, Parking & Runway
                                             Areas
Palmer Municipal Airport, AK..............  Various Improvements
Palwaukee Municipal Airport, IL...........  Taxiway Improvements
Pellston Regional Airport, Emmet County,    New Passenger Terminal
 MI.                                         Building
Petersburg James A Johnson Airport, AK....  Apron Expansion
Philadelphia International, PA............  Airport Improvements
Philadelphia Municipal Airport, MS........  Expansion of aprons,
                                             Navigational Devices
Philippi--Barbour County Regional Airport,  Various Improvements
 WV.
Pickens County Airport, SC................  Rehabilitation Project
Pierre Regional Airport, SD...............  Runway Rehabilitation
Pilot Point Airport, AK...................  Airport Expansion
Pittsburgh International Airport, PA......  Airfield/Terminal
                                             Maintenance Complex
Plattsburgh International Airport, NY.....  Redevelopment and Capital
                                             Improvements
Port Heiden Airport, AK...................  Various Improvements
Pryor Field Regional Airport, AL..........  Various Improvements
Quonset State Airport, RI.................  Various Improvements
Raleigh County Memorial Airport, WV.......  Various Improvements
Ralph Wein Memorial Airport, AK...........  Various Improvements
Reading Municipal/Carl A Spaatz Field       Runway Reconstruction &
 Airport, PA.                                Extension
Reno/Stead Airport, NV....................  Runway Reconstruction,
                                             Taxilane Construction,
                                             Overlay
Reno/Tahoe International Airport, NV......  Passenger Terminal
                                             Expansion, Lighting
                                             Controls System Upgrade and
                                             various improvements
Rice Lake Regional-Carl's Field Airport,    Runway Extension
 WI.
Richard B Russell Airport, GA.............  Runway Extension
Roberts Field Airport, OR.................  Terminal Building Expansion
Rockingham County NC Shiloh Airport, NC...  Runway Extension
Russellville Municipal Airport, AL........  Runway Extension
Rutland State Airport, VT.................  Terminal & Security upgrades
Saline County/Watts Field, AR.............  Airport Relocation
San Francisco International Airport, CA...  Security Operations
                                             Integration System
Sand Point Airport, AK....................  Terminal Improvements
Santa Fe County Municipal Airport, NM.....  Runway 15/33 Rehabilitation
Seattle-Tacoma International Airport, WA..  Various Improvements
Shreveport Regional Airport, LA...........  Runway Extension, Various
                                             Improvements
Sitka Seaplane Base, AK...................  Various Improvements
Solberg-Hunterdon Airport, NJ.............  Airport Acquisition
Marshall Municipal-Ryan Field Airport, MN.  Various Improvements
Spartanburg Downtown Memorial Airport, SC.  Runway Extension, Safety
                                             Area Construction
Spencer Airport, WV.......................  Various Improvements
Spirit of St. Louis Airport, MO...........  Taxiways
Springfield Capital Airport, IL...........  Apron & Taxiway Improvements
Springfield-Branson Regional Airport, MO..  Midfield Terminal Design
St. George Airport, AK....................  Runway Paving
St. Paul Island Airport, AK...............  Runway Paving
Stanly County Airport, NC.................  Improvement Plan, Various
                                             Improvements
Statesville Municipal Airport, NC.........  Airport Expansion
Sugar Land Regional Airport, TX...........  Apron & Taxiway
Summersville Airport, WV..................  Various Improvements
Syracuse Hancock International Airport, NY  Noise Mitigation
Ted Stevens Anchorage Int'l Airport, AK...  Terminal Connector, Various
                                             Improvements
The Eastern Iowa Airport, IA..............  Rehabilitation &
                                             Construction of Aprons
The William B. Hartsfield Atlanta           Access Control System
 International Airport, GA.                  Replacement
Tonopah Airport, NV.......................  Terminal Renovation
Tri-County Regional Airport, KY...........  Acquire Rights, Design,
                                             Conduct Environmental
                                             Studies
Tri-State/Walker-Long Field, WV...........  Various Improvements
Troy Municipal Airport, AL................  Runway & Taxiway Extension,
                                             Apron Improvements
Tulsa International Airport, OK...........  Security Improvements,
                                             Taxiway N Construction
Unalaska Airport, AK......................  Terminal Facility
Upshur County Regional Airport, WV........  Various Improvements
Vermilion County Airport, IL..............  Runway Extension
Walnut Ridge Regional Airport, AR.........  Runway Extension
Washington Memorial Airport, MO...........  Runway Improvements
Washington Municipal Airport, IA..........  Taxiway Construction
Waterloo Municipal Airport, IA............  Perimeter Fencing & Airfield
                                             Rescue Fire Fighting
                                             Vehicle
Waukesha County Airport, WI...............  Various Improvements
Waukegan Regional Airport, IL.............  Runway Extension
Wayne County Airport, OH..................  Airport Improvements
Welch Municipal Airport, WV...............  Various Improvements
Westerly State Airport, RI................  Perimeter Fencing, Various
                                             Improvements
Wheeling--Ohio County Airport, WV.........  Various Improvements
Williams Gateway Airport, AZ..............  Runway Construction, Taxiway
                                             Repair
Willmar Municipal Airport, MN.............  Runway Paving, Lighting
Wilmington International Airport, NC......  Various Improvements
Winfield Airport, WV......................  Various Improvements
Winona-Montgomery County Airport, MS......  Various Improvements
Wood County/Gill Robb Wilson Field, WV....  Various Improvements
Yeager Airport, WV........................  Various Improvements
------------------------------------------------------------------------

                           LETTERS OF INTENT

    Congress authorized FAA to use letters of intent [LOI's] to 
fund multiyear airport improvement projects that will 
significantly enhance systemwide airport capacity. FAA is also 
to consider a project's benefits and costs in determining 
whether to approve it for AIP funding. FAA adopted a policy of 
committing to LOI's no more than roughly 50 percent of 
forecasted discretionary funds allocated for capacity, safety, 
security, and noise projects. The Committee viewed this policy 
as reasonable because it gave FAA the flexibility to fund other 
worthy projects that do not fall under a LOI. Both FAA and 
airport authorities have found letters of intent helpful in 
planning and funding airport development.
    In addition, applications are pending for capacity 
enhancement projects which would, if constructed, significantly 
reduce congestion and delay. These projects require multiyear 
funding commitments. The Committee recommends that the FAA 
enter into letters of intent for multiyear funding of such 
capacity enhancement projects.
    Birmingham International Airport, AL.--The Committee 
encourages the FAA to give full and immediate consideration to 
the Birmingham Airport Authority's application for a letter of 
intent for construction of Runway 6-24 extension and adjacent 
taxiways. The Committee is informed that substantial safety and 
capacity benefits will accrue from the completion of this 
project.

                             ADMINISTRATION

    The accompanying bill provides $66,638,000 for 
administration of the airport program from within the overall 
limitation on obligations. The Committee recommendation reduces 
the inflationary increase to $2,088,000 and fully funds the 
request for automated airport data systems modifications, 
environmental streamlining, and wildlife hazard management. The 
Committee directs the airports office, in conjunction with the 
State of Alaska and the Alaska Fisheries Marketing Board, to 
undertake a study to determine improvements at strategic 
airports that are necessary to more effectively transport fresh 
fisheries products from the North Pacific to market.
    The Committee has not included funding for Airport 
Technology Research from within the limitation on obligations 
for grants-in-aid to airports. Funding for these research 
activities is provided under the Facilities and Equipment 
account.

         SMALL COMMUNITY AIR SERVICE DEVELOPMENT PILOT PROGRAM

    The Committee bill includes $20,000,000, within the overall 
limitation on obligations for grants-in-aid to airports, for 
the Small Community Air Service Development Pilot Program. This 
is the same amount as the level provided in fiscal year 2003. 
The program is designed to improve air service to underutilized 
airports in small and rural communities. The total number of 
communities or groups of communities that can participate in 
the program is limited to no more than 4 from any one State and 
no more than 40 in any fiscal year. The program gives priority 
to communities that have high air fares, will contribute a 
local share of the cost, will establish a public-private 
partnership to facilitate airline service, and where assistance 
will provide benefits to a broad segment of the traveling 
public.

          GENERAL PROVISIONS--FEDERAL AVIATION ADMINISTRATION

    Section 101 provides airports the authority to transfer 
certain instrument landing systems to the Federal Aviation 
Administration.
    Section 102 limits the number of technical staff years at 
the Center for Advanced Aviation Systems Development to no more 
than 350 in fiscal year 2004.
    Section 103 prohibits funds in this Act to be used to adopt 
guidelines or regulations requiring airport sponsors to provide 
the Federal Aviation Administration ``without cost'' buildings, 
maintenance, or space for FAA services. The prohibition does 
not apply to negotiations between FAA and airport sponsors 
concerning ``below market'' rates for such services or to grant 
assurances that require airport sponsors to provide land 
without cost to the FAA for air traffic control facilities.
    Section 104 authorizes the Federal Aviation Administration 
to use funds from airport sponsors, including the airport's 
``Grants-in-Aid for Airports'' entitlement funds, for the 
hiring of additional staff or for obtaining services of 
consultants for the purpose of facilitating environmental 
activities related to airport projects that add critical 
airport capacity to the national air transportation system.

                     Federal Highway Administration


                  SUMMARY OF FISCAL YEAR 2004 PROGRAM

    The principal mission of the Federal Highway Administration 
is to, in partnership with State and local governments, foster 
the development of a safe, efficient, and effective highway and 
intermodal system nationwide including access to and within 
National Forests, National Parks, Indian Lands and other public 
lands.
    Under the Committee recommendations, a total program level 
of $34,824,297,000 would be provided for the activities of the 
Federal Highway Administration in fiscal year 2004. The 
following table summarizes the fiscal year 2003 program levels, 
the fiscal year 2004 program request and the Committee's 
recommendations:

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                           Fiscal year--
                                                                 --------------------------------    Committee
                             Program                               2003 program     2004 budget   recommendation
                                                                       level         estimate
----------------------------------------------------------------------------------------------------------------
Federal-aid highways limitation.................................  \1\ 31,593,300     29,293,948      33,843,000
    Limitation on administrative expenses.......................   \2\ (314,071)       (338,834)       (337,834)
Exempt Federal-aid obligations..................................        884,329         931,297         831,297
Appalachian Development Highway System..........................    \1\ 186,778   ..............        150,000
                                                                 -----------------------------------------------
      Total.....................................................     32,664,407      30,225,245      34,824,297
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $206,700,000 for FAH limitation and $1,200,000 for ADHS pursuant to section 601 of
  Public Law 108-7.
\2\ Does not reflect reduction of $1,000,000 pursuant to section 362 of Public Law 108-7.

                 LIMITATION ON ADMINISTRATIVE EXPENSES

Appropriations, 2003 \1\ \2\............................    $314,071,181
Budget estimate, 2004...................................     338,834,000
Committee recommendation................................     337,834,000

\1\ Reflects reduction of $2,100,000 pursuant to section 601 of Public 
Law 108-7.
\2\ Does not reflect reduction of $1,000,000 pursuant to section 362 of 
Public Law 108-7.

    The limitation on administrative expenses controls spending 
for virtually all the salaries and expenses of the Federal 
Highway Administration. The Transportation Equity Act for the 
21st Century changed the funding source for the highway 
research accounts from the administrative takedown of the 
Federal-Aid Highway Program to individual contract authority 
provisions. The Committee recommends a limitation of 
$337,834,000.
    The following table reflects the fiscal year 2003 level, 
the 2004 level requested by the administration, and the 
Committee's recommendation:

                                      LIMITATION ON ADMINISTRATIVE EXPENSES
                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                         Fiscal year--
                                                              ----------------------------------    Committee
                           Program                                                2004 budget     recommendation
                                                                  2003 level        estimate
----------------------------------------------------------------------------------------------------------------
Administrative Expenses:
    Salaries and benefits....................................          234,523          240,102          240,102
    Travel...................................................            9,142            9,634            9,634
    Transportation...........................................              449              473              473
    GSA rent.................................................           24,646           25,750           25,750
    Communications, rent, and utilities......................           10,503           12,296           12,296
    Printing.................................................            1,602            1,928            1,928
    Supplies.................................................            1,930            2,000            2,000
    Equipment................................................            4,378            5,736            5,236
    Other....................................................           26,898           40,915           40,415
                                                              --------------------------------------------------
      Total..................................................          314,071          338,834          337,834
----------------------------------------------------------------------------------------------------------------
The Working Capital Fund is distributed across all Administrative Expense items.

    Information Technology.--The Committee has included a 
$1,000,000 reduction in FHWA's request for IT security 
enhancements and equipment replacement. The Committee is 
concerned that FHWA has not developed a comprehensive plan to 
encompass both security enhancements and equipment replacement. 
The budget justification separately discusses FHWA's need for 
infrastructure upgrades and a need to purchase new desktop 
systems that can accommodate the most up-to-date commercial 
software. The Committee believes that infrastructure, 
equipment, and software upgrades should go hand in hand such 
that one can support the other. Therefore, the Committee 
directs FHWA to develop a comprehensive plan to ensure that IT 
security and equipment upgrades are compatible and that any 
equipment acquisition is flexible and upgradable.
    Environmental Streamlining.--The Committee recommendation 
includes $7,000,000 to continue environmental streamlining 
initiatives at FHWA. This is the same level of funding that was 
provided in fiscal year 2003.
    Las Vegas Pedestrian Connections.--Within the total amount 
provided, the Committee has included $500,000 for Pedestrian 
Connections for the City of Las Vegas, Nevada.

              GRANTS FOR THE NATIONAL AMBER ALERT NETWORK

    On April 30, 2003, the president signed into law the 
PROTECT Act (Public Law 108-21), formally establishing the 
Federal Government's role in the Amber Alert system. Amber 
Alerts use technology to disseminate information about child 
abductions in a timely manner in an effort to quickly recover 
the child. Amber Alert plans are voluntary partnerships 
including law enforcement agencies, highway departments, and 
media companies that provide emergency alert broadcasts and 
utilize the Emergency Alert System [EAS], highway messages 
boards, telephone alert systems, the internet, and e-mail. To 
date, 45 States have statewide alert plans. Because kidnappers 
can cross State lines with their victims it is important for 
Amber Alerts to be part of an integrated national network.
    The PROTECT Act authorized $20,000,000 for the Secretary of 
Transportation to make grants to States for the development or 
enhancement of notification or communications systems along 
highways for alerts and other information for the recovery of 
abducted children. The Committee is supportive of the National 
Amber Alert Network and agrees that national coordination of 
the many State Amber Alert systems is essential if the network 
is to become a vital law enforcement tool in child abduction 
cases. The Committee has included $20,000,000 to support grants 
for the National Amber Alert Network.

                          FEDERAL-AID HIGHWAYS

                      (LIMITATION ON OBLIGATIONS)

                          (HIGHWAY TRUST FUND)

Limitation, 2003 \1\.................................... $31,593,300,000
Budget estimate, 2004...................................  29,293,948,000
Committee recommendation................................  33,843,000,000

\1\ Reflects reduction of $206,700,000 pursuant to section 601 of Public 
Law 108-7.

    The accompanying bill includes language limiting fiscal 
year 2004 Federal-aid highways obligations to $33,843,000,000, 
an increase of $2,043,000,000 over the fiscal year 2003 enacted 
level and $4,549,052,000 over the budget request.
    The following table shows the distribution of highway funds 
apportioned to the States under three scenarios: the fiscal 
year 2003 enacted level, the President's budget, and the 
Committee recommendation.

         FEDERAL HIGHWAY ADMINISTRATION ESTIMATED FISCAL YEAR 2004 DISTRIBUTION OF OBLIGATION LIMITATION
----------------------------------------------------------------------------------------------------------------
                                                          Actual fiscal     Fiscal year 2004   Fiscal year 2004
                        States                              year 2003         President's          Committee
                                                         distribution \1\      budget \2\     recommendation \2\
----------------------------------------------------------------------------------------------------------------
Alabama...............................................       $556,694,521       $531,862,669        $610,065,884
Alaska................................................        297,456,994        297,527,671         333,344,939
Arizona...............................................        469,517,220        455,903,535         513,068,338
Arkansas..............................................        356,921,536        346,026,473         399,280,331
California............................................      2,580,156,032      2,534,630,047       2,883,896,599
Colorado..............................................        353,190,106        349,926,197         396,295,855
Connecticut...........................................        396,194,208        392,355,750         445,060,182
Delaware..............................................        118,255,867        117,550,810         132,401,690
District of Columbia..................................        110,747,385        106,880,975         122,016,586
Florida...............................................      1,308,585,881      1,273,348,420       1,428,360,647
Georgia...............................................        976,008,809        940,807,433       1,066,655,578
Hawaii................................................        141,302,148        136,175,830         154,890,770
Idaho.................................................        209,897,183        200,766,970         229,785,369
Illinois..............................................        933,632,041        900,104,896       1,025,955,529
Indiana...............................................        622,532,801        615,049,160         697,911,989
Iowa..................................................        332,927,033        319,874,961         366,039,935
Kansas................................................        324,785,504        312,139,106         357,157,626
Kentucky..............................................        487,863,858        468,760,484         535,211,906
Louisiana.............................................        429,501,349        427,752,796         488,529,711
Maine.................................................        146,483,504        139,763,781         160,756,644
Maryland..............................................        455,142,840        441,295,803         501,555,287
Massachusetts.........................................        512,177,717        495,857,147         571,397,242
Michigan..............................................        859,172,034        828,788,959         941,434,779
Minnesota.............................................        404,701,569        398,830,155         455,063,801
Mississippi...........................................        334,371,336        327,936,758         374,667,295
Missouri..............................................        639,738,735        623,781,005         716,151,371
Montana...............................................        253,843,761        257,260,341         289,528,377
Nebraska..............................................        214,881,104        208,425,713         236,608,618
Nevada................................................        195,404,163        190,807,504         215,059,355
New Hampshire.........................................        142,193,988        136,116,368         155,978,211
New Jersey............................................        744,150,659        716,243,842         817,115,438
New Mexico............................................        262,878,753        259,339,528         294,727,119
New York..............................................      1,384,055,630      1,359,923,637       1,550,251,591
North Carolina........................................        774,882,985        749,202,103         850,944,572
North Dakota..........................................        175,402,329        174,782,167         197,100,638
Ohio..................................................        937,857,273        919,484,423       1,046,796,994
Oklahoma..............................................        431,637,071        413,942,844         474,532,957
Oregon................................................        334,290,345        322,448,924         374,592,430
Pennsylvania..........................................      1,393,940,173      1,313,383,236       1,531,222,073
Rhode Island..........................................        161,491,333        157,361,460         179,850,318
South Carolina........................................        450,641,675        440,146,002         503,076,639
South Dakota..........................................        196,104,996        188,933,687         219,364,642
Tennessee.............................................        607,195,279        597,448,989         681,206,751
Texas.................................................      2,169,718,867      2,095,566,136       2,372,246,482
Utah..................................................        216,664,700        208,960,466         238,184,523
Vermont...............................................        123,614,293        122,117,305         138,411,135
Virginia..............................................        686,692,399        675,377,736         767,809,423
Washington............................................        493,842,921        475,658,043         542,767,926
West Virginia.........................................        304,827,947        298,175,353         343,314,289
Wisconsin.............................................        538,011,290        519,368,037         588,380,535
Wyoming...............................................        183,294,498        186,181,464         211,779,717
Puerto Rico...........................................  .................        105,991,543  ..................
                                                       ---------------------------------------------------------
      Subtotal........................................     27,735,476,643     27,076,344,642      30,727,806,636
                                                       =========================================================
Allocated Programs \3\................................      3,857,823,357      2,217,603,358       3,115,193,364
                                                       =========================================================
      Total...........................................     31,593,300,000     29,293,948,000      33,843,000,000
----------------------------------------------------------------------------------------------------------------
\1\ Amounts for each State include special limitation for minimum guarantee, Appalachia, and high priority
  projects and exclude exempt minimum guarantee and emergency relief.
\2\ Amounts for each State include special limitation for minimum guarantee and Appalachia and exclude exempt
  minimum guarantee and emergency relief.
\3\ Includes territories. Also, includes Puerto Rico for fiscal year 2003 actual and fiscal year 2004 Committee
  recommendation.

                     FEDERAL-AID HIGHWAYS PROGRAMS

    The roads and bridges that make up our nation's highway 
infrastructure are built, operated, and maintained through the 
joint efforts of Federal, State, and local governments. States 
have much flexibility to use Federal-aid highway funds to best 
meet their individual needs and priorities, with FHWA's 
assistance and oversight.
    The Transportation Equity Act for the 21st Century [TEA21], 
the highway, highway safety, and transit authorization through 
fiscal year 2003 makes funds available in the following major 
categories:
    National Highway System.--The Intermodal Surface 
Transportation Efficiency Act [ISTEA] of 1991 authorized the 
National Highway System [NHS], which was subsequently 
established as a 163,000-mile road system by the National 
Highway System Designation Act of 1995. This system serves 
major population centers, intermodal transportation facilities, 
international border crossings, and major destinations. It is 
comprised of all interstate routes, selected urban and 
principal rural arterials, defense highways, and major highway 
connectors carrying up to 76 percent of commercial truck 
traffic and 44 percent of all vehicle traffic. A State may 
transfer up to half of its NHS funds to the Surface 
Transportation program [STP] and all NHS funds with the 
concurrence of the Secretary of Transportation. The Federal 
share of the NHS is an 80 percent match and funds remain 
available for 4 fiscal years.
    Interstate Maintenance.--The 46,567-mile Dwight D. 
Eisenhower National System of Interstate and Defense Highways 
retains a separate identity within the NHS. This program 
finances projects to rehabilitate, restore, resurface and 
reconstruct the Interstate system. Reconstruction of bridges, 
interchanges, and over-crossings along existing interstate 
routes is also an eligible activity if it does not add capacity 
other than high occupancy vehicle [HOV] and auxiliary lanes.
    All remaining Federal funding to complete the initial 
construction of the interstate system has been provided through 
previous highway legislation. The TEA21 provides flexibility to 
States in fully utilizing remaining unobligated balances of 
prior Interstate Construction authorizations. States with no 
remaining work to complete the Interstate System may transfer 
any surplus Interstate Construction funds to their Interstate 
Maintenance program. States with remaining completion work on 
Interstate gaps or open-to-traffic segments may relinquish 
Interstate Construction fund eligibility for the work and 
transfer the Federal share of the cost to their Interstate 
Maintenance program.
    Funds provided for the Interstate maintenance discretionary 
program in fiscal year 2004 shall be available for the 
following activities in the corresponding amounts:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Aroostook County North-South Highways, Maine............      $3,500,000
Kelly USA: New Luke Road, Texas.........................         200,000
I-15 Reconstruction 10800 South to 600 North, Utah......       6,000,000
I-182, Queensgate to SR 240, Richland, Washington.......       2,000,000
I-195 Relocation, Rhode Island..........................       2,000,000
I-20 Widening and Safety Improvements, Alabama..........       3,500,000
I-270 at Dorsett & I-70 interchange improvements,              4,000,000
 Missouri...............................................
I-35/127th Street Overpass, Olathe, Kansas..............       3,000,000
I-40 Crosstown, Oklahoma................................       5,000,000
I-405 Corridor Improvements, Washington.................       2,000,000
I-49 North, Louisiana...................................       3,500,000
I-49 South, Louisiana...................................       3,500,000
I-5 Rush Road to Maytown Widening, Lewis County,               2,000,000
 Washington.............................................
I-5, 116th Street NE Interchange Improvements,                 2,000,000
 Snohomish, Washington..................................
I-5, 219th Street Interchange, Battle Ground, Washington       2,000,000
I-5, Lynnwood City Center Exit, Washington..............       1,000,000
I-55, Church Road to Tennessee State Line, DeSoto              2,000,000
 County, Mississippi....................................
I-65 Cloverland Bridges, Montgomery, Alabama............       1,000,000
I-69/SR 304 Paving, Mississippi.........................       5,500,000
I-70 Improvement Project: Frederick, Maryland...........       5,000,000
I-80/Iowa 945 Interchange, Polk County, Iowa............       3,000,000
I-84, Glenns Ferry to King Hill, WB, Idaho..............       2,000,000
IH35 Texas..............................................       5,800,000
Interstate 44 and US 65 Interchange, Missouri...........       1,000,000
Interstate 80 (I-80) Colfax Narrows Project, Nevada.....       2,000,000
Interstate 80, Northwest 27th St. to West of I-180,            1,500,000
 Nebraska...............................................
Interstate 90 Port-of-Entry, Wyoming....................         500,000
Interstate 94/43/794 (Marquette Interchange)--Milwaukee,       6,000,000
 Wisconsin..............................................
Madison I-565 Interchange at County Line Road, Madison,        1,000,000
 Alabama................................................
McCaslin Boulevard/U.S. 36 Interchange Construction,           2,000,000
 Colorado...............................................
Montgomery County, Ohio--Interstate 75, Ohio............       2,000,000
Pennsylvania Turnpike--I-95 Interchange Project,               2,000,000
 Pennsylvania...........................................
Reconstruct Exit 60--I-90 in Rapid City, South Dakota...       6,000,000
Route 15/I86 Interchange Phase II, New York.............       3,500,000
Valleydale Road at I-65, Alabama........................       5,000,000
------------------------------------------------------------------------

    Surface Transportation Program.--The surface transportation 
program [STP] is a very flexible program that may be used by 
the States and localities for any roads (including NHS) that 
are not functionally classified as local or rural minor 
collectors. These roads are collectively referred to as 
Federal-aid highways. Bridge projects paid with STP funds are 
not restricted to Federal-aid highways but may be on any public 
road. Transit capital projects are also eligible under this 
program. The total funding for the STP may be augmented by the 
transfer of funds from other programs and by minimum guarantee 
funds under TEA21 which may be used as if they were STP funds. 
Once distributed to the States, STP funds must be used 
according to the following percentages: 10 percent for safety 
construction; 10 percent for transportation enhancement; 50 
percent divided among areas of over 200,000 population and 
remaining areas of the State; and, 30 percent for any area of 
the State. Areas of 5,000 population or less are guaranteed an 
amount based on previous funding, and 15 percent of the amounts 
reserved for these areas may be spent on rural minor 
collectors. The Federal share for the STP program is 80 percent 
with a 4-year availability period.
    Bridge Replacement and Rehabilitation Program.--The program 
provides assistance for bridges on public roads, including a 
discretionary set-aside for high cost bridges and for the 
seismic retrofit of bridges. Fifty percent of a State's bridge 
funds may be transferred to the NHS or the STP, but the amount 
of any such transfer is deducted from the national bridge needs 
used in the program's apportionment formula for the following 
year.
    At least 15 percent, but not more than 35 percent, of a 
State's apportioned bridge funds must be spent on bridges not 
on the Federal-aid system.
    Funds provided for the bridge discretionary program in 
fiscal year 2004 shall be available for the following 
activities in the corresponding amounts:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Beacon Falls Depot Street Bridge, Connecticut...........      $1,000,000
Blackford Bridge Project, Kentucky......................         250,000
Bridge 1480230 Upgrade with Polymer Concrete Deck--              400,000
 Greene County, Missouri................................
Bridge Replacement on Arkabutla--Coldwater Road,                 750,000
 Mississippi............................................
Broadway Bridge/I-25 Interchange Complex, Colorado......       8,000,000
Canvas Bridge, Nicholas County, West Virginia...........       8,000,000
Carlsbad, New Mexico, Railroad Overpass.................       1,500,000
Chehalis, I-5 Exit 79 Interchange Bridge, Washington....       3,000,000
Covered Bridges.........................................       4,000,000
Delaware River Port Authority--Ben Franklin Bridge,            5,000,000
 Pennsylvania...........................................
Ferry Street Bridge, New Haven, Connecticut.............       2,000,000
Funny River Bridge Crossing, Alaska.....................      10,000,000
Granite Street and Bridge Widening Project, New                7,000,000
 Hampshire..............................................
Highway 19 Bridge Replacement, Missouri.................       6,000,000
I-195 Washington Bridge (eastbound), Rhode Island.......       4,000,000
I-5 Second Street Bridge, Mt. Vernon, Washington........       3,000,000
I-80 Bridges Cedar River Bridges, Iowa..................       3,000,000
IH-35E Chambers Creek Bridges, Texas....................       1,500,000
Indian River Inlet Bridge Replacement, Delaware.........       4,000,000
King County, South Park Bridge, Washington..............       2,000,000
Meridian Bridge Replacement, Yankton, South Dakota......       2,000,000
North Avenue Bridge, Chicago, Illinois..................       5,000,000
Route 1 & 9 and St. Pauls Avenue Bridge, Hudson County,        2,000,000
 New Jersey.............................................
Russell Street Viaduct (MD 295/Baltimore), Maryland.....       4,000,000
Topeka Boulevard Bridge, Kansas.........................       8,000,000
US20 Bridge Repair, Oregon..............................         600,000
Waldo-Hancock Suspension Bridge in Prospect and Verona,        4,000,000
 Maine..................................................
------------------------------------------------------------------------

    National Historic Covered Bridge Preservation Program.--The 
Committee recommendation provides $4,000,000 for the covered 
bridge program within the funds made available for the 
discretionary bridge program. Within this amount, $2,000,000 
shall be made available for covered bridges in the State of 
Vermont.
    Congestion Mitigation and Air Quality Improvement 
Program.--This program provides funds to States to improve air 
quality in non-attainment and maintenance areas. A wide range 
of transportation activities are eligible, as long as DOT, 
after consultation with EPA, determines they are likely to help 
meet national ambient air quality standards. TEA21 provides 
greater flexibility to engage public-private partnerships, and 
expands and clarifies eligibilities to include programs to 
reduce extreme cold starts, maintenance areas, and particulate 
matter [PM-10] nonattainment and maintenance areas. If a State 
has no non-attainment or maintenance areas, the funds may be 
used as if they were STP funds.
    On-road and off-road demonstration projects may be 
appropriate candidates for funding under the CMAQ program. Both 
sectors are critical for satisfying the purposes of the CMAQ 
program, including regional emissions and verifying new mobile 
source control techniques.
    Federal Lands Highways.--This program provides 
authorizations through three major categories--Indian 
reservation roads, parkways and park roads, and public lands 
highways (which incorporates the previous forest highways 
category)--as well as a new category for Federally-owned public 
roads providing access to or within the National Wildlife 
Refuge System. TEA21 also establishes a new program for 
improving deficient bridges on Indian reservation roads.
    The Committee directs that the funds allocated for this 
program in this bill and in permanent law are to be derived 
from the FHWA's public lands discretionary program, and not 
from funds allocated to the National Park Service's regions. 
Funds provided for the Federal lands program in fiscal year 
2004 shall be available for the following activities:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Blackstone River Valley Bikeway, Rhode Island...........     $1,,500,000
Chickasaw Museum and Cultural Center Planning and                500,000
 Development, Mississippi...............................
Chignik Road Improvements, Alaska.......................       2,100,000
City of Boston--Harbor Islands NRA Long Island Pier              300,000
 Reconstruction, Massachusetts..........................
City of Rocks Back Country Byway, Stage 2, Idaho........       3,000,000
Colville Confederated Tribe--Inchelium/Gifford Bridge            120,000
 Feasibility Study, Washington..........................
County Road, Preston North and South, Nebraska..........       1,000,000
Craig Road Overpass, Nevada.............................       3,500,000
Ft. Yates Business Loop, North Dakota...................         500,000
Glacier Creek to Rock Creek, Alaska.....................       3,000,000
Glacier National Park Going to the Sun Road, Montana....       8,000,000
Hawaii Statewide Federal Lands Improvements.............       4,000,000
Henry Drive Bridge #001, Kansas.........................         750,000
Henry Drive Bridge #801--Fort Riley, Kansas.............       5,000,000
Hoover Dam Bypass Bridge, Arizona.......................       7,000,000
Iditarod Historic National Trail Project, Alaska........         500,000
Interstate Bridge Crossing between Bullhead City,                500,000
 Arizona and Laughlin, Nevada...........................
Kenai Fjords National Park Resurrection Bay Trail and          2,300,000
 Parking Improvements, Seward, Alaska...................
KY 115 and KY 911 Interchange, Kentucky.................       1,250,000
Lewis and Clark Legacy Trail, North Dakota..............         700,000
Lower Elwha Klallam Tribe--Access Road, Washington......       2,300,000
McCarthy Creek Tram, Alaska.............................         200,000
Moosalamoo Region, Green Mountain National Forest,               150,000
 Vermont................................................
Port of Pasco, Ainsworth Avenue Realignment--Sacagawea         3,000,000
 Heritage, Washington...................................
Red Cliff Arch Bridge, Colorado.........................       3,000,000
Russell Cave National Monument Road, Jackson County,             500,000
 Alabama................................................
Salmon Falls Creek Bridge, Idaho........................         500,000
Seminole Dam Road, Wyoming..............................       3,500,000
Seminole Tribe of Florida: Snake Road Realignment,             1,000,000
 Florida................................................
Shotgun Cove Road, Alaska...............................       2,000,000
Six County Fort Peck Road Access Project, Montana.......       1,500,000
Skokomish Tribe Roadway Improvements, Washington........       1,300,000
Southeast Alaska Seatrails..............................         500,000
Stoughton Pond Road, Weathersfield, Vermont.............         100,000
Taylor Hill Road US Secondary Montana 234...............       1,885,000
U.S. 95 Laughlin to Searchlight (Phase 3), Nevada.......       8,000,000
US 93 Evaro to Polson Wildlife Crossings, Montana.......       2,000,000
US Highway 491 On the Navajo Nation, New Mexico.........       1,000,000
Valles Caldera National Preserve, New Mexico............       1,200,000
Williamsport/Pile Bay Road, Kenai, Alaska...............       3,000,000
Winner Creek Trail Improvements, Alaska.................       1,000,000
------------------------------------------------------------------------

    Miller Creek Bridge, Montana.--The Committee is aware that 
the environmental clearance process for the Miller Creek Tondge 
Project, MT include in Public Law 107-87 will cost less than 
the amount included and directs FHWA to apply the balance of 
the funds for final design, right-of-way acquisition, 
construction, and construction engineering activates.
    Minimum Guarantee.--Under TEA21, after the computation of 
funds for major Federal-aid programs, additional funds are 
distributed to ensure that each State receives an additional 
amount based on equity considerations. This minimum guarantee 
provision ensures that each State will have a return of 90.5 
percent on its share of contributions to the highway account of 
the Highway Trust Fund. To achieve the minimum guarantee each 
fiscal year, $2,800,000,000 nationally is available to the 
States as though they are STP funds (except that requirements 
related to set-asides for transportation enhancements, safety, 
and sub-State allocations do not apply), and any remaining 
amounts are distributed among core highway programs.
    Emergency Relief.--This program provides for the repair and 
reconstruction of Federal-aid highways and Federally-owned 
roads which have suffered serious damage as the result of 
natural disasters or catastrophic failures. TEA21 restates the 
program eligibility specifying that emergency relief [ER] funds 
can be used only for emergency repairs to restore essential 
highway traffic, to minimize the extent of damage resulting 
from a natural disaster or catastrophic failure, or to protect 
the remaining facility and make permanent repairs. If ER funds 
are exhausted, the Secretary of Transportation may borrow funds 
from other highway programs.
    Alaskan Way Viaduct, Seattle, WA.--The Committee is aware 
of recent studies indicating that the damage sustained by the 
Alaskan Way Viaduct as a result of the Nisqually earthquake in 
2001 was far more extensive than originally assumed. The 
Committee encourages the Federal Highway Administration to work 
with the appropriate State and local officials to confirm the 
full extent of the damage and determine the appropriate amount 
of emergency relief resources that should be committed to this 
project.
    National Corridor Planning and Border Infrastructure 
Programs.--TEA21 created a national corridor planning and 
development program that identifies funds for planning, design, 
and construction of highway corridors of national significance, 
economic growth, and international or interregional trade. 
Allocations may be made to corridors identified in section 
1105(c) of ISTEA and to other corridors using considerations 
outlined in legislation. The coordinated border infrastructure 
program is established to improve the safe movement of people 
and goods at or across the U.S./Mexico and U.S/Canada borders.
    Funds provided for the National Corrider and Border 
Infrastructure Program shall be available for the following 
activities:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
172nd Street, I-5 Interchange and Bridge Expansion,           $3,000,000
 Washington.............................................
34th Street Corridor completion, Minnesota..............       1,000,000
Alameda Corridor-East, California.......................       2,000,000
Anniston East Bypass, Alabama...........................       3,000,000
Arctic Winter Games Transportation Improvements, Alaska.       1,000,000
Billings Bypass Development: Design and ROW, Montana....       2,000,000
Birmingham North Beltline, Birmingham, Alabama..........       2,000,000
Canal Road Intermodal Connector, Harrison County,              1,000,000
 Mississippi............................................
Chenega Road System, Alaska.............................         850,000
Construct Madison Street Interchange I-29 in Sioux             5,000,000
 Falls, South Dakota....................................
Cyberport, Arizona......................................       2,500,000
Decatur Beltline Expansion, Decatur, Alabama............       2,000,000
FAST Corridor, Washington...............................       3,000,000
Flintlock Road Overpass, City of Liberty, Missouri......       1,000,000
Ft. Wainwright Alternative Access & Chena River                5,700,000
 Crossing, Alaska.......................................
Highway 226: Highway 67 to Highway 63 (Jonesboro),             1,500,000
 Arkansas...............................................
Hillsborough County I-4 Crosstown Connector, Florida....       2,000,000
I-565 to Memorial Parkway, Huntsville, Alabama..........       5,000,000
I-69, Louisiana.........................................       2,000,000
I-95/SR 1 Interchange Turnpike Improvements, Delaware...       1,000,000
Intercounty Connector (ICC), Maryland...................         500,000
LA-1, Port Fourchon to Golden Meadow, Louisiana.........       2,000,000
LA HWY 820 Improvements, Lincoln Parish, Louisiana......       1,500,000
LA-37/US 190 Central Thruway Connector, Louisiana.......       1,000,000
Lucille Street and Mack Drive Improvements, Wasill,            1,000,000
 Alaska.................................................
Mesa del Sol, Albuquerque, New Mexico...................       1,500,000
Missisquoi Bay Bridge, Vermont..........................       4,000,000
Murray Business Loop, Kentucky..........................       1,000,000
North Pole Roads Lighting, Alaska.......................         950,000
Northwest Bypass--City of Beaufort, South Carolina......       1,000,000
Otay Mesa/State Route 905, California...................       3,000,000
Pennsylvania Turnpike Commission--High Priority Corridor       5,000,000
 #31....................................................
Route 24/140 Interchange Replacement and Expansion,            1,000,000
 Massachusetts..........................................
Route 79 Improvements, Fall River, Massachusetts........       1,500,000
SR 509/SR 518 Interchange/Intersection Redevelopment           2,000,000
 [Burien), Washington...................................
Santa Fe/C-470, Colorado................................       1,500,000
State Highway 133 Widening, Colquitt County, Georgia....       4,000,000
Texas I 69..............................................       5,800,000
US 11, Orleans and St. Tammany Parishes, Louisiana......         500,000
U.S. 395, North Spokane Corridor, Washington............       1,000,000
U.S. 412 Mountain Home to Hwy. 101, Arkansas............       4,000,000
U.S. 51, Christian/Shelby Counties, Illinois............       2,000,000
US 113, Phase I, Maryland...............................       1,500,000
US 278, South Carolina..................................       1,000,000
US 67 improvements, Missouri............................       5,000,000
US 87 Bypass around Big Spring, Texas...................         200,000
US 95, Worley to Mica, Idaho............................       7,000,000
US Highway 6 Improvements, Coralville, Iowa.............       1,000,000
US-231/I-10 Freeway Connector, Alabama..................       8,000,000
US 35 Mason and Putnam Counties, West Virginia..........       6,000,000
Walden Point Road, Alaska...............................       2,000,000
West Virginia Route 10--Logan County....................      10,000,000
Wood/Sandusky/Lucas Counties--U.S. Route 20, Ohio.......       5,000,000
Yakima Grade Separations, Washington....................       1,000,000
------------------------------------------------------------------------

    Ferry Boats and Ferry Terminal Facilities.--Section 1207 of 
TEA21 reauthorized funding for the construction of ferry boats 
and ferry terminal facilities.
    Funds provided for the Ferry boats and ferry terminal 
facilities program under the Committee recommendation shall be 
available for the following activities in the corresponding 
amounts:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Coffman Cove/Wrangell/Petersburg Ferrier and Ferry            $3,000,000
 Facilities, Alaska.....................................
Fort Morgan-Dauphin Island Ferry, Alabama...............       2,500,000
Hatteras Ferry Project, North Carolina..................         500,000
Homer-Jakolof Bay-Halibut Cove Ferry, Alaska............       2,000,000
Kitsap Transit--Marina Expansion and Transit Passenger         3,000,000
 Ferry Terminal, Washington.............................
Mukileto Multimodal Terminal, Washington................       1,000,000
Ocean Gateway Development, Maine........................       1,000,000
Oyster Point Ferry, San Francisco, California...........       1,000,000
Port of Ketchikan Ferry Facility, Alaska................       1,000,000
Southworth Terminal Redeveloment/Vashon Terminal               1,000,000
 Preservation, Washington...............................
Staten Island Ferry Kennedy Class Replacement Program,         2,000,000
 New York...............................................
TEA21 Setaside, AK and HI...............................      20,000,000
------------------------------------------------------------------------

    National Scenic Byways Program.--This program provides 
funding for roads that are designated by the Secretary of 
Transportation as All American Roads [AAR] or National Scenic 
Byways [NSB]. These roads have outstanding scenic, historic, 
cultural, natural, recreational, and archaeological qualities. 
The Committee recommendation provides $27,500,000 for this 
program in fiscal year 2004. The recommendation is $1,000,000 
more than the fiscal year 2003 level and assumes the constant 
rate of growth of each year of the TEA21 authorization period.
    Transportation and Community and System Preservation Pilot 
Program.--TEA21 created a new transportation and community and 
system preservation program that provides grants to States and 
local governments for planning, developing, and implementing 
strategies to integrate transportation and community and system 
preservation plans and projects. These grants may be used to 
improve the efficiency of the transportation system, reduce 
transportation externalities and the need for future 
infrastructure investment, and improve transportation 
efficiency and access consistent with community character. 
Funds provided for this program for fiscal year 2004 shall be 
available for the following activities:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Bartlett Access Intersection Safety Improvements, Alaska        $500,000
Beckley VA Medical Center Access Road, West Virginia....       1,000,000
Bedford, New Hampshire Route 101 Corridor Safety               1,000,000
 Improvement Project....................................
Bellingham, Coast Millennium Trail--South Bay Taylor             500,000
 Dock Project, Washington...............................
Berlin G. Meyers Parkway Extension, South Carolina......       1,000,000
Big Lake to Wasilla Pedestrian Trails, Alaska...........         500,000
City of Charles Town--Gateway Revitalization Project,            350,000
 West Virginia..........................................
Colchester Roadway/pedestrian Path, Vermont.............       1,000,000
Coltsville Corridor Redevelopment Project, Connecticut..       1,000,000
Galveston Railroad Bridge Replacement, Texas............         500,000
Henderson County Port Authority Project, Kentucky.......       1,000,000
Highway 79 Corridor/Greenway Project, Alabama...........         750,000
Hollywood Drive Expansion Project--City of Jackson,              450,000
 Tennessee..............................................
I-65 Industrial Park Access Improvements, Atmore,                500,000
 Alabama................................................
Kincaid Park Trail Connection, Alaska...................         900,000
Lawrence Gateway Quadrant Area Reuse Plan, Lawrence,             500,000
 Massachusetts..........................................
Manhattan, Kansas Fourth Street Corridor................         200,000
Matanuska-Susitna Roads Improvement, Alaska.............       1,000,000
Niobrara Scenic River Corridor Roads, Nebraska..........       1,000,000
North/South Road, Oahu, Phase I, Hawaii.................       1,000,000
Owensboro Waterfront Development Project, Kentucky......       1,000,000
Pedestrian/Bicycle Linkage & Scenic Overlook                      25,000
 Restoration, Grant, Alabama............................
Riverwalk, Montgomery, Alabama..........................       1,000,000
Route 29 Recreational Bike and Pedestrian Path, Mercer,        1,000,000
 New Jersey.............................................
Santa Fe (US 85)/C-470 Interchange, Colorado............       1,000,000
Seattle, Elliot Avenue & BNSF Crossing Path                    1,000,000
 Improvements, Washington...............................
Spokane, University District Transportation Safety             1,000,000
 Enhancement Project, Washington........................
Stourbridge Rail Excursion Line, Pennsylvania...........          75,000
Streetscape Initiative, Phase II, for the City of                500,000
 Moultrie, Georgia......................................
Town of Clayton Downtown Revitalization, Clayton,                500,000
 Alabama................................................
U.S. 49 from Florence, Mississippi to I-20..............         750,000
Uptown Crossings Vine Street Improvement Project, Ohio..       1,000,000
Vancouver Interstate-5 Pedestrian Bridge, Washington....         500,000
West Bay Bridge in Panama City, Florida.................       1,000,000
------------------------------------------------------------------------

                          FEDERAL-AID HIGHWAYS

                              (RESCISSION)

    The bill rescinds $156,000,000 in contract authority 
balances from the five core programs. The Committee directs 
FHWA to administer the rescission by allowing each State 
maximum flexibility in making these adjustments among the five 
programs.

                 APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM

Appropriations, 2003 \1\................................    $186,778,000
Budget estimate, 2004 \2\...............................................
Committee recommendation................................     150,000,000

\1\ Reflects reduction of $1,222,000 pursuant to section 601 of Public 
Law 108-7.
\1\ The budget estimate requests funding under the Federal-Aid Highway 
obligation limitation.

    The Committee recommendation includes $150,000,000 for the 
Appalachian Development Highway System [ADHS]. The amount 
provided is the same as the fiscal year 2003 comparable level. 
Funding for this initiative is authorized under section 1069(y) 
of Public Law 102-240--the Intermodal Surface Transportation 
Efficiency Act. The ADHS program provides funds for the 
construction of the Appalachian corridor highways in the 13 
States that comprise the Appalachian region. These highways, in 
many instances, are intended to replace some of the most 
deficient and dangerous segments of rural roadway in America.

                 LIMITATION ON TRANSPORTATION RESEARCH

Limitation, 2003 \1\ \2\................................    $459,493,750
Budget estimate, 2004 \1\ ..............................     404,068,000
Committee recommendation................................     462,500,000

\1\ Resources available in fiscal year 2003 and requested in fiscal year 
2004 are assumed within the Federal aid highway obligation limitation in 
the budget request for fiscal year 2004.
\2\ Reflects reduction of $3,000,000 pursuant to section 601 of Public 
Law 108-7.

    The limitation controls spending for the transportation 
research and technology programs of the FHWA. This limitation 
includes the intelligent transportation systems, surface 
transportation research, technology deployment, training and 
education, and university transportation research. The 
Committee recommendation provides an obligation limitation for 
transportation research of $462,500,000. This limitation is 
consistent with the provisions of TEA21.

                  LIMITATION ON TRANSPORTATION RESEARCH
------------------------------------------------------------------------

------------------------------------------------------------------------
Surface transportation research.........................    $103,000,000
Technology Deployment program...........................      50,000,000
Training and education..................................      18,000,000
Bureau of Transportation Statistics.....................      31,000,000
ITS Standards, research, operational tests, and              110,000,000
 development............................................
ITS Deployment..........................................     124,000,000
University transportation research......................      26,500,000
                                                         ---------------
    Subtotal............................................     462,500,000
------------------------------------------------------------------------

                    SURFACE TRANSPORTATION RESEARCH

    Within the funds provided for highway research and 
development, the Committee makes the following recommendations 
for the surface transportation research program:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Environment, Planning & Right-of-way....................     $17,000,000
Research and Technology Program Support.................      10,000,000
International Research..................................         400,000
Structures..............................................      13,000,000
Safety..................................................      11,000,000
Highway Operations......................................      12,500,000
Asset Management........................................       2,750,000
Pavements Research......................................      15,750,000
Policy Research.........................................       9,200,000
Long Term Pavement Project [LTPP].......................      10,000,000
Advanced Research.......................................         400,000
R&T; Strategic Planning/Performance Measures.............       1,000,000
                                                         ---------------
      Total.............................................     103,000,000
------------------------------------------------------------------------

    Environment, Planning, and Real Estate.--The Committee 
recommendation includes $17,000,000 for environment, planning, 
and real estate research. Within the funds provided for this 
research activity, the Committee has provided $1,000,000 to 
continue dust and persistent particulate abatement research in 
Kotzebue, Alaska.
    Research and Technology Program Support.--The Committee 
recommends $10,000,000, $1,500,000 more than the fiscal year 
2003 enacted level. Within the funds available for research and 
technology, the Committee has provided $750,000 for the Center 
on Coastal Transportation Research at the University of South 
Alabama and $750,000 for the electromagnetic transportation 
research project at the University of Vermont to continue 
research into the development of advanced ground penetrating 
radar [GPR] systems.
    International Research.--The Committee recommendation 
includes $400,000 for international research. This is the same 
amount provided in fiscal year 2003.
    Structures.--The Committee has provided $13,000,000 for 
structures researchs. This research effort allows FHWA reduce 
deficiencies on National Highway System bridges and should 
facilitate continued progress on high performance materials and 
engineering applications to design, repair, retrofit, inspect, 
and rehabilitate bridges. Within the funds provided for this 
research activity, the Committee has provided $250,000 to 
continue a demonstration project to evaluate the use of 
battery-powered cathodic protection to extend the life of 
concrete bridges that are located in extreme cold weather 
conditions and $1,000,000 to West Virginia University to 
continue research on the rapid deployment and durability of 
bridge structures constructed with advanced composite 
materials. The Committee recommendation also includes $250,000 
for the University of Delaware's Center for Innovative Bridge 
Engineering, $1,500,000 for the Infrastructure Renewal Research 
project at Washington State University and $500,000 to support 
non-destructive structural evaluation technology at the New 
Mexico State University's Bridge Research Center.
    Safety.--The Committee recommendation provides $11,000,000 
for safety research. This program develops engineering 
practices, analysis tools, equipment, roadside hardware, and 
safety promotion and public information that will significantly 
contribute to the reduction of highway fatalities and injuries. 
Within the funds provided for safety, the Committee has 
provided $250,000 to conduct an evaluation of durable 
waterborne road markings at Pennsylvania State University to 
understand the safety impacts, environmental impact and cost 
effectiveness of the several pavement marking systems and 
$500,000 to Washington State Department of Transportation for 
pilot projects to test Level-2 Warning/Positive Protection 
Gates for highway railroad grade crossings.
    Highway Operations.--The Committee recommendation provides 
$12,500,000 for research activities regarding highway 
operations. The Highway operations research program is designed 
to develop, deliver, and deploy advanced technologies and 
administrative methods to provide pavement and bridge 
durability, and to reduce construction and maintenance-related 
user delays. Within the funds provided, the Committee has 
included $750,000 for the University of Idaho's National 
Institute for Advanced Transportation Technology [NIATT], 
working with the Northwest Transportation Training and 
Education Alliance, to develop and deliver training and 
education for transportation professionals in Idaho, Oregon, 
and Washington. The Committee has also provided $750,000 for 
the Oklahoma Transportation Center to conduct research 
addressing freight flows throughout Oklahoma.
    Asset Management.--The Committee recommends $2,750,000 for 
asset management research activities.
    Policy.--The Committee recommendation includes $9,200,000, 
an increase of $500,000 from the fiscal year 2003 enacted 
level. Within the funds provided for this research activity, 
the Committee has included $500,000 to continue research into 
possible methods to integrate transportation facilities into 
communities in rural areas by the University of Kentucky 
Academy for Community Transportation Innovation.
    Pavements Research.--The Committee recommends $15,750,000 
for highway pavement research, including work on asphalt, 
Portland cement pavement research, polymer additives, and 
recycled materials. This is $5,699,000 more than the budget 
estimate and $250,000 more than the fiscal year 2003 enacted 
level. Within the funds provided, the Committee has included 
$1,500,000 for the National Center for Asphalt Technology 
[NCAT]. The Committee has also provided $1,000,000 to the 
Center for Portland Cement Concrete Pavement Technology at Iowa 
State University; $500,000 to continue evaluation of GSB-88 
emulsified binder treatment application; and $250,000 to the 
Michigan Technological University Institute for Aggregate 
Research.
    High-Performance/Low Emission Asphalt Test.--The Committee 
is concerned that a significant portion of federally-assisted 
road construction and maintenance is currently completed 
without consideration for minimum performance standards, both 
in terms of pavement longevity, as well as emissions resulting 
from the production of asphalt. In an attempt to correct for 
the shortcomings, States mandate varying levels of additives 
for the asphalt resulting in an overall cost that exceeds that 
of less modified asphalts that meet the AASHTO MP-1 performance 
standard.
    The Committee has become aware of recent advancements in 
high-quality/low emissions asphalt that produce superior 
qualities even when the asphalt product is applied without 
additives such as polymers. The Committee believes that large 
scale testing is warranted and directs FHWA to conduct a high 
performance/low emission asphalt test research project. The 
primary objective of this study is to evaluate asphalt products 
that meet the minimum specifications for performance grade 76-
22 asphalt that conforms to the AASHTO MP-1 specification. In 
addition, the asphalt(s) used in this study should achieve the 
lowest emissions when processed at hot mix plants, with 
particular attention paid to: the advantages achieved by using 
different types of crude feed (i.e. Boscan Crude or Altimira 
Crude); the economic benefits of lower percentages of 
additives; the elasticity of the asphalt in varying climatic 
conditions; and the degree of reduced emissions from current 
products.
    The Committee expects that this project will be conducted 
over significant highway mileage in a minimum of three States 
to study the economic and performance benefits of using a 76-22 
performance grade asphalt that conforms to AASHTO MP-1 and also 
reduces harmful or unwanted emissions during the production 
process. The study should be completed according to protocols 
established by FHWA in conjunction with National Center for 
Asphalt Technology [NCAT].
    Advanced Research.--The Committee recommendation provides 
$400,000.
    R&T; Strategic Planning and Performance Measures.--The 
Committee has provided $1,000,000 for research and technology 
strategic planning and performance measures. The Committee 
anticipates that this level of funding will be sufficient to 
support planned strategic planning activities, research 
outreach, and development and refinement of performance 
measures, as required by the Government Performance and Results 
Act [GPRA].
    ITS Standards, Research, Operational Tests, Development, 
and Deployment.--The Committee recommends $124,000 for ITS 
deployment projects and $110,000,000 for ITS research and 
associated activities in fiscal year 2004 to be allocated in 
the following manner:

------------------------------------------------------------------------

------------------------------------------------------------------------
Research and Development................................     $52,000,000
Operational Tests.......................................      10,000,000
Evaluation/Program Policy Assessment....................       7,000,000
Architecture and Standards..............................      18,000,000
Program Support.........................................      11,500,000
Integration.............................................      11,500,000
ITS Deployment Incentive Program........................     124,000,000
------------------------------------------------------------------------

    Specified ITS Deployment Projects.--It is the intent of the 
Committee that the following projects contribute to the 
integration and interoperability for intelligent transportation 
systems in metropolitan and rural areas as provided under 
section 5208 of TEA21 and promote deployment of the commercial 
vehicle intelligent transportation system infrastructure as 
provided under section 5209 of TEA21. Funding for deployment 
activities are to be available as follows:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
511 Traveler Information Program, North Carolina........        $400,000
Advanced Ticket Collection and Passenger Information           1,500,000
 Systems, New Jersey....................................
Advanced Traffic Analysis Center, North Dakota..........         500,000
Advanced Transportation Management Systems (AMTS),             1,000,000
 Montgomery County, Maryland............................
ATR Transportation Technology/CVISN, New Mexico.........       1,000,000
Auburn, Auburn Way South ITS, Washington................       1,600,000
Cargo Watch Logistics Information System, New York......       4,000,000
CCTA Intelligent Transportation Systems, Vermont........       1,000,000
Central Florida Regional Transportation Authority: North       2,500,000
 Orange/South Seminole ITS Enhanced Circulator..........
City of Boston Intelligent Transportation Systems,             1,750,000
 Massachusetts..........................................
City of Huntsville, Alabama ITS.........................       5,000,000
City of Shreveport Intelligent Transportation System           1,000,000
 Deployment, Louisiana..................................
Clark County Transit, VAST ITS, Washington..............       1,600,000
Dynamic Changeable Message Signs--Urban Interstate             1,000,000
 System, Iowa...........................................
Fiber Optic Signal Interconnect System, Arizona.........       4,000,000
Germantown Parkway ITS Project, Tennessee...............       3,000,000
GMU ITS, Virginia.......................................       2,000,000
Great Lakes ITS, Michigan...............................       2,000,000
Greater Philadelphia Chamber of Commerce ITS System,           2,000,000
 Pennsylvania...........................................
Hillborough Area Regional Transit Bus Tracking,                1,000,000
 Communication and Security, Florida....................
Hoosier SAFE-T, Indiana.................................       3,500,000
I-70 Incident Management Plan, Colorado.................       3,000,000
Intelligent Transportation Systems--Phases II and III,         1,250,000
 Ohio...................................................
Intelligent Transportation Systems [ITS] Statewide and         1,000,000
 Commercial Vehicle Information Systems Network [CVISN],
 Maryland...............................................
Intelligent Transportation Systems, Illinois............       4,000,000
Iowa Transit Communications.............................       1,500,000
ITS Expansion in Davis and Utah Counties, Utah..........       1,250,000
ITS, Cache Valley, Utah.................................       1,000,000
Jacksonville Transportation Authority: Intelligent             1,000,000
 Transportation Systems Regional Planning, Florida......
King County, Countywide Signaling Program, Washington...       1,500,000
Lewis & Clark 511 Coalition, Montana....................       1,000,000
Lincoln, Nebraska StarTran Automatic Vehicle Location          1,000,000
 System.................................................
Maine Statewide ITS.....................................       1,000,000
MARTA Automated Fare Collection/Smart Card System,             1,500,000
 Georgia................................................
Mid-America Surface Transportation Weather Research            1,000,000
 Institute, North Dakota................................
Missouri Statewide Rural ITS............................       5,000,000
Nebraska Statewide Intelligent Transportation System           2,000,000
 Deployment.............................................
Oklahoma Statewide ITS..................................       5,000,000
Port of Anchorage Intermodal Facility, Alaska...........       1,500,000
Program of Projects, Washington.........................       5,400,000
RIPTA ITS Program Phase II, Rhode Island................       1,500,000
Real Time Transit Passenger Information System for             1,000,000
 Prince George's County Department of Public Works,
 Maryland...............................................
Sacramento Area Council of Governments--ITS Projects,          4,000,000
 California.............................................
SCDOT InRoads, South Carolina...........................       3,000,000
Seattle City Center ITS, Washington.....................       2,500,000
Springfield, Missouri Regional ITS......................       2,000,000
State of Vermont Interstate Variable Message Signs and         1,000,000
 Weather Information Stations...........................
Statewide AVL Initiative, Nebraska......................         750,000
TalTran: ITS Smart Bus Implementation, Florida..........       1,500,000
Texas Medical Center Early Warning Transportation System       2,000,000
Texas Statewide ITS Deployment and Integration..........       1,000,000
Town of Cary: Computerized Traffic Signal System               1,600,000
 Project, North Carolina................................
Transportation Research Center [TRC] for Freight, Trade,       1,000,000
 Security, and Economic Strength, Georgia...............
Tri-County Automated System Project, University of             1,000,000
 Southern Mississippi...................................
Tukwila, Signalization Interconnect and Intelligent            1,400,000
 Transportation, Washington.............................
Twin Cities, Minnesota Redundant Communications Pilot...       2,000,000
UAB Center for Injury Sciences, Birmingham, Alabama.....       2,000,000
University of Alaska Transportation Research Center.....       2,000,000
University of Kentucky Transportation Center............       1,500,000
University of Oklahoma Intelligent Bridge System               3,000,000
 Research...............................................
Wisconsin State Patrol Mobile Data Computer Network            3,000,000
 Phase II...............................................
Wyoming Statewide ITS Initiative........................       5,000,000
------------------------------------------------------------------------

    Illinois ITS.--The Committee provides $4,000,000 to the 
Illinois Department of Transportation for Intelligent 
Transportation Systems grants. The Committee expects IDoT to 
fund the following projects: $750,000 to the City of Kankakee 
for improvements near Riverside Hospital; $750,000 to the 
village of Bourbonnais for infrastructure improvements to the 
Career Center corridor; $750,000 to the City of Carbondale for 
Southern Illinois University--Carbondale's Materials Technology 
Center; $500,000 for the village of Franklin Park Grand Avenue 
project; and $250,000 for the U.S. 30, Whiteside County 
improvements.

                    SURFACE TRANSPORTATION PROJECTS

    Funds provided for surface transportation projects in 
fiscal year 2004 shall be available for the following projects 
in the corresponding amounts:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
135th Street Widening and US 69 Northbound Ramp, Kansas.      $2,500,000
3-Bridge Corridor Project, Skagit County, Washington....         800,000
51-43 Connector Canton, Mississippi.....................       1,000,000
Adriaen's Landing, Hartford, Connecticut................       5,000,000
Alaskan Way Viaduct & Seawall, Seattle, Washington......       1,000,000
Arkwright Connector, South Carolina.....................       3,000,000
BNSF Track Relocation Project, Everett, Washington......         500,000
Beale Street Landing/Docking Facility--City of Memphis,        1,000,000
 Tennessee..............................................
Bear Creek Greenway, Oregon.............................       2,000,000
BIA Route 27 Reconstruction, Pine Ridge Indian                 3,000,000
 Reservation, South Dakota..............................
Buffalo Outer Harbor Project, New York..................       5,000,000
Butler County Industrial Infrastructure Development-             750,000
 City of Greenville, Alabama............................
Byram-Clinton/Norrell Corridor, Mississippi.............       3,000,000
Cheyenne Corridor Safety Improvement Project in                1,000,000
 Pocatello, Idaho.......................................
City of Crowley's Historic Parkerson Avenue                    1,000,000
 Redevelopment project, Louisiana.......................
Colonial National Historic Park, Jamestown 400th               6,500,000
 Anniversary Transportation Improvements, Virginia......
Commodore Barry Bridge ramps to Chester, Pennsylvania...       1,000,000
Craig Road Improvements, Alaska.........................       1,000,000
Eufaula Main Street Restoration Project, Alabama........         500,000
Farish Street Historic District Improvements,                    500,000
 Mississippi............................................
Grandview Triangle Improvements, Missouri...............       1,000,000
Highway 19 Expansion, Mississippi.......................       2,000,000
Houston Greater Partnership Quality of Life Initiative,          500,000
 Texas..................................................
Hydaburg Road Improvements, Alaska......................       2,000,000
I-15 North, Davis County, Utah..........................       1,500,000
I-275 to AA Highway Connector, Kentucky.................       1,500,000
I-40/I-55 Ramp Reconstruction, City of Memphis,                1,000,000
 Tennessee..............................................
I-73, South Carolina....................................       2,000,000
Improvements to I-70/Route 63 Interchange--Columbia,           1,000,000
 Missouri...............................................
Indianapolis Stadium Drive District, Indiana............       2,000,000
Industrial Park Access Road Winfield, Alabama...........         500,000
Intermodal Transload Facility, Quincy, Washington.......       2,000,000
John Wright Drive, Alabama..............................       7,000,000
Jonesboro Transportation and Drainage Planning, Arkansas       1,000,000
Kentucky TriModal Transpark.............................       5,000,000
Keystone Drive and Related Improvements, Alaska.........       1,500,000
L.L. Tisdale Parkway/Increase Loop, Oklahoma............         250,000
LA Highway 28, Louisiana................................       2,000,000
Lake Martin Regional Industrial Park Access Rd.,                 500,000
 Kellyton, Alabama......................................
Lexington Bridge Project, Cowlitz County, Washington....       1,500,000
Louisville-Southern Indiana Ohio River Bridges Project,        1,000,000
 Indiana................................................
M&B; Railroad Bridge 46.3 Repair, Alabama................       1,000,000
Mahoning and Trumbell Counties--State Route 46, Ohio....       2,000,000
Marine Maintenance Facility Phase I, Manns Harbor, North       1,000,000
 Carolina...............................................
Matanuska-Susitna Road Improvements, Alaska.............       2,000,000
MD 404, Phase II, Maryland..............................       1,000,000
Montgomery Outer Loop, Alabama..........................       2,000,000
Muncie, Indiana By-Pass.................................       2,000,000
North Slope Borough Road Improvements, Alaska...........       3,000,000
Paseo de Volcan, Rio Rancho, New Mexico.................       4,000,000
Pembroke Road Overpass at I-75, Florida.................       1,000,000
Phalen Boulevard, Minnesota.............................       2,000,000
Phase II, Minnesota Valley Regional Rail Authority......       2,000,000
Pittsburg, Kansas Port Authority for the Kansas &              1,500,000
 Oklahoma Railroad......................................
Plough Boulevard Interchange (at Winchester Road)--            2,000,000
 Memphis, Tennessee.....................................
Pogue Airport Access Road, Oklahoma.....................       1,000,000
Pookela Road, Hawaii....................................       4,000,000
Reconstruct Allen Road, Bennett County, South Dakota....       2,000,000
Removal of the Old Jamestown Bridge in Rhode Island.....       4,450,000
Reno-Stead Railroad Spur, Nevada........................       1,000,000
Route 11, Connecticut...................................       3,000,000
Route 12 Corridor, New York.............................       3,000,000
Ruffner Mountain Nature Preserve, Alabama...............         500,000
Saddle Road Improvement, Hawaii.........................       4,000,000
San Juan Boulevard, Bellingham, Washington..............       1,225,000
San Luis II Access Road, Arizona........................       1,000,000
Satsop Road Access Improvements, Grays Harbor,                   375,000
 Washington.............................................
Seward Road Improvements, Alaska........................       2,000,000
Ship Creek Improvements, Alaska.........................       1,000,000
Sitka Road Improvements, Alaska.........................       1,500,000
South Nissan Interchange, Mississippi...................       4,000,000
Southern Beltway (I-215) Widening and Interchange              5,000,000
 Project, Nevada........................................
SR 31, All Weather Roadway Construction and Widening,          1,600,000
 Pend Oreille County, Washington........................
Swift Rail Siding Project, Blaine, Washington...........       3,000,000
The Sunrise Corridor, Oregon............................         500,000
Towboat Display and Classroom Project, Oklahoma.........         250,000
Town of Dublin, New Hampshire Traffic Calming Project...         300,000
Trunk Highway 610/10, Minnesota.........................       3,500,000
Tuscaloosa Downtown Revitalization Project, Alabama.....       5,000,000
U.S. 218/Main Street Reconstruction--Phase II, Iowa.....       2,000,000
US 12 Widening, Wallula Junction to Walla Walla,               3,000,000
 Washington.............................................
US 93 Kalispell Bypass Project, Montana.................       2,500,000
Widen and Improve Q Street, Nebraska....................       1,000,000
WV Route 9..............................................      10,000,000
------------------------------------------------------------------------

                  BUREAU OF TRANSPORTATION STATISTICS

                      (LIMITATION ON OBLIGATIONS)

Appropriations, 2003 \1\ \2\............................     $30,798,500
Budget estimate, 2004...................................      31,568,000
Committee recommendation................................      31,000,000

\1\ Reflects reduction of $201,500 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $300,000 pursuant to section 362 of 
Public Law 108-7.

    The Bureau of Transportation Statistics [BTS] was 
established in section 6006 of the Intermodal Surface 
Transportation Efficiency Act [ISTEA], to compile, analyze, and 
make accessible information on the Nation's transportation 
systems, collect information on intermodal transportation, and 
enhance the quality and effectiveness of the statistical 
programs of the Department of Transportation. The Committee has 
provided $31,000,000 for BTS consistent with the authorized 
level.

                          FEDERAL-AID HIGHWAYS

                (LIQUIDATION OF CONTRACT AUTHORIZATION)

                          (HIGHWAY TRUST FUND)

Appropriations, 2003.................................... $32,000,000,000
Budget estimate, 2004...................................  30,000,000,000
Committee recommendation................................  34,000,000,000

    The Committee recommends a liquidating cash appropriation 
of $34,000,000,000. This level is $4,000,000,000 above the 
budget request and is necessary to pay outstanding obligations 
from various highway accounts pursuant to prior appropriations 
acts.

           GENERAL PROVISIONS--FEDERAL HIGHWAY ADMINISTRATION

    Section 110 distributes obligation authority among Federal 
aid highway programs.
    Section 111 provides a specific reduced amount for the FHWA 
administrative funds.
    Section 112 authorizes funds received by the Bureau of 
Transportation Statistics to be credited to the Federal aid 
highways account.
    Section 113 allows historic covered bridges eligible for 
Federal assistance to be funded from amounts set aside for the 
discretionary bridge program.
    Section 114 authorizes the Secretary of Transportation to 
enter into an agreement with the States of Nevada and/or 
Arizona to provide a method of funding for construction of a 
Hoover Dam Bypass Bridge.

              Federal Motor Carrier Safety Administration


                  SUMMARY OF FISCAL YEAR 2004 PROGRAM

    In December 1999, the Congress passed the Motor Carrier 
Safety Improvement Act [MCSIA] (Public Law 106-159), which 
established the Federal Motor Carrier Safety Administration 
[FMCSA] within the Department of Transportation. Prior to this 
legislation, motor carrier safety responsibilities were under 
the jurisdiction of the Federal Highway Administration.
    The preeminent mission of the FMCSA is to improve the 
safety of commercial vehicle operations on the nation's 
highways. A primary goal of the agency is to reduce the number 
of accidents, fatalities, and injuries due to truck accidents. 
FMCSA resources and activities contribute to safety in 
commercial vehicle operations through enforcement, safety 
regulation, technological innovation, improvements in 
information systems, training, and improvements to commercial 
driver's license testing, record keeping, and sanctions. To 
achieve these goals, the FMCSA works with Federal, State, and 
local enforcement agencies, the motor carrier industry, and 
highway safety organizations.
    MCSIA and the Transportation Equity Act for the 21st 
Century [TEA21] provide funding authorizations for FMCSA, 
including administrative expenses, motor carrier research and 
technology, the national Motor Carrier Safety Assistance 
Program [MCSAP] and the Information Systems and Strategic 
Safety Initiatives [ISSSI] program. FMCSA's scope was expanded 
in fiscal year 2003 by the U.S.A. Patriot Act (Public Law 107-
56), which called for new security measures. In addition, both 
the Fiscal Year 2002 and 2003 Appropriations Acts (Public Law 
107-87 and Public Law 108-7) increased funding for border 
enforcement and safety related activities associated with 
implementation of the North American Free Trade Agreement.
    For fiscal year 2004 it is necessary to reauthorize those 
FMCSA programs contained in TEA21 and MCSIA. Rather than 
following the existing structure, the budget request reflects 
the administration's reauthorization proposal. The budget 
request proposes a new account structure for FMCSA that 
consolidates the current programs into two distinct accounts: 
Motor Carrier Safety Operations & Programs [MCSOP] and Motor 
Carrier Safety Grants [MCSG]. Administrative expenses would be 
separated from the Federal-aid Highway Program administrative 
takedown mechanism and all such expenses would be funded within 
the MCSOP account.
    In keeping with the general guidance at the beginning of 
the report, the Committee has followed the program structure 
found in current law for FMCSA and refrained from comment on 
the proposed restructuring. The Committee recommends a total of 
$482,972,000 for FMCSA in fiscal year 2004.

                          MOTOR CARRIER SAFETY

                          (HIGHWAY TRUST FUND)

    The Motor Carrier Safety account provides salaries, 
operating expenses, research, safety and security program 
funding for the Federal Motor Carrier Safety Administration. 
The Motor Carrier Safety Improvement Act of 1999 [MCSIA] 
amended section 104(a)(1) of title 23 to deduct one-third of 1 
percent from specified Federal-aid program funds to fund 
personnel, and to administer motor carrier safety programs and 
motor carrier research. This mechanism is known as a 
``takedown.'' Because the resulting funding level of 
$92,712,176 does not cover current personnel on board, 
important safety-related programs, and safety research, the 
Committee believes that TEA21 and MCSIA did not provide 
sufficient flexibility for motor carrier safety funding 
requirements. The $92,712,176 resulting from the takedown 
authorized by 23 USC 104(a)(1)(B) would require reductions to 
important programs, which could compromise safety. Therefore, 
the Committee supports raising the administrative takedown 
percentage to 1.05 percent in order to administer motor carrier 
safety programs and motor carrier research.

                  LIMITATION ON ADMINISTRATIVE EXPENSE

Appropriations, 2003 \1\ \2\............................    $116,700,484
Budget estimate, 2004 (limitation) \3\..................................
Committee recommendation................................     292,972,233

\1\ Reflects reduction of $763,516 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $200,000 pursuant to section 362 of 
Public Law 108-7.
\3\ No funding request under this account for fiscal year 2004.

    The Committee has provided a limitation on administrative 
expenses of $292,972,233 for the motor carrier safety account. 
Of the total provided, $171,597,233 is for operating expenses, 
border enforcement program operations, safety/security program 
expenses, and new entrant grants; $21,000,000 is for State 
commercial driver's license [CDL] program improvement grants; 
and $21,375,000 is for research and technology [R&T;] 
initiatives, regulatory development, and other programs. R&T; 
funds are intended to remain available for obligation for a 
period of 3 years. Also included within the limitation is 
$32,000,000 for the border enforcement program and $47,000,000 
for border station construction.
    In its review of the budget justification, the Committee is 
concerned about the proposed allocation of funds between 
Federal and State programs, specifically the growth in the 
Federal portion of the national program. The Committee believes 
that more consideration should be given to State needs. State 
enforcement officers have the most frequent contact with 
industry and have the most direct impact on motor carrier 
safety. The Committee does not agree with the budget proposal 
to significantly increase funding for FMCSA's administrative 
and operations activities at the expense of the availability of 
funds to assist State programs.
    The following adjustments have been made to the budget 
request:

------------------------------------------------------------------------

------------------------------------------------------------------------
Border inspection facilities...........................     +$47,000,000
Operating expenses.....................................       -3,102,000
PATRIOT Act............................................       -3,000,000
Regulatory development.................................       -3,000,000
------------------------------------------------------------------------

    Domestic Motor Carrier Safety.--The Committee reminds FMCSA 
that the agency's safety oversight efforts for domestic truck 
traffic should be equal to, if not greater than, those for 
cross-border traffic. The fact that it takes FMCSA an average 
of 4 years to complete a rulemaking and that many regulations 
have not been published by their statutory deadlines is 
evidence that the agency has much to accomplish in pursuit of 
its safety mission.
    Operating Expenses.--The Committee has reduced the 
requested amount for base operating expenses by $3,102,000. 
This reduction reflects adjustments to the Federal 
responsibilities for the new entrant program and to the FMCSA 
information management program. The Committee notes that FMCSA 
has not adequately justified funding for the information 
management program.
    New Entrant Program.--The administration's budget request 
proposes a total of $33,200,000 for the new entrant program. 
This amount includes $16,200,000 for the Federal share of the 
program and $17,000,000 for the State share. The Committee is 
troubled by the resources that the budget proposes to devote to 
Federal management and oversight of this new program, 
particularly considering the broad State interest in 
participating in the program. The budget request assumes that 
30 percent of States will not be able to participate and 
therefore FMCSA will be required to contribute a larger share 
of its resources to the new entrant program. However, 46 States 
have agreed to participate in the program to date. Due to the 
overwhelming interest in participating in the program, the 
Committee believes that a greater share of the total request 
should be provided to the States. To that end, the Committee 
has provided $4,456,000, a decrease of $11,744,000 from the 
budget request, to support the Federal responsibilities of the 
new entrant program. The Committee expects that these funds 
will be used to provide the appropriate oversight of State 
safety auditors to ensure that the program is working 
effectively and to hire and support contractor safety auditors 
for States only when necessary. The Committee has included a 
corresponding increase in the State new entrant grant program 
funding. The Committee has included funding for State grants 
for the purposes of administering the new entrant program 
within the limitation as the current authorization does not 
provide the flexibility within the MCSAP program. The Committee 
has included bill language to transfer $11,744,000 from Motor 
Carrier Safety to the MCSAP program for new entrant grants to 
the States.
    While full funding has been included for the new entrant 
program, the Committee is concerned that FMCSA does not have 
the ability to initiate an efficient and effective new entrant 
program in fiscal year 2004. Further, the Committee has seen no 
definitive statements from the Administrator that FMCSA will be 
able to successfully audit each new entrant as required by 
MCSIA. The Committee therefore directs FMCSA to develop an 
implementation plan for the new entrant program. This plan 
should include a detailed explanation of measures that will be 
taken to roll out the new entrant program and what, if any, 
guidance will be given to safety auditors in an attempt to 
prioritize audits of new entrants. FMCSA shall provide this 
plan to the House and Senate Committees on Appropriations no 
later than 90 days after enactment of this Act.
    PATRIOT Act.--The Committee has not included the funding 
requested for background checks on CDL operators seeking a 
hazardous materials endorsement. The Committee understands that 
the responsibility for implementation of this provision has 
been transferred to the Department of Homeland Security. 
Therefore this funding should now be budgeted within the 
Department of Homeland Security.
    Conditional Carrier Review.--The Committee has included 
$2,000,000 to support an increase in conditional carrier 
reviews. The Committee notes that there is a backlog of 
approximately 36,000 carriers that have received a conditional 
safety rating based on their safety management controls, 
frequency of accidents, other accident indicators, or 
regulatory compliance measures. The agency has not conducted 
timely follow-up audits on these carriers despite the fact that 
they pose a risk to safety and require additional attention. 
The Committee hopes that the additional funding will allow 
FMCSA to begin to reduce this backlog.
    Household Goods Enforcement.--The Committee recommendation 
includes $1,370,000 for household goods enforcement consistent 
with the budget request. The Committee is pleased that FMCSA 
has devoted additional resources to household goods enforcement 
and compliance and expects that the funding will be used to 
hire additional investigative staff. With consumer complaints 
increasing at an alarming rate, the Committee urges FMCSA to 
maintain its dedication to the establishment of a highly 
visible enforcement program to reduce the number of consumer 
complaints filed against household good carriers and brokers 
and to increase consumer awareness.
    Research and Technology.--The Committee recommends 
$7,000,000 for research and technology efforts within FMCSA 
commensurate with the fiscal year 2003 enacted level. The 
Committee maintains that it would be beneficial for FMCSA to 
develop a new 5-year strategic plan setting forth the research 
objectives of the program and demonstrating the relationship 
between proposed research projects and its regulatory agenda. 
The Committee directs FMCSA to submit such a plan to the House 
and Senate Committees on Appropriations no later than June 15, 
2004.
    Regulatory Development.--The Committee recommends 
$8,000,000 for regulatory development expenses, $6,000,000 
above the fiscal year 2003 enacted level. This increase is 
provided in an effort to accommodate FMCSA's regulatory 
requirements.
    The Committee notes that a large majority of the budget 
request is devoted to establishing a medical review board and 
developing various medical examination requirements. The 
Committee has included funding for enhancement of staff 
resources to conduct an improved driver qualification program 
and to initiate a Medical Review Board. The Committee 
encourages FMCSA to draw upon the expertise of the Federal 
Aviation Administration as it moves forward in establishing a 
medical registry program. The Committee urges FMCSA to hire 
permanent staff physicians to assist the agency with activities 
such as the qualification of medical examiners, revision of the 
medical qualification regulations, provision of informative 
medical guidelines and other information on a continuing basis 
to certified medical examiners, and review of certified medical 
qualification exams. These resources will help the agency 
implement many of the NTSB recommendations on driver medical 
qualifications. The Committee believes that a Medical Review 
Board should provide advice and guidance on the program but its 
establishment should not come at the expense of the activities 
mentioned previously. Further, the Committee is concerned that 
final regulations have not been issued to specify the purpose 
and nature of the medical registry and expects that, given the 
resources provided, that will occur within 1 year from the date 
of enactment of this Act.
    Share the Road Safely.--The Committee is concerned that the 
Share the Road Safely program has not proven as successful as 
originally anticipated. As was sighted in a recent GAO report 
on the Share the Road Safely program, many of FMCSA's 
initiatives are clearly contrary to the program's goals. The 
Committee believes that NHTSA is better equipped to administer 
this program given its experience with similar campaigns in 
other areas. The Committee believes that educating the motoring 
public on how to share the road safely with commercial motor 
vehicles is important and is interested in making this a more 
effective program. Funding for the Share the Road Safely 
program has not been provided in FMCSA but rather in NHTSA 
operations and research. The Committee believes that NHTSA 
should be the lead agency, although FMCSA should continue to 
play an important role in the program's development and 
implementation.
    Border Enforcement Program.--The North American Free Trade 
Agreement [NAFTA] set forth a schedule for implementation of 
its trucking provisions that would have opened the border 
States to cross-border trucking competition on December 17, 
1995 and all of North America on January 1, 2000. However, the 
previous administration halted implementation of these 
provisions and the Department of Transportation announced that 
until safety concerns about Mexican trucks were resolved, the 
trucks would continue to be restricted to the commercial zone 
just along the border. In the fiscal year 2002 Department of 
Transportation Appropriations Act (Public Law 107-87) Congress 
addressed these concerns by setting 22 safety-related 
preconditions for opening the border to long-haul Mexican 
trucks. On November 27, 2002, the Secretary of Transportation 
announced that all the preconditions had been met and directed 
the Federal Motor Carrier Safety Administration [FMCSA] to 
begin to open the border. However, on January 16, 2003 the 
Ninth Circuit Court of Appeals in Public Citizen v. Department 
of Transportation [DOT], delayed opening the border pending 
completion of environmental impact statements and a Clean Air 
Act conformity determination on the FMCSA's implementing 
regulations.
    Until the border is open to Mexican-domiciled long-haul 
trucking, the Committee encourages FMCSA to use the additional 
time advantageously and work closely with the States to 
establish a process that maximizes the effective enforcement 
and monitoring of Mexican motor carriers and report to the 
House and Senate Committees on Appropriations within 1 year 
after the date of enactment of this Act on the progress that 
has been made.
    The Committee has included a total funding level of 
$121,908,000 for border related programs consistent with the 
budget request. The Committee recommends $42,908,000 for FMCSA 
personnel stationed at the border, $23,000,000 for State 
operations grants to the southern border States, and $9,000,000 
to initiate State operations grants to the northern border 
States to support State hazmat enforcement and regulatory 
compatibility at the northern border. The Committee has also 
included $47,000,000 for the construction of permanent truck 
safety inspection facilities along the U.S.-Mexico border.

                 NATIONAL MOTOR CARRIER SAFETY PROGRAM

                (LIQUIDATION OF CONTRACT AUTHORIZATION)

                          (HIGHWAY TRUST FUND)

------------------------------------------------------------------------
                                    (Liquidation of
                                       contract         (Limitation on
                                    authorization)       obligations)
------------------------------------------------------------------------
Appropriations, 2003 \1\........       $188,765,000        $188,765,000
Budget estimate, 2004 \2\.......  ..................  ..................
Committee recommendation........        190,000,000         190,000,000
------------------------------------------------------------------------
\1\ Reflects reduction of $1,235,000 pursuant to section 601 of Public
  Law 108-7.
\2\ No funding requested under this account for fiscal year 2004.

    The FMCSA's National Motor Carrier Safety Program [NMCSP] 
was authorized by TEA21 and amended by the Motor Carrier Safety 
Improvement Act of 1999. This program consists of two major 
areas: the motor carrier safety assistance program [MCSAP] and 
the information systems and strategic safety initiatives 
[ISSSI]. MCSAP provides grants and project funding to States to 
develop and implement national programs for the uniform 
enforcement of Federal and State rules and regulations 
concerning motor safety. The major objective of this program is 
to reduce the number and severity of accidents involving 
commercial motor vehicles. Grants are made to qualified States 
for the development of programs to enforce the Federal motor 
carrier safety and hazardous materials regulations and the 
Commercial Motor Vehicle Safety Act of 1986. The basic program 
is targeted at roadside vehicle safety inspections of both 
interstate and intrastate commercial motor vehicle traffic. 
ISSSI provides funds to develop and enhance data-related motor 
carrier programs.
    The Committee recommends $190,000,000 in liquidating cash 
for this program.

                       LIMITATION ON OBLIGATIONS

    The Committee recommends a $190,000,000 limitation on 
obligations for motor carrier safety grants.
    Crash Causation Study.--The Committee recommends $1,000,000 
for the Large Truck Crash Causation Study consistent with the 
budget request. The Committee notes that while MSCIA authorized 
$5,000,000 per year, the most expensive task of the study will 
be completed in fiscal year 2003 and the funding provided will 
be used for file building and preliminary analysis for the 
Large Truck Crash Causation Study, which will require fewer 
resources.
    Hazmat Tracking System.--Within the funds available for 
FMCSA's high priority initiative program, the Committee 
provides $2,000,000 for an expanded satellite-based, mobile 
communications system to monitor and track hazardous materials 
and high-value cargo in uncovered areas of the United States.
    Operation Respond.--Within the funds provided for FMCSA's 
high priority initiatives, the Committee includes $1,000,000 to 
design, build, and demonstrate the benefits of a seamless 
hazardous materials incident detection, management, and 
response system, including the expansion of the Operation 
Respond network of emergency responders and by linking this 
network with tracking and automatic crash notification 
technologies. The Committee urges that, working with the 
private sector, these funds be used to establish a national 
first responder emergency services network and to accelerate 
deployment of Operation Respond software.

    GENERAL PROVISIONS--FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION

    Section 130 prohibits the use of funds in this act to 
implement or enforce any provision of the Final Rule issued on 
April 16, 2003, (Docket No. FMCSA-97-2350) as it may apply to 
operators of utility service vehicles. The Committee believes 
that operators of utility service vehicles have unique public 
service responsibilities and operating characteristics that 
were not adequately considered or addressed in the rulemaking.

             National Highway Traffic Safety Administration


                  SUMMARY OF FISCAL YEAR 2004 PROGRAM

    The National Highway Traffic Safety Administration [NHTSA] 
was established as a separate organizational entity in the 
Department of Transportation in March 1970. It succeeded the 
National Highway Safety Bureau, which previously had 
administered traffic and highway safety functions as an 
organizational unit of the Federal Highway Administration.
    The agency's current programs are authorized in four major 
laws: (1) the National Traffic and Motor Vehicle Safety Act, 
(chapter 301 of title 49, U.S.C.); (2) the Highway Safety Act, 
(chapter 4 of title 23, U.S.C.); (3) the Motor Vehicle 
Information and Cost Savings [MVICSA] Act, (Part C of subtitle 
VI of title 49, U.S.C.); and (4) the Transportation Equity Act 
for the 21st Century [TEA21].
    The first law provides for the establishment and 
enforcement of safety standards for vehicles and associated 
equipment and the conduct of supporting research, including the 
acquisition of required testing facilities and the operation of 
the national driver register [NDR]. Discrete authorizations 
were subsequently established for the NDR under the National 
Driver Register Act of 1982.
    The second law provides for coordinated national highway 
safety programs (section 402) to be carried out by the States 
and for highway safety research, development, and demonstration 
programs (section 403). The Anti-Drug Abuse Act of 1988 (Public 
Law 100-690) authorized a new drunk driving prevention program 
(section 410) to make grants to States to implement and enforce 
drunk driving prevention programs.
    The third law [MVICSA] provides for the establishment of 
low-speed collision bumper standards, consumer information 
activities, diagnostic inspection demonstration projects, 
automobile content labeling, and odometer regulations. An 
amendment to this law established the Secretary's 
responsibility, which was delegated to NHTSA, for the 
administration of mandatory automotive fuel economy standards. 
A 1992 amendment to the MVICSA established automobile content 
labeling requirements.
    The fourth law, TEA21, must be reauthorized for fiscal year 
2004. TEA21 incorporates NHTSA programs including: safety 
incentives to prevent operation of motor vehicles by 
intoxicated persons (section 163 of title 23 U.S.C.); seat belt 
incentive grants (section 157 of title 23 U.S.C.); occupant 
protection incentive grants (section 405); and highway safety 
data improvement incentive grant program (section 411). The 
TEA21 structure also provides for highway safety research, 
development and demonstration programs (section 403) to include 
research measures that may deter drugged driving, educate the 
motoring public on how to share the road safely with commercial 
motor vehicles, and provide vehicle pursuit training for 
police. Finally, TEA21 includes a number of motor vehicle 
safety and information provisions, including rulemaking 
directions for improving air bag crash protection systems, 
lobbying restrictions, exemptions from the odometer 
requirements for classes or categories of vehicles the 
Secretary deems appropriate, and adjustments to the automobile 
domestic content labeling requirements.
    In 2000, the Transportation Recall Enhancement, 
Accountability, and Documentation [TREAD] Act amended the 
National Traffic and Motor Vehicle Safety Act in numerous 
respects and enacted many new initiatives. These consist of a 
number of new motor vehicle safety and information provisions, 
including a requirement that manufacturers give NHTSA notice of 
safety recalls or safety campaigns in foreign countries 
involving motor vehicles or items of motor vehicle equipment 
that are identical or substantially similar to vehicles or 
equipment in the United States; higher civil penalties for 
violations of the law; a criminal penalty for violations of the 
law's reporting requirements; and a number of rulemaking 
directions that include developing a dynamic rollover test for 
light duty vehicles, updating tire safety and labeling 
standards, improving the safety of child restraints, and 
establishing a child restraint safety rating consumer 
information program.
    The full range of programs funded by the National Highway 
Traffic Safety Administration are authorized by the 
Transportation Equity Act for the 21st Century [TEA21] and must 
be reauthorized for fiscal year 2004. The budget request 
presented to Congress reflects the administration's 
reauthorization proposal by significantly restructuring current 
NHTSA programs.
    The proposal creates a consolidated 402 program by merging 
the existing incentive grant programs and providing greater 
flexibility for States. The new program, as proposed by the 
budget, significantly reduces the Federal Government's focus on 
impaired driving and seat belt usage at a time when highway 
fatality rates are increasing. Further, the budget proposal 
ignores the great strides that have been made by State 
mobilizations and paid media initiatives in the areas of 
impaired driving and occupant protection by excluding them from 
the request.
    While the budget proposes a total funding level of 
$447,000,000 for Highway Traffic Safety Grants, an increase of 
$223,500,000 above the fiscal year 2003 enacted level, a large 
majority of this program increase is derived from funding that 
was previously provided by transfer from the Federal Highway 
Administration.
    Consistent with the general guidance provided in the 
report, the Committee has followed the program structure found 
in TEA21 and other current law. The Committee recommendation of 
$448,702,000 provides sufficient funding for the National 
Highway Traffic Safety Administration to maintain current 
programs and continue the mobilization and paid media 
initiatives that have proven so effective in increasing safety 
belt use and impaired driving awareness.
    The following table summarizes the Committee 
recommendations:

----------------------------------------------------------------------------------------------------------------
                                                                 Fiscal year
                           Program                               2003 enacted     Fiscal year       Committee
                                                                     \1\         2004 estimate    recommendation
----------------------------------------------------------------------------------------------------------------
Operations and research \2\..................................     $208,921,128     $214,510,000     $220,102,000
National driver register.....................................        1,987,000        3,600,000        3,600,000
Highway traffic safety grants................................      223,537,500      447,000,000      225,000,000
                                                              --------------------------------------------------
      Total..................................................      434,445,628      665,110,000      448,702,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $2,855,372 pursuant to section 601 of Public Law 108-7.
\2\ Fiscal year 2003 enacted does not reflect reduction of $900,000 pursuant to section 362 of Public Law 108-7.

                        OPERATIONS AND RESEARCH

                          (HIGHWAY TRUST FUND)

Appropriations, 2003 \1\ \2\............................    $210,908,128
Budget estimate, 2004...................................     218,110,000
Committee recommendation................................     223,702,000

\1\ Does not reflect reduction of $900,000 pursuant to section 362 of 
Public Law 108-7.
\2\ Reflects reduction of $1,379,872 pursuant to section 601 of Public 
Law 108-7.

    Consistent with the guidance provided in the report, for 
fiscal year 2004, the Committee has provided $72,000,000 for 
contract authority from the highway trust fund to finance 
operations and research activities eligible under title 23 
U.S.C. 403. In accordance with current law, the Committee has 
provided $3,600,000 to be derived from the Highway Trust Fund 
to maintain the National Driver Register. In addition, the 
administration is requesting $126,058,000 for activities 
related to section 30104 and 32102 of title 49. The Committee 
has recommended $148,102,000 for these activities and provided 
funding under the Federal-aid highway obligation limitation.
    Share the Road Safely.--The Committee believes that as the 
agency with the primary responsibility for behavioral programs 
geared toward passenger car drivers that NHTSA, not the Federal 
Motor Carrier Safety Administration, can more effectively 
administer the Share the Road program. Following the GAO report 
on the Share the Road program, the Committee expects NHTSA to 
work with FMCSA to set clear goals for the program and to 
promote a more comprehensive and national effort. The goal of 
educating commercial motor vehicle drivers and motorists of all 
ages about how passenger vehicle drivers and truck drivers can 
more safely share the road is important and should be combined 
with local enforcement efforts in order to be truly effective. 
Further, the Committee encourages NHTSA to work with FMCSA and 
State highway safety representatives to determine the best 
avenues for educating both the motoring public and commercial 
motor vehicle drivers, including incorporating such information 
in driver education courses. The Committee has included 
$500,000 within the Operations and Research account for these 
purposes.
    The accompanying bill provides appropriations totaling 
$223,702,000 to be distributed as follows:

------------------------------------------------------------------------
                                                            Committee
                        Program                           recommendation
------------------------------------------------------------------------
Salaries and benefits..................................      $69,050,000
Travel.................................................        1,324,000
Operating expenses.....................................       22,836,000
Contract Programs:
    Safety performance.................................       11,005,000
    Safety assurance...................................       17,128,000
    Highway safety.....................................       52,982,000
    Research and analysis..............................       65,018,000
    General administration.............................          665,000
Grant administration reimbursement.....................      -16,306,000
                                                        ----------------
      Total............................................      223,702,000
------------------------------------------------------------------------

                         SALARIES AND BENEFITS

    Staffing.--The Committee is aware that NHTSA's current 
budget is not sufficient to cover the salaries and benefits for 
all on-board FTE and that the budget request for 2004 will fall 
$2,000,000 short of the need, funding only 640 of the 670 
currently employed FTE. While the Committee has provided the 
additional $2,000,000 for salaries and benefits, it is not 
without hesitation. The Committee is concerned with the obvious 
disconnect between the human resources department and the 
budget office at NHTSA. It is imperative that those who are 
responsible for the hiring of new employees at NHTSA understand 
the difference between the authorized and appropriated funding 
levels. Regardless of these internal difficulties, the 
Committee believes that NHTSA should have had the policies and 
procedures in place to prevent such budget problems from 
occurring. To that end, the Committee directs NHTSA to develop 
an official policy with accompanying procedures, that would 
require the NHTSA budget office to review future staffing 
decisions to ensure that the agency's appropriated funding 
levels can adequately cover the required salary and benefit 
package to be offered. The Committee further directs NHTSA to 
provide a copy of this policy and the accompanying procedures 
to the House and Senate Committees on Appropriations no later 
than 30 days after enactment of this Act.

                           OPERATING EXPENSES

    Workforce Planning and Development.--NHTSA established this 
program in fiscal year 2001 in an effort to encourage young 
professionals to enter into the fields of engineering, 
research, science and technology, vehicle safety and injury. 
The Committee recognizes the agency's desire to build a base 
for future employment but notes that the challenges of 
attrition in the transportation workforce are not unique to 
NHTSA. The Committee believes that this type of workforce 
planning should be done throughout the entire Department of 
Transportation and should be coordinated by the office of the 
Assistant Secretary for Administration. Accordingly, the 
Committee has not included the requested funding to support the 
initiative.
    Highway Safety Oversight.--The Committee is greatly 
concerned about the April 2003 report by the General Accounting 
Office [GAO] regarding NHTSA's oversight of State highway 
safety programs. NHTSA utilizes a performance-based oversight 
program whereby each State sets its own performance goals and 
develops annual safety plans to meet those goals. The GAO found 
that NHTSA's use of management reviews of State highway plans 
varied greatly from region to region. In some regions, 
management reviews are conducted every other year while in 
other regions management reviews are conducted only when 
requested by a State. Additionally, when a State fails to make 
progress toward its performance goals, NHTSA has required the 
development and implementation of improvement plans to help 
address safety program deficiencies. Again, the GAO found that 
NHTSA's requirement and use of improvement plans varied from 
region to region. The Committee directs NHTSA, in coordination 
with the agency's regional offices, to develop a clear policy 
as to when a management review is conducted and what specific 
criteria would necessitate an improvement plan. This policy 
should be applied consistently in each region so that every 
State safety program knows when to expect a management review 
and under what circumstances an improvement plan will be 
required. The Committee believes that this effort should 
provide additional assistance to the States that fail to meet 
their safety performance goals and is not, by any means, 
intended to punish the States that meet their safety 
performance goals. The Committee directs NHTSA to submit a copy 
of this policy to the House and Senate Committees on 
Appropriations by March 30, 2004.
    Training and Technical Assistance to States.--The goal of 
improving safety on our Nation's roads and reducing the number 
of highway fatalities is shared by NHTSA, FMCSA, and the State 
highway safety offices. The Committee recognizes the importance 
and value of providing adequate training and technical 
assistance to the States so that they have the best chance of 
meeting their safety performance goals. As such, the Committee 
urges NHTSA to conduct a comprehensive review of the agency's 
training programs including an evaluation of other models (such 
as the National Highway Institute) and different media for 
improving the professional capabilities of State grantees (such 
as video, internet or classroom training). In addition, the 
Committee directs NHTSA to develop and implement two new State 
training courses. One course should be designed to strengthen 
the ability of State highway safety offices to analyze data and 
identify State and local behavioral highway safety programs. 
The second training course should provide hands-on experience 
for State highway safety offices on how to conduct evaluations 
or reviews of program performance. Within the funds provided 
for NHTSA's Operating Expenses, the Committee includes $200,000 
for these efforts.

                           CONTRACT PROGRAMS

    Survey of State Data Systems.--Traffic record systems in 
each State are used to collect data on crashes, driver 
licensing, vehicle registration, traffic violations, and 
roadway characteristics. The Committee has been made aware that 
the sophistication and capabilities of these traffic safety 
data systems vary from State to State. Therefore, the Committee 
directs the General Accounting Office [GAO] to conduct a survey 
of State data systems to determine the scope and nature of 
these systems and identify opportunities for improvement. The 
Committee encourages GAO to utilize NHTSA's Checklist for State 
Traffic Safety Information Systems in conducting the survey and 
to report its findings to the House and Senate Appropriations 
Committees by August 15, 2004.
    Consumer Safety Information Study and Report.--Providing 
consumers with accurate safety information about motor vehicle 
testing programs is a vital government responsibility. Testing 
results from the Department of Transportation's New Car 
Assessment Program [NCAP] enable consumers to make informed 
choices when purchasing a new motor vehicle. NCAP uses a star 
system to rate the safety benefits of a number of different 
aspects of vehicle safety; however, the star system may not 
adequately communicate to the public important and relevant 
safety information. The Committee believes that accurate, 
comprehensive, and understandable consumer information is an 
important mission of NHTSA and directs the General Accounting 
Office [GAO] to study and evaluate the NCAP star rating system 
and to report the accuracy of the system, how it can be 
improved, and whether an alternative symbol or rating scheme 
may be more appropriate in communicating vehicle testing 
results to the public. The GAO should compare methods used in 
NCAP to convey test results with the methods used by testing 
programs in other countries and by private organizations that 
conduct and publicly report vehicle safety test results in 
order to best evaluate the existing NCAP ratings system. The 
report shall be submitted to the House and Senate Committees on 
Appropriations not later than June 30, 2004.

                        highway safety programs

    The Committee recommends the following adjustments to the 
budget request:

------------------------------------------------------------------------

------------------------------------------------------------------------
Occupant protection: Outreach initiatives to increase       +$3,000,000
 belt use..............................................
Emergency medical services.............................      +1,000,000
Impaired driving.......................................      +4,500,000
    Judicial/prosecutorial initiative..................      (1,500,000)
    Repeat offender tracking model.....................      (2,000,000)
    Target population outreach.........................      (1,000,000)
Motorcycle safety......................................         +94,000
------------------------------------------------------------------------

    National Occupant Protection Program.--The stated 
objectives of NHTSA's occupant protection program are to 
increase seat belt use and decrease the number of child 
occupant fatalities. Over the last several years, NHTSA has set 
aggressive goals for achieving seat belt use across the nation 
since each percentage point increase in seat belt use saves 
approximately 226 lives and prevents over 3,700 injuries each 
year. The Committee believes that NHTSA must continue to be 
vigilant and creative in its efforts to increase national seat 
belt use; particularly for those targeted groups that are high-
risk and often difficult to reach. The Committee recommends 
$14,373,000 for NHTSA's occupant protection efforts which is 
$3,000,000 more than the President's budget request. The 
Committee directs that these additional funds be used to 
continue the outreach activities toward minority populations, 
teens and rural populations. To further supplement NHTSA's 
overall seat belt efforts, the Committee has included bill 
language to continue the public service message program started 
in fiscal year 2002. A more detailed discussion of this program 
is included in the NHTSA bill language section of this report.
    Impaired Driving.--The Committee is concerned about the 
lack of progress that is being made to reduce the number of 
alcohol-related motor vehicle fatalities. However, NHTSA's 
final 2002 data provided by the Fatality Analysis Reporting 
System [FARS] for alcohol-related fatalities revealed that the 
increase in the number of fatalities from 2001 was much smaller 
than the early assessment indicated. While the Committee is 
relieved that the early data on alcohol-related deaths was 
overstated, the Committee is likewise concerned about the wide 
discrepancy between the early and final FARS data. As such, the 
Committee intends to closely monitor the collection and 
presentation of the FARS data. Nonetheless, the 2002 FARS data 
does demonstrate that there was an increase in the number of 
alcohol-related fatalities for the third consecutive year. The 
Committee believes that this is a disturbing trend and one that 
NHTSA should not ignore. Alcohol-related crashes also cause an 
estimated 250,000 injuries and cost society over 
$45,000,000,000 every year. Again, as in the case of NHTSA's 
occupant protection program, the fiscal year 2003 budget 
reduced NHTSA's impaired driving core program by 26 percent at 
a time when alcohol-related fatalities are increasing. The 
Committee recommends $15,426,000 for NHTSA's impaired driving 
program, $4,500,000 more than the President's budget request.
    Judicial and Prosecutorial Awareness.--The Committee has 
provided $1,500,000 for judicial and prosecutorial reform. The 
Committee recognizes that the deadline for presentation of the 
detailed analysis required by the fiscal year 2003 
Appropriations Act is October 1, 2003. The Committee is most 
interested in the guidance that the report will provide for 
improving judicial and prosecutorial training, outreach, and 
adherence to State standards of conduct. The Committee believes 
that this is a worthwhile endeavor for NHTSA; however the 
Committee prohibits the expenditure of these funds until a 
final report is submitted to the House and Senate Committees on 
Appropriations including a detailed proposal and spending plan 
for outreach activities in this area.
    Tracking Repeat Offenders.--The Committee includes 
$2,000,000 within NHTSA's impaired driving program to expedite 
the development and expand the testing of the model ``Driver 
History Information Records System for Impaired Driving.'' This 
tracking system is designed to assist States and local 
communities in the exchange of timely information regarding 
prior impaired driving offenses and to transmit conviction and 
license suspension notices among law enforcement officials, the 
courts and driver licensing agencies.
    Impaired Driving and Targeted Populations.--The Committee 
is concerned that there continues to be certain segments of the 
population that are over represented in alcohol-related motor 
vehicle crashes. For example, male drivers between the ages of 
21 and 34 represent the highest percentage of alcohol-related 
fatalities. The Committee strongly believes that NHTSA must 
continue to vigorously pursue strategies to reduce impaired 
driving among the age groups and ethnic populations that 
represent the highest risk. Within the funds provided for 
NHTSA's impaired driving program, the Committee includes 
$1,000,000 to increase the outreach efforts within these 
targeted populations. Further, the Committee directs NHTSA to 
report to the House and Senate Committees on Appropriations, no 
later than 90 days after enactment of this act, detailing the 
strategies and activities that will be utilized.
    Theme for Impaired Driving.--The Committee is aware that 
NHTSA has utilized ``You Drink and Drive. You Lose'' as the 
theme for the agency's impaired driving mobilization effort. 
However, the Committee has noted that there are a variety of 
themes used by different States to send the message that drunk 
drivers are not only a peril on the road but will face serious 
legal consequences if apprehended by law enforcement. The 
Committee encourages NHTSA to consult with the relevant safety 
organizations and State highway safety offices to explore 
whether there is a theme that is more fitting than the impaired 
driving theme currently used by NHTSA. The Committee directs 
NHTSA to submit its findings and recommendations in 
correspondence to the House and Senate Committees on 
Appropriations by January 30, 2004.
    Highway Safety Research.--The Committee includes $7,238,000 
for NHTSA's highway safety research program. Within the funds 
provided, the Committee includes $750,000 to support 
transportation safety research at the Florida Agricultural and 
Mechanical University to focus on aggressive driving, road 
rage, speed control, occupant protection and alcohol impaired 
driving countermeasures, and reducing the severity of traffic 
injuries among youth and adults.
    Emergency Medical Services.--The Committee recommends 
$3,226,000 for emergency medical services. Within the funds 
provided, the Committee includes $1,000,000 to continue 
training EMS personnel in delivering pre-hospital care to 
patients with traumatic brain injuries. Since this program's 
inception in 1998, it is estimated that nearly 31 States will 
have received the training and educational material and over 
1,600 in-state instructors will have received training. The 
Committee urges NHTSA to continue this national rollout with 
the Brain Trauma Foundation and its Centers of Excellence. Just 
as it is important for EMS personnel to receive proper training 
to care for the critically injured, it is equally important 
that first responders have the tools necessary to locate the 
injured as quickly as possible. There have been a number of 
highly publicized cases of crash victims who were stranded for 
extended periods of time because their vehicles were not easily 
located. Advanced location technology associated with wireless 
E 9-1-1 can assist law enforcement and EMS personnel in 
reaching victims quickly. The Committee has also included 
$1,000,000 within the total amount for research at the USA 
Center for the study of Rural Vehicular Trauma.
    Motorcycle Safety.--The Committee provides $750,000 for 
NHTSA's motorcycle safety efforts. The Committee remains 
concerned with the upward trend in the number of motorcycle 
fatalities. The Committee has provided increased funding to 
further assist in the implementation of the urgent and 
essential recommendations included in the National Agenda for 
Motorcycle Safety. Further, the Committee urges NHTSA to focus 
on strategies to reduce the alarming numbers of motorcyclists 
killed and injured in alcohol-related crashes.

                         RESEARCH AND ANALYSIS

    National Automotive Sampling System.--The Committee 
provides $12,000,000 for the National Automotive Sampling 
System [NASS]. The NASS General Estimates System data assists 
in assessing the trend and magnitude of the crash situation in 
this country, and the NASS Crashworthiness Data System provides 
more in-depth and descriptive data allowing NHTSA to quantify 
the relationships between the occupants and vehicles in the 
real-world crash environment.
    Biomechanical Research.--The Committee provides a total of 
$14,750,000 for biomechanics research. The Committee's 
recommendation includes necessary resources for the continued 
research of the Crash Injury Research and Engineering Network 
program. Within the funds provided, the Committee includes 
$2,000,000 to continue research related to traumatic brain and 
spinal cord injuries caused by motor vehicle, motorcycle, and 
bicycle accidents at the Southern Consortium for Injury 
Biomechanics, and $1,000,000 to support a joint research 
initiative between the University of Vermont's College of 
Medicine [UVM], Texas A&M; University and Fletcher Allen Health 
Care that will assist victims of automobile accidents in rural 
areas to determine the capabilities and outcomes of advanced 
mobile telecommunications links.
    Truck Brake Lining Friction.--The report accompanying the 
Fiscal Year 2002 Transportation Appropriations Act provided 
$300,000 for research into the rating of brake lining friction 
in order to facilitate a rulemaking in this area. The Committee 
is interested in the progress that NHTSA has made with respect 
to truck brake lining systems and directs the agency to provide 
to the Committee a written report detailing the findings of the 
study to date and what, if any, progress has been made with 
respect to a rulemaking. This information should be presented 
to the House and Senate Committees on Appropriations no later 
than December 15, 2003.
    Traffic Records and Driver Licensing.--Within the funds 
provided for NHTSA's traffic records and driver licensing 
program, the Committee has included $1,000,000 for the digital 
watermarking technology pilot program to demonstrate the 
ability to provide covert, machine readable authentication 
capabilities in driver licenses to enable law enforcement to 
easily determine the authenticity of State-issued IDs used for 
driving automobiles.
    Motor Vehicle Crash Causation Study.--The Committee has 
provided $7,000,000 to support the crash causation study, 
$3,000,000 less than the budget request due to the delay in 
beginning the multi-year effort in fiscal year 2003. However, 
because this study also involves an examination of vehicle-
related parameters, the Committee has provided NHTSA the 
flexibility to use research and analysis funds as may be 
necessary to support the study.

                        national driver register


                          (HIGHWAY TRUST FUND)

Appropriations, 2003 \1\ ...............................      $1,987,000
Budget estimate, 2004...................................       3,600,000
Committee recommendation................................       3,600,000

\1\ Reflects reduction of $13,000 pursuant to section 601 of Public Law 
108-7.

    The National Driver Register [NDRS] is a central repository 
of information on individuals whose licenses to operate a motor 
vehicle have been revoked, suspended, canceled, or denied. The 
NDR also contains information on persons who have been 
convicted of serious traffic-related violations such as driving 
while impaired by alcohol or other drugs. State driver 
licensing officials query the NDR when individuals apply for a 
license, for the purpose of determining whether driving 
privileges have been withdrawn by other States. Other 
organizations such as the Federal Aviation Administration and 
the Federal Railroad Administration also use NDR license data 
in hiring and certification decisions in overall U.S. 
transportation operations.
    The bill includes $3,600,000 for the NDR which is an 
increase of $1,600,000 over the fiscal year 2003 authorized 
level. The Committee recognizes the reauthorization proposal 
includes a significant expansion of the NDR and has provided 
additional resources so that NHTSA may begin to expand the NDR 
as proposed in the pending reauthorization legislation.

                     HIGHWAY TRAFFIC SAFETY GRANTS

                (LIQUIDATION OF CONTRACT AUTHORIZATION)

                          (HIGHWAY TRUST FUND)

Appropriations, 2003 \1\................................    $223,537,500
Budget estimate, 2004...................................     447,000,000
Committee recommendation................................     225,000,000

\1\ Reflects reduction of $1,462,500 pursuant to section 601 of Public 
Law 108-7.

    For fiscal year 2004 the Transportation Equity Act for the 
21st Century must be reauthorized. Consistent with the general 
guidance provided in the report, the Committee has followed the 
structure provided in TEA21 which authorizes the following 
State grant programs: the Highway Safety Program, the Alcohol-
Impaired Driving Countermeasures Incentive Grant Program and 
the Occupant Protection Incentive Grant Program. Under the 
Highway Safety Program, grant allocations are determined on the 
basis of a statutory formula established under 20 U.S.C. 402. 
Individual States use this funding in national priority areas 
established by Congress which have the greatest potential for 
achieving safety improvements and reducing traffic crashes, 
fatalities, and injuries. The national occupant protection 
survey is also funded from within this amount. The Alcohol-
Impaired Driving Countermeasures Incentive Grant Program 
encourages States to enact stiffer laws and implement stronger 
programs to detect and remove impaired drivers from the roads. 
The Occupant Protection Program encourages States to promote 
and strengthen occupant protection initiatives. The State 
Highway Safety Data Grants Program encourages States to improve 
their collection and dissemination of important highway safety 
data.
    The Committee recommends an appropriation for liquidation 
of contract authorization of $225,000,000 for the payment of 
obligations incurred in carrying out provisions of these grant 
programs.
    The Committee has continued a provision prohibiting the use 
of section 402 funds for construction, rehabilitation or 
remodeling costs, or for office furnishings and fixtures for 
State, local, or private buildings or structures.

                       limitation on obligations

    The bill includes language limiting the obligations to be 
incurred under the various highway traffic safety grants 
programs. Separate obligation limitations are included in the 
bill with the following funding allocations:

----------------------------------------------------------------------------------------------------------------
                                                             Fiscal year 2003  Fiscal year 2004     Committee
                                                                enacted \1\        estimate       recommendation
----------------------------------------------------------------------------------------------------------------
Highway safety programs....................................     $163,537,500      $387,000,000      $165,000,000
Alcohol-impaired driving countermeasures grants............       40,000,000   ................       40,000,000
Occupant protection incentive grants.......................       20,000,000   ................       20,000,000
Section 412 State highway safety data grants...............  ................       50,000,000                 0
Emergency Medical Services.................................  ................       10,000,000                 0
                                                            ----------------------------------------------------
    Total..................................................      223,537,500       447,000,000       225,000,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $1,462,500 pursuant to section 601 of Public Law 108-7.

    Safety Belt Usage.--The Committee is pleased that the most 
recent National Occupant Protection Use Survey [NOPUS] shows 
that safety belt usage in the United States has reached 79 
percent--the highest level in the Nation's history. Following 
NHTSA's massive ``Click It or Ticket'' mobilization in May, the 
survey showed that every region of the country registered an 
increase in belt use over the previous year. The May 
enforcement campaign was an extraordinary nationwide effort 
supported by national, State and local governments which should 
translate into more than 1,000 lives saved this year. The 
Committee is pleased that the funding that has been provided 
for the ``Click It or Ticket'' campaign and the accompanying 
public safety messages is proving effective in increasing usage 
rates but believes that NHTSA's work in this area is not done. 
The Committee encourages NHTSA to build upon its successes and 
continue to work with State and local governments to further 
increase seat belt usage rates in 2004.
    Public Safety Messages.--The bill contains a provision 
(sec. 140) extending the authority for States to use traffic 
safety grant funds under Section 402 to produce and place 
highway safety public service messages in television, radio, 
cinema, print media and on the Internet. The Committee 
continues a provision that was included in the fiscal year 2002 
and 2003 Acts which designated safety belt use innovative grant 
funds to be used for public safety messages and evaluation to 
support the Operation ABC (America Buckles up Children) 
mobilizations that are conducted each year in May and November. 
In 2003, NHTSA again used this funding to support State high-
visibility ``Click It or Ticket'' enforcement programs and 
bolstered these programs with more than $20,000,000 in targeted 
State and national advertising. The 2003 campaign specifically 
targets young drivers who are at higher risk of being in a car 
crash and less likely to use seat belts than other age groups. 
While the Nation's seat belt usage stands at 79 percent, it is 
much lower, just 69 percent, among teens and young adults. 
These numbers are extremely troubling and the Committee 
applauds NHTSA's efforts to reach out to this and other target 
populations whose seat belt usage rates are below the national 
average.
    The Committee believes that this program must be continued 
in order to achieve its full potential in saving lives and 
reducing injuries. The Committee has again included bill 
language providing $10,000,000 from the seat belt grant program 
to be used consistent with current practice and as directed by 
the NHTSA Administrator for broadcast advertising to support 
national law enforcement mobilizations aimed at increasing seat 
belt use.
    Just as high visibility enforcement programs have proven so 
effective in increasing seat belt use, research has also 
concluded that sobriety checkpoints are highly effective in 
reducing alcohol-related traffic fatalities and injuries. 
NHTSA's own survey has indicated that 4 out of 5 Americans 
support increased enforcement and tougher laws to protect 
themselves and their families from impaired drivers.
    The Committee is concerned that the number of alcohol-
related fatalities has continued to increase in recent years 
and recognizes the difficulties in reducing the overall number 
of impaired drivers. The Committee believes that NHTSA should 
take a more proactive role in working with States to recognize 
and develop new and innovative measures that target impaired 
drivers. For fiscal year 2004, the Committee has included bill 
language providing $20,000,000 from the impaired driving grant 
program to be used as directed by the NHTSA Administrator for 
broadcast advertising to support national law enforcement 
mobilizations aimed at controlling impaired driving. It is the 
Committee's intent that these funds support at least two 
national mobilizations during the year, and that NHTSA work on 
these initiatives with the States and non-profit safety 
organizations that have been active in conducting recent 
mobilizations. Further, the Committee has specified that no 
less than $2,750,000 be provided to the States to ensure that 
they have adequate resources for impaired driving enforcement 
activities as part of the mobilizations. The Committee has also 
included $250,000 so that NHTSA may continue the comprehensive 
evaluation of these activities.
    In an effort to better understand and address the 
shortfalls in our Nation's impaired driving efforts, the 
Committee has provided $3,000,000 to conduct a limited 
demonstration project to test new and improved strategies in 
those States where the largest gains in reducing alcohol-
related fatalities can be made and where the commitment exists 
to assess challenges and implement solutions. The demonstration 
should include a comprehensive assessment of the impaired 
driving program in each participating State, the development of 
a strategic plan to address identified challenges, and the 
allocation of resources and technical assistance to reduce 
constraints. For example, State-specific efforts may be 
undertaken to advance more effective enforcement strategies, 
increase compliance with underage drinking laws, improve 
judicial and prosecutorial training, and/or improve traffic 
records.

   GENERAL PROVISIONS--NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION

    Section 140 allows States to use funds provided under 
section 402 of title 23, U.S.C. to produce and place highway 
safety public service messages related to seat belt usage and 
impaired driving. The provision allocates $10,000,000 for the 
purpose of national paid media to support national safety belt 
mobilizations under Section 157 and a total of $20,000,000 
under Section 163 to include: $2,750,000 to support State 
impaired driving mobilization enforcement efforts, $14,000,000 
for paid media to support national law enforcement 
mobilizations on impaired driving, and $250,000 for continued 
evaluation of alcohol-impaired driving messages. In addition 
the Committee expects that $3,000,000 from the 163 program be 
dedicated to an impaired driving demonstration program.
    Section 141 prohibits the transfer of funds from NHTSA to 
the FMCSA for the purposes of carrying out the Share the Road 
Safely program.

                    Federal Railroad Administration


                  SUMMARY OF FISCAL YEAR 2004 PROGRAM

    The Federal Railroad Administration [FRA] became an 
operating administration within the Department of 
Transportation on April 1, 1967. It incorporated the Bureau of 
Railroad Safety from the Interstate Commerce Commission, the 
Office of High Speed Ground Transportation from the Department 
of Commerce, and the Alaska Railroad from the Department of the 
Interior. The Federal Railroad Administration is responsible 
for planning, developing, and administering programs to achieve 
safe operating and mechanical practices in the railroad 
industry. Grants to the National Railroad Passenger Corporation 
(Amtrak) and other financial assistance programs to 
rehabilitate and improve the railroad industry's physical 
infrastructure are also administered by the Federal Railroad 
Administration.
    The Committee recommends $1,119,400,000 for the activities 
of the Federal Railroad Administration for fiscal year 2004.
    The following table summarizes the Committee 
recommendations:

----------------------------------------------------------------------------------------------------------------
                                                                        Fiscal year--
                                                             -----------------------------------    Committee
                           Program                                                2004 budget     recommendation
                                                                2003 enacted        estimate
----------------------------------------------------------------------------------------------------------------
Safety and operations \1\ \2\...............................     $116,600,141      $131,175,000     $130,825,000
Railroad research and development \3\.......................       29,134,388        35,025,000       34,225,000
Next generation high-speed rail \4\.........................       30,252,075        23,200,000       29,350,000
Alaska Railroad rehabilitation \5\..........................       21,857,000   ...............       25,000,000
Grants to National Railroad Passenger Corporation \6\.......    1,043,175,000       900,000,000    1,346,000,000
                                                             ---------------------------------------------------
      Total budgetary resources.............................    1,260,888,604     1,089,400,000    1,568,400,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reductions of $762,859 pursuant to section 601 of Public Law 108-7.
\2\ Does not reflect reduction of $300,000 pursuant to section 362 of Public Law 108-7.
\3\ Reflects reduction of $190,612 pursuant to section 601 of Public Law 108-7.
\4\ Reflects reduction of $197,925 pursuant to section 601 of Public Law 108-7.
\5\ Reflects reduction of $143,000 pursuant to section 601 of Public Law 108-7.
\6\ Reflects reduction of $6,825,000 pursuant to section 601 of Public Law 108-7.

                         SAFETY AND OPERATIONS

Appropriations, 2003 \1\ \2\............................    $116,600,141
Budget estimate, 2004...................................     131,175,000
Committee recommendation................................     130,825,000

\1\ Reflects reduction of $762,859 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $300,000 pursuant to section 362 of 
Public Law 108-7.

    The Safety and Operations account provides support for FRA 
rail safety activities and all other administrative and 
operating activities related to staff and programs.
    The Committee recommends $130,825,000 for Safety and 
Operations for fiscal year 2004. This level of funding is 
$14,225,000 more than the fiscal year 2003 enacted level. The 
Committee recommendation has denied the request of $350,000 for 
workforce planning.
    Highway-Railroad Grade Crossing Safety.--The Committee 
reminds the Secretary of Transportation of its request for an 
update of the agency's highway-railroad grade crossing safety 
action plan. The Committee expects the plan to include input 
from FRA, FHWA, FMCSA, NHTSA, and the ITS Joint Program Office 
and should be submitted with the fiscal year 2005 budget 
justification.

                   RAILROAD RESEARCH AND DEVELOPMENT

Appropriations, 2003 \1\................................     $29,134,388
Budget estimate, 2004...................................      35,025,000
Committee recommendation................................      34,225,000

\1\ Reflects reduction of $190,612 pursuant to section 601 of Public Law 
108-7.

    The Federal Railroad Administration's Railroad Research and 
Development Program provides for research in the development of 
safety and performance standards for high-speed rail and the 
evaluation of their role in the Nation's transportation 
infrastructure. The Committee recommends an appropriation of 
$34,225,000 for railroad research and development. Within the 
funds provided, $2,000,000 is for Marshall University and the 
University of Nebraska for safety research programs in rail 
equipment, human factors, track, and rail safety related 
issues.

                        committee recommendation

    The Committee recommends the following funding levels for 
the Railroad research and development programs:

------------------------------------------------------------------------

------------------------------------------------------------------------
Railroad System Issues..................................      $3,225,000
Human Factors...........................................       3,678,000
Rolling Stock and Components............................       2,587,000
Track and Structures....................................       4,125,000
Track and Train Interaction.............................       3,350,000
Train Control...........................................         950,000
Grade Crossings.........................................       1,435,000
Hazardous Materials Transportation......................       1,000,000
Train Occupant Protection...............................       6,450,000
R&D; Facilities and Test Equipment.......................       1,425,000
NDGPS...................................................       6,000,000
------------------------------------------------------------------------

    Track and Structures.--The Committee provides $4,125,000 
for FRA's track and structures research efforts. Track and 
structures provides for research in inspection techniques, 
material and component reliability, track and structure design 
and performance, and track stability data processing and 
feedback. Within the funds provided, the Committee includes 
$250,000 for structural integrity research utilizing glass 
fiber reinforced polymers on railroad ties at WVU's Constructed 
Facility Center.
    NDGPS.--The Committee recommendation includes $6,000,000 
for the continued installation and operation of the Nationwide 
NDGPS Network system. The Committee is aware that roughly 34 
sites have been funded to date and that there are 36 more sites 
in the lower 48 contiguous States and 15 sites in Alaska that 
are planned. In addition, the Committee understands that nearly 
$4,000,000 of the funds provided will be directed toward the 
maintenance and operation of the existing sites which leaves 
only $2,800,000 for new site installations. The Committee 
encourages the Department to evaluate the benefit derived from 
expediting the installation of the remaining sites and whether 
greater funds are justified for new site installations in 
future budget justifications.

       RAILROAD REHABILITATION AND IMPROVEMENT FINANCING PROGRAM

    Section 502 of Public Law 94-210, as amended authorizes 
obligation guarantees for meeting the long-term capital needs 
of private railroads. Railroads utilize this funding mechanism 
to finance major new facilities and rehabilitation or 
consolidation of current facilities. No appropriations or new 
loan guarantee commitments are proposed in fiscal year 2004.
    The Rail Rehabilitation and Improvement Financing Program, 
as established in section 7203 of the Transportation Equity Act 
for the 21st Century [TEA21], will enable the Secretary of 
Transportation to provide loans and loan guarantees to State 
and local governments, Government-sponsored authorities and 
corporations, railroads and joint ventures to acquire, improve, 
or rehabilitate intermodal or rail equipment or facilities, 
including track, bridges, yards, and shops.

                    NEXT GENERATION HIGH-SPEED RAIL

Appropriations, 2003 \1\................................     $30,252,075
Budget estimate, 2004...................................      23,200,000
Committee recommendation................................      29,350,000

\1\ Reflects reduction of $197,925 pursuant to section 601 of Public Law 
108-7.

    The Committee has provided $29,350,000 in general fund 
appropriations for the High-Speed Ground Transportation [HSGT] 
Program. This amount is $6,150,000 above the budget request.
    The Committee first provided funding for the Next 
Generation High-Speed Rail [NGHSR] Program in fiscal year 1995. 
The program funds high-speed rail research, development, and 
technology demonstration programs to foster high-speed 
passenger service on rail corridors throughout the country.
    The Committee recommends the following funding levels for 
the Next Generation High-Speed Rail Programs:

------------------------------------------------------------------------

------------------------------------------------------------------------
High-speed train control systems........................     $10,000,000
High-speed non-electric locomotives.....................  ..............
Grade crossing hazard mitigation/Low-cost innovative           6,850,000
 technologies...........................................
Track and structures technology.........................  ..............
Corridor planning.......................................       7,500,000
Magnetic levitation.....................................       5,000,000
------------------------------------------------------------------------

    High-Speed Train Control Systems.--The Committee 
recommendation includes $9,000,000 for the North American Joint 
PTC project.
    Non-electric Locomotive.--Over the last several years, the 
Committee has provided $26,000,000 for the development of a 
turbine-electric locomotive [TEL] that is capable of achieving 
higher speeds on corridors outside of the Northeast Corridor. 
While the TEL has been tested extensively at the Transportation 
Technology Center in Pueblo, Colorado in 2001 and was tested in 
cold weather operations in Canada earlier this year, the 
Committee is concerned that the locomotive has not been 
demonstrated yet on U.S. high speed corridors. In addition, the 
Committee understands that the TEL is not compatible with a 
variety of passenger cars and is therefore limited in where it 
can be demonstrated. The Committee denies the funding for the 
non-electric locomotive until the FRA provides a plan detailing 
where and when the non-electric locomotive will be 
demonstrated.
    Advanced Locomotive Propulsion System [ALPS].--The 
Committee denies funding for the ALPS program due to concerns 
raised by the Transportation Research Board [TRB] regarding the 
technical as well as schedule and budget risks associated with 
ALPS. In an effort to ensure that the benefits of this project 
outweigh the risks, the Committee directs FRA to establish a 
firm timetable, as recommended by TRB, for the conclusion of 
the advanced locomotive propulsion systems project.
    Grade Crossing Hazard Mitigation/Low-cost Innovative 
Technologies.--The Committee recommends $6,850,000 for grade 
crossing hazard mitigation and low-cost innovative technology 
initiatives.
    Within the funds provided, the Committee includes the 
following allocations:



------------------------------------------------------------------------
Springfield, Missouri grade reconfiguration study.......      $1,000,000
Anchorage C Street corridor grade crossing..............       1,000,000
KBS Railroad hazard elimination, Kankakee, IL...........         500,000
NC Pedestrian Crossing Safety Pilot: Clayton Grade             1,000,000
 Separation.............................................
Ohio Statewide Highway-Rail Crossing Barrier Gates......         600,000
------------------------------------------------------------------------

    Corridor Planning.--The Committee includes $7,500,000 for 
passenger rail corridor planning. Within the funds provided, 
the Committee includes the following allocations:



------------------------------------------------------------------------
Florida High Speed Rail Corridor Study..................      $5,000,000
Gulf Coast High Speed Rail Corridor Study...............       1,500,000
Southeast High Speed Rail Corridor Study................         750,000
Midwest Regional Rail Planning and Engineering Study....         250,000
------------------------------------------------------------------------

    Magnetic Levitation Transportation.--A total of $5,000,000 
has been provided for magnetic levitation activities to be 
distributed as follows:



------------------------------------------------------------------------
Southern California Maglev..............................      $1,000,000
California-Nevada Interstate Maglev Project.............       1,000,000
Pittsburgh-Greensburgh, Pennsylvania Maglev Deployment         2,000,000
 Project................................................
Washington-Baltimore Maglev Deployment Project..........       1,000,000
------------------------------------------------------------------------

    Rail-Highway Crossing Hazard Eliminations.--The Committee 
recommendation assumes that section 1103 of the Transportation 
Equity Act for the 21st Century [TEA21] will be ccontinued and 
provides $5,250,000 for the elimination of rail-highway 
crossing hazards. Of these set-aside funds, the following 
allocations are made:



------------------------------------------------------------------------
Grade Separation of CSX/US 90 at Hamilton Boulevard,          $2,250,000
 Mobile, AL.............................................
Washington State high speed rail corridor grade crossing       1,250,000
 project................................................
Wisconsin Railway-Highway Crossing Hazard Elimination            500,000
 Project................................................
------------------------------------------------------------------------

                     ALASKA RAILROAD REHABILITATION

Appropriations, 2003 \1\................................     $21,857,000
Budget estimate, 2004...................................................
Committee recommendation................................      25,000,000

\1\ Reflects reduction of $143,000 pursuant to section 601 of Public Law 
108-7.

    The Committee has included $25,000,000 for rail safety and 
infrastructure improvements benefiting passenger operations of 
the Alaska Railroad. This railroad extends 498 miles from 
Seward through Anchorage, the largest city in Alaska, to the 
city of Fairbanks, and east to the town of North Pole and 
Eielson Air Force Base. It carries both passengers and freight, 
and provides a critical transportation link for passengers and 
cargo traveling through difficult terrain and harsh climatic 
conditions.

     GRANTS TO THE NATIONAL RAILROAD PASSENGER CORPORATION (AMTRAK)

Appropriations, 2003 \1\................................  $1,043,175,000
Budget estimate, 2004...................................   1,050,000,000
Committee recommendation................................   1,346,000,000

\1\ Reflects reduction of $6,825,000 pursuant to section 601 of Public 
Law 108-7.

    The National Passenger Railroad Corporation, or Amtrak, is 
a federally chartered for-profit public corporation created by 
Congress in 1970 to relieve railroad companies of their money-
losing passenger operations while maintaining passenger rail 
service in the United States. At that time, rail passenger 
ridership had been in decline since the 1920s, due to 
competition from automobile and airplane travel. The 
legislation creating Amtrak did not address the underlying 
reasons for the long-term decline of ridership and as a result, 
passenger rail service under Amtrak has continued a money-
losing record that began in the 1930s.
    Amtrak has run a deficit every year since its creation 
despite earning around $1,000,000,000 annually in revenue from 
passenger fares and receiving over $35,000,000,000 in 
assistance from the Federal Government to cover its deficits 
during that period. Because Amtrak does not earn enough revenue 
to cover its costs, it is regularly on the verge of insolvency. 
It has become abundantly clear over the years that Amtrak has 
an insatiable appetite for cash and, absent additional 
oversight and controls requiring strict adherence to a specific 
budget, Amtrak will never bring spending in line with revenues 
on its own accord.
    While the Amtrak Reform and Accountability Act of 1997 
[ARAA] (Public Law 105-134, December 2, 1997) attempted to 
reign in Amtrak's spending by requiring it to operate by the 
end of fiscal year 2002 without using Federal grant funds to 
cover operating expenses, the law has proven to be a miserable 
failure. ARAA has now expired and Amtrak is still no closer to 
any measure of self-sufficiency or economic viability than in 
1997 when the legislation was enacted. It is clear that Amtrak 
has progressively become more dependent--not less--on an annual 
Federal appropriation. The Committee believes, however that a 
mere infusion of funds will not cure Amtrak's ailments. The 
only cure for Amtrak's maladies is fundamental far-reaching 
reforms. As Amtrak proponents and opponents await consideration 
of legislation to reauthorize Amtrak, the Committee believes 
that mind-sets must change such that both the Federal 
Government and Amtrak have clearly defined roles, expectations, 
and goals.
    In fiscal year 2003, Congress provided Amtrak 
$1,043,175,000 and included a $105,000,000 loan repayment 
extension (Public Law 108-7). In an attempt to better 
understand Amtrak's financial shortcomings, the Act made a 
significant change in policy by providing funding directly to 
the Secretary of Transportation, who was charged with providing 
the funds to Amtrak on a quarterly basis through the grant-
making process. The fiscal year 2003 Appropriations Act also 
included a number of reporting requirements, directed Amtrak to 
submit capital and operating plans, and prohibited the 
expenditure of funds on projects not included in Amtrak's 
business plan. It was the Congress' expectation that these 
reforms would bring Amtrak's finances into public view in an 
attempt to provide Congress and the Department of 
Transportation the necessary resources to provide much needed 
oversight, considering the Federal Government's significant 
investment.
    In fiscal year 2003, for the first time in several years, 
Amtrak did not threaten to shut down despite operating under 
these new requirements. The Committee considers this as a 
modest but positive step in overall Amtrak reform and has 
retained the requirements for fiscal year 2004 with some 
modification.

                        COMMITTEE RECOMMENDATION

    For fiscal year 2004, the Committee has provided 
$1,346,000,000. The Committee has included bill language to 
maintain the requirements enacted in Public Law 108-7 with a 
revision to the grant approval process. The Committee gives the 
Secretary the flexibility to allocate funds to either operating 
or capital subsidies. The Committee expects that the Secretary, 
through the designated grant process, will assist Amtrak in 
allocating these funds in the most appropriate manner in an 
effort to maximize efficiencies. The Secretary is directed to 
ensure that Amtrak continues to meet all debt principal and 
interest payments in fiscal year 2004.
    Revision of Secretarial Approval Process for Amtrak Train 
Routes.--The fiscal year 2003 Appropriations Act, required 
Amtrak to submit an application for grant assistance to the 
Secretary of Transportation for long-distance train routes 
operating outside of the Northeast Corridor. These applications 
were required to be accompanied by a financial analysis 
detailing the operating expenses associated with each long-
distance train. The Committee has revised these procedures to 
require the grant approval process for all Amtrak train routes. 
Applications for all routes for fiscal year 2004 will be 
required to be accompanied by a financial analysis that details 
the operating expenses of the route as well as the capital 
expenditures necessary to operate the route.

                     Federal Transit Administration


                  SUMMARY OF FISCAL YEAR 2004 PROGRAM

    The Federal Transit Administration was established as a 
component of the Department of Transportation by Reorganization 
Plan No. 2 of 1968, effective July 1, 1968, which transferred 
most of the functions and programs under the Federal Transit 
Act of 1964, as amended (78 Stat. 302; 49 U.S.C. 1601 et seq.), 
from the Department of Housing and Urban Development. The 
missions of the Federal Transit Administration are: to assist 
in the development of improved mass transportation facilities, 
equipment, techniques, and methods; to encourage the planning 
and establishment of urban and rural transportation services 
needed for economical and desirable development; to provide 
mobility for transit dependents in both metropolitan and rural 
areas; to maximize the productivity and efficiency of 
transportation systems; and to provide assistance to State and 
local governments and their instrumentalities in financing such 
services and systems.
    The programs funded by the Federal Transit Administration, 
as contained in TEA21, need to be reauthorized for fiscal year 
2004, and the budget request for the Federal Transit 
Administration reflects the administration's reauthorization 
proposal. The budget request retains a separate account for 
administration and restructures the Federal transit programs 
into two accounts: Formula Grants and Research and Major 
Capital Investment Grants. In addition, the budget request 
proposes to consolidate funding from the general fund for the 
administration account and from the Highway Trust Fund for the 
proposed Formula Grants and Research account.
    As proposed in the budget, the Formula Grants and Research 
would include formula grants to States and local agencies and 
transit planning and research activities. Formula grants to 
States and local agencies under the administration's proposal 
would include the following categories: urbanized areas (49 
U.S.C. sec. 5307), fixed guideway modernization, special needs 
of elderly individuals and individuals with disabilities (49 
U.S.C. sec. 5310), non-urbanized areas (49 U.S.C. sec. 5311), 
and the New Freedom Initiative. The administration's budget 
also proposes to distribute funding for Job Access and Reverse 
Commute by formula instead of as a competitive program. 
Finally, set-asides of formula funds are directed to: the bus 
testing program, authorized under 49 U.S.C. section 5318; the 
National Transit Database; a grant program for intercity bus 
operations to finance Americans with Disabilities Act [ADA] 
accessibility costs; and the Alaska Railroad for improvements 
to its passenger operations. The requested level of funding is 
$5,615,406,000 in budget resources for fiscal year 2004.
    The budget request for Major Capital Investments Grants 
account is $1,534,094,000 for fiscal year 2004, of which 
$320,594,000 is proposed to be appropriated from the general 
fund and $1,213,500,000 to be derived from mass transit account 
of the highway trust fund. The new account would provide 
funding for ``new starts'' transit projects and for 
metropolitan and statewide planning activities.
    The Committee recommendation provides sufficient funding 
and stability for the Federal Transit Administration pending 
the reauthorization of the surface transportation programs. 
Consistent with the general guidance provided in the report, 
the Committee has followed the program structure found in 
current law and has resisted the temptation to prejudge 
programmatic priorities and modifications that will emerge from 
the reauthorization process. Nevertheless, the Committee is 
concerned that the single-minded focus to increase local 
flexibility and funding stability as presented in the budget 
request may cause neglect to other important Federal interests 
in a national transit program. The Federal interest in transit 
should be--and is--greater than establishing rote entitlements 
that merely redistribute trust fund revenue by formula.
    Under the Committee recommendation, a total program level 
of $7,305,000,000 is provided for the administrative expenses 
and programs of the Federal Transit Administration for fiscal 
year 2004. This funding is comprised of $1,461,000,000 in 
appropriations from the general fund and $5,844,000,000 in 
limitations on contract authority from the mass transit account 
of the Highway Trust Fund.
    The following table summarizes the Committee's 
recommendations compared to fiscal year 2003 and the 
administration's request:

----------------------------------------------------------------------------------------------------------------
                                                                                                   Committee
                        Program                           2003 enacted \1\    2004 estimate      recommendation
----------------------------------------------------------------------------------------------------------------
Administrative expenses................................       $72,525,5000        $76,500,000        $73,000,000
Formula grants \2\.....................................      3,764,371,500  .................      3,839,000,000
Formula grants and research............................  .................      5,615,406,000  .................
University transportation research.....................          5,961,000  .................          6,000,000
Transit planning and research..........................        121,207,000  .................        122,000,000
Capital investment grants \3\ \4\......................      3,110,648,500  .................      3,140,000,000
Major capital investment grants........................  .................      1,534,094,000  .................
Job access and reverse commute grants..................        104,317,500  .................        125,000,000
                                                        --------------------------------------------------------
      Total............................................      7,179,031,000      7,226,000,000      7,305,000,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects reduction of $46,969,000 in fiscal year 2003 pursuant to section 601 of Public Law 108-7.
\2\ Fiscal year 2003 reflects transfer $49,675,000 from Formula grants to Capital investment grants.
\3\ Fiscal year 2003 reflects transfer of $44,707,500 from Job Access and Reverse Commute grants to Capital
  investment grants.
\4\ Excludes transfers of unobligated balances of $1,015,648 from Job Access and Reverse Commute grants to
  Capital investment grants.

                        ADMINISTRATIVE EXPENSES

------------------------------------------------------------------------
                                        General fund        Trust fund

------------------------------------------------------------------------
Appropriations, 2003 \1\..........       $14,505,100        $58,020,400
Budget estimate, 2004.............        76,500,000    ................
Committee recommendation..........        14,600,000         58,400,000
------------------------------------------------------------------------
\1\ Reflects total reduction of $474,500 pursuant to section 601 of
  Public Law 108-7.

    The accompanying bill provides a total of $73,000,000 in 
budget resources for the agency's salaries and administrative 
expenses, which is comprised of an appropriation of $14,600,000 
from the general fund and a limitation on obligations of 
$58,400,000 from the mass transit account of the highway trust 
fund. The recommended level of funding is $524,500 more than 
the fiscal year 2003 enacted level.
    The specific levels of funding recommended by the Committee 
are as follows:

------------------------------------------------------------------------
                                                            Committee
                                                          recommendation
------------------------------------------------------------------------
Office of the Administrator............................         $980,000
Office of Chief Counsel................................        3,750,000
Office of Civil Rights.................................        2,700,000
Office of Communications and Congressional Affairs.....        1,160,000
Office of Budget and Planning..........................        6,200,000
Office of Planning.....................................        3,450,000
Office of Program Management...........................        7,250,000
Office of Research, Demonstration, and Innovation......        4,600,000
Office of Administration...............................        6,133,000
Central Account........................................       16,800,000
Regional Offices.......................................       17,777,000
National Transit Database..............................        2,200,000
------------------------------------------------------------------------

    Budget Justifications.--The FTA is directed to submit its 
fiscal year 2005 congressional justification for administrative 
expenses by office, with material detailing salaries and 
expenses, staffing increases, and programmatic initiatives of 
each office.
    Staffing Level.--The Committee has not provided the 
requested increase in funding for additional staff. The 
Committee notes that the current staff level is below the 
increase that was approved for fiscal year 2003. When filling 
those positions, the Committee believes it is imperative that 
the Administrator give priority on hiring to engineers and 
financial specialists whose knowledge and experience can 
improve project management oversight and analysis of financial 
documents that are required to be submitted to the agency.
    National Transit Database.--The Committee recommendation 
continues funding for the operation of the National Transit 
Database in the administrative expenses account. The budget 
request assumed funding for the National Transit Database to be 
set aside under the proposed Formula Grants and Research 
account. The Committee believes that the activities of the 
database are administrative in nature. The Committee 
recommendation provides $2,200,000 for continued operation and 
maintenance of the National Transit Database.
    Grants Management.--The Committee is concerned by the 
increasing number of projects not being obligated in a 3-year 
period and consequently becoming available for reallocation. At 
the same time, the Committee has heard a litany of complaints 
from project sponsors--some of whom are first-time grantees--of 
the lack of cooperation and assistance from the FTA during the 
grant application process. While the Committee expects 
aggressive oversight from the agency, it will not condone 
intimidation or dilatory bureaucratic obstacles that needlessly 
delay the obligations of discretionary projects.
    Buy America Enforcement.--The Committee is concerned that 
the application and enforcement of the ``Buy America'' statutes 
by the FTA may be inconsistent with other modes of the 
Department and other departments of the Federal Government and 
with the law itself. The Committee is interested in ensuring 
that domestic content requirements for manufactured products 
are properly applied and reflect the spirit and intent of the 
law. The Committee directs the Department of Transportation 
Office of Inspector General to review the FTA's recent 
interpretations of manufactured component and subcomponents as 
well as the use of temporary exemptions regarding to domestic 
content of the ``Buy America'' statute for consistency with the 
law and other practices within the Department. This report 
should be provided to the Committee not later than September 
30, 2003.

                             FORMULA GRANTS

------------------------------------------------------------------------
                                        General fund       Trust fund
------------------------------------------------------------------------
Appropriations, 2003 \1\ \2\........      $713,134,300    $3,051,237,200
Budget estimate, 2004 \3\...........     5,615,406,000  ................
Committee recommendation............       767,800,000     3,071,200,000
------------------------------------------------------------------------
\1\ Reflects total reduction of $24,953,500 pursuant to section 601 of
  Public Law 108-7.
\2\ Fiscal year 2003 does not reflect FHWA flex funding transferred to
  FTA.
\3\ Limitation of $5,615,400,000 included in proposed ``Formula Grants
  and Research'' account.

                             FORMULA GRANTS

    Formula grants to States and local agencies funded under 
this heading fall into four categories: urbanized area formula 
grants (49 U.S.C. 5307); clean fuels formula grants (49 U.S.C. 
5308); formula grants and loans for special needs of elderly 
individuals and individuals with disabilities (49 U.S.C. 5310); 
and formula grants for non-urbanized areas (49 U.S.C. 5311). In 
addition, setasides of formula funds are directed to: a grant 
program for intercity bus operators to finance Americans with 
Disabilities Act [ADA] accessibility costs; and the Alaska 
Railroad for improvements to its passenger operations.
    Within the total funding level of $3,839,000,000 for fiscal 
year 2004, the statutory distribution of these formula grants 
is allocated among these categories as follows:

------------------------------------------------------------------------

------------------------------------------------------------------------
Urbanized areas (sec, 5307)..........................     $3,428,709,908
Clean fuels (sec. 5308)..............................         50,000,000
Elderly and disabled (sec. 5310).....................         90,652,801
Nonurbanized areas (sec. 5311).......................        239,404,605
Over-the-Road Bus Program............................          6,950,000
Alaska railroad......................................          4,850,000
------------------------------------------------------------------------

    Section 3007 of TEA21 amends U.S.C. 5307, urbanized formula 
grants, by striking the authorization to utilize these funds 
for operating costs, but includes a specific provision allowing 
the Secretary to make operating grants to urbanized areas with 
a population of less than 200,000. Generally, urbanized formula 
grants may be used to fund capital projects and to finance 
planning and improvement costs of equipment, facilities, and 
associated capital maintenance used in mass transportation. All 
urbanized areas greater than 200,000 in population are 
statutorily required to use 1 percent of their annual formula 
grants on enhancements, which include landscaping, public art, 
bicycle storage, and connections to parks.
    Clean Fuels Program.--The Transportation Equity Act for the 
21st Century requires that $50,000,000 be set-aside from funds 
made available under the formula grants program to fund the 
clean fuels program. The clean fuels program is supplemented by 
an additional set-aside from the major capital investment's bus 
program and provides grants for the purchase or lease of clean 
fuel buses for eligible recipients in areas that are not in 
compliance with air quality attainment standards. The Committee 
assumes continuation of the program for fiscal year 2004. The 
Committee has included bill language transferring the clean 
fuel formula set-aside funds to the capital investment grants 
account. The Committee has identified designated recipients of 
these funds within the projects listed under the bus program of 
the capital investment grants account.
    Over-the-Road Buses.--The Committee has included $6,950,000 
in fiscal year 2004 for the over-the-road accessibility 
program. These funds are intended to assist over-the-road bus 
operators in complying with the Americans with Disabilities Act 
accessibility requirements.
    The following table displays the State-by-State 
distribution of the formula program funds within each of the 
program categories:

 FEDERAL TRANSIT ADMINISTRATION ESTIMATED FISCAL YEAR 2004 APPORTIONMENTS FOR FORMULA GRANTS PROGRAMS (BY STATE)
----------------------------------------------------------------------------------------------------------------
                                                                                   Section 5310
                                                   Section 5307    Section 5311      Elderly &      State Total
                      State                       Urbanized Area   Non-urbanized   Persons with   Formula Grants
                                                                       Area        Disabilities
----------------------------------------------------------------------------------------------------------------
Alabama.........................................     $15,138,667      $6,692,853      $1,582,925     $23,414,445
Alaska..........................................   \1\ 8,583,909         932,825         240,303       9,757,037
America Samoa...................................  ..............         153,015          60,088         213,103
Arizona.........................................      45,440,735       3,265,027       1,652,847      50,358,609
Arkansas........................................       8,174,080       4,841,318       1,029,871      14,045,269
California......................................     586,497,810      10,288,103       9,488,916     606,274,829
Colorado........................................      45,565,774       2,906,645       1,160,010      49,632,429
Connecticut.....................................      42,916,872       1,487,843       1,128,644      45,533,359
Delaware........................................       6,423,520         674,570         352,994       7,451,084
District of Columbia............................      68,645,916  ..............         309,042      68,954,958
Florida.........................................     164,147,558       6,709,898       6,064,881     176,922,337
Georgia.........................................      62,615,813       8,483,506       2,295,637      73,394,956
Guam............................................  ..............         413,460         157,227         570,687
Hawaii..........................................      27,934,110       1,003,237         476,147      29,413,494
Idaho...........................................       5,729,233       1,843,271         455,768       8,028,272
Illinois........................................     218,339,751       7,162,729       3,526,256     229,028,736
Indiana.........................................      35,559,976       7,129,966       1,871,517      44,561,459
Iowa............................................      12,691,349       4,838,329         980,862      18,510,540
Kansas..........................................       9,947,047       3,954,418         882,653      14,784,118
Kentucky........................................      19,148,378       6,610,369       1,461,839      27,220,586
Louisiana.......................................      30,616,488       5,163,713       1,455,553      37,235,754
Maine...........................................       3,061,990       2,566,606         533,084       6,161,680
Maryland........................................      69,033,173       2,668,245       1,545,478      73,246,896
Massachusetts...................................     124,990,002       1,906,899       2,041,414     128,938,315
Michigan........................................      67,602,520       8,973,689       2,938,848      79,515,057
Minnesota.......................................      41,820,114       5,896,505       1,366,007      49,082,626
Mississippi.....................................       5,296,811       5,781,661       1,032,720      12,111,192
Missouri........................................      36,365,026       6,689,314       1,788,808      44,843,148
Montana.........................................       2,581,409       1,784,125         384,485       4,750,019
N. Mariana Islands..............................         675,985          20,101          60,998         757,084
Nebraska........................................       8,239,653       2,420,193         596,510      11,256,356
Nevada..........................................      24,473,107         859,874         721,940      26,054,921
New Hampshire...................................       4,642,118       1,826,747         457,852       6,926,717
New Jersey......................................     217,148,481       1,764,249       2,587,773     221,500,503
New Mexico......................................       9,551,855       2,555,204         655,206      12,762,265
New York........................................     550,931,718       9,272,746       6,091,120     566,295,584
North Carolina..................................      37,901,829      11,453,770       2,563,722      51,919,321
North Dakota....................................       3,055,663       1,098,794         310,725       4,465,182
Ohio............................................      90,141,703      10,795,153       3,431,195     104,368,051
Oklahoma........................................      14,269,627       5,253,598       1,208,398      20,731,623
Oregon..........................................      35,475,309       3,860,108       1,122,512      40,457,929
Pennsylvania....................................     153,018,676      10,870,487       4,044,433     167,933,596
Puerto Rico.....................................      43,018,815         886,505       1,399,708      45,305,028
Rhode Island....................................       8,886,917         321,036         463,004       9,670,957
South Carolina..................................      14,252,555       5,710,780       1,383,261      21,346,596
South Dakota....................................       2,347,890       1,496,368         339,305       4,183,563
Tennessee.......................................      28,940,103       7,276,884       1,914,830      38,131,817
Texas...........................................     196,543,779      16,174,536       5,644,548     218,362,863
Utah............................................      27,263,133       1,295,598         592,321      29,151,052
Vermont.........................................       1,043,871       1,344,670         294,426       2,682,967
Virgin Islands..................................  ..............         290,086         150,772         440,858
Virginia........................................      54,598,970       6,317,121       2,017,699      62,933,790
Washington......................................      95,763,294       4,247,495       1,720,930     101,731,719
West Virginia...................................       4,949,894       3,454,176         784,330       9,188,400
Wisconsin.......................................      40,150,971       6,733,687       1,574,405      48,459,063
Wyoming.........................................       1,381,661         982,500         256,054       2,620,215
                                                 ---------------------------------------------------------------
      Subtotal..................................   3,433,535,608     239,404,605      90,652,801   3,763,593,014
Oversight.......................................      17,253,948       1,203,038  ..............      18,456,986
                                                 ---------------------------------------------------------------
      Total.....................................   3,450,789,556     240,607,643      90,652,801   3,782,050,000
Over-the-Road Bus Program.......................  ..............  ..............  ..............       6,950,000
Clean Fuels.....................................  ..............  ..............  ..............      50,000,000
                                                 ---------------------------------------------------------------
      Grand Total...............................  ..............  ..............  ..............   3,839,000,000
----------------------------------------------------------------------------------------------------------------
\1\ Includes $4,825,700 to Alaska Railroad for improvements to passenger operations.

                   UNIVERSITY TRANSPORTATION RESEARCH

------------------------------------------------------------------------
                                              General fund   Trust fund
------------------------------------------------------------------------
Appropriations, 2003 \1\....................    $1,192,200    $4,768,500
Budget estimate, 2004 \2\...................  ............  ............
Committee recommendation....................     1,200,000     4,800,000
------------------------------------------------------------------------
\1\ Reflects total reduction of $39,000 pursuant to section 601 of
  Public Law 108-7.
\2\ Limitation of $6,000,000 included in proposed ``Formual Grants and
  Research'' account.

    Section 5505 of TEA21 provides authorization for the 
university transportation research program. The purpose of the 
university transportation research program is to foster a 
national resource and focal point for the support and conduct 
of research and training concerning the transportation of 
passengers and property. Funds provided under the FTA 
university transportation research program are transferred to 
and managed by the Research and Special Programs Administration 
[RSPA], combined with a transfer from the Federal Highway 
Administration of $26,500,000. The transit university 
transportation research program funds are statutorily available 
only to the following universities: University of Minnesota and 
Northwestern University. Funding is also statutorily available 
for awards based on competitive applications of approved 
universities.
    The Committee action provides $6,000,000 to continue the 
university transportation research program. The Committee 
recommendation is $39,000 more than the level as provided in 
fiscal year 2003 and is consistent with the level of funding 
during the authorization period covered by TEA21.

                     TRANSIT PLANNING AND RESEARCH

------------------------------------------------------------------------
                                              General fund   Trust fund
------------------------------------------------------------------------
Appropriations, 2003 \1\ \2\................   $24,042,700   $97,164,300
Budget estimate, 2004 \3\...................  ............  ............
Committee recommendation....................    24,400,000    97,600,000
------------------------------------------------------------------------
\1\ Reflects total reduction of $793,000 pursuant to section 601 of
  Public Law 108-7.
\2\ Does not reflect FHWA flex funding transferred to FTA.
\3\ For comparative purposes, total program level of $133,118,750 is
  request as included in proposed ``Formula Grants and Research''
  account and appropriations in the ``Major Capital Investment Grants.''

    The Committee action provides $122,000,000 for transit 
planning and research. The bill contains language specifying 
that $60,385,600 shall be available for the metropolitan 
planning program; $5,250,000 for the rural transit assistance 
program; $31,500,000 for the national planning and research 
program; $12,614,400 for the State planning and research 
program; $8,250,000 for transit cooperative research; and 
$4,000,000 for the National Transit Institute at Rutgers 
University.
    The Committee recommendation includes transit planning and 
research grants from the national program for:

------------------------------------------------------------------------
                        Project                              Amount
------------------------------------------------------------------------
Advanced Transportation Technology Institute, TN......          $500,000
Center for Composite Manufacturing, AL................         1,000,000
Fischer-Tropsch clean diesel technology demonstration,         1,000,000
 OK...................................................
NDSU Transit Center for small urban areas, ND.........           400,000
JSU Bus Technology Research Center....................         1,000,000
Metrolink's Automated Passenger Counting System, CA...           900,000
National Bio-Terrorism Civilian Medical Response               1,000,000
 Center, PA...........................................
Project Action........................................         3,000,000
Transit Technology Career Ladder Partnership Training            500,000
 Program..............................................
Vashon Island Passenger-Only Ferry Initiative, WA.....         1,000,000
WVU exhaust emissions testing, WV.....................         1,400,000
------------------------------------------------------------------------

                      TRUST FUND SHARE OF EXPENSES

                (LIQUIDATION OF CONTRACT AUTHORIZATION)

                          (HIGHWAY TRUST FUND)

Appropriations, 2003....................................  $5,781,000,000
Budget estimate, 2004...................................     320,594,000
Committee recommendation................................   5,844,000,000

    For fiscal year 2004, the Committee has provided 
$5,844,000,000 in liquidating cash for the trust fund share of 
transit expenses associated with the following programs: 
administrative expenses, formula grants, university 
transportation research, transit planning and research, job 
access and reverse commute grants, and capital investment 
grants. The recommended liquidating cash appropriation is 
consistent with the limits for new contract authority from mass 
transit account of the highway trust fund inside of the mass 
transit category as outlined in the concurrent resolution on 
the budget for fiscal year 2004.

                       CAPITAL INVESTMENT GRANTS

------------------------------------------------------------------------
                                         General funds     Trust funds
------------------------------------------------------------------------
Appropriations, 2003 \1\ \2\..........     $682,733,200   $2,427,915,300
Budget estimate, 2004.................  ...............  ...............
Committee recommendation..............      628,000,000    2,512,000,000
------------------------------------------------------------------------
\1\ Reflects total reduction of $19,734,000 pursuant to section 601 of
  Public Law 108-7.
\2\ Includes $49,675,000 transferred from Formula Grants and $44,707,500
  transferred from Job Access and Reverse Commute Grants pursuant to
  Public Law 108-7.

    Section 5309 of 49 U.S.C. authorizes discretionary grants 
or loans to States and local public bodies and agencies thereof 
to be used in financing mass transportation investments. 
Investments may include construction of new fixed guideway 
systems and extensions to existing guideway systems; major bus 
fleet expansions and bus facility construction; and fixed 
guideway expenditures for existing systems.
    The Committee action provides a level of $3,140,000,000. 
Within this total, $2,512,000,000 is from the mass transit 
account of the highway trust fund and $628,000,000 is 
appropriated from the general fund. The following table 
summarizes the Committee recommendations:

----------------------------------------------------------------------------------------------------------------
                                                              2003 program    Fiscal year 2004      Committee
                                                                  level        budget estimate   recommendation
----------------------------------------------------------------------------------------------------------------
Bus and bus facilities....................................      $652,928,200  ................      $607,200,000
Fixed guideway modernization..............................     1,206,506,400  ................     1,214,400,000
New systems and new extensions \1\........................     1,251,213,900    $1,514,918,000     1,318,400,000
                                                           -----------------------------------------------------
    Total.................................................     3,110,648,500     1,514,918,000     3,140,000,000
----------------------------------------------------------------------------------------------------------------
\1\ Fiscal year 2003 program level excludes $1,015,648 in unobligated balance transferred from Job access and
  reverse commute grants.

    FTA Restrictions on Funding for Non-FFGA Projects.--The 
Committee is troubled by the actions taken this year by FTA to 
withhold the release of appropriated funds for new start 
projects that have received more than $25,000,000 in Federal 
funding prior to receiving a full funding grant agreement. This 
significant shift in policy is based on a reinterpretation of 
the requirements of Sections 5309(e)(6), (7), and (8) of title 
49 U.S.C. The Committee questions the timing of a significant 
policy change in the last 4 months of the 6-year authorization 
period of TEA21 and is aware that it is coincidentally 
consistent with provisions included in the administration's 
reauthorization proposal, SAFETEA, that was released this 
spring. The Committee also questions the conclusions 
considering that subsection (8) was designed more as a relief 
from Federal regulatory scrutiny than as a cap on pre-project 
planning.
    The accompanying bill includes a general provision that 
rejects the FTA interpretation that once a project exceeds 
$25,000,000 it is subject to FTA review and evaluation and 
therefore FTA must approve it for advancement. Further, there 
is no limit of $25,000,000 on alternatives analysis, 
preliminary engineering, or final design, and a project seeking 
more than that amount for such activities does not need an 
early systems work agreement, as FTA has interpreted to be 
required under subsection (g)(1). The Committee directs FTA to 
expeditiously release previously appropriated funds for all new 
start projects identified in this and prior appropriations acts 
that remain unobligated and have not been reallocated by the 
Congress, upon the request of the grantee and the satisfaction 
of statutory requirements.
    Pooled Procurement Pilot Project.--The Committee is aware 
of a new process that uses Internet-based technology to allow 
transit systems to collaborate on bus procurements. This new 
process shows promise of increasing the efficiency of the bus 
acquisition process by providing transit systems with new 
information on pricing and greater market power as well as 
minimizing the excessive customization that increases 
manufacturing costs. The Committee anticipates that this 
process will be especially beneficial to small- and medium-
sized transit operations and municipalities. All transit 
operators, in particular small- and medium-sized transit 
agencies and municipalities, have wrestled for years with the 
challenges and difficulties of developing bus specifications, 
assessing bids, overseeing production, and completing final 
delivery of vehicles. The Committee believes that demand 
aggregation would reduce the managerial burden on individual 
transit organizations to perform these functions and provide 
quantity discounts that are otherwise not available.
    The accompanying bill includes language to provide for a 
pooled procurement pilot project. The Committee directs FTA to 
undertake a minimum of three pilot projects, to include no less 
than two transit systems for each pooled procurement 
initiative. As an additional incentive to transit systems to 
participate in the pilot project pool, the provision provides 
for an increased Federal share of 90 percent.
    The Committee further directs FTA to disseminate the 
benefits of buyer collaboration to transit systems and to 
review upcoming and current procurements to determine suitable 
candidates for selection as pilot projects. The FTA shall 
provide technical assistance to assist pool participants 
develop specifications and other necessary functions. Finally, 
FTA must identify any regulations that require modification for 
compliance with Federal bus grant guidelines. FTA shall 
evaluate the process employed and the results achieved by each 
pool and report the findings to the House and Senate Committees 
on Appropriations no later than 60 days after the award of a 
contract.
    Limited Extensions of Discretionary Funds.--There have been 
occasions when the Committee has extended the availability of 
capital investment funds. These extensions are granted on a 
case by case basis and, in nearly all instances, are due to 
circumstances that were unforeseen by the project's sponsor. 
The availability of these particular funds are intended for one 
additional year, absent further congressional direction. The 
Committee directs the FTA not to reallocate funds provided in 
fiscal year 2001 or previously for the following new starts 
projects:
  --Alaska /Hawaii Ferry Projects
  --Albuquerque/Greater Albuquerque, New Mexico Mass Transit 
        Project
  --Birmingham, Alabama, Transit Corridor
  --Burlington-Bennington (ABRB), Vermont Commuter Rail Project
  --Charleston, SC Monobeam Corridor Project
  --Charlotte, North Carolina, North Corridor and South 
        Corridor Transitway
  --Clark County, Nevada, RTC Fixed Guideway Project
  --Dulles, Virginia Corridor Project
  --Girdwood to Wasilla, Alaska, Commuter Rail Project
  --Greater Albuquerque, New Mexico Mass Rail Transit Project
  --Hollister/Gilroy, California Branch Line Rail Extension 
        Project
  --Indianapolis, Indiana Northeast-Downtown Corridor Project
  --Kansas City, Missouri, Southtown Corridor Project
  --Kenosha-Racine-Milwaukee, Wisconsin Rail Extension Project
  --Los Angeles-San Diego LOSSAN Corridor Project
  --Lowell, Massachusetts-Nashua, New Hampshire Commuter Rail 
        Project
  --Nashville, Tennessee, Regional Commuter Rail Project
  --Philadelphia, Pennsylvania SEPTA Cross County Metro Project
  --Portland, Maine, Marine Highway Program
  --Raleigh-Durham-Chapel Hill, North Carolina Triangle Transit 
        Project
  --Roaring Fork, Colorado Valley Project
  --Stamford, Connecticut, Fixed Guideway Corridor
  --Stockton, California, Altamont Commuter Rail Project
  --Twin Cities, Minnesota Transitways Projects
  --West Trenton, New Jersey, Rail Project
  --Wilmington, DE Commuter Rail Project
    The Committee also directs the FTA not to reallocate funds 
provided in fiscal year 2001 or previously for the following 
bus and bus facility projects:
  --Bellows Falls Multimodal, Vermont multimodal
  --Binghampton, NY intermodal transportation center
  --Bridgeport, CT intermodal center
  --Burlington, Vermont multimodal transportation center
  --Central Vermont Transit Authority buses and bus facilities
  --Cheyenne, Wyoming transit and operation facility
  --Clovis, New Mexico transit center
  --Homer, Alaska Maritime Wildlife Refuge intermodal and 
        welcome center
  --Lake Tahoe, Nevada CNG buses and fleet conversion
  --Norwich bus terminal and pedestrian access
  --University of Alabama Birmingham fuel cell buses
  --Waterbury, Connecticut bus garage
  --Wilkes-Barre, Pennsylvania intermodal facility

                         BUS AND BUS FACILITIES

    The Committee recommendation for bus and bus facilities 
funding is $607,200,000. These funds may be used to replace, 
rehabilitate, and purchase buses and related equipment and to 
construct bus-related facilities. Funds for bus and bus 
facilities shall be distributed as follows:

------------------------------------------------------------------------
                         Project                              Amount
------------------------------------------------------------------------
Alabama A&M; University Transit Loop, Alabama............      $1,500,000
Alabama State Docks Intermodal Facility.................      10,000,000
Albuquerque bus and bus facilities, New Mexico..........       4,500,000
Allentown Intermodal Facility, Pennsylvania.............       3,000,000
Ames Maintenance Facility rehabilitation and expansion,        1,000,000
 Iowa...................................................
Anchorage Ship Creek Intermodal Facility, Alaska........       3,000,000
Ann Arbor fuel cell bus project, Michigan...............       2,800,000
Arctic Winter Games bus and bus facilities, Alaska......       1,500,000
Area Transportation Authority of North Central PA buses        2,500,000
 and bus equipment, Pennsylvania........................
Arkansas statewide bus and bus facilities...............      10,000,000
Austin Capital Metro buses and bus facilities, Texas....       4,000,000
Berks Area Reading Transportation Authority intermodal         2,000,000
 facility, Pennsylvania.................................
Billings downtown bus transfer facility, Montana........       2,000,000
Binghamton Intermodal Center, New York..................       1,000,000
Birmingham Intermodal Facility phase II, Alabama........       3,500,000
Brattleboro Multimodal, Vermont.........................       2,000,000
Bridgeport Intermodal Transport Center, Connecticut.....       4,000,000
Brockton Intermodal Transportation Centre, Massachusetts       1,000,000
Broward/Palm Tran Bus Coalition, Florida................       1,000,000
Burlington Transit Facilities, Vermont..................       3,000,000
Bus Rapid Transit Project, Virginia Street, Reno, Nevada       4,000,000
Cedar Avenue Transitway, Minnesota......................       2,000,000
Chapel Hill Bus Maintenance Facility, North Carolina....       2,000,000
Charlotte Area Transit System Transit Maintenance and          5,000,000
 Operations Center, North Carolina......................
Cherry Street Project Multi-Modal Facility, Terre Haute,       2,000,000
 Indiana................................................
Cheyenne River Sioux Tribe public bus and bus                  2,250,000
 facilities, South Dakota...............................
City of Farmington buses and bus facilities, New Mexico.         100,000
City of Fort Smith, Arkansas, Transit Maintenance                750,000
 Facility, Arkansas.....................................
City of Rome Passenger Intermodal Facility, New York....       2,000,000
Clark County Transit, Bus Replacement Project,                 3,000,000
 Washington.............................................
Coffman-Cove Inner Island Ferry/Bus Terminal, Alaska....       3,000,000
Colorado Statewide bus and bus facilities...............       9,000,000
Colorado Transit Coalition bus and bus facilities.......       9,000,000
Community Transit Bus and Van Replacement, Washington...       1,000,000
Community Transit Park and Ride Lot Expansion Program,         2,000,000
 Washington.............................................
Connecticut Statewide Bus Purchase......................       3,000,000
Construction of new Intermodal Terminals in Downtown           7,500,000
 Reno and Sparks, Nevada................................
Corpus Christ bus and bus facilities, Texas.............       3,500,000
Cranberry Isles Intermodal Transportation Facility,              500,000
 Maine..................................................
Cummings Research Park Commercial Center Intermodal            1,000,000
 Facility, Alabama......................................
Curtis Ferry replacement, Maine.........................       1,500,000
Danville Hub-Gilcher Project, Kentucky..................       1,750,000
Daviess County Parking Garage and Intra-County Transit         3,500,000
 Facility, Kentucky.....................................
Dekalb County BRT Improvements, Georgia.................       1,500,000
Denton Downtown Multimodal Transportation Facility,            1,000,000
 Texas..................................................
Downtown Detroit Transit Center, Michigan...............       7,000,000
Downtown Transit Center, Nashville, Tennessee...........       4,000,000
East Central Bus Coalition bus procurement, Florida.....       8,000,000
East Haddam Mobility Improvement, Connecticut...........       3,000,000
East Side Transit Center, Cleveland, Ohio...............       2,000,000
Edmonds Crossing Multimodal Transportation Terminal,           2,000,000
 Washington.............................................
El Paso Sun Metro bus replacement, Texas................       2,000,000
Everett Transit, Bus Replacement Project, Washington....       1,000,000
Fairbanks Transit bus replacement, Alaska...............       3,000,000
Flint bus and bus facilities, Michigan..................       3,000,000
Fresno FAX Buses and Equipment, California..............       1,200,000
Fuel cell bus project, University of Delaware...........       2,500,000
Georgia Regional Transportation Authority buses and bus        5,500,000
 facilities.............................................
Girdwood Transportation Center, Alaska..................       1,500,000
Great Falls Transit Authority bus replacement and                300,000
 facility improvement, Montana..........................
Greater Minnesota Transit buses and bus facilities,            5,000,000
 Minnesota..............................................
Greater Ouachita Port and Intermodal Facility, Louisiana       1,500,000
GRTC bus facility, Virginia.............................       4,500,000
Hampton Roads Transit Southside Bus Facility, Virginia..       3,500,000
Harford Downtown Circulator, Connecticut................       2,000,000
Harrisburg International Airport Multi-Modal                   2,000,000
 Transportation Facility, Pennsylvania..................
Harrison County multimodal project, Mississippi.........       2,000,000
Hartford New Britain busway, Connecticut................      10,000,000
Hattiesburg Intermodal Facility, Mississippi............       5,000,000
Hazleton Intermodal Public Transit Center, Pennsylvania.       3,000,000
Helena Transit facility, Montana........................         500,000
Honolulu bus and paratransit vehicle replacement, Hawaii      11,000,000
Honolulu Middle Street Intermodal Center, Hawaii........       4,000,000
Huntsville Airport Phase III Intermodal Facility,              3,500,000
 Alabama................................................
Idaho Transit Coalition buses and bus facilities........       4,500,000
Illinois statewide bus and bus facilities...............       8,000,000
Indianapolis Transit Center, Indiana....................       3,500,000
Intercity Transit Bus Expansion and Replacement,               1,000,000
 Washington.............................................
Intermodal Facility, JIA, Mississippi...................       3,000,000
Intermodal Transit Facility for ULM, Louisiana..........       1,000,000
Intermodal Transportation Facility, University of              2,000,000
 Delaware...............................................
Iowa City Near North Side Transportation Center, Iowa...       2,100,000
Iowa statewide buses and bus facilities.................       8,000,000
Jacksonville Transportation Authority bus acquisition,         1,000,000
 Florida................................................
Jefferson Transit Operating and Maintenance Facility,          1,000,000
 Washington.............................................
Johnson County transit equipment and transit coach               250,000
 improvement, Kansas....................................
Kalamazoo City bus replacement, Michigan................       1,000,000
Kansas City Area Transit Authority buses and bus               1,000,000
 facilities, Kansas.....................................
Kansas statewide buses and bus facilities...............       4,000,000
KCATA Bus and Bus Facilities, Missouri..................       4,500,000
Kearney RYDE Program, Nebraska..........................       1,000,000
King County Metro Clean Air Buses, Washington...........       5,000,000
King County Metro Park and Ride on First Hill, Seattle,        3,626,000
 Washington.............................................
Kitsap Transit Bus Replacement Program, Washington......       1,000,000
Knoxville Electric Transit Intermodal Center, Tennessee.       3,000,000
Lane Transit District, BRT Phase II, Coburg Road Phase         6,000,000
 III, Oregon............................................
Lansing Fixed Route Bus Replacement, ADA Para transit          2,500,000
 Small Bus Replacement, Maintenance, Administration and
 Storage Facility Renovation and Expansion, CATA/MSU Bus
 Way, Rural Small Bus Replacement, Michigan.............
Las Cruces buses and bus facilities, New Mexico.........         750,000
Las Vegas downtown buses, Nevada........................         750,000
Lechmere Station relocation and intermodal expansion,          1,500,000
 Boston, Massachusetts..................................
Liberty County COA bus facility, Montana................          50,000
Link Transit Vehicle Replacement, Wenatchee, Washington.         800,000
Long Beach Transit buses and bus facilities, California.       1,000,000
Los Angeles MTA bus, California.........................       3,000,000
Louisiana statewide bus and bus facilitates.............       7,500,000
Lowcountry Regional Transportation Authority, South              300,000
 Carolina...............................................
Lowell Regional Transit Authority Gallagher Intermodal         1,100,000
 Transportation Center, Massachusetts...................
Lubbock Citibus alternative fueled, low floor buses,           1,750,000
 Texas..................................................
Macon Multi-Modal Terminal Station, Georgia.............       1,500,000
Main Street Station Multimodal Transportation Center,          3,000,000
 Virginia...............................................
Marquette County, Phase II--Transit Administrative,            2,000,000
 Operations, Maintenance & Storage Facility,  Michigan..
MARTA buses, Georgia....................................       9,000,000
Maryland statewide buses................................       8,000,000
Medical University of South Carolina Intermodal                5,000,000
 Facility, South Carolina...............................
Memphis International Airport intermodal facility,             3,000,000
 Tennessee..............................................
Mesa Operating Facility, Arizona........................       2,700,000
Metro Area Transit [MAT] bus and bus facilities, Omaha,        3,000,000
 Nebraska...............................................
METRO bus and bus facilities improvements, St. Louis,          3,500,000
 Missouri...............................................
Metro Transit buses and bus facilities, Minnesota.......       7,000,000
Metro Transit Operators Coalition, California...........       2,000,000
Miami-Dade County bus acquisition, Florida..............       1,000,000
Michigan Statewide buses and bus facilities.............       5,000,000
Missouri Statewide Bus and Bus Facility Projects........      10,000,000
Mobile Waterfront Terminal and Maritime Center of the          5,000,000
 Gulf, Alabama..........................................
Mountain Line Bus Replacement and Facility Improvements,         400,000
 Montana................................................
Mukilteo Lane Park and Ride, Washington.................       1,000,000
Multimodal Transportation Center, City of Durham, North        2,000,000
 Carolina...............................................
Multi-Modal Transportation Facility and Transit System         3,000,000
 at Oklahoma State University, Oklahoma.................
Nevada Rural Transit Vehicles and Facilities............       1,000,000
New Hampshire statewide buses and bus facilities........       4,500,000
New Haven fuel cell/electric buses, Connecticut.........       1,000,000
Newark Penn Station Intermodal improvements, New Jersey.       4,000,000
Niagara Falls International Rail Station & Intermodal          3,500,000
 Transportation Center, New York........................
Norman buses and bus facilities, Oklahoma...............       3,000,000
North Carolina statewide bus and bus facilities.........       7,000,000
North Charleston Regional Intermodal Transportation            1,000,000
 Center [RITC], South Carolina..........................
North Dakota Statewide Transit..........................       4,000,000
North Florida and West Coast bus procurement, Florida...      10,000,000
Northwest Shoals Community College Transportation                 500000
 Modernization, Alabama.................................
OATS Bus and Bus Facilities, Missouri...................       2,500,000
Ohio Statewide bus and bus facilities...................       8,000,000
Oklahoma City buses, Oklahoma...........................       4,500,000
Old Bridge Intermodal Stations and Park & Rides, New           1,000,000
 Jersey.................................................
Orange Beach Senior Activity Center buses, Alabama......         200,000
Orange County, CA--Inter-County Express Bus Service,           1,000,000
 California.............................................
Palo Alto Intermodal Transit Center, California.........         750,000
Phoenix Regional Heavy Maintenance Facility, Arizona....         500,000
Phoenix/Glendale West Valley Operating Facility, Arizona       5,000,000
Pierce Transit Clean Bus Initiative, Washington.........       1,000,000
Pittsburgh Water Taxi, Pennsylvania.....................       3,000,000
Port Authority of Allegheny County buses, Pennsylvania..       4,000,000
Port McKenzie Intermodal Facility, Alaska...............       2,500,000
Port of Anchorage Intermodal Facility, Alaska...........       3,000,000
Portland Bayside Parking Garage/Intermodal Facility,             500,000
 Maine..................................................
Richmond Highway Public Transportation Initiative,             7,000,000
 Virginia...............................................
RIPTA buses and vans, Rhode Island......................       4,000,000
Riverside Transit Agency buses and bus facilities,             1,000,000
 California.............................................
Rochester Bus Terminal, New York........................       6,000,000
Ronstadt Transit Center Modifications, Arizona..........       3,000,000
RTC Central City Intermodal Transportation Terminal, Las       1,000,000
 Vegas, Nevada..........................................
Saginaw Transit multimodal downtown transfer facility,         2,000,000
 Michigan...............................................
Salem Area Transit bus replacement, Oregon..............       1,000,000
San Antonio VIA Metropolitan Transit buses and bus             6,000,000
 facilities, Texas......................................
San Francisco Muni bus and bus facilities, California...       4,000,000
San Joaquin RTD Wilson Way Bus Facility, California.....         500,000
San Mateo Zero-Emission Bus Demonstration Program,             1,000,000
 California.............................................
Sawmill Creek Intermodal Facility, Alaska...............       2,500,000
SEPTA Bucks County Intermodal Facility, Pennsylvania....       4,000,000
Senior Services of Northern Kentucky buses and bus             1,000,000
 facilities, Kentucky...................................
Sonoma County Transit CNG buses, California.............       1,000,000
Sound Transit Regional Express Transit Hubs, Washington.       2,000,000
South Amboy, NJ Regional Intermodal Transportation             1,500,000
 Initiative.............................................
South Carolina statewide transit vehicles...............       5,000,000
South Dakota statewide buses and bus facilities.........       2,000,000
South Lake Union Circulation System (Seattle),                 3,000,000
 Washington.............................................
Springfield Station, Oregon.............................       5,000,000
Springfield Union Station, Springfield, Massachusetts...       5,000,000
St. Bernard Parish intermodal facilities, Louisiana.....       1,000,000
St. Cloud buses, Minnesota..............................         300,000
State of Maine Statewide Bus and Bus Facilities Program.       2,500,000
Statewide buses and bus facilities, Alabama.............       3,300,000
Statewide intermodal centers, Utah......................       8,500,000
Statewide rural automatic vehicle locating and                 1,500,000
 communications system, Nebraska........................
Statewide rural bus program, Hawaii.....................       5,000,000
Sun Line Transit CNG bus acquisition, California........       1,000,000
Tempe/Scottsdale East Valley Operating Facility, Arizona       4,000,000
Tennessee statewide buses and bus facilities............       8,000,000
The Banks Intermodal Facility, Cincinnati, Ohio.........       5,000,000
Tillamook County Transit maintenance facility, Oregon...         500,000
Topeka Transit bus and bus facilities, Kansas...........         625,000
Transit Authority of Northern Kentucky [TANK] bus              2,800,000
 replacement, Kentucky..................................
Transit Authority of River City buses and bus                  5,000,000
 facilities, Kentucky...................................
Transit Authority of Warren County Intermodal Bus              3,000,000
 Facility, Pennsylvania.................................
Troy State University Bus Shuttle Program, Alabama......       2,000,000
Tulsa Transit paratransit buses, Oklahoma...............       1,200,000
UNI Multimodal Project, Iowa............................       6,500,000
Utah statewide bus and bus facilities...................      10,000,000
Vermont alternative fuel station and buses..............       1,000,000
Vermont Public Transit rolling stock....................       1,000,000
Visalia Bus Operations and Maintenance Facility,               1,000,000
 California.............................................
Washington State Small Bus System Program of Projects...       3,799,000
Waterbury Bus Maintenance Facility, Connecticut.........       1,000,000
West Side Transit Facility, New Mexico..................       2,000,000
West Virginia statewide bus and bus facilities..........       5,000,000
Westchester County Bee Line bus replacement, New York...       3,000,000
Western Kentucky University Bus Shuttle System, Kentucky       4,000,000
Wisconsin statewide bus and bus facilities..............      10,000,000
Wright Stop Plaza, Dayton, Ohio.........................       3,000,000
Wyoming statewide buses and bus facilities..............       3,000,000
------------------------------------------------------------------------

    Illinois Statewide Buses.--The Committee provides 
$8,000,000 to the Illinois Department of Transportation [IDOT] 
for Section 5309 Bus and Bus Facilities grants. The Committee 
expects IDOT to provide at least $4,000,000 for Downstate 
Illinois replacement of buses in Bloomington, Champaign-Urbana, 
Decatur, Madison County, Peoria, Quincy, RIDES, River Valley, 
Rockford, Rock Island, South Central Illinois MTD, and 
Springfield. Further, the Committee expects IDOT to provide 
appropriate funds for bus facilities in Bloomington, Galesburg, 
Rock Island, and Metro Link's bus maintenance facility in St. 
Clair County including $500,000 for the Town of Normal's 
Downtown Multi-Modal Transportation Center.
    Washington Statewide Small Transit Systems, Buses and Bus 
facilities.--The Committee provides $3,799,000 to the 
Washington State Department of Transportation [WSDOT] for 
Section 5309 Bus and Bus Facilities grants. The Committee 
expects WSDOT to fund the following projects: (1) $688,000 
Clallam Transit; (2) $103,000 Columbia County Public 
Transportation [CCPT]; (3) $114,000 Grays Harbor Transportation 
Authority; (4) $1,094,000 Island Transit; (5) $416,000 
Jefferson Transit; (6) $480,000 Mason County Transportation 
Authority; (7) $88,000 Pullman Transit; (8) $108,000 Twin 
Transit; and (9) $708,000 Valley Transit.
    Civil Rights Trail Trolleys.--The Committee directs that 
amounts made available in fiscal year 2001 to Montgomery Civil 
Rights Trail Trolleys instead be distributed for the City of 
Montgomery's Rosa Parks bus project. The availability of funds 
for obligation is extended through fiscal year 2004.
    Vermont Buses.--Funds made available in fiscal year 2001 to 
the Central Vermont Transit Authority (Wheels Transportation 
Services) to assist with buses and bus facilities shall be made 
available to the Vermont Agency of Transportation. The 
availability of funds for obligation is extended through fiscal 
year 2004.
    Reno, NV Bus Projects.--The following funds will be 
reprogrammed from previous fiscal years from the following 
projects for the purposes specified below: Bus Rapid Transit on 
South Virginia Street-Reno, $1,950,000 (fiscal year 2003) and 
Reno Suburban transit coaches $500,000 (fiscal year 2002)--to 
be made available for Reno/Sparks intermodal transportation 
terminals.

                      fixed guideway modernization

    The Committee recommends a total of $1,214,400,000 for the 
modernization of existing rail transit systems. The Committee 
action continues the practice under TEA21 to distribute the 
funds by formula. The following table itemizes the fiscal year 
2004 rail modernization allocations by State:

FEDERAL TRANSIT ADMINISTRATION SECTION 5309 FIXED GUIDEWAY MODERNIZATION
                             APPORTIONMENTS
------------------------------------------------------------------------
                                                            Fiscal Year
                          State                             2004 Budget
------------------------------------------------------------------------
Alaska..................................................      $2,319,574
Arizona.................................................       2,612,495
California..............................................     147,696,782
Colorado................................................       2,975,025
Connecticut.............................................      40,445,001
District of Columbia....................................      53,132,445
Florida.................................................      19,352,512
Georgia.................................................      25,304,065
Hawaii..................................................       1,164,990
Illinois................................................     131,538,057
Indiana.................................................       8,982,688
Louisiana...............................................       2,967,450
Maryland................................................      28,792,929
Massachusetts...........................................      74,954,059
Michigan................................................         663,817
Minnesota...............................................       6,307,551
Missouri................................................       4,565,470
New Jersey..............................................     104,471,490
New York................................................     369,033,091
Ohio....................................................      17,131,843
Oregon..................................................       4,520,661
Pennsylvania............................................      99,950,443
Puerto Rico.............................................       2,450,605
Rhode Island............................................          91,312
Tennessee...............................................         323,616
Texas...................................................       8,525,074
Virginia................................................      17,277,259
Washington..............................................      23,882,868
Wisconsin...............................................         822,828
                                                         ---------------
      Total Apportioned.................................   1,202,256,000
Oversight (1 percent)...................................      12,144,000
                                                         ---------------
      Grand Total.......................................   1,214,400,000
------------------------------------------------------------------------

                               NEW STARTS

    The bill provides $1,318,400,000 for New Starts. These 
funds are available for major investment studies, preliminary 
engineering, right-of-way acquisition, project management, 
oversight, and construction for new systems and extensions. 
Under section 3009(g) of TEA21, there is an 8-percent statutory 
cap on the amount made available for activities other than 
final design and construction--that is, alternatives analysis, 
environmental impact statements, preliminary engineering, major 
investment studies, and other predesign and preconstruction 
activities.

                        COMMITTEE RECOMMENDATION

    The bill allocates the funds provided for New Starts as 
follows:

------------------------------------------------------------------------
                        Project                              Amount
------------------------------------------------------------------------
Alaska and Hawaii Ferry Projects......................       $10,296,000
Baltimore--Central LRT Double Tracking, Maryland......        40,000,000
Birmingham--Transit Corridor, Alabama.................         6,000,000
Boston--Silver Line Phase III, Massachusetts..........         1,000,000
Charlotte--South Corridor Light Rail Project, North           18,000,000
 Carolina.............................................
Chicago--Douglas Branch Reconstruction, Illinois......        85,000,000
Chicago--North Central, Illinois......................        20,000,000
Chicago--UP West Line Extension, Illinois.............        12,000,000
Chicago--Metra Southwest Corridor Commuter Rail,              20,000,000
 Illinois.............................................
Chicago--Ravenswood Line Extension, Illinois..........        10,000,000
Commuter Rail Improvements, Delaware..................         3,000,000
Dallas--North Central LRT Extension, Texas............        30,161,283
Denver--Southeast Corridor LRT, Colorado..............        80,000,000
Dulles Corridor Rapid Transit Project, Virginia.......        25,000,000
Euclid Corridor Transportation Project, Ohio..........        15,000,000
Ft. Lauderdale--Tri-Rail Commuter Rail Upgrade,               18,410,000
 Florida..............................................
Houston--Advanced Metro Transit Plan, Texas...........        10,000,000
Integrated Intermodal project, Rhode Island...........         6,000,000
Kenosha-Racine-Milwaukee Commuter Rail Extension,              4,000,000
 Wisconsin............................................
Las Vegas--Resort Corridor Fixed Guideway, Nevada.....        25,000,000
Little Rock--River Rail Project, Arkansas.............         5,000,000
Los Angeles--Eastside LRT, California.................         5,000,000
Maine Marine Highway..................................         2,000,000
Memphis--Medical Center Extension, Tennessee..........         9,247,588
Minneapolis--Hiawatha Corridor LRT, Minnesota.........        74,980,000
Minneapolis--Northstar Commuter Rail Project,                 10,000,000
 Minnesota............................................
New Orleans--Canal Street Streetcar Project, Louisiana        36,020,000
New York--East Side Access Project, New York..........        10,000,000
Newark Rail Link (MOS-1), New Jersey..................        22,566,022
Northern New Jersey-Hudson-Bergen LRT-MOS-2...........       100,000,000
Northwest Corridor BRT, Atlanta.......................         4,000,000
Philadelphia--Schuylkill Valley Metro, Pennsylvania...        16,000,000
Pittsburgh--North Shore Connector LRT, Pennsylvania...        13,812,304
Pittsburgh--Stage II LRT Reconstruction, Pennsylvania.        32,243,442
Portland--Interstate MAX LRT Extension, Oregon........        77,500,000
Regional Commuter Rail (Weber County to Salt Lake             12,000,000
 City), Utah..........................................
Salt Lake City--Medical Center, Utah..................        30,663,361
San Diego--Mission Valley East LRT Extension,                 65,000,000
 California...........................................
San Diego--Oceanside Escondido, California............        48,000,000
San Juan-Tren Urbano, Puerto Rico.....................        20,000,000
Scranton--NY City Rail Service, Pennsylvania..........         5,000,000
Seattle--Central Link LRT MOS-1, Washington...........        75,000,000
SF Area--BART Airport Extension, California...........       100,000,000
Silicon Valley Rapid Transit Corridor, California.....         4,000,000
Stamford Urban Transitway Phase II, Connecticut.......         7,000,000
Trans-Hudson Midtown Corridor, New Jersey.............         5,000,000
Triangle Transit Authority Regional Rail Phase I               9,000,000
 Project, North Carolina..............................
VRE Parking Improvements, Virginia....................         4,000,000
Washington, DC/Maryland--Largo Extension..............        65,000,000
Wilmington Train Station Improvements, Delaware.......         2,500,000
Wilsonville-Beaverton Commuter Rail, Oregon...........         6,000,000
Yarmouth to Auburn Line, Maine........................         3,000,000
------------------------------------------------------------------------

    Chicago--Ravenswood Line Extension, Illinois.--The 
Committee provides $10,000,000 for the CTA Ravenswood Brown 
Line expansion project. The Committee directs the CTA to spend 
$5,000,000 only on renovations and repairs to the Granville 
Station and viaduct.
    Orange County Centerline LRT, California.--The Committee 
notes the progress made by the Orange County Transportation 
Authority in refining the scope of the Centerline LRT so as to 
make the project more cost effective and address community 
concerns. The Committee encourages the Secretary to continue 
working closely with the project sponsor to develop this 
project.

                 JOB ACCESS AND REVERSE COMMUTE GRANTS

------------------------------------------------------------------------
                                           General fund     Trust fund
------------------------------------------------------------------------
Appropriations, 2003 \1\ \2\............  ..............    $104,317,500
Budget estimate, 2004...................  ..............  ..............
Committee recommendation................     $25,000,000     100,000,000
------------------------------------------------------------------------
\1\ Reflects total reduction of $975,000 pursuant to section 601 of
  Public Law 108-7.
\2\ Reflects transfer of $44,707,600 to Capital investment grants.

    The program makes competitive grants to qualifying 
metropolitan planning organizations, local governmental 
authorities, agencies, and nonprofit organizations. Grants may 
not be used for planning or coordination activities.
    The budget requests funding for job access grants within 
the formula grants and research account.
    The Committee recommends $125,000,000 for the Job Access 
and Reverse Commute Grants program. This program is meant to 
help welfare reform efforts succeed by providing enhanced 
transportation services for low-income individuals, including 
former welfare recipients, traveling to jobs or training 
centers.
    The Committee recommends the following allocations of job 
access and reverse commute grant program funds in fiscal year 
2004:

------------------------------------------------------------------------
                        Project                              Amount
------------------------------------------------------------------------
AC Transit CalWORKS Recipients Job Center, California.        $3,000,000
Access to Healthcare for Children--Children's Health             750,000
 Fund, Tennessee......................................
Alabama Disabilities Advocacy Program [ADA] Rural                500,000
 Transportation Services, Alabama.....................
Brockton Area Transit Authority [BAT] JARC Project,              500,000
 Massachusetts........................................
Capital District Transportation Authority [CDTA] JARC            500,000
 Project, New York....................................
Central New York Regional Transportation Authority               300,000
 [CNYRTA] Job Access/Reverse Commute Project, New York
Central Ohio Transit Authority's [COTA] Job Access &             500,000
 Mobility Management Program, Ohio....................
Chautauqua County Job Access/Reverse Commute Project,            100,000
 New York.............................................
Cheyenne River Sioux Tribe Public Bus System, South              250,000
 Dakota...............................................
Chittenden County Transportation Authority JARC                  500,000
 Program, Vermont.....................................
City of Galveston Job Access Program, Texas...........           500,000
City of Hornell Job Access & Reverse Commute Program,            100,000
 New York.............................................
Colonias JARC Initiative, Texas.......................         2,000,000
Corpus Christi Welfare to Work Project, Texas.........           500,000
Craig Transit Service JARC Program, Alaska............            50,000
Detroit DOT Job Access and Reverse Commute Projects,           2,000,000
 Michigan.............................................
Easter Seals West Alabama JARC Program, Alabama.......         1,000,000
El Paso Sun Metro Job Access Program, Texas...........           750,000
Essex County Job Access/Reverse Commute Project, New             100,000
 York.................................................
Flint Transit Job Access-Reverse Commute Program,              1,000,000
 Michigan.............................................
Fort Smith Transit Job Access Reverse Commute Program,           200,000
 Arkansas.............................................
Franklin County Job Access/Reverse Commute Project,              200,000
 New York.............................................
Grand Rapids Countywide Access to Jobs Program,                1,200,000
 Michigan.............................................
Greater Cleveland Regional Transit Authority JARC              1,000,000
 Program, Ohio........................................
I-405 Congestion Relief Project, Washington...........         2,500,000
IndyGo Job Access and Reverse Commute Program, Indiana         1,000,000
Jackson-Josephine County Job Access Reverse Commute,             200,000
 Oregon...............................................
Jefferson County Job Access and Reverse Commute                4,000,000
 Projects, Alabama....................................
Job Access, Illinois..................................           250,000
Jobs Access/Reverse Commute Projects, Rhode Island....         2,000,000
Lake Tahoe Public Transit Services JARC Project,                 300,000
 Nevada...............................................
Link Transit JARC Program, Wenatchee, Washington......           500,000
Lubbock Citibus Job Access Reverse Commute Program,              230,000
 Texas................................................
MASCOT Matanuska-Susitna Valley JARC Project, Alaska..           200,000
Metro Link San Bernadino Platform Extension,                   2,100,000
 California...........................................
Metropolitan Access to Jobs Initiative, Fargo, North             200,000
 Dakota and Moorhead, Minnesota.......................
Mobility Coalition, Alaska............................           500,000
MTA Long Island Bus Job Access and Reverse Commute               500,000
 Project, New York....................................
North Pole Transit System JARC Program, Alaska........            75,000
Oneida/Herkimer County Job Access/Reverse Commute                100,000
 Project, New York....................................
Orange County Job Access/Reverse Commute Project, New            100,000
 York.................................................
Port Authority of Allegheny County JARC Program,               4,000,000
 Pennsylvania.........................................
Rochester Job Access and Reverse Commute, New York....           750,000
Rogue Valley Transportation District [RVTD] Job Access           200,000
 Reverse Commute Program, Oregon......................
SACOG Sacramento Region Job Access and Reverse Commute         1,500,000
 Projects, California.................................
Salem Area Transit Reverse Commute Project, Oregon....           500,000
San Antonio VIA Metropolitan Transit Job Access and            1,000,000
 Reverse Commute Program, Texas.......................
SEPTA JARC Program, Pennsylvania......................         6,050,000
Seward Transit Service JARC Program, Alaska...........           200,000
Sitka Community RIDE, Alaska..........................           600,000
Statewide JARC, Iowa..................................         2,000,000
Statewide JARC, Missouri..............................         6,000,000
Statewide JARC, Tennessee.............................         5,500,000
Statewide JARC, West Virginia.........................         1,000,000
Statewide JARC, Wisconsin.............................         2,600,000
Statewide JARC, Maine.................................         1,000,000
Statewide JARC, Maryland..............................         5,000,000
Statewide JARC, New Mexico............................         1,000,000
Statewide JARC, Oklahoma..............................         6,000,000
Statewide JARC, Connecticut...........................         3,500,000
Statewide JARC, New Jersey............................         4,000,000
Statewide JARC, New York..............................         1,000,000
Statewide small urban and rural Job Access and Reverse         1,000,000
 Commute, Nevada......................................
Statewide Ways to Work, Virginia......................         1,500,000
Topeka Transit JARC Program, Kansas...................         1,000,000
TriMet Regional Job Access Reverse Commute Program,            1,000,000
 Oregon...............................................
Unified Government of Wyandotte County JARC Program,           2,000,000
 Kansas...............................................
Vanpooling Enhancement and Expansion Project,                  1,000,000
 Washington...........................................
Vehicle Trip Reduction Incentives, Washington.........         1,500,000
Virginia Beach Paratransit Services, Virginia.........           300,000
Ways to Work, Tarrant County, Texas...................           500,000
Ways to Work, California..............................         1,000,000
Welfare to Work, Delaware.............................           750,000
WMATA JARC Program, Washington, DC....................         2,500,000
Worcester Regional Transit Authority JARC Projects,              300,000
 Massachusetts........................................
------------------------------------------------------------------------

     GENERAL PROVISIONS--FEDERAL TRANSIT ADMINISTRATION

    Section 150 exempts limitations previously made available 
on obligations for programs of the FTA under 49 U.S.C. 5338.
    Section 151 allows funds under this Act, Federal Transit 
Administration, Capital investment grants not obligated by 
September 30, 2006 to be made available for other projects 
under 40 U.S.C. 5309.
    Section 152 allows funds appropriated before October 1, 
2003, that remain available for expenditure may be transferred.
    Section 153 allows funds made available for Alaska or 
Hawaii ferry boats or ferry terminal facilities to be used to 
construct new vessels and facilities, or to improve existing 
vessels and facilities.
    Section 154 allows funds made available for Colorado 
Roaring Fork Transportation Authority to be made available for 
expenditure on park and ride lots in Carbondale and Glenwood 
Springs, Colorado.
    Section 155 allows unobligated funds for new projects under 
Federal Transit Authority to be used during this fiscal year to 
satisfy expenses incurred for such projects.
    Section 156 establishes a pilot program to allow 
cooperative procurement of major capital equipment.
    Section 157 reallocates $400,000 for the replacement, 
rehabilitation, or purchase of buses or related equipment, or 
the construction of bus related facilities in Yosemite, 
California.
    Section 158 allows the Secretary of Transportation to 
include all non-New Starts contributions made toward Phase 1 of 
the San Francisco Muni Third Street Light Rail Transit project 
to be used to meet the non-New Starts share requirement of any 
element or phase of the project.
    Section 159 allows fund made available for the Cleveland 
Berea Red Line Extension to the Hopkins International Airport 
project to be used for the Euclid Corridor Transportation 
Project.

             Saint Lawrence Seaway Development Corporation

    The Saint Lawrence Seaway Development Corporation [SLSDC] 
is a wholly owned Government corporation established by the 
Saint Lawrence Seaway Act of May 13, 1954. The SLSDC is 
responsible for the operation, maintenance, and development of 
the United States portion of the Saint Lawrence Seaway between 
Montreal and Lake Erie. The SLSDC's major priorities include: 
safety, reliability, trade development, and management 
accountability.

                       OPERATIONS AND MAINTENANCE

                    (HARBOR MAINTENANCE TRUST FUND)

Appropriations, 2003 \1\ \2\............................     $13,994,441
Budget estimate, 2004...................................      14,400,000
Committee recommendation................................      14,400,000

\1\ Reflects reduction of $91,559 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $20,000 pursuant to section 362 of 
Public Law 108-7.

    Appropriations from the Harbor Maintenance Trust Fund and 
revenues from non-federal sources finances the operation and 
maintenance of the Seaway for which the SLSDC is responsible.

                        COMMITTEE RECOMMENDATION

    The Committee recommendation includes $14,400,000 to fund 
the operations and maintenance of the SLSDC. The Committee 
recommendation provides sufficient funding for the SLSDC's 
highest capital priorities and the projects recommended by the 
U.S. Army Corps of Engineers after its survey and evaluation of 
the SLSDC's lock and maintenance practices. Based on 
independent security assessments, the SLSDC plans to implement 
additional security measures for the Saint Lawrence Seaway in 
fiscal year 2004.
    The Committee commends the efforts made by the Saint 
Lawrence Seaway Development Corporation to enhance the security 
of Seaway infrastructure and maintain an open, yet secure 
waterway.

                        Maritime Administration

Appropriations, 2003....................................    $230,338,000
Budget estimate, 2004...................................     219,020,000
Committee recommendation................................     227,620,000

    The Committee recommends an appropriations of $227,620,000. 
The recommendation is $8,600,000 more than the President's 
budget request.
    The Maritime Administration [MARAD] is responsible for 
programs authorized by the Merchant Marine Act, 1936, as 
amended. MARAD's mission is to strengthen the U.S. maritime 
industry in support of the Nation's security and economic 
needs. MARAD, working closely with the Department of Defense 
[DOD], helps provide a seamless, time-phased transition from 
peacetime to wartime operations, while balancing the defense 
and commercial elements of the maritime transportation system. 
MARAD establishes DOD's prioritized use of ports and related 
intermodal facilities during DOD mobilizations to ensure the 
smooth flow of military cargo through commercial ports. MARAD 
also manages the Maritime Security Program, the Voluntary 
Intermodal Sealift Agreement Program and the Ready Reserve 
Force, which assure DOD access to commercial and strategic 
sealift and associated intermodal capacity. Further, MARAD's 
Education and Training Programs, through the U.S. Merchant 
Marine Academy and six State maritime schools, help provide 
skilled U.S. merchant marine officers.
    The Committee continues to fund MARAD in its support of the 
United States as a maritime nation, and to help meet its 
management challenge to dispose of obsolete merchant-type 
vessels in the National Defense Reserve Fleet by the end of 
2006.

                        OPERATIONS AND TRAINING

Appropriations, 2003 \1\................................     $92,093,476
Budget estimate, 2004...................................     104,400,000
Committee recommendation................................     106,000,000

\1\ Reflects reduction of $602,524 pursuant to section 601 of Public Law 
108-7.

    This appropriation finances costs incurred by headquarters 
and region staffs in the administration and direction of 
Maritime Administration programs; the total cost of officer 
training at the U.S. Merchant Marine Academy as well as Federal 
financial support to six State maritime industry activities 
under emergency conditions; activities promoting port and 
intermodal development; activities under the American Fisheries 
Act; and Federal technology assessment projects designed to 
achieve advancements in ship design, construction and 
operations.
    The Committee recommends $106,000,000 for Operations and 
Training for fiscal year 2004. The recommendation is $1,600,000 
more than the budget estimate and $13,906,524 more than the 
fiscal year 2003 enacted level. The Committee has included 
$13,000,000 for the U.S. Merchant Marine Academy to accelerate 
its major design and construction projects, as indicated in its 
10-year capital improvement plan, and $1,600,000 to fill vacant 
positions. The Committee expects that in filling vacant 
positions, priority to be given to hiring new instructors.

                             SHIP DISPOSAL

Appropriations, 2003 \1\................................     $11,088,454
Budget estimate, 2004...................................      11,422,000
Committee recommendation................................      18,422,000

\1\ Reflects reduction of $72,546 pursuant to section 601 of Public Law 
108-7.

    The Ship disposal program provides resources to dispose of 
obsolete merchant-type vessels in the National Defense Reserve 
Fleet [NDRF], which the Maritime Administration is required by 
law to dispose of by the end of 2006. There is a backlog of 
over 130 ships awaiting disposal as of December 2002. These 
vessels, many of which are 50 years in age, pose a significant 
environmental threat due to the presence of hazardous 
substances such as asbestos and solid and liquid 
polychlorinated biphenyls [PCBs].
    The Committee recommends an appropriation of $18,422,000 
for the Ship Disposal initiative. This amount is $7,000,000 
above the President's request.

                       MARITIME SECURITY PROGRAM

Appropriations, 2003 \1\................................     $98,058,450
Budget estimate, 2004...................................      98,700,000
Committee recommendation................................      98,700,000

\1\ Reflects reduction of $641,550 pursuant to section 601 of Public Law 
108-7.

    The Maritime Security Program provides resources to 
maintain a U.S. flag merchant fleet crewed by U.S. citizens to 
serve both the commercial and national security needs of the 
United States. The program provides direct payments to U.S. 
flag ship operators engaged in U.S. foreign trade. 
Participating operators are required to keep the vessels in 
active commercial service and are required to provide 
intermodal sealift support to the Department of Defense in 
times of war or national emergency.
    The Committee recommends $98,700,000 for the Maritime 
Security Program, consistent with the budget 
request.

                    MARITIME GUARANTEED LOAN PROGRAM

Appropriations, 2003 \1\................................      $4,088,454
Budget estimate, 2004...................................       4,498,000
Committee recommendation................................       4,498,000

\1\ Reflects reduction of $26,819 pursuant to section 601 of Public Law 
108-7.

    This program provides for guaranteed loans for purchasers 
of ships from the U.S. shipbuilding industry and for 
modernization of U.S. shipyards.
    As required by the Federal Credit Reform Act of 1990, this 
account includes the subsidy costs associated with the loan 
guarantee commitments made in 1992 and beyond (including 
modifications of direct loans or loan guarantees that resulted 
from obligations or commitments in any year), as well as 
administrative expenses of this program. The subsidy amounts 
are estimated on a present value basis; the administrative 
expenses are estimated on a cash basis.
    Funds for administrative expenses for the Title XI program 
are appropriated to this account, and then transferred by 
reimbursement to Operations and Training to be obligated and 
outlayed.

              GENERAL PROVISIONS--MARITIME ADMINISTRATION

    Section 160 authorizes the Maritime Administration to 
furnish utilities and services and make repairs to any least, 
contract, or occupancy involving Government property under the 
control of MARAD and rental payments shall be covered into the 
Treasury as miscellaneous receipts.
    Section 161 prohibits obligations incurred during the 
current year from construction funds in excess of the 
appropriations and limitations contained in this Act or in any 
prior appropriation Act.

              Research and Special Programs Administration

    The Research and Special Programs Administration [RSPA] was 
established by the Secretary of Transportation's organizational 
changes dated July 20, 1977, and serves as a research, 
analytic, and technical development arm of the Department for 
multimodal research and development, as well as special 
programs. Particular emphasis is given to pipeline 
transportation and the transportation of hazardous cargo by all 
modes. In fiscal year 2004, resources are requested for the 
management and execution of the Offices of Hazardous Materials 
Safety, Emergency Transportation, Pipeline Safety, and program 
and administrative support. Funds are also requested for the 
Emergency Preparedness Grants program. RSPA's two reimbursable 
programs--Transportation Safety Institute [TSI] and the Volpe 
National Transportation Systems Center [VNTSC]--support 
research safety and security programs for all modes of 
transportation.

                     RESEARCH AND SPECIAL PROGRAMS

Appropriations, 2003 \1\ \2\............................     $40,713,630
Budget estimate, 2004...................................      50,723,000
Committee recommendation................................      42,516,000

\1\ Reflects rescission of $266,370 pursuant to Public Law 108-7.
\2\ Does not reflect reduction of $234,000 pursuant to section 362 of 
Public Law 108-7.

    The Committee has provided a total of $42,516,000 for the 
Research and special programs account, which is $1,802,370 more 
than the fiscal year 2003 enacted level. A total of $645,000 
shall be derived from the Pipeline Safety Fund, consistent with 
the budget request.
    The following table summarizes the Committee 
recommendations:

----------------------------------------------------------------------------------------------------------------
                                                                         Fiscal year--
                                                              ----------------------------------    Committee
                                                                 2003 enacted                     recommendation
                                                                     \1\         2004 estimate
----------------------------------------------------------------------------------------------------------------
Hazardous materials safety...................................      $22,767,000      $24,981,000      $22,814,000
    (FTE)....................................................              136              146            137.5
Emergency transportation.....................................       $1,926,000       $3,616,000       $2,802,000
    (FTE)....................................................                9             18.5               13
Research and technology......................................       $2,822,000       $2,737,000       $2,394,000
    (FTE)....................................................                9               10              9.5
Program and administrative support...........................      $13,198,630      $19,389,000      $14,506,000
    (FTE)....................................................               52             65.5               53
                                                              --------------------------------------------------
      Total, research and special programs...................      $40,713,630      $50,723,000      $42,516,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects rescission of $266,370 pursuant to Public Law 108-7.
\2\ Does not reflect reduction of $234,000 pursuant to section 362 of Public Law 108-7.

                       HAZARDOUS MATERIALS SAFETY

    The Office of Hazardous Materials Safety [OHMS] administers 
a nationwide program of safety regulations to fulfill the 
Secretary's duty to protect the Nation from the risks to life, 
health, and property that are inherent in the transportation of 
hazardous materials by water, air, highway, and railroad. OHMS 
plans, implements, and manages the hazardous materials 
transportation program consisting of information systems, 
research and analysis, inspection and enforcement, rulemaking 
support, training and information dissemination, and emergency 
procedures.
    The Committee recommends $22,814,000 for hazardous 
materials safety. The Committee has provided funding for three 
new positions within the emergency transportation program. The 
Committee believes that these new positions should be devoted 
to personnel with expertise in the area of spent nuclear fuel 
in anticipation of shipments in 2004.

                        EMERGENCY TRANSPORTATION

    Emergency Transportation [ET] programs provide support to 
the Secretary of Transportation for his statutory and 
administrative responsibilities in the area of transportation 
civil emergency preparedness and response. This program 
develops and coordinates the Department's policies, plans, and 
programs, in headquarters and the field to provide for 
emergency preparedness.
    ET is responsible for implementing the Department of 
Transportation's National Security Program initiatives, 
including an assessment of the transportation implications of 
the changing global threat. The Office also coordinates civil 
emergency preparedness and response for transportation services 
during national and regional emergencies, across the entire 
continuum of crises, including natural catastrophes such as 
earthquakes, hurricanes and tornados, and international and 
domestic terrorism. The Office of Emergency Transportation 
develops crisis management plans to mitigate disasters and 
implements these plans nationally and regionally in an 
emergency.
    The Committee recommends $2,802,000 for emergency 
transportation. The Committee has provided funding for eight 
new positions to be allocated between the need for emergency 
transportation specialists and regional coordinators. The 
Committee has denied RSPA's request to transfer $1,000,000 from 
the Research and Technology budget activity to pay for 
additional staffing requests.

                        RESEARCH AND TECHNOLOGY

    The Committee recommends $2,394,000 for the Office of 
Research and Technology. The funds provided will help support 
the R&T; organizational excellence strategy specified in the 
Department's strategic plan, allow RSPA to support the 
intergovernmental transportation research coordination 
responsibilities of the National Science and Technology Council 
and support a limited intermodal research program, hazardous 
materials R&D;, and hydrogen fuels R&D.;
    The Committee continues to support the Office of Research 
and Technology's role in coordinating transportation-related 
research throughout the Government. The Committee notes that 
RSPA has requested funding for research on the standards 
necessary for safe handling and transport of large quantities 
of hydrogen fuel and safety standards for on-board hydrogen 
vehicle power and storage systems pursuant to the President's 
new Freedom Fuel initiative. Accordingly, the Committee has 
provided funding to support one hydrogen fuel engineer to 
support this initiative. However, in developing these research 
initiatives, the Committee encourages RSPA to work with the 
Department of Energy to ensure that all research related to 
hydrogen fuels is complementary in order to maximize the 
Federal Government's investment in this initiative.

                   PROGRAM AND ADMINISTRATIVE SUPPORT

    The program support function provides legal, financial, 
management, and administrative support to the operating offices 
within RSPA. These support activities include executive 
direction (Office of the Administrator), program and policy 
support, civil rights and special programs, legal services and 
support, and management and administration.
    The Committee is troubled by RSPA's request for additional 
funding to establish proper accounting procedures, ensure 
integrity in the execution of RSPA's appropriated funds, and 
eliminate vulnerabilities in internal funds control. The 
Committee believes that these are essential budgetary functions 
for every agency and is concerned that they are not currently 
an integral part of RSPA's budget and accounting structure. The 
Committee therefore directs RSPA to immediately develop the 
appropriate accounting procedures and budgetary tools to ensure 
the proper accounting and integrity of appropriated funds. RSPA 
shall provide to the House and Senate Committees on 
Appropriations, no later than 90 days after enactment of this 
Act, a report detailing the measures that will be taken to 
address these shortfalls and a timeline for implementation.
    The Committee has provided $14,506,000 for program and 
administrative support. The Committee believes that this level 
of funding is adequate and provides sufficient flexibility to 
meet RSPA's program and administrative expenses. The Committee 
notes that the 2004 budget requests funding be transferred from 
the Research and Technology budget activity for satellite 
phones, secure voice and fax, and conference calling capability 
for Regional Emergency Response Teams. The Committee encourages 
RSPA to utilize the flexibility provided herein to ensure that 
Regional Emergency Response Teams are adequately equipped to 
perform their duties.
    Business Modernization.--Public Law 107-87 directed RSPA to 
develop an Information Technology Strategic Plan outlining 
improvements in information technology and business 
modernization. In advance of this plan, the administration 
requested $3,616,000 for IT infrastructure improvements and 
identified RSPA's need to remedy its weak IT infrastructure as 
its number one priority for fiscal year 2003. The fiscal year 
2004 budget again seeks funding for IT infrastructure 
improvements. The Committee remains supportive of the need to 
overhaul RSPA's Information Management Program but continues to 
be exceedingly concerned by RSPA's inability to develop a true 
Information Technology Strategic Plan that identifies what 
RSPA's information needs are, identifies who needs access to 
the information, and identifies the resulting system 
infrastructure requirements.
    The Committee notes that the fiscal year 2003 
appropriations Act halted any further expenditure of funds for 
consulting costs for the business modernization initiative and 
directed RSPA to submit a new Strategic Information Technology 
Plan by May 15, 2003. To date, the Committee has not received 
the requested plan and therefore denies RSPA's request for 
funding for this initiative. The Committee has, however, 
granted RSPA's request for funding for an IT database manager 
and one addition IT staff so as to allow RSPA to manage its 
current system. Further, the Committee encourages RSPA to make 
their new Strategic Information Technology Plan a priority 
given that the fiscal year 2003 budget identified RSPA's weak 
IT infrastructure as the number one priority.

                            PIPELINE SAFETY

                         (PIPELINE SAFETY FUND)

                    (OIL SPILL LIABILITY TRUST FUND)

----------------------------------------------------------------------------------------------------------------
                                                                     Pipeline
                                                                    safety fund     Trust fund         Total
----------------------------------------------------------------------------------------------------------------
Appropriations, 2003 \1\ \2\....................................     $56,003,595      $7,423,432     $63,427,027
Budget estimate, 2004...........................................      48,336,000      18,741,000      67,077,000
Committee recommendation........................................      50,429,000      17,183,000      67,612,000
----------------------------------------------------------------------------------------------------------------
\1\ Reflects rescission of $414,973 pursuant to Public Law 108-7.
\2\ Does not reflect reduction of $166,000 pursuant to section 362 of Public Law 108-7.

    The Research and Special Programs Administration is 
responsible for the Department of Transportation pipeline 
safety program. Funding for the Office of Pipeline Safety is 
made available from two primary sources: the pipeline safety 
fund, comprised of user fees assessed on interstate pipeline 
operators; and the oil spill liability trust fund, a revolving 
fund comprised of an environmental tax on petroleum and oil 
spill damage recovery payments. The pipeline safety program 
promotes the safe, reliable, and environmentally sound 
transportation of natural gas and hazardous liquids by 
pipeline. This national program regulates the design, 
construction, operation, maintenance, and emergency response 
procedures pertaining to gas and hazardous liquids pipeline 
systems and liquefied natural gas facilities. Also included is 
research and development to support the pipeline safety program 
and grants-in-aid to State agencies that conduct a qualified 
pipeline safety program and to others who operate one-call 
programs.
    The Committee's recommendation for the Federal pipeline 
safety program generally supports, and is consistent with, the 
key provisions of the Pipeline Safety Improvement Act of 2002. 
The Committee recommends $67,612,000 for the Office of Pipeline 
Safety. The bill specifies that, of the total appropriation, 
$50,429,000 shall be from the Pipeline Safety Fund and 
$17,183,000 shall be from the Oil Spill Liability Trust Fund. 
The Committees recommendation provides funding to support 6 new 
natural gas inspectors, 3 new State program managers, 4 new 
FERC inspectors and 2 new inspectors for technical issues on 
the Alaska system, consistent with the budget request.
    The Committee notes that the budget reduces funding for 
State One-Call Grants. The Committee believes that one-call 
grants have a proven track record in effective damage 
prevention and has provided $1,000,000 in funding.
    The Committee notes the significant increase in funding 
derived from the Oil Spill Liability Trust Fund. The Oil 
Pollution Act of 1990 requires that these trust funds be used 
for oil spill prevention and response activities. While the 
requested increase has been provided, the Committee directs the 
Office of Pipeline Safety to factor the Oil Spill Liability 
Trust Fund into the allocation formula that determines the 
hazardous liquid pipeline user fee assessment in order to 
accurately reflect the actual oversight activities conducted by 
the Office of Pipeline Safety.
    Research and Development.--The Committee recommends 
$9,169,000 for pipeline safety research, which is consistent 
with the amount requested.

                     EMERGENCY PREPAREDNESS GRANTS

                     (EMERGENCY PREPAREDNESS FUND)

Appropriations, 2003 \1\................................        $198,700
Budget estimate, 2004...................................         200,000
Committee recommendation................................         200,000

\1\ Reflects rescission of $1,300 pursuant to Public Law 108-7.

    The hazardous materials transportation law (title 49 U.S.C. 
5101 et seq.) requires RSPA to: (1) develop and implement a 
reimbursable emergency preparedness grants program; (2) monitor 
public sector emergency response training and planning and 
provide technical assistance to States, territories, and Indian 
tribes; and (3) develop and update periodically a national 
training curriculum for emergency responders. These activities 
are financed by receipts received from the hazardous materials 
shipper and carrier registration fees, which are placed in the 
emergency preparedness fund. The hazardous materials 
transportation law provides permanent authorization for the 
emergency preparedness fund for planning and training grants, 
monitoring and technical assistance, and for administrative 
expenses. An appropriation of $200,000, also from the emergency 
preparedness fund, provides for the training curriculum for 
emergency responders.

                       LIMITATION ON OBLIGATIONS

    Bill language is included that limits the obligation of 
emergency preparedness training grants to $14,300,000 in fiscal 
year 2004.

                      Office of Inspector General


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\ \2\ \3\........................     $57,047,764
Budget estimate, 2004 \4\...............................      55,000,000
Committee recommendation................................      56,000,000

\1\ Reflects reduction of $373,236 pursuant to section 601 of Public Law 
108-7.
\2\ Does not reflect reduction of $200,000 pursuant to section 362 of 
Public Law 108-7.
\3\ Does not include reimbursements of $3,501,094 from FHWA, $2,250,000 
from FAA, $1,987,000 from FTA, $1,000,000 from TSA, and $100,000 from 
NTSB.
\4\ Does not include reimbursements of $3,524,000 from FHWA, $2,250,000 
from FAA, $2,000,000 from FTA, and $100,000 from NTSB.

    The Inspector General Act of 1978 established the Office of 
Inspector General [OIG] as an independent and objective 
organization, with a mission to: (1) conduct and supervise 
audits and investigations relating to the programs and 
operations of the Department; (2) provide leadership and 
recommend policies designed to promote economy, efficiency, and 
effectiveness in the administration of programs and operations; 
(3) prevent and detect fraud, waste, and abuse; and (4) keep 
the Secretary and Congress currently informed regarding 
problems and deficiencies.
    OIG is divided into two major functional units: the Office 
of Assistant Inspector General for Auditing and the Office of 
Assistant Inspector General for Investigations. The assistant 
inspectors general for auditing and investigations are 
supported by headquarters and regional staff.
    The Committee recommendation provides $56,000,000 for 
activities of the Office of Inspector General, which is 
$1,047,764 less than the fiscal year 2003 enacted level and 
$1,000,000 more than the budget request. The increase above the 
budget request reflects the value the Committee places on the 
OIG contribution as an objective and credible voice on various 
transportation issues.
    Unfair Business Practices.--The bill maintains language 
which authorizes the OIG to investigate allegations of fraud 
and unfair or deceptive practices and unfair methods of 
competition by air carriers and ticket agents.

                      Surface Transportation Board


                         SALARIES AND EXPENSES

------------------------------------------------------------------------
                                                            Crediting
                                        Appropriation      offsetting
                                                           collections
------------------------------------------------------------------------
Appropriations, 2003 \1\ \2\.........      $19,330,075       $1,000,000
Budget estimate, 2004................       19,521,000        1,050,000
Committee recommendation.............       19,521,000        1,050,000
------------------------------------------------------------------------
\1\ Reflects reduction of $119,925 pursuant to section 601 of Public Law
  108-7.
\2\ Does not reflect reduction of $10,000 pursuant to section 362 of
  Public Law 108-7.

    The Surface Transportation Board was created on January 1, 
1996, by Public Law 104-88, the Interstate Commerce Commission 
Termination Act of 1995 [ICCTA]. The Board is specifically 
responsible for the regulation of the rail and pipeline 
industries and certain non-licensing regulation of motor 
carriers and water carriers.
    Rail Carriers.--This regulatory oversight encompasses the 
regulation of rates, merger, and acquisitions, construction, 
and abandonment of railroad lines, as well as the planning, 
analysis and policy development associated with these 
activities.
    Other Surface Transportation Carriers.--This regulatory 
oversight includes certain regulation of the intercity bus 
industry and surface pipeline carriers as well as the rate 
regulation of water transportation in the non-contiguous 
domestic trade, household good carriers, and collectively 
determined motor rates.
    The Committee recommends an appropriation of $19,521,000 
for activities of the Board. Included in the recommended amount 
is an estimated $1,050,000 in fees to be collected, which will 
offset the appropriated funding. The Board is authorized to 
credit the fees collected to the appropriated amount as 
offsetting collections reducing the general funds appropriation 
on a dollar-for-dollar basis as the fees are received and 
collected.

                  TITLE II--DEPARTMENT OF THE TREASURY

                          Departmental Offices

                         salaries and expenses

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2003 \1\................................    $157,669,444
Budget estimate, 2004...................................     166,875,000
Committee recommendation................................     174,809,000

\1\ Reflects reduction of $31,531,557 pursuant to section 601 of Public 
Law 108-7 and transfers to Department of Homeland Security.

    The Departmental Offices in the Department of the Treasury 
provide basic support to the Secretary of the Treasury, who is 
the chief operating executive of the Department. The Secretary 
of the Treasury has the primary role in formulating and 
managing the domestic and international tax and financial 
policies of the Federal Government. The Secretary's 
responsibilities funded by the Salaries and Expenses 
appropriation include: recommending and implementing United 
States domestic and international economic and tax policy; 
fiscal policy; governing the fiscal operations of the 
Government; maintaining foreign assets control; managing the 
public debt; managing development financial policy; 
representing the United States on international monetary, trade 
and investment issues; overseeing Department of the Treasury's 
overseas operations; and directing the administrative 
operations of the Department of the Treasury.
    The Committee recommends an appropriation of $174,809,000 
for salaries and expenses for Departmental Offices of the 
Department of the Treasury, which is $7,934,000 more than the 
budget request.
    International Affairs.--The Office of International Affairs 
has experienced significant growth in mission responsibilities. 
While the Department has realigned its resources to focus on 
emerging international priorities, shortfalls remain that 
require additional funding and staff. The recommendation 
includes an increase of $2,727,000 and 19 positions to support 
increased demands to improve the stability of the international 
financial system and economy, reform international financial 
institutions, support national security goals, and respond to 
the proliferation of on-going trade negotiations.
    Terrorist Finance and Financial Crimes.--The Treasury 
remains one of the leading agencies responsible for combating 
terrorist financing and other financial crimes domestically and 
abroad. The Treasury's Office of Enforcement, which previously 
performed these and other enforcement responsibilities, was 
transferred to the new Department of Homeland Security. In 
March 2003, the Secretary of Treasury established the Executive 
Office of Terrorist Finance and Financial Crimes [EOTF/FC] to 
continue support for coordinating the Department's counter-
terrorist financing and anti-money laundering efforts. The 
Committee supports the establishment of the Office of Terrorist 
Finance and Financial Crimes and the recommendation includes an 
additional $2,285,000 and 19 positions for the office to carry 
out Treasury's policy responsibilities pertaining to counter-
terrorist financing and financial crimes.
    One-year Base Restoration.--The budget request assumes a 
reduction of $28,000,000 and 226 full time equivalent positions 
for the Departmental Offices to reflect the divesture of 
certain Treasury Departmental Offices' functions to the 
Department of Homeland Security. Treasury has worked with the 
Office of Personnel Management to implement this reduction 
through employee transfers to DHS and early-out retirement 
authority. However, the initial estimate of 226 employees 
reduced from the salary and expenses account has proven to be 
too high. As a result, the Department anticipates the need for 
additional funding to support approximately 60 full-time 
equivalent [FTE] positions in fiscal year 2004. The Committee 
recommends $5,800,000 to fund this base shortfall for fiscal 
year 2004. The Departmental Offices are directed to submit a 
report to the House and Senate Committees on Appropriations 
providing the status of reducing the remaining FTE by March 1, 
2004.
    Base Reduction.--The recommendation includes a reduction of 
$2,851,000 to reflect one-time costs pertaining to an Asian 
Development Bank Conference and Transfer Pricing Initiative 
that were included in the budget request. The Committee also 
has deleted $27,000 for FECA costs, consistent with the general 
guidelines of the report.
    Foreign Assets Control.--The Office of Foreign Assets 
Control manages and enforces economic sanctions and embargo 
programs against targeted foreign governments and groups that 
pose threats to the national security, foreign policy, or 
economy of the United States. These include sanctions programs 
administered under the International Emergency Economic Powers 
Act, the Trading with the Enemy Act, the United National 
Participation Act, the Anti-Terrorism and Effective Death 
Penalty Act, the Foreign Narcotics Kingpin Designation Act and 
other related Executive Orders and statutes.
    The Committee includes bill language specifying that the 
Office of Foreign Assets Control [OFAC] be funded at no less 
than $21,855,000 and 120 full time equivalent positions.
    Treasury Franchise Fund.--The Department of the Treasury 
was chosen as a pilot Franchise Fund under Public Law 103-356, 
the Government Management and Reform Act of 1994. Begun in 
1997, financial and administrative services included in the 
Franchise Fund (Fund) are financed on a fee-for-service basis. 
Treasury's Fund is a revolving fund used to supply financial 
and administrative services on the basis of services supplied. 
For 2004, service activities are expected to have spending 
authority of $384,000,000 and employ 543 people.
    Activities included in the Fund are financial training, 
accounting cross-servicing, and various administrative support 
services. The Fund concept is intended to increase competition 
for government and financial administrative services, resulting 
in lower costs and higher quality.

        DEPARTMENT-WIDE SYSTEMS AND CAPITAL INVESTMENTS PROGRAM

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2003 \1\................................     $41,790,584
Budget estimate, 2004...................................      36,928,000
Committee recommendation................................      36,928,000

\1\ Reflects reduction of $23,837,416 pursuant to section 601 of Public 
Law 108-7 and transfers to the Department of Homeland Security.

    The Committee has provided a total of $36,928,000 to remain 
available until September 30, 2006. The 1997 Treasury and 
General Government Appropriations Act established this account 
which is authorized to be used by or on behalf of Treasury 
bureaus, at the Secretary's discretion, to modernize business 
processes and increase efficiency through technology 
investments, as well as other activities that involve more than 
one Treasury bureau or Treasury's interface with other 
Government agencies.

                     INSPECTOR GENERAL FOR TREASURY

Appropriations, 2003....................................................
Budget estimate, 2004...................................    $134,949,000
Committee recommendation................................................

    The budget request includes a legislative proposal to merge 
the Treasury Inspector General and the Treasury Inspector 
General for Tax Administration into a new Inspector General 
office to be called the Inspector General for Treasury. The 
proposed new organization will have all of the same powers and 
authorities as its predecessors have under current law.
    The Committee recommendation denies authorization to 
establish a consolidated Inspector General Office for the 
Treasury. The Committee agrees that the Treasury Inspector 
General's office should substantially decrease in size due to 
the transfer of law enforcement functions to the Department of 
Homeland Security. The duties and responsibilities of the 
Treasury Inspector General, however, remain vastly different in 
substance from those performed by the Treasury Inspector 
General for Tax Administration and are not conducive to being 
integrated. Furthermore, the Committee is concerned that a 
consolidated Inspector General office would dilute the vigorous 
oversight that the Congress and the taxpayers expect. Further, 
the Committee believes that it is important to maintain an 
independent Inspector General office to audit, investigate, and 
evaluate the IRS.

                      OFFICE OF INSPECTOR GENERAL

                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $10,915,585
Budget estimate, 2004...................................................
Committee recommendation................................      12,687,000

\1\ Reflects reduction of $24,642,416 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $12,687,000 
for salaries and expenses of the Office of Inspector General 
[OIG].
    The OIG conducts and supervises audits, evaluations, and 
investigations designed to: (1) promote economy, efficiency, 
and effectiveness and prevent fraud, waste and abuse in 
Departmental programs and operations; and (2) keep the 
Secretary and the Congress fully and currently informed of 
problems and deficiencies in the administration of Departmental 
programs and operations. The audit function provides program 
audit, contract audit and financial statement audit services. 
Contract audits provide professional advice to agency 
contracting officials on accounting and financial matters 
relative to negotiation, award, administration, repricing, and 
settlement of contracts. Program audits review and audit all 
facets of agency operations. Financial statement audits assess 
whether financial statements fairly present the agency's 
financial condition and results of operations, the adequacy of 
accounting controls, and compliance with laws and regulations. 
These audits contribute significantly to improved financial 
management by helping Treasury managers identify improvements 
needed in their accounting and internal control systems. The 
evaluations function reviews program performance and issues 
critical to the mission of the Department, including assessing 
the Department's implementation of the Government Performance 
and Results Act [GPRA]. The investigative function provides for 
the detection and investigation of improper and illegal 
activities involving programs, personnel, and operations.
    The Inspectors General Auditor Training Institute provides 
the necessary facilities, equipment, and support services for 
conducting auditor training for the Federal Government 
Inspector General community. The Office of the Inspector 
General is the parent organization for this entity, although 
program and financing data is reported under the Treasury 
Franchise Fund (effective in 1999).

           TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION

Appropriations, 2003 \1\................................    $124,198,429
Budget estimate, 2004...................................................
Committee recommendation................................     128,034,000

\1\ Reflects reduction of $812,572 pursuant to section 601 of Public Law 
108-7.

    The Committee does not approve funding for the merger of 
the Offices of the Treasury Inspector General and the Treasury 
Inspector General for Tax Administration. The Committee 
recommends an appropriation of $128,034,000 for the Treasury 
Inspector General for Tax Administration [TIGTA].
    The Treasury Inspector General for Tax Administration 
[TIGTA] conducts audits, investigations, and evaluations to 
assess the operations and programs of the Internal Revenue 
Service [IRS] and Related Entities, the IRS Oversight Board and 
the Office of Chief Counsel to (1) promote the economic, 
efficient and effective administration of the nation's tax laws 
and to detect and deter fraud and abuse in IRS programs and 
operations; and (2) recommend actions to resolve fraud and 
other serious problems, abuses, and deficiencies in these 
programs and operations, and keep the Secretary and the 
Congress fully and currently informed of these issues and the 
progress made in resolving them. TIGTA reviews existing and 
proposed legislation and regulations relating to the programs 
and operations of the IRS and Related Entities and makes 
recommendations concerning the impact of such legislation and 
regulations on the economy and efficiency in the administration 
of programs and operations of the IRS and Related Entities. The 
audit function provides program audit, contract audit and 
financial statement audit services. Program audits review and 
audit all facets of IRS and Related Entities. Contract audits 
provide professional advice to IRS contracting officials on 
accounting and financial matters relative to negotiation, 
award, administration, repricing, and settlement of contracts. 
The evaluations function reviews program performance and issues 
critical to the mission of the IRS. The investigative function 
provides for the detection and investigation of improper and 
illegal activities involving IRS programs and operations and 
protects the IRS and Related Entities against external attempts 
to corrupt or threaten their employees.
    The Treasury Inspector General for Tax Administration was 
established by the IRS Restructuring and Reform Act of 1998 
(Public Law 105-206). Funding was first appropriated for this 
account in the fiscal year 2000 Treasury and General Government 
Appropriations Act (Public Law 106-58).

                AIR TRANSPORTATION STABILIZATION PROGRAM

Appropriations, 2003 \1\................................      $6,001,734
Budget estimate, 2004...................................       2,538,000
Committee recommendation................................       2,538,000

\1\ Reflects reduction of $39,267 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends an appropriation of $2,538,000 for 
the Air Transportation Stabilization Program.
    On September 22, 2001, President Bush signed into law the 
Air Transportation Safety and System Stabilization Act, Public 
Law 107-42. The Act establishes the Air Transportation 
Stabilization Board. The Board may issue up to $10,000,000,000 
in loan guarantees.

           TREASURY BUILDING AND ANNEX REPAIR AND RESTORATION

Appropriations, 2003 \1\................................     $28,743,942
Budget estimate, 2004...................................      25,000,000
Committee recommendation................................      25,000,000

\1\ Reflects reduction of $188,058 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends an appropriation of $25,000,000 
for the repair and restoration of the Treasury Building and 
Annex. This appropriation funds repairs and selected 
improvements to maintain the Main Treasury and Annex buildings.

                 EXPANDED ACCESS TO FINANCIAL SERVICES

Appropriations, 2003 \1\................................      $1,987,000
Budget estimate, 2004...................................................
Committee recommendation................................................

\1\ Reflects reduction of $13,000 pursuant to section 601 of Public Law 
108-7.

    No additional funds were provided for Expanded Access to 
Financial Services, though the program will continue to operate 
on unobligated balances of budget authority. Appropriated 
amounts from fiscal year 2002 remain unavailable, however, due 
to the lack of congressional authorization.

                      TERRORISM INSURANCE PROGRAM

    On November 26, 2002, President Bush signed into law the 
Terrorism Risk Insurance Act of 2002 (Public Law 107-297). The 
Act establishes and provides mandatory funding for a temporary 
Terrorism Insurance Program to be administered by the 
Department of the Treasury. Under the program, the Federal 
Government is responsible for paying 90 percent of the insured 
losses arising from acts of terrorism above the applicable 
insurer deductible and below the $100,000,000,000 annual cap.
    The budget includes estimates of the general administrative 
costs of the program. Given the uncertainty surrounding the 
risk of future terrorist attacks, the budget does not include 
estimates of the timing or magnitude of potential insurance 
claims under the program, which is scheduled to sunset on 
December 31, 2005. Any such claims would be paid from 
permanent, indefinite authority and would not require 
subsequent appropriations.

                  Financial Crimes Enforcement Network

Appropriations, 2003 \1\................................     $51,415,612
Budget estimate, 2004...................................      57,571,000
Committee recommendation................................      57,571,000

\1\ Reflects reduction of $336,388 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends an appropriation of $57,571,000 
for the Financial Crimes Enforcement Network [FinCEN].
    FinCEN, created in 1990 and elevated to bureau status in 
2001, supports law enforcement investigations to prevent and 
detect money laundering, terrorist financing, and other 
financial crimes. FinCEN links law enforcement, financial, and 
regulatory communities into a single information-sharing 
network. Using Bank Secrecy Act [BSA] information reported by 
banks and other financial institutions, FinCEN serves as the 
nation's central clearinghouse for broad-based financial 
intelligence and information sharing on money laundering. This 
information helps illuminate the financial trail for 
investigators to follow as they track criminals and their 
assets.
    The USA PATRIOT Act has expanded anti-money laundering 
programs and reporting requirements to a number of industries 
previously not covered by the BSA. FinCEN will undertake 
programs to reach these new industry groups, as necessary. 
FinCEN will also continue efforts with the IRS, especially 
related to the money service business industry, to assure 
compliance, respond to public inquiries, distribute forms and 
publications, and support information processing of the BSA 
data.

                      Financial Management Service


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................    $220,634,493
Budget estimate, 2004...................................     228,606,000
Committee recommendation................................     228,558,000

\1\ Reflects reduction of $1,443,507 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $228,558,000 
for salaries and expenses for the Financial Management Service 
[FMS] in fiscal year 2004. This amount reflects a $48,000 
reduction for the Federal Employees Compensation Act [FECA].
    Payments.--FMS implements payment policy and procedures for 
the Federal Government, issues and distributes payments, 
promotes the use of electronics in the payment process, and 
assists agencies in converting payments from paper checks to 
electronic funds transfer [EFT]. The control and financial 
integrity of the Federal payments and collections process 
includes reconciliation, accounting, and claims activities. The 
claims activity settles claims against the United States 
resulting from Government checks which have been forged, lost, 
stolen, or destroyed, and collects monies from those parties 
liable for fraudulent or otherwise improper negotiation of 
Government checks.
    Collections.--FMS implements collections policy, 
regulations, standards, and procedures for the Federal 
Government, facilitates collections, promotes the use of 
electronics in the collections process, and assists agencies in 
converting collections from paper to electronic media.
    Debt Collection.--FMS provides debt collection operational 
services to client agencies which includes collection of 
delinquent accounts, offset of Federal payments against debts 
owed the Government, post-judgment enforcement, consolidation 
of information reported to credit bureaus, reporting for 
discharged debts or vendor payments, and disposition of 
foreclosed property.
    Governmentwide Accounting and Reporting.--FMS also provides 
financial accounting, reporting, and financing services to the 
Federal Government and the Government's agents who participate 
in the payments and collections process by generating a series 
of daily, monthly, quarterly and annual Government-wide 
reports. FMS also works directly with agencies to help 
reconcile reporting differences.

                Alcohol and Tobacco Tax and Trade Bureau

Appropriations, 2003 \1\................................     $54,203,373
Budget estimate, 2004...................................      80,000,000
Committee recommendation................................      80,000,000

\1\ Reflects reduction of $354,627 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends $80,000,000 for the Alcohol and 
Tobacco Tax and Trade Bureau [TTB]. This amount is an increase 
of $25,442,000 above the fiscal year 2003 enacted level that 
was transferred to the TTB by the Bureau of Alcohol, Tobacco 
and Firearms [ATF]. The TTB did not exist as a stand alone 
agency until January 2003 when ATF was transferred to the 
Department of Justice.
    The Homeland Security Act created a new bureau within the 
United States Department of the Treasury charged with 
collecting revenue and protecting the public. This new bureau 
enforces the Federal laws and regulations relating to alcohol 
and tobacco by working directly and in cooperation with others 
to: maintain a sound revenue management and regulatory system 
that continues reducing taxpayer burden, improving service, 
collecting the revenue due and preventing tax evasion and other 
criminal conduct, and protect the public and prevent consumer 
deception in regulated commodities.

                           United States Mint


              (UNITED STATES MINT PUBLIC ENTERPRISE FUND)

    The United States Mint manufactures coins, sells numismatic 
and investment products, and provides for security and asset 
protection. Public Law 104-52 established the U.S. Mint Public 
Enterprise Fund (the Fund). The Fund encompasses the previous 
Salaries and Expenses, Coinage Profit Fund, Coinage Metal Fund, 
and the Numismatic Public Enterprise Fund. The Mint submits 
annual audited business-type financial statements to the 
Secretary of the Treasury and to Congress in support of the 
operations of the revolving fund.
    The operations of the Mint are divided into three major 
activities: Circulating Coinage; Numismatic and Investment 
Products; and Protection. The Mint is credited with receipts 
from its circulating coinage operations, equal to the full cost 
of producing and distributing coins that are put into 
circulation, including depreciation of the Mint's plant and 
equipment on the basis of current replacement value. From those 
receipts, the Mint pays its cost of operations, which includes 
the costs of production and distribution. The difference 
between the face value of the coins and these costs are profit, 
which is deposited as seigniorage to the general fund. In 
fiscal year 2002, the Mint transferred $1,030,000,000 to the 
general fund. Any seigniorage used to finance the Mint's 
capital acquisitions is recorded as budget authority in the 
year that funds are obligated for this purpose and as receipts 
over the life of the asset.

                    Bureau of Engraving and Printing

    The Bureau of Engraving and Printing [BEP] designs, 
manufactures, and supplies Federal Reserve notes, various 
public debt instruments, as well as most evidences of a 
financial character issued by the United States, such as 
postage and internal revenue stamps. The Bureau executes 
certain printings for various territories administered by the 
United States, particularly postage and revenue stamps.
    The operations of the Bureau are currently financed by 
means of a revolving fund established in accordance with the 
provisions of Public Law 656, August 4, 1950 (31 U.S.C. 181), 
which requires the Bureau to be reimbursed by customer agencies 
for all costs of manufacturing products and services performed. 
The Bureau is also authorized to assess amounts to acquire 
capital equipment and provide for working capital needs.
    No direct appropriation is required to cover the activities 
of the Bureau.

                       Bureau of the Public Debt


                     ADMINISTERING THE PUBLIC DEBT

Appropriations, 2003 \1\................................    $188,832,558
Budget estimate, 2004...................................     173,698,000
Committee recommendation................................     173,652,000

\1\ Reflects reduction of $1,235,442 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $173,652,000 
for the Bureau of the Public Debt in fiscal year 2004. This 
amount reflects a $46,000 decrease for Federal Employees 
Compensation Act [FECA] costs.
    This appropriation provides funds for the conduct of all 
public debt operations and the promotion of the sale of U.S. 
savings-type securities.
    Savings Securities.--This activity involves the issuance, 
servicing, and retirement of savings bonds and notes and 
retirement-type securities, including: the maintenance and 
servicing of individual accounts of owners of series H and HH 
bonds and the authorization of interest payments, and the 
maintenance of accounting control over financial transactions, 
securities transactions and accountability, and interest cost. 
These functions are performed directly by the Bureau of the 
Public Debt, by the Federal Reserve Banks as fiscal agents of 
the United States, and by the qualified agents which issue and 
redeem savings bonds and notes.
    The fiscal year 2004 budget does not seek funding for the 
Bureau of the Public Debt to market and advertise savings 
securities.
    Marketable and Special Securities.--This activity involves 
all securities of the United States, other than savings and 
retirement securities, including securities of Government 
corporations for which the Bureau of the Public Debt provides 
services. Functions performed relate to the issuance, 
servicing, and retirement of these securities, both directly by 
the Bureau and through the Federal Reserve Banks, as fiscal 
agents, including: the maintenance and servicing of individual 
accounts of owners of registered securities and book-entry 
Treasury bills, the authorization of interest and principal 
payments, and the maintenance of accounting control over 
financial transactions, securities transactions and 
accountability, and interest cost.

                        Internal Revenue Service


                                summary

    The Committee has recommended a total of $10,276,008,000 
for the Internal Revenue Service [IRS] in fiscal year 2004.

                 PROCESSING, ASSISTANCE, AND MANAGEMENT

Appropriations, 2003 \1\................................  $3,930,064,450
Budget estimate, 2004...................................   4,074,694,000
Committee recommendation................................   4,048,238,000

\1\ Reflects reduction of $25,712,551 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $4,048,238,000 
for Processing, Taxpayer Assistance, and Management. This 
amount is $26,456,000 below the President's budget request as 
funding for new initiatives have been denied.
    This appropriation provides for: processing tax returns and 
related documents; assisting taxpayers in the filing of their 
returns, paying taxes that are due, and complying with tax 
laws; issuing technical rulings; revenue accounting; conducting 
background investigations; and managing financial resources, 
rent and utilities.
    IRS Staffing Plans.--The Committee continues to support 
adequate staffing levels for effective tax administration and 
supports the staffing plans for the Internal Revenue Service 
facilities in the communities of Martinsburg and Beckley, WV. 
Therefore, the Committee urges the IRS, within the constraints 
of the fiscal year 2004 funding levels, to make no staffing 
reductions at the Martinsburg National Computing Center and the 
programmed level at the Administrative Services Center in 
Beckley, WV.
    Tax Counseling for the Elderly.--The Committee once again 
believes that the Tax Counseling Program for the Elderly has 
proven to be most successful. To meet the goals of this 
program, $3,950,000 is included within the aggregate amount 
recommended by the Committee for processing tax returns and 
assistance in fiscal year 2004. To ensure that the full effect 
of the program is accomplished, the IRS is directed to cover 
administrative expenses within existing funds.
    Taxpayer Services in Alaska and Hawaii.--Given the remote 
distance of Alaska and Hawaii from the U.S. mainland and the 
difficulty experienced by Alaska and Hawaii taxpayers in 
receiving needed tax assistance by the national toll-free line, 
it is imperative that the Taxpayer Advocate Service Center in 
each of these States is fully staffed and capable of resolving 
taxpayer problems of the most complex nature. The Committee 
directs the Internal Revenue Service to staff each Taxpayer 
Advocate Service Center in each of these States with a 
Collection Technical Advisor and an Examination Technical 
Advisor in addition to the current complement of office staff. 
Staffing shall be increased if, as the result of the IRS 
Restructuring and Reform Act of 1998, subsequent legislation, 
or other factors, the number of cases or their complexity 
increases.
    Low-Income Taxpayer Clinic.--The Committee once again 
commends the IRS for the Low-Income Taxpayer Clinic [LITC] 
program. With the growing complexity of tax laws, this program 
has provided invaluable help for taxpayers who are seeking to 
resolve disputes with the IRS. To ensure that the goals of the 
LITC program are maintained, the Committee has provided a total 
of $7,000,000 to assist low-income taxpayer clinics across the 
Nation.
    The Committee is concerned about recently proposed Treasury 
regulations that state that the Treasury Department and the 
Internal Revenue Service do not believe that qualified LITC's 
are authorized to provide tax preparation services unless it is 
in conjunction with a controversy or with an English as a 
Second Language program. Need-based tax preparation assistance 
through LITC and other programs such as VITA are imperative for 
many of our Nation's taxpayers who cannot afford commercial 
preparers. Without this assistance, many individuals may either 
not file a return or will make errors and prepare their returns 
improperly, ultimately leading to a controversy with the IRS. 
Helping taxpayers with problems with the IRS begins with the 
preparation and filing of the return. Without this assistance, 
the limited resources available to the LITC program will be 
insufficient to meet the demand of taxpayers with controversies 
with the IRS.
    Volunteer Income Tax Assistance.--The Committee notes that 
the existing Volunteer Income Tax Assistance [VITA] program 
provides an invaluable service by helping low income taxpayers 
prepare and file their Federal income tax returns. The 
Committee, therefore, urges the IRS to provide such additional 
sums as may become available to the VITA program outside of its 
in-kind contribution program. These additional funds are 
intended to assist the IRS in expanding the VITA program to 
hard-to-serve areas, such as Indian reservations. Additionally, 
these funds are intended to increase the capacity of VITA sites 
to file returns electronically and to cover some operational 
expenses. The Committee expects that IRS will continue its 
current level of in-kind contributions to the VITA programs.
    Chicago, IL Tax Assistance Program.--The Committee is aware 
of an innovative financial literacy and tax assistance project 
in Chicago, Illinois--Tax Assistance Program--designed to 
assist low income workers and their families with tax education 
and filing, in cooperation with the State of Illinois and the 
City of Chicago's Earned Income Tax Credit [EITC] outreach 
efforts. The Committee encourages the IRS to continue to 
provide appropriate technical and financial assistance for this 
worthwhile initiative.

                          TAX LAW ENFORCEMENT

Appropriations, 2003 \1\................................  $3,704,833,032
Budget estimate, 2004...................................   3,976,641,000
Committee recommendation................................   4,172,808,000

\1\ Reflects reduction of $24,238,968 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $4,172,808,000 
for Tax Law Enforcement activities in fiscal year 2004.
    The Committee is supportive of Compliance and recommends 
for fiscal year 2004 that the Earned Income Tax Compliance 
Initiative appropriation merge with the existing Tax Law 
Enforcement appropriation. The Tax Law Enforcement 
appropriation language has been modified accordingly to reflect 
this proposal. The Earned Income Tax Compliance provides for 
expanded customer service and public outreach program, 
strengthened enforcement activities, and enhances research 
efforts to reduce over claims and erroneous filings associated 
with the Earned Income Tax Credit [EITC]. The Internal Revenue 
Service is permitted to adjust this funding up or down as the 
Commissioner deems appropriate to manage the total EITC 
program. The Committee recognizes that situations may arise 
whereby the EITC program may need support from other IRS 
program areas, whose operations are resident in appropriations 
other than the Tax Law Enforcement appropriation. To provide 
for this eventuality, the Committee has included specifics, 
which will allow for funding transfers to the Processing, 
Assistance, and Management account and the Information Systems 
account within the IRS solely for the purposes of proper 
management of the Earned Income Tax Compliance program. The 
Committee directs the IRS to report to the House and Senate 
Committees on Appropriations no later than April 15, 2004, on 
progress made from the merger and compliance initiative.
    Further, this appropriation funds IRS's ability to provide 
equitable application and enforcement of the tax laws, identify 
possible nonfilers for investigations, investigate violations 
of criminal statutes, and supports the Statistics of Income 
program.
    Compliance Services.--This activity funds services provided 
to a taxpayer after a return is filed to identify and correct 
possible errors or underpayment. Included in this activity are 
staffing, training and support for: (1) compliance services 
operational management; (2) centralized automated collection 
system [ACS] and collection by correspondence in service 
centers; (3) field investigations and collection efforts 
associated with delinquent taxpayer and business entity 
liabilities; (4) documents matching; (5) examination of 
taxpayer returns at service centers; (6) field exam to 
determine corresponding tax liabilities; (7) enforcement of 
criminal statutes related to violations of internal revenue 
laws and other financial crimes; (8) processing of reports for 
current transactions over $10,000; (9) case settlement through 
the appeals process; (10) litigation; and (11) taxpayer 
advocate case processing.
    Research and Statistics of Income.--This activity funds 
research and statistical analysis support for the IRS. It 
provides annual income, financial, and tax data from tax 
returns filed by individuals, corporations, and tax-exempt 
organizations. Likewise it provides resources for market-based 
research to identify compliance issues, for conducting tests of 
treatments to address non-compliance, and for the 
implementation of successful treatments of taxpayer non-
compliant behavior.

                        EARNED INCOME TAX CREDIT

Appropriations, 2003 \1\................................    $145,051,000
Budget estimate, 2004...................................     251,167,000
Committee recommendation................................................

\1\ Reflects reduction of $949,000 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends no appropriations for the Earned 
Income Tax Credit. Funding for activities associated with this 
account have been included within the Committee recommendation 
for Tax Law Enforcement account.

                          INFORMATION SYSTEMS

Appropriations, 2003 \1\................................  $1,621,833,000
Budget estimate, 2004...................................   1,670,039,000
Committee recommendation................................   1,590,962,000

\1\ Reflects reduction of $10,611,000 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $1,590,962,000 
for information systems activities in fiscal year 2004.
    This appropriation provides for Servicewide information 
systems operations and maintenance, and investments to enhance 
or develop business applications for the IRS Business Units. 
The appropriation includes staffing, telecommunications, 
hardware and software (including commercial-off-the-shelf), and 
contractual services.
    Information Services.--This activity provides the salaries, 
benefits, and related costs to manage, maintain, and operate 
the information systems that support tax administration. The 
Service's business activities rely on these information systems 
to process tax and information returns, account for tax 
revenues collected, send bills for taxes owed, issue refunds, 
assist in the selection of tax returns for audit, and provide 
telecommunications services for all business activities 
including the public's toll free access to tax information. 
These systems are located in a variety of sites including the 
Martinsburg, West Virginia; Memphis, Tennessee; and Detroit, 
Michigan Computing Centers; Service Centers; and in other field 
office operations. Staffing in this activity develops and 
maintains the millions of lines of programming code supporting 
all aspects of tax processing; as well as operating and 
administering the Service's hardware infrastructure of 
mainframes, minicomputers, personal computers, networks, and a 
variety of management information systems.
    Information Systems Improvement Programs.--This activity 
funds improvements or enhancements to business applications. 
These investments conform to the modernized IRS architecture. 
These projects differ in scope from those funded by the 
Business Systems Modernization Program, which addresses major 
common tax administration systems.
    The Committee believes that funds provided under the 
Information Systems account, particularly for development-
related activities, should be managed with the same diligence 
and financial controls as those activities funded through the 
Business Systems Modernization account. In addition, the 
Committee expects that as the Business Systems Modernization 
moves an increasing number of major projects into deployment, 
the Service will realign development activities funded under 
the Information Systems account so that they are managed and 
integrated formally into Business Systems Modernization 
activity.

                     BUSINESS SYSTEMS MODERNIZATION

Appropriations, 2003 \1\................................    $363,621,000
Budget estimate, 2004...................................     429,000,000
Committee recommendation................................     429,000,000

\1\ Reflects reduction of $16,379,000 pursuant to section 601 of Public 
Law 108-7.

    The Committee recommends an appropriation of $429,000,000. 
This account provides for revamping business practices and 
acquiring new technology. The agency is using a formal 
methodology to prioritize, approve, fund, and evaluate its 
portfolio of business systems modernization investments. This 
methodology enforces a documented, repeatable, and measurable 
process for managing investments throughout their life cycle. 
Investment decisions are approved by the IRS Core Business 
System Executive Steering Committee, and chaired by the 
Commissioner.
    The Committee acknowledges the cooperation in which the IRS 
has exemplified with the General Accounting Office [GAO] in 
submitting the expenditure plans. The Committee expects that 
the IRS will continue to provide documents and all pertinent 
information to GAO in a timely manner for review of the 
expenditure plan.

               HEALTH INSURANCE TAX CREDIT ADMINISTRATION

Appropriations, 2003 \1\................................     $69,545,000
Budget estimate, 2004...................................      35,000,000
Committee recommendation................................      35,000,000

\1\ Reflects reduction of $455,000 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends an appropriation of $35,000,000 
for the Health Insurance Tax Credit Administration.
    This appropriation provides operating funds to administer 
the advance payment feature of a new Trade Adjustment 
Assistance health insurance tax credit program to assist 
dislocated workers with their health insurance premiums. The 
tax credit program was enacted by the Trade Act of 2002 (Public 
Law 107-210) and is effective as of August 2003.

              GENERAL PROVISIONS--INTERNAL REVENUE SERVICE

    Section 201 authorizes the IRS to transfer up to 5 percent 
of any appropriation made available to the agency in fiscal 
year 2004, to any other IRS account. The IRS is directed to 
follow the Committee's reprogramming procedures outlined 
earlier in this report.
    Section 202 maintains a training program in taxpayer's 
rights and cross-cultural relations.
    Section 203 requires the IRS to institute and enforce 
policies and procedures which will safeguard the 
confidentiality of taxpayer information.
    Section 204 directs that funds shall be available for 
improved facilities and increased manpower to provide 
sufficient and effective 1-800 help line service for taxpayers. 
The Commissioner shall continue to make this a priority.

                       DEPARTMENT OF THE TREASURY


                           General Provisions

    Section 210 authorizes certain basic services within the 
Treasury Department in fiscal year 2004, including purchase of 
uniforms; maintenance, repairs, and cleaning; purchase of 
insurance for official motor vehicles operated in foreign 
countries; and contracts with the Department of State for 
health and medical services to employees and their dependents 
serving in foreign countries.
    Section 211 authorizes transfers, up to 2 percent, between 
Departmental Offices, Office of Inspector General, Treasury 
Inspector General for Tax Administration, Financial Management 
Service, Alcohol Tobacco Tax and Trade Bureau, Financial Crime 
Enforcement Network, and the Bureau of the Public Debt 
appropriations under certain circumstances.
    Section 212 authorizes transfer, up to 2 percent, between 
the Internal Revenue Service and the Treasury Inspector General 
for Tax Administration under certain circumstances.
    Section 213 requires the purchase of law enforcement 
vehicles is consistent with Departmental vehicle management 
principles.
    Section 214 prohibits the Department of the Treasury and 
the Bureau of Engraving and Printing from redesigning the $1 
Federal Reserve Note.
    Section 215 authorizes the Secretary of the Treasury to 
transfer funds from Salaries and Expenses, Financial Management 
Service, to the Debt Services Account as necessary to cover the 
costs of debt collection. Such amounts shall be reimbursed to 
the Salaries and Expenses account from debt collections 
received in the Debt Services Account.
    Section 216 amends Section 122 of Public Law 105-119 (5 
U.S.C. 3104 note), by striking ``5 years'' and inserting ``6 
years''.
    Section 217 requires prior approval for the construction 
and operation of a museum by the United States Mint.
    Section 218 establishes a permanent appropriation to allow 
the Department of Treasury to reimburse financial institutions 
for services provided in their capacity as depositaries and 
fiscal agents for the United States.

TITLE III--EXECUTIVE OFFICE OF THE PRESIDENT AND FUNDS APPROPRIATED TO 
                             THE PRESIDENT

    Executive Office Consolidation.--For the third consecutive 
year, the administration has proposed a consolidation of the 
various accounts which comprise the Executive Office of the 
President. Last year, the Committee gave this request 
considerable deliberation and concluded that the existing 
structure served the Committee's and the public's need for 
transparancy in the funding and operation of these important 
functions well. The existing structure also provides the 
executive branch with the flexibility it needs to reprogram 
funds within accounts to address unforeseen budget needs upon 
the notification and approval of the Committee. As noted in 
discussions with administration officials in past years, at no 
time has this Committee rejected an administration's request to 
reprogram existing funds within accounts in this Title.

        Compensation of the President and the White House Office

                     COMPENSATION OF THE PRESIDENT

Appropriations, 2003....................................        $450,000
Budget estimate, 2004...................................         450,000
Committee recommendation................................         450,000

    The fiscal year 2004 budget request for compensation of the 
President is $450,000. This amount includes $400,000 for the 
direct salary of the President as authorized by 3 U.S.C. 102, 
and a $50,000 expense account for official expenses, with any 
unused portions reverting to the Treasury. This expense account 
is not considered taxable to the President.
    The Committee recommends the full budget request of 
$450,000 for compensation of the President.

                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $50,385,356
Budget estimate, 2004...................................      70,268,000
Committee recommendation................................      61,937,000

\1\ Reflects reduction of $329,648 pursuant to section 601 of Public Law 
108-7.

    These funds provide the President with staff assistance and 
provide administrative services for the direct support of the 
President. Public Law 95-570 authorizes appropriations for the 
White House Office and codifies the activities of the White 
House Office.
    The Committee recommends an appropriation of $61,937,000 
for the White House Office. This is a decrease of $8,331,000 
below the budget estimate as funds requested under this account 
for the Homeland Security Council are provided in a separate 
account.

                 Executive Residence at the White House


                           OPERATING EXPENSES

Appropriations, 2003 \1\................................     $12,148,518
Budget estimate, 2004...................................      12,501,000
Committee recommendation................................      12,501,000

\1\ Reflects reduction of $79,482 pursuant to section 601 of Public Law 
108-7.

    These funds provide for the care, maintenance, 
refurnishing, improvement, heating, and lighting, including 
electrical power and fixtures, of the Executive Residence.
    The Committee recommends an appropriation of $12,501,000 
for the Executive Residence at the White House.

                   WHITE HOUSE REPAIR AND RESTORATION

Appropriations, 2003 \1\................................      $1,192,200
Budget estimate, 2004...................................       4,225,000
Committee recommendation................................       4,225,000

\1\ Reflects reduction of $7,800 pursuant to section 601 of Public Law 
108-7.

    To provide for the repair, alteration, and improvement of 
the Executive Residence at the White House, a separate account 
was established in fiscal year 1996 to program and track 
expenditures for the capital improvement projects at the 
Executive Residence at the White House.
    The Committee recommends an appropriation of $4,225,000 for 
White House Repair and Restoration. The Committee 
recommendation is equal to the level assumed in the budget 
estimate.

                  Special Assistance to the President


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................      $4,039,571
Budget estimate, 2004...................................       4,461,000
Committee recommendation................................       4,461,000

\1\ Reflects reduction of $26,429 pursuant to section 601 of Public Law 
108-7.

    The Special assistance to the President account was 
established on September 26, 1970, to enable the Vice President 
to provide assistance to the President. This assistance takes 
the form of directed and special Presidentially assigned 
functions.
    The objective of the Office of the Vice President is to 
efficiently and effectively advise, assist, and support the 
President in the areas of domestic policy, national security 
affairs, counsel, administration, press, scheduling, advance, 
special projects, and assignments. Assistance is also provided 
for the spouse of the Vice President.
    The Vice President also has a staff funded by the Senate to 
assist him in the performance of his duties in the legislative 
branch.
    The Committee recommends an appropriation of $4,461,000 for 
special assistance to the President. The level of funding 
recommended by the Committee will allow for 24 full-time 
permanent positions in fiscal year 2004.

                Official Residence of the Vice President


                           OPERATING EXPENSES

Appropriations, 2003 \1\................................        $321,894
Budget estimate, 2004...................................         331,000
Committee recommendation................................         331,000

\1\ Reflects reduction of $2,106 pursuant to section 601 of Public Law 
108-7.

    The Official Residence of the Vice President account was 
established by Public Law 93-346 on July 12, 1974. The 
residence is located on the grounds of the Naval Observatory in 
the District of Columbia and serves as a facility for official 
and ceremonial functions and as a home for the Vice President 
and family.
    The Residence account provides for the care of, operation, 
maintenance, refurnishing, improvement, and heating and 
lighting of the residence and for equipment, furnishings, 
dining facilities, services, and provisions as may be required 
to enable the Vice President to perform and discharge the 
duties, functions, and obligations associated with this high 
office.
    Funds to renovate the residence are provided through the 
Department of the Navy budget. The Committee has had a 
longstanding interest in the condition of the residence and 
expects to be kept fully apprised by the Vice President's 
office of any and all renovations and alterations made to the 
residence by the Navy.
    The Committee recommends an appropriation of $331,000 for 
the official residence of the Vice President.

                      Council of Economic Advisers


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................      $3,738,540
Budget estimate, 2004...................................       4,502,000
Committee recommendation................................       4,502,000

\1\ Reflects reduction of $24,460 pursuant to section 601 of Public Law 
108-7.

    The Council of Economic Advisors analyzes the national 
economy and its various segments, advises the President on 
economic developments, recommends policies for economic growth 
and stability, appraises economic programs and policies of the 
Federal government, and assists in the preparation of the 
annual Economic Report of the President to Congress.
    The Committee recommends an appropriation of $4,502,000 for 
salaries and expenses of the Council of Economic Advisers.

                      Office of Policy Development


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................      $3,229,869
Budget estimate, 2004...................................       4,109,000
Committee recommendation................................       4,109,000

\1\ Reflects reduction of $21,132 pursuant to section 601 of Public Law 
108-7.

    The Office of Policy Development supports the National 
Economic Council and the Domestic Policy Council, in carrying 
out their responsibilities to advise and assist the President 
in the formulation, coordination, and implementation of 
economic and domestic policy. The Office of Policy Development 
also provides support for other domestic policy development and 
implementation activities as directed by the President.
    The Committee recommends $4,109,000 for the Office of 
Policy Development.

                       National Security Council


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................      $7,770,164
Budget estimate, 2004...................................      10,551,000
Committee recommendation................................      10,551,000

\1\ Reflects reduction of $50,837 pursuant to section 601 of Public Law 
108-7.

    The National Security Council advises the President with 
respect to the integration of domestic, foreign, and military 
policies relating to the national security.
    The Committee recommends an appropriation of $10,551,000 
for the salaries and expenses of the National Security Council 
[NSC]. The funding level provided by the Committee will support 
60 full-time equivalent positions, or the same since the fiscal 
year 1996 level for the normal activities of the NSC.

                       Homeland Security Council

Appropriations, 2003 \1\................................     $19,271,913
Budget estimate, 2004...................................       8,331,000
Committee recommendation................................       8,331,000

\1\ Reflects reduction of $126,087 pursuant to section 601 of Public Law 
108-7.

    The Homeland Security Act of 2002 established the Homeland 
Security Council to advise the President on homeland security 
matters, policy development, and the interagency process 
regarding administration policy on homeland security, including 
development and coordination of implementation of the national 
strategy to secure the United States from terrorist threats and 
attacks. The Council assesses the objectives, commitments, and 
risks of the United States in the interest of homeland security 
and oversees and reviews homeland security policies of the 
Federal Government to make recommendations to the President.
    The Committee has not approved funding for the Homeland 
Security Council within the White House Office. The Committee 
believes that the Homeland Security Council should be funded as 
a separate account, which is consistent with the budgetary 
treatment of its predecessor, the Office of Homeland Security. 
The Committee recommendation is an appropriation of $8,331,000, 
the same level as the budget request.

                        Office of Administration


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $90,910,218
Budget estimate, 2004...................................      77,164,000
Committee recommendation................................      77,164,000

\1\ Reflects reduction of $594,783 pursuant to section 601 of Public Law 
108-7.

    The Office of Administration's mission is to provide high-
quality, cost-effective administrative services to the 
Executive Office of the President. These services, defined by 
Executive Order 12028 of 1977, include financial, personnel, 
library and records services, information management systems 
support, and general office services.
    The Committee has provided $77,164,000 to the Office of 
Administration for fiscal year 2004. In addition to the 
recommended level of funding, the Office of Administration 
receives reimbursements for information management support and 
general office services.
    Centralized Procurement Pilot Project.--In fiscal year 
2003, the Committee consolidated funding from several EOP 
agencies in the Office of Administration to provide for 
centralized procurement and management of information 
technology, rent, printing and reproduction, supplies and 
materials and equipment. The Office of Administration has 
requested a 60 day extension to provide the report due on the 
status of the program. The Committee remains supportive of the 
initiative, but recommends funding for such items in individual 
offices within the EOP until saving and other benefits are 
identified.

                    Office of Management and Budget


                         salaries and expenses

Appropriations, 2003 \1\................................     $61,988,439
Budget estimate, 2004...................................      77,417,000
Committee recommendation................................      75,417,000

\1\ Reflects reduction of $405,561 pursuant to section 601 of Public Law 
108-7.

    The Office of Management and Budget [OMB] assists the 
President in the discharge of his budgetary, management, and 
other executive responsibilities.
    The Committee recommends $75,417,000 for the Office of 
Management and Budget which is $13,428,561 more than the fiscal 
year 2003 enacted level. The recommendation reduces without 
prejudice discretionary initiatives by $2,000,000. The 
Committee notes that this is a substantial increase above the 
current funding and that the reduction is manageable by 
limiting the growth for staff and professional development.
    Implementation of Federal Data Quality Act.--The Committee 
is concerned that agencies are shielding significant, 
influential data and related documents funded by the Federal 
government from the requirements of the Federal Data Quality 
Act [FDQA]. The Committee is aware of the practice employed by 
agencies to claim that data developed in collaboration with 
another Federal agency is exempt from the requirement of FDQA. 
In other cases, agencies have argued that documents and data 
produced by a Federal Advisory Committee Act [FACA] committee 
or other non-governmental entity are also exempt. It is the 
Committee's belief that data endorsed by the Federal Government 
should be of the highest quality and that the public have the 
opportunity to review the data disseminated by the Federal 
Government for its accuracy and have available to it a 
streamlined procedure for correcting inaccuracies. The 
Committee directs the Administrator of the Office of 
Information and Regulatory Affairs [OIRA] to submit a report to 
the House and Senate Committees on Appropriations not later 
than 30 days on how guidelines to agencies may be updated to 
address these concerns and improve the transparency of agency 
science.
    Harry S. Truman Memorial Scholarships.--The Committee 
strongly supports the Truman Scholarship program and its 
original intentions. The Committee is concerned, however, that 
the regulations regarding awarding a scholarship to at least 
one qualified applicant from each State has been violated 
numerous times in recent years. The Committee directs the Board 
of the Truman Scholarship program to strictly adhere to its 
statutory mandate to ``assure that at least one Truman scholar 
shall be selected each year from each State in which there is 
at least one resident applicant who meets the minimum criteria 
established by the Foundation.''

                 Office of National Drug Control Policy


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $26,284,036
Budget estimate, 2004...................................      27,290,000
Committee recommendation................................      27,996,500

\1\ Reflects reduction of $171,964 pursuant to section 601 of Public Law 
108-7.

    The Office of National Drug Control Policy [ONDCP], 
established by the Anti-Drug Abuse Act of 1988, and 
reauthorized by Public Law 105-277, is charged with developing 
policies, objectives and priorities for the National Drug 
Control Program. In addition, ONDCP administers the Counterdrug 
Technology Assessment Center [CTAC], the High Intensity Drug 
Trafficking Areas [HIDTA] program and the Special Forfeiture 
Fund. The account provides funding for personnel compensation, 
travel, and other basic operations of the Office, and for 
general policy research to support the formulation of the 
National Drug Control Strategy. Funds are also provided for the 
National Alliance for Model State Drug Laws, which encourages 
States to adopt and implement laws, policies, and regulations 
to reduce drug trafficking, drug use, and their related 
consequences.
    The Committee recommends an appropriation of $27,996,500, 
of which $1,500,000 shall be used for the National Alliance for 
Model State Drug Laws. The Committee does not recommend an 
increase to the official reception and representation fund.

                COUNTERDRUG TECHNOLOGY ASSESSMENT CENTER

Appropriations, 2003 \1\................................     $47,688,000
Budget estimate, 2004...................................      40,000,000
Committee recommendation................................      42,000,000

\1\ Reflects reduction of $312,000 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends an appropriation of $42,000,000 
for the Counterdrug Technology Assessment Center [CTAC]. This 
funding includes $24,000,000 for the continuation of the 
technology transfer program by CTAC to State and local law 
enforcement in their efforts to combat drugs. Pursuant to the 
Office of National Drug Control Policy Reauthorization Act of 
1998 (Title VII of Division C of Public Law 105-277), CTAC 
serves as the central counterdrug research and development 
organization for the Federal Government.
    The Committee expects multiagency research and development 
programs to be coordinated by CTAC in order to prevent 
duplication of efforts and to assure that whenever possible, 
those efforts provide capabilities that transcend the need of 
any single Federal agency. Prior to the obligation of these 
funds, the Committee expects to be notified by the chief 
scientist on how these funds will be spent; it also expects to 
receive biannual reports from the chief scientist on the 
priority counterdrug enforcement research and development 
requirements identified by the Center and on the status of 
projects funded by CTAC.
    The Committee is troubled that the majority of the budget 
submission for the research and development demand reduction 
program at CTAC is devoted to the purchase of high cost 
equipment such as PET machines, to conduct research rather than 
for actual research activities. While demand reduction research 
conducted by universities and medical centers is important to 
the Nation's efforts to combat drug use, the Committee is 
concerned that CTAC's research and development program 
priorities have become more focused on providing funding for 
technology acquisition and less so on actual research. In order 
to have a clearer understanding of the budgetary priorities of 
the CTAC program, the Committee directs ONDCP to report to the 
House and Senate Committees on Appropriations, no later than 
December 15, 2003, on CTAC funding allocations, specifically 
providing a detailed spending plan for the research and 
development program as well as the technology transfer program 
for fiscal years 2001, 2002, and 2003.
    The Committee continues to believe CTAC should work closely 
and cooperatively with the individual law enforcement agencies 
in the definition of a national research and development 
program which addresses agency requirements with respect to 
timeliness, operational utility, and consistency with agency 
budget plans.
    Counterdrug Technology Transfer Program.--The Committee 
fully supports the continuation of this program and, therefore, 
has provided $24,000,000 for its operation in fiscal year 2004. 
The Committee believes that this program demonstrates the best 
that the Federal Government has to offer to State and local law 
enforcement in their efforts to combat drug related crimes. The 
Committee is encouraged by the positive reception this program 
has received by State and local law enforcement agencies as 
current requests for technology continue to outpace resources 
by a ratio of more than four to one.
    This demand prompts the Committee to request that the 
fiscal year 2005 budget request include a specific accounting 
of the total number of grant applications received and the 
number awarded in the previous year so that the Committee may 
have a true understanding of CTAC's ability to meet demand.
    The Committee expects that CTAC will conduct further 
outreach to State and local agencies to educate them about the 
program. Finally, the Committee would encourage CTAC to work 
with private industry to make their developed technology 
available to State and local law enforcement through this 
program.

                  Funds Appropriated to the President


                     FEDERAL DRUG CONTROL PROGRAMS

                 HIGH-INTENSITY DRUG TRAFFICKING AREAS

                     (INCLUDING TRANSFER OF FUNDS)

Appropriations, 2003 \1\................................    $224,878,725
Budget estimate, 2004...................................     206,350,000
Committee recommendation................................     226,350,000

\1\ Reflects reduction of $1,471,275 pursuant to section 601 of Public 
Law 108-7.

    The HIDTA program was established by the Anti-Drug Abuse 
Act of 1988, as amended, and the Office of National Drug 
Control Policy's reauthorization, Public Law 105-277, to 
provide assistance to Federal, State and local law enforcement 
entities operating in those areas most adversely affected by 
drug trafficking. In allocating the HIDTA funds, the Committee 
expects the Director of ONDCP to ensure that the activities 
receiving these limited additional resources are used strictly 
for implementing the strategy for each HIDTA, taking into 
consideration local conditions and resource requirements. These 
funds should not be used to supplant existing support for 
ongoing Federal, State, or local drug control operations 
normally funded out of the operating budgets of each agency. 
The remaining funds may be transferred to Federal agencies and 
departments to support Federal antidrug activities.
    The Committee recommends an appropriation of $226,350,000, 
which is $20,000,000 above the budget request. The Committee 
has provided an additional $20,000,000 above the President's 
request for the purposes of fully funding existing HIDTA 
program activities, expanding existing HIDTAs where it is 
warranted, to fund new HIDTAs as necessary, and finally, to 
fund new HIDTA activities that are consistent with the mission 
of the program. The Committee has included bill language 
subjecting the additional funding to the reprogramming 
guidelines. The Committee directs that funding shall be 
provided for the existing High Intensity Drug Trafficking Areas 
[HIDTA] at no less than the fiscal year 2003 initial allocation 
level, unless the Director submits to the House and Senate 
Committees on Appropriations, and the Committees approves, a 
request for reprogramming of the funds based on clearly 
articulated priorities for the HIDTA program, as well as 
published ONDCP performance measures of effectiveness.
    The Committee believes that the Director should take steps 
to ensure that the HIDTA funds are transferred to the 
appropriate drug control agencies expeditiously.
    The Committee is concerned by ONDCP's disregard for the 
direction that was included in the fiscal year 2003 
Appropriations Act regarding the obligation of $20,000,000 in 
additional funding provided for the HIDTA program. While the 
Committee understands that none of the funds will be obligated 
before receiving prior approval of the Committees, the 
Committee notes that ONDCP created a grant program in 
coordination with the Attorney General, developed the guidance 
for submission of the grants, has solicited and received grant 
applications and, since reaching the deadline for submissions, 
has begun ``racking and stacking'' the applications for 
approval. The Committee believes that ONDCP's approach is 
completely contrary to the direction provided in the Conference 
report and is uncertain why ONDCP would proceed in this manner 
before consulting with Congress, considering the specific 
guidance provided. Therefore, the Committee directs ONDCP to 
consult with the House and Senate Committees on Appropriations 
in the developmental stages of any new grant programs that it 
plans to institute in the future.
    The Committee understands that the Director has decided to 
utilize the additional HIDTA funding to participate in the 
Consolidated Priority Organizational Targets [CPOT] program 
created by OCDETF and DEA. The Committee questions whether the 
HIDTA program is the appropriate mechanism for funding and 
focusing law enforcement activities on CPOT. The Committee 
understands that ONDCP is attempting to re-focus the HIDTA 
program ``upward'' on larger international targets. The 
Committee notes, however, that there are numerous Federal 
agencies, as well as other federally funded law enforcement 
coordinating bodies such as the OCDETF program, whose core 
mission it is to focus on international drug trafficking 
targets. Most HIDTAs, however, were designated to address 
regional and local issues and many HIDTAs have emerging drug 
problems that are tangentially international in nature. While 
the Committee appreciates HIDTA's role in bringing together 
Federal, State, and local law enforcement entities, the HIDTA 
program should not be the sole funding mechanism for the CPOT 
program HIDTAs should not be denied an opportunity to receive 
additional funding to address emerging drug problems if they 
are unable to target an international drug trafficking 
organization on the CPOT list.
    The Committee directs ONDCP to refocus the CPOT program to 
identify regional targets as well as international targets. The 
Committee directs ONDCP to coordinate with other Federal 
agencies with a core mission to target international drug 
traffickers in an effort to pool personnel, intelligence, and 
available resources to further the originally conceived CPOT 
program and to report to the House and Senate Committees on 
Appropriations no later than 90 days after enactment of this 
Act on the progress of these efforts. Further the Committee 
directs the General Accounting Office to conduct a study on the 
effectiveness of the CPOT program, its conformity with the 
HIDTA mission as authorized in Public Law 105-277, and what 
resources other Federal law enforcement agencies contribute to 
the program.

                       METHAMPHETAMINE REDUCTION

    The Committee is particularly concerned about the continued 
methamphetamine problem throughout the United States. The 
National Drug Intelligence Center reports an increase in the 
availability of methamphetamine in drug markets, a growing 
number of States reporting the presence of superlabs, rising 
purity levels, and an apparent increase in the presence of ice 
methamphetamine--all indicating an increasing threat posed by 
methamphetamines. The Committee believes that special attention 
should be given to this growing problem and that the Director 
should make use of all possible resources, particularly in 
Southern Illinois, Southwest Indiana, Pacific Northwest HIDTA, 
and Hawaii to address the methamphetamine problem.

                             MIDWEST HIDTA

    The Committee is concerned about the growing production, 
trafficking, and use of methamphetamine throughout the Midwest 
HIDTA. The Committee notes that the State of Missouri, which is 
part of the Midwest HIDTA, had the highest number of 
methamphetamine lab seizures in the country. The fight against 
methamphetamine places a tremendous burden on State and local 
law enforcement. Additional funding would allow Missouri to 
continue to target methamphetamine labs, and would enable ONDCP 
to designate additional counties, including counties in the 
Southern District of Illinois, as part of the Midwest HIDTA 
where appropriate. The Committee directs ONDCP to work with the 
affected counties to determine whether they meet the statutory 
criteria required for designation as a HIDTA. The Committee 
directs ONDCP to ensure that funding for the Midwest HIDTA is 
provided at a level no less than the fiscal year 2003 initial 
allocation and to work with the Executive Board of the Midwest 
HIDTA to assess the needs of the HIDTA and to provide 
additional resources if necessary.

                           NEW ENGLAND HIDTA

    The Committee recognizes that the growing availability and 
abuse of inexpensive, high-purity heroin has had a harmful 
impact on the New England region, resulting in an increase in 
the number of drug-related arrests, overdose deaths and 
injuries, and individuals seeking treatment for addiction. The 
Committee is also aware of the extraordinary challenges posed 
by increasing drug importation into the region across the 
northern U.S. border and via marine transportation. The 
Committee directs ONDCP to work with the New England HIDTA 
Executive Board to determine the needs, with a particular focus 
on task force expansion on the U.S.-Canada border, training, 
intelligence collection, analysis and dissemination, and 
equipment and investigations. The Committee directs ONDCP to 
provide additional resources as warranted by the assessment, 
with particular attention to New Hampshire and Rhode Island.

                         SOUTHWEST BORDER HIDTA

    The Southwest Border HIDTA was one of the first HIDTA's 
established in the country and each of the five jurisdictions 
comprising the HIDTA share a mutual border with Mexico. This 
shared border places them on the front lines of the drug war. 
The Committee is aware that the Southwest Border HIDTA has 
requested funding to support additional operating expenses and 
to expand its Investigative Support Center. The Committee 
directs the Director of ONDCP to conduct an evaluation of the 
situation and to work with the Executive Board of the Southwest 
Border HIDTA to determine the needs of the HIDTA and to provide 
additional resources if necessary.

                            APPALACHIA HIDTA

    The Committee remains concerned that the three Appalachia 
HIDTA States, West Virginia, Kentucky, and Tennessee, along 
with California and Hawaii, account for over 80 percent of the 
domestic production of marijuana. The three Appalachia HIDTA 
States are also producing some of the most potent marijuana 
available. For fiscal year 2002, the West Virginia National 
Guard, which has mounted a vigorous counterdrug program in 
cooperation with the Appalachia HIDTA, estimates that efforts 
to eradicate the marijuana crop in West Virginia yielded plants 
valued at $60,400,000. Therefore, the Committee directs ONDCP 
to maintain funding at no less than fiscal year 2003 initial 
allocation to continue to combat this threat.

                            NORTHWEST HIDTA

    The Committee is aware that the Northwest HIDTA is dealing 
with a growing problem of potent marijuana from British 
Columbia known as ``BC Bud''. In addition, Washington State is 
the third leading State with methamphetamine labs. Heroin, 
cocaine, and ecstasy are also on the rise in the Pacific 
Northwest. Northwest HIDTA is having an impact in these areas. 
The Committee directs ONDCP to provide adequate resources to 
combat these threats. In addition, the Committee notes the 
value of State and local task forces in addressing these issues 
and encourages the continued incorporation of such entities in 
this and other HIDTAs.

                          SOUTHERN OHIO HIDTA

    The Committee is concerned about the increased level of 
drug trafficking in Southern Ohio. A significant portion of 
Ohio's overall population is concentrated in the State's 
southern region where drug trafficking and the use of cocaine 
and heroin are at epidemic levels. The community believes that 
the establishment of a HIDTA program in this area would assist 
law enforcement agencies in the development and implementation 
of an effective strategy to combat southern Ohio's illicit drug 
problem. The Committee directs ONDCP to work with the State of 
Ohio to determine the need for and the possibility of 
establishing a HIDTA program in southern Ohio.

                 OTHER FEDERAL DRUG CONTROL PROGAMS \1\

Appropriations, 2003 \2\................................    $221,749,200
Budget estimate, 2004...................................     250,000,000
Committee recommendation................................     174,000,000

\1\ Previously designated Special Forfeiture Fund.
\2\ Reflects reduction of $1,450,800 pursuant to section 601 of Public 
Law 108-7.

    The Anti-Drug Abuse Act of 1988, as amended, and the Office 
of National Drug Control Policy's reauthorization, Public Law 
105-277, established the Special Forfeiture Fund to be 
administered by the Director of ONDCP. While the fund was 
originally authorized to receive deposits from the Department 
of Justice Assets Forfeiture Fund and the Treasury Forfeiture 
Fund, its current source of funding is direct appropriations. 
In fiscal year 2004 the administration is proposing to rename 
this fund ``Other Federal Drug Control Programs''. The 
Committee has concurred with this change.
    The Committee recommends an appropriation of $174,000,000.
    Of the total funding provided, the accompanying bill 
specifies that: $100,000,000 is for continuation of the 
National Youth Anti-Drug Media Campaign; $7,200,000 is for the 
United States Anti-Doping Agency; $60,000,000 is for the Drug 
Free Communities Program; $3,000,000 is for the Counterdrug 
Executive Secretariat; $1,000,000 is for the National Drug 
Court Institute; $2,000,000 is for Performance Measures 
Development; and $800,000 is for United States dues to the 
World Anti-Doping Agency.

                        NATIONAL MEDIA CAMPAIGN

    The Committee has been supportive of the national media 
campaign and has provided consistent funding for this program. 
When this program was initially funded by the Congress in 
fiscal year 1998, it was with the understanding that within 3 
years there would be demonstrable behavior changes in America's 
youth with relation to drug use. The Committee is concerned 
that drug use is increasing in spite of the national media 
campaign, leading some observers to conclude it has not had a 
noticeable impact on drug use among America's youth.
    Today, a large portion of the campaign's budget pays for 
outside media and advertising consultants and the Committee is 
concerned about the amount of resources that are being consumed 
by these parties. The Committee has provided $100,000,000 for 
the national media campaign and directs that no less than 80 
percent of the funding provided be used for the purchase of 
advertising time and space unless ONDCP submits and the House 
and Senate Committees on Appropriations approves a request for 
reprogramming of the funds based on clearly articulated 
principals and priorities. The Committee directs the General 
Accounting Office to conduct a study to determine the extent to 
which outside consultants are being used by the Media Campaign, 
the cost-effectiveness of this method, and if this system is 
producing more effective ads that aid ONDCP in its core 
mission.
    Industry Match.--When the Congress, in an effort to reach 
more of our Nation's youth, agreed to provide funding for paid 
advertising, there was an understanding that Federal funds 
would be matched by industry on a dollar-for-dollar basis. It 
has come to the Committee's attention however, that while ONDCP 
is purchasing peak time for specific ads, they are agreeing to 
have that time and space matched with different ads at 
different times. The Committee believes that this violates the 
intent of Congress and directs ONDCP to provide a detailed 
report to the House and Senate Committees on Appropriations 
regarding all advertizing, their placement and what matches are 
being provided by all media in all markets. Further, the 
Committee directs ONDCP to more closely scrutinize the matching 
proposals and to ensure that the one to one match more 
appropriately mirrors the time and space that has been 
purchased.
    Advertising Focus.--The Committee is concerned with ONDCP's 
focus on parents rather than teenage children. While the 
Westat-Annenburg study has found that America's parents of 
teens have changed their behavior as a result of the campaign, 
there is no such study finding similarly positive results on 
teen behavior. The Committee reminds ONDCP that the purpose of 
the national media campaign is to reduce drug use, particularly 
among the Nation's youth. While increased parental awareness of 
drug abuse may be inherently valuable, the campaign cannot be 
considered successful if youth drug use does not decline.
    NIDA Study.--The Committee notes that ONDCP has chosen to 
delay the results of the NIDA study because of a change in 
direction of the Media Campaign. ONDCP has however, provided 
the Committee with a preliminary assessment of the youth 
marijuana campaign but the report provided to the Committee 
does not include the results from the ads initially instituted 
by the Director demonstrating a link between drug use and 
terrorism and other criminal activity. This leads the Committee 
to conclude that the results of those ads were less than 
favorable. While ONDCP is encouraged to keep the Committee 
informed of the progress of the ad campaign, the Committee 
intends to rely on the scientifically rigorous NIDA study to 
gauge its ultimate impact. The Committee believes that ONDCP 
should utilize the results of individual ad studies, such as 
the preliminary assessment of the youth marijuana campaign, to 
accurately measure both the successes and failures of the 
program and to prepare the media campaign for the future by 
improving effective ads and discarding ineffective ads based on 
known research.

                       DRUG-FREE COMMUNITIES ACT

    The accelerating rate of drug use by young Americans is a 
major concern that must be addressed. The Committee, therefore, 
provides $60,000,000 in support of the Drug-Free Communities 
Act. These funds will be used to support the establishment of 
local counterdrug efforts that are characterized by strong 
conditions for local initiatives, support, and accountability. 
In addition, the requirement for participating communities to 
match funding will help ensure the degree of commitment 
necessary to succeed.
    The Committee has included language directing ONDCP to 
provide a $1,000,000 grant directly to the Community Anti-Drug 
Coalitions of America to continue the National Community Anti-
Drug Coalition Institute.

                      NATIONAL DRUG-FREE WORKPLACE

    The Committee recognizes the work of the National Drug-Free 
Workplace Alliance to promote and assist the establishment of 
drug-free workplace programs and provide comprehensive drug-
free workplace services to businesses. In addition, the 
Committee understands that the Alliance provides technical 
assistance and up-to-date workplace substance abuse information 
to communities, drug-free workplace organizations, and other 
similar groups through a national network of experts and 
professionals with drug-free workplace interests. The Committee 
urges ONDCP to work with the National Drug-Free Workplace 
Alliance as it coincides with ONDCP's mission and encourages 
cooperative efforts relating to the National Clearinghouse.

                    UNITED STATES ANTI-DOPING AGENCY

    The Committee provides $7,200,000 for efforts of the United 
States Anti-Doping Agency [USADA]. The Committee directs ONDCP 
to provide the entire amount directly to USADA within 30 days 
after enactment of this Act.
    USADA was created to oversee testing, education, research, 
and adjudication on behalf of America's athletes participating 
in the Olympic, Pan American, and Paralympic Games. The 
Committee has provided additional funds to increase the number 
of ``No-Advanced-Notice'' tests, to increase research funding 
at university and research laboratories, and to expand their 
efforts to educate the youth of America on health issues and 
the ethics of competing fairly in sport. The Committee 
continues to be impressed with the operations of this new 
organization and wishes to congratulate them on the 
international recognition of their efforts.

                        WORLD ANTI-DOPING AGENCY

    The Committee provides $800,000 for membership dues to the 
World Anti-Doping Agency. The budget requested $1,000,000 for 
membership dues despite the fact that the dues assessed the 
United States are currently $800,000. The Committee did not 
feel that sufficient justification was provided to warrant an 
additional $200,000.

                          DRUG COURT INSTITUTE

    The Committee provides $1,000,000 for the National Drug 
Court Institute. The Committee is aware of the extraordinary 
growth in drug courts across the country and the important 
training of new drug courts that the Institute provides. Drug 
courts provide an effective means to fight drug-related crime 
through the cooperative efforts of State and local law 
enforcement, the judicial system, and the public health 
treatment network.

                          Unanticipated Needs

Appropriations, 2003 \1\................................        $993,000
Budget estimate, 2004...................................       1,000,000
Committee recommendation................................       1,000,000

\1\ Reflects reduction of $7,000 pursuant to section 601 of Public Law 
108-7.

    These funds enable the President to meet unanticipated 
exigencies in support of the national interest, security, or 
defense.
    The Committee recommends $1,000,000, which is $7,000 more 
than the fiscal year 2003 enacted level and is the same as the 
budget estimate.

                     TITLE IV--INDEPENDENT AGENCIES

       Architectural and Transportation Barriers Compliance Board

                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................      $5,160,000
Budget estimate, 2004...................................       5,401,000
Committee recommendation................................       5,401,000

\1\ Reflects reduction of $34,000 pursuant to section 601 of Public Law 
108-7.

    The Architectural and Transportation Barriers Compliance 
Board (the Access Board) is the lead Federal Agency promoting 
accessibility for all handicapped persons. The Access Board was 
reauthorized in the Rehabilitation Act Amendments of 1992, 
Public Law 102-569. Under this authorization, the Access 
Board's functions are to ensure compliance with the 
Architectural Barriers Act of 1968, and to develop guidelines 
for and technical assistance to individuals and entities with 
rights or duties under titles II and III of the Americans with 
Disabilities Act. The Access Board establishes minimum 
accessibility guidelines and requirements for public 
accommodations and commercial facilities, transit facilities 
and vehicles, State and local government facilities, children's 
environments, and recreational facilities. The Access Board 
also provides technical assistance to Government agencies, 
public and private organizations, individuals, and businesses 
on the removal of accessibility barriers.
    The Committee recommends $5,401,000 for the operations of 
the Architectural and Transportation Barriers Compliance Board, 
the funding level requested by the administration.

 Committee for Purchase From People Who Are Blind or Severely Disabled


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................      $4,627,723
Budget estimate, 2004...................................       4,629,000
Committee recommendation................................       4,725,000

\1\ Reflects reduction of $30,277 pursuant to section 601 of Public Law 
108-7.

    The CPPBSD administers the Javits-Wagner-O'Day Act [JWOD] 
of 1971, as amended. Its primary objective is to use the 
purchasing power of the Federal Government to provide people 
who are blind or have other severe disabilities with employment 
and training that will develop and improve job skills as well 
as prepare them for employment options outside the JWOD 
program. In fiscal year 2004, the Committee's goal is to employ 
approximately 50,000 people who are blind or have other severe 
disabilities in 600 producing nonprofit agencies. The 
Committee's duties include promoting the program; determining 
which products and services are suitable for Government 
procurement from qualified nonprofit agencies serving people 
who are blind or have other severe disabilities; maintaining a 
procurement list of such products and services; determining the 
fair market price for products and services on the procurement 
list; and making rules and regulations necessary to carry out 
the purposes of the Act. In fiscal year 2004, the Committee's 
goal is to have sales of $1,200,000,000.
    The Committee recommends $4,725,000 for the Committee for 
Purchase From People Who Are Blind or Severely Disabled 
[CPPBSD].

                     Election Assistance Commission

Appropriations, 2003....................................    $833,000,000
Budget estimate, 2004...................................     500,000,000
Committee recommendation................................     500,000,000

    The Election Assistance Commission is responsible for 
approving grants to assist State and local efforts to improve 
election technology and the administration of Federal 
elections, as authorized by the Help America Vote Act of 2002 
(Public Law 107-252). To date, the Committee has received no 
justification for the President's request for the Election 
Assistance Commission. The Committee has however, included the 
requested funding for the Commission in anticipation of the 
Commission establishment. The Committee is concerned that the 
Commissioner's have not yet been nominated and believes that 
the need for the EAC will become more important with the 2004 
elections quickly approaching. To that end, the Committee urges 
the President to send his nominations to the Senate for 
confirmation without further delay.
    The Committee has provided $499,000,000 for grants to State 
and local governments to ensure minimum voting standards are 
reached. The Committee recommendation provides an additional 
$9,000,000 for grants. Within the total provided, the Committee 
has allowed $1,000,000 for administrative expenses for the new 
Commission, of which $200,000 is to award grants to the 
National Student and Parent Mock Election as authorized under 
section 295 of that Act.

                      Federal Election Commission


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $49,541,871
Budget estimate, 2004...................................      50,440,000
Committee recommendation................................      50,440,000

\1\ Reflects reduction of $324,129 pursuant to section 601 of Public Law 
108-7.

    The Federal Election Commission administers the disclosure 
of campaign finance information, enforces limitations on 
contributions and expenditures, supervises the public funding 
of Presidential elections, and performs other tasks related to 
Federal elections.
    The Committee recommends an appropriation of $50,440,000 
for the Federal Election Commission.

                   Federal Labor Relations Authority


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $28,761,825
Budget estimate, 2004...................................      29,611,000
Committee recommendation................................      29,611,000

\1\ Reflects reduction of $188,175 pursuant to section 601 of Public Law 
108-7.

    The Federal Labor Relations Authority [FLRA] serves as a 
neutral party in the settlement of disputes that arise between 
unions, employees, and agencies on matters outlined in the 
Federal Service Labor Management Relations statute, decides 
major policy issues, prescribes regulations, and disseminates 
information appropriate to the needs of agencies, labor 
organizations, and the public. Establishment of the FLRA gives 
full recognition to the role of the Federal Government as an 
employer.
    In addition, the FLRA is engaged in case-related 
interventions and training and facilitation of labor-management 
partnerships and in resolving disputes. FLRA promotes labor-
management cooperation by providing training and assistance to 
labor organizations and agencies on resolving disputes, 
facilitates the creation of partnerships, and trains the 
parties on rights and responsibilities under the Federal 
Relations Labor Relations Management statute.
    The Committee recommends an appropriation of $29,611,000 
for the Federal Labor Relations Authority.

                      Federal Maritime Commission


                         SALARIES AND EXPENSES

Appropriations 2003 \1\.................................     $16,591,450
Budget estimate 2004....................................      18,471,000
Committee recommendation................................      18,471,000

\1\ Reflects reduction of $108,550 pursuant to section 601 of Public Law 
108-7.

    The Commission regulates the international waterborne 
commerce of the United States. In addition, the commission has 
responsibility for licensing and bonding ocean transportation 
intermediaries and assuring that vessel owners or operators 
establish financial responsibility to pay judgments for death 
or injury to passengers, or nonperformance of a cruise, on 
voyages from U.S. ports. Major program areas for 2004 are: 
carrying out investigations of foreign trade practices under 
the Foreign Shipping Practices Act; maintaining equitable 
trading conditions in U.S. ocean commerce; ensuring compliance 
with applicable shipping statutes; pursuing an active 
enforcement program designed to identify and prosecute 
violators of the shipping statutes; and reviewing ocean carrier 
operational and pricing agreements to guard against excessively 
anticompetitive effects.
    The Committee includes $18,471,000 for the salaries and 
expenses of the Federal Maritime Commission (the Commission) 
for fiscal year 2004.

                    General Services Administration


     FEDERAL BUILDINGS FUND--LIMITATIONS ON AVAILABILITY OF REVENUE

                     (INCLUDING TRANSFER OF FUNDS)

    The Federal Buildings Fund program consists of the 
following activities financed from rent charges:
    Construction and Acquisition of Facilities.--Space is 
acquired through the construction or purchase of facilities and 
prospectus-level extensions to existing buildings. All costs 
directly attributable to site acquisition, construction, and 
the full range of design and construction services, and 
management and inspection of construction projects are funded 
under this activity.
    Repairs and Alterations.--Repairs and alterations of public 
buildings as well as associated design and construction 
services are funded under this activity. Protection of the 
Government's investment, health and safety of building 
occupants, transfer of agencies from leased space, and cost 
effectiveness are the principal criteria used in establishing 
priorities. Primary consideration is given to repairs to 
prevent deterioration and damage to buildings, their support 
systems, and operating equipment. This activity also provides 
for conversion of existing facilities and non-prospectus 
extensions.
    Installment Acquisition Payments.--Payments are made for 
liabilities incurred under purchase contract authority and 
lease purchase arrangements. The periodic payments cover 
principal, interest, and other requirements.
    Rental of Space.--Space is acquired through the leasing of 
buildings including space occupied by Federal agencies in U.S. 
Postal Service facilities, 153 million rentable square feet in 
fiscal year 2003, and 157 million rentable square feet in 
fiscal year 2004.
    Building Operations.--Services are provided for Government-
owned and leased facilities, including cleaning, utilities and 
fuel, maintenance, miscellaneous services (such as moving, 
evaluation of new materials and equipment, and field 
supervision), and general management and administration of all 
real property related programs including salaries and benefits 
paid from the Federal Buildings Fund.
    Other Programs.--When requested by Federal agencies, the 
Public Buildings Service provides building services, such as 
tenant alterations, cleaning and other operations, and 
protection services which are in excess of those services 
provided under the commercial rental charge. For presentation 
purposes, the balances of the Unconditional Gifts of Real, 
Personal, or Other Property trust fund have been combined with 
the Federal Buildings Fund.

                      CONSTRUCTION AND ACQUISITION

Limitation on availability, 2003 \1\....................    $717,233,565
Limitation on availability, 2004........................     400,568,000
Committee recommendation................................     659,668,000

\1\ Reflects reduction of $254,435 pursuant to section 601 of Public Law 
108-7.

    The Committee recommends $659,668,000 for the construction 
and acquisition account. The Committee recommendation is 
$259,100,000 above the President's request. In addition, the 
Committee has reduced $4,000,000 from the President's request 
for the Champlain Border Station, funds were provided for this 
project in fiscal year 2003.
    Funds provided for construction and acquisition in fiscal 
year 2004 shall be available for the following projects in the 
corresponding amounts:



------------------------------------------------------------------------
Anniston, Alabama United States Courthouse..............      $4,400,000
Blaine, Washington Border Station.......................       9,812,000
Charlotte, North Carolina United States Courthouse......       8,500,000
Champlain, New York Border Station......................      35,031,000
Del Rio, Texas Border Station...........................      23,966,000
Denver, Colorado Federal Center, site remediation.......       6,000,000
Detroit, Michigan Ambassador Bridge Border Station......      25,387,000
Eagle Pass, Texas Border Station........................      31,980,000
Greenville, South Carolina United States Courthouse.....      11,000,000
Harrisburg, Pennsylvania United States Courthouse.......      26,000,000
Houston, Texas Federal Bureau of Investigation..........      58,080,000
Jackman, Maine Border Station...........................       7,712,000
Los Angeles, California United States Courthouse........      50,000,000
McAllen, Texas Border Station...........................      17,938,000
Montgomery County, Maryland Food and Drug Administration      45,000,000
Orlando, Florida United States Courthouse...............       7,200,000
Richmond, Virginia United States Courthouse.............      83,000,000
San Antonio, Texas United States Courthouse.............       8,000,000
San Diego, California Border Station....................      34,211,000
Suitland, Maryland United States Census Bureau..........     146,451,000
Toledo, Ohio United States Courthouse...................       6,500,000
Tuscaloosa, Alabama Federal Building....................       7,500,000
Nonprospectus Construction..............................      10,000,000
------------------------------------------------------------------------

    Courthouse Construction.--The Committee encourages the 
General Services Administration [GSA], the administration, and 
the judiciary to continue to work cooperatively to develop a 
single comprehensive plan upon which courthouse construction 
will be based. The Committee continues to believe that a model 
should incorporate utilization rates, courtroom sharing, and 
safety considerations. The use of cost savings measures and 
careful planning will result in a program that can be 
consistently supported. The Committee notes that it has been 
extremely supportive of addressing the courthouse construction 
backlog. Further, the Committee would remind the Administrative 
Office of the U.S. Courts [AOC] and other organizations that 
the Committee has adhered to the jointly agreed to priority 
list and that the Congress is constrained by overall budget 
resolutions and spending caps from accommodating every request.
    Courtroom Sharing.--The Committee continues to be aware of 
conflicting information regarding the issue of courtroom 
sharing. The Committee is concerned that in spite of the strict 
budgetary pressures facing the Federal Government, AOC fails to 
pursue a policy of fiscal restraint and approaches the Congress 
for increases in courthouse construction funding above the 
Administration's request. The Congress and the Administration 
have worked diligently to reign in court construction costs and 
the Committee will continue to pursue all avenues with respect 
to cost containment with or without the support of the Courts.
    Federal Courthouse, Jackson, Mississippi.--The Committee is 
aware of plans to build a total of 165 parking spaces to create 
parking for the Jackson, Mississippi courthouse. The parking 
need is much greater than what the plans have indicated; 
therefore, the Committee directs GSA to use any excess funds 
from the purchase of land to increase parking at this site.
    Food and Drug Administration at White Oak.--The Committee 
is concerned about delays, cost increases, and an apparent lack 
of a long-range funding plan for the consolidated headquarters 
of the Food and Drug Administration [FDA] at White Oak, 
Maryland. While the Committee recognizes that the scope of the 
project has changed due, in part, to homeland security 
considerations and expanding FDA responsibilities, the delays 
are escalating project costs, requiring extension of costly 
leases, and leaving FDA employees in substandard facilities. 
The Committee therefore expects GSA, in consultation with FDA, 
to submit a plan for funding the remainder of the consolidation 
project as part of its fiscal year 2005 budget submission to 
Congress.

                        REPAIRS AND ALTERATIONS

Limitation on availability, 2003 \1\....................    $951,191,570
Limitation on availability, 2004........................   1,012,729,000
Committee recommendation................................   1,000,939,000

\1\ Reflects reduction of $337,430 pursuant to section 601 of Public Law 
108-7.

    Under this activity, the General Services Administration 
[GSA] executes its responsibility for repairs and alterations 
[R&RA;] of both Government-owned and leased facilities under the 
control of GSA. The primary goal of this activity is to provide 
commercially equivalent space to tenant agencies. Safety, 
quality, and operating efficiency of facilities are given 
primary consideration in carrying out this responsibility.
    R&A; workload requirements originate with scheduled onsite 
inspections of buildings by qualified regional engineers and 
building managers. The work identified through these 
inspections is programmed in order of priority into the repairs 
and alterations construction automated tracking system [RACATS] 
and incorporated into a 5-year plan for accomplishment, based 
upon funding availability, urgency, and the volume of R&A; work 
that GSA has the capability to execute annually. Since fiscal 
year 1995, design and construction services activities 
associated with repair and alteration projects have been funded 
in this account.
    The Committee recommends new obligational authority of 
$1,000,939,000 for repairs and alterations in fiscal year 2004. 
This is a decrease of $11,790,000 below the President's 
request. The recommendation includes a reduction of $9,000,000 
for repairs to the Rogers building in Denver, Colorado to 
offset funds provided for this project in fiscal year 2003.
    Funds provided for repairs and alterations in fiscal year 
2004 shall be available for the following projects in the 
corresponding amounts:



------------------------------------------------------------------------
320 First Street, District of Columbia..................      $7,485,000
Atlanta, Georgia Richard B. Russell Federal Building....      32,173,000
Auburn, Washington Building 7 Federal Building..........      18,315,000
Bellingham, Washington Federal Building (design)........       2,610,000
Boston, Massachusetts John W. McCormack Post Office and       73,037,000
 Courthouse.............................................
Brooklyn, New York Emanuel Celler Courthouse............      65,511,000
Chicago, Illinois Dirksen Courthouse & Kluczynski             24,056,000
 Federal Building.......................................
Columbus, Ohio John W. Bricker Federal Building.........      10,707,000
Denver, Colorado Byron G. Rogers Federal Building--           39,436,000
 Courthouse.............................................
Eisenhower Executive Office Building, District of             65,757,000
 Columbia...............................................
Fargo, North Dakota Federal Building--Post Office.......       5,801,000
Federal Office Building 8, District of Columbia.........     134,872,000
Fire & Life Safety, District of Columbia................      68,188,000
Main Interior Building, District of Columbia............      15,603,000
Seattle, Washington Henry M. Jackson Federal Building...       6,868,000
Springfield, Illinois Paul H. Findley Federal Building--       6,183,000
 Courthouse.............................................
Terre Haute Federal Building--Post Office...............       4,600,000
Special Emphasis Programs:
    Basic Repairs and Alterations.......................     355,000,000
    Chlorofluorocarbons Program.........................       5,000,000
    Energy Program......................................       5,000,000
    Glass Fragmentation Program.........................      20,000,000
    Design Program......................................      34,737,000
------------------------------------------------------------------------

                    INSTALLMENT ACQUISITION PAYMENTS

Limitation on availability, 2003 \1\....................    $178,896,537
Limitation on availability, 2004........................     169,745,000
Committee recommendation................................     169,745,000

\1\ Reflects reduction of $63,463 pursuant to section 601 of Public Law 
108-7.

    The Public Buildings Amendments of 1972 enables GSA to 
enter into contractual arrangements for the construction of a 
backlog of approved but unfunded projects. The purchase 
contracts require the Federal Government to make periodic 
payments on these facilities over varying periods until title 
is transferred to the Government. This activity provides for 
the payment of principal, interest, taxes, and other required 
obligations related to facilities acquired pursuant to the 
Public Buildings Amendments of 1972 (40 U.S.C. 602a).
    The Committee recommends a limitation of $169,745,000 for 
installment acquisition payments. The Committee recommendation 
equals the budget estimate.

                            RENTAL OF SPACE

Limitation on availability, 2003 \1\....................  $3,112,106,997
Limitation on availability, 2004........................   3,388,187,000
Committee recommendation................................   3,278,187,000

\1\ Reflects reduction of $1,104,003 pursuant to section 601 of Public 
Law 108-7.

    GSA is responsible for leasing general purpose space and 
land incident thereto for Federal agencies, except cases where 
GSA has delegated its leasing authority (for example, the 
Department of Veterans Affairs, as well as the Departments of 
Agriculture, Commerce, and Defense). GSA's policy is to lease 
privately owned buildings and land only when: (1) Federal space 
needs cannot be otherwise accommodated satisfactorily in 
existing Government-owned or leased space; (2) leasing proves 
to be more efficient than the construction or alteration of a 
Federal building; (3) construction or alteration is not 
warranted because requirements in the community are 
insufficient or are indefinite in scope or duration; or (4) 
completion of a new Federal building within a reasonable time 
cannot be assured.
    The Committee recommends a limitation of $3,278,187,000 for 
rental of space. The Committee recommendation is $110,000,000 
less than the budget request.

                          BUILDING OPERATIONS

Limitation on availability, 2003 \1\....................  $1,964,463,117
Limitation on availability, 2004........................   1,608,708,000
Committee recommendation................................   1,608,708,000

\1\ Reflects reduction of $696,883 pursuant to section 601 of Public Law 
108-7.

    This activity provides for the operation of all Government-
owned facilities under the jurisdiction of GSA and building 
services in GSA-leased space where the terms of the lease do 
not require the lessor to furnish such services. Services 
included in building operations are cleaning, protection, 
maintenance, payments for utilities and fuel, grounds 
maintenance, and elevator operations. Other related supporting 
services include various real property management and staff 
support activities such as space acquisition and assignment; 
the moving of Federal agencies as a result of space alterations 
in order to provide better space utilization in existing 
buildings; onsite inspection of building services and 
operations accomplished by private contractors; and various 
highly specialized contract administration support functions.
    The space, operations, and services referred to above are 
furnished by GSA to its tenant agencies in return for payment 
of rent. Due to considerations unique to their operation, GSA 
also provides varying levels of above-standard services in 
agency headquarter facilities, including those occupied by the 
Executive Office of the President, such as the east and west 
wings of the White House.
    The Committee recommends a limitation of $1,608,708,000 for 
building operations.
    Environmental Training Program.--The Committee is pleased 
with the significant cost savings recently demonstrated in the 
environmental analysis efforts undertaken by GSA in the 
National Capitol Region. The Committee recommends that GSA 
extend this environmental training and analysis program 
currently underway to other GSA regions. The Committee urges 
GSA to work with its existing partner to preserve continuity 
when expanding this program to the eight other GSA regions. The 
Committee also encourages the utilization of leased employees 
to implement these cost savings programs in other GSA regions 
whenever possible.

                       GOVERNMENTWIDE POLICY \1\

                         salaries and expenses

Appropriations, 2003 \2\................................     $52,326,000
Budget estimate, 2004...................................      74,031,000
Committee recommendation................................      61,781,000

\1\ Account title and structure changed to reflect transfer of Office of 
Citizen Services to Operating Expenses, consistent with the President's 
fiscal year 2004 budget request.
\2\ Reflects reduction of $431,000 pursuant to section 601 of Public Law 
108-7 and $13,547,000 transferred to Operating Expenses.

    The Office of Governmentwide Policy provides for 
Government-wide policy development, support, and evaluation 
functions associated with real and personal property, supplies, 
vehicles, aircraft, information technology, acquisition, 
transportation and travel management. This office also provides 
for the Federal Procurement Data Center, Workplace Initiatives, 
Regulatory Information Service Center, the Catalog of Federal 
Domestic Assistance, and the Committee Management Secretariat. 
The Office of Governmentwide Policy, working cooperatively with 
other agencies, provides the leadership needed to develop and 
evaluate the implementation of policies designed to achieve the 
most cost-effective solutions for the delivery of 
administrative services and sound workplace practices, while 
reducing regulations and empowering employees.
    The Office of Citizen Services provides leadership and 
support for electronic government initiatives and operates the 
official Federal portal through which citizens may access 
Federal information services electronically. The Federal 
Consumer Information Center is part of this office, though 
funded under a separate appropriation.
    The Committee recommends an appropriation of $61,781,000 
for Governmentwide Policy. This amount is $12,250,000 less than 
the budget request. The Committee recommendation deletes 
$12,250,000 that was requested to support the Government-wide 
Interagency Council and has instead continued the general 
provision that allows for the funding of these activities.
    Child Care Centers.--The Committee recommends that funds 
provided to the Office of Policy and Operations continue to be 
used to issue and enforce regulations requiring any entity 
operating a child care center in a facility owned or leased by 
an executive agency to: (1) comply with applicable State and 
local licensing requirements related to the provision of child 
care and (2) comply with center-based accreditation standards 
specified by the Administrator, if such a regulatory program is 
authorized.
    Computers to Schools Program.--The Committee continues to 
be aware that Indian tribal colleges and Alaska Native and 
Native Hawaiian serving institutions are being asked to 
undertake an increasing number of activities in Native 
communities related to education, employment and other training 
as part of the ongoing ``welfare to work'' transition mandated 
by the 1996 welfare reform law. To complement recent private 
sector donations of computers and related equipment to Indian 
tribes and Alaska Native and Native Hawaiian serving 
institutions, as part of its existing ``Computers to Schools'' 
program, the General Services Administration [GSA] is 
encouraged to continue to work with the 31 Indian tribal 
colleges and Alaska Native and Native Hawaiian serving 
institutions to provide assistance to them in developing and 
upgrading the colleges' electronic capabilities. As part of 
this effort, GSA should utilize the 31 tribal colleges and 
Alaska Native and Native Hawaiian serving institutions as a 
discrete evaluation point as it works to meet these equipment 
needs. GSA's technical assistance will further enable the 
tribal colleges and Alaska Native and Native Hawaiian serving 
institutions to provide a higher quality of education to their 
students.
    Telecommuting Centers.--The Committee encourages GSA to 
continue to promote telecommuting centers within the Federal 
Government in the Washington, DC metropolitan area as an 
effective means to provide an alternative workplace.
    Energy Savings Performance Contracts.--Improved energy 
efficiency and conservation at Federal facilities is an 
important component of the economical use of public dollars and 
the protection of the environment. The Committee is aware of 
GSA's leadership in energy and energy cost savings, and in the 
use of Energy Savings Performance Contracts [ESPCs] in 
particular. Since ESPC authority was granted, GSA has entered 
into 30 contracts with annual energy savings totaling 400,000 
million British thermal unit at an aggregated project 
investment amount of $89,000,000. The Committee commends GSA's 
efforts and encourages the expanded use of ESPC contracts by 
GSA and other government agencies at locations where such 
contracts will lead to further energy and energy cost savings.

                           OPERATING EXPENSES

                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $85,536,000
Budget estimate, 2004...................................      85,083,000
Committee recommendation................................      85,083,000

\1\ Reflects reduction of $544,000 pursuant to section 601 of Public Law 
108-7, and reduction of $11,130,000 transferred to Department of 
Homeland Security for FedCIRC, and an increase of $13,547 transferred 
from Policy and Citizen Services.

    Operating Expenses provides funding for Government-wide 
activities associated with the utilization and donation of 
surplus personal property; disposal of real property; 
telecommunications, information technology management, and 
related technology activities; agency-wide policy direction and 
management; ancillary accounting, records management, and other 
support services; services as authorized by 5 U.S.C. 3109; and 
other related operational expenses.
    The Committee recommends an appropriation of $85,083,000 
for the Operating Expenses. The Committee includes the 
following increases: $100,000 for the continued use by Federal 
agencies by the Iowa Communications Network for interactive 
multisite teleconferences; $2,000,000 to reimburse the U.S. 
Soccer Federation for providing security, coordination, and 
direct assistance related to the 2003 Federation of 
International Football Association Women's World Cup 
tournament; $500,000 for the Ruffner Mountain Educational 
Facility in Alabama; $500,000 for the Saenger Restoration 
Project in Alabama; $1,000,000 for the Washington State 
Department of Transportation homeless children school access 
project; $500,000 for the State of Alaska to assist in 
preparation for its Statehood celebration; $500,000 for the 
State of Hawaii to assist in preparation for its Statehood 
celebration; and $350,000 for the Upper Great Plains Native 
American Telehealth program. These increases will have no 
adverse effect on the operating budget due to savings realized 
by the denial of the funds for non-recurring items that was 
retained in the President's request for fiscal year 2004.

                      OFFICE OF INSPECTOR GENERAL

Appropriations, 2003 \1\................................     $37,384,000
Budget estimate, 2004...................................      39,169,000
Committee recommendation................................      39,169,000

\1\ Reflects reduction of $246,000 pursuant to section 601 of Public Law 
108-7, and reduction of $286,000 transferred to the Department of 
Homeland Security.

    This appropriation provides agency-wide audit and 
investigative functions to identify and correct management and 
administrative deficiencies within the General Services 
Administration [GSA], creating conditions for existing or 
potential instances of fraud, waste and mismanagement. This 
audit function provides internal audit and contract audit 
services. Contract audits provide professional advice to GSA 
contracting officials on accounting and financial matters 
relative to the negotiation, award, administration, repricing, 
and settlement of contracts. Internal audits review and 
evaluate all facets of GSA operations and programs, test 
internal control systems, and develop information to improve 
operating efficiencies and enhance customer services. The 
investigative function provides for the detection and 
investigation of improper and illegal activities involving GSA 
programs, personnel, and operations.
    The Committee recommends an appropriation of $39,169,000 
for the Office of Inspector General.

                   ELECTRONIC GOVERNMENT [E-GOV] FUND

Appropriations, 2003 \1\................................      $4,967,500
Budget estimate, 2004...................................      45,000,000
Committee recommendation................................       5,000,000

\1\ Reflects reduction of $32,500 pursuant to section 601 of Public Law 
108-7.

    This program supports interagency ``electronic government'' 
or ``e-gov'' initiatives, i.e., projects that use the Internet 
or other electronic methods to provide individuals, businesses, 
and other government agencies with simpler and more timely 
access to Federal information, benefits, services, and business 
opportunities. The program furthers the Administration's 
implementation of the Government Paperwork Elimination Act 
[GPEA] of 1998, which calls upon agencies to provide the public 
with optional use and acceptance of electronic information, 
services, and signatures, when practicable, by October 2003.
    Proposals for funding must meet capital planning guidelines 
and include adequate documentation to demonstrate a sound 
business case, attention to security and privacy, and a way to 
measure performance against planned results. In addition, a 
small portion of the money could be used for awards to those 
project management teams that delivered the best product to 
meet customer needs.
    The Committee recommends an appropriation of $5,000,000 for 
the Electronic Government Fund. This is $40,000,000 less than 
the budget request and the same amount appropriated for fiscal 
year 2003.

           ALLOWANCES AND OFFICE STAFF FOR FORMER PRESIDENTS

Appropriations, 2003 \1\................................      $3,317,000
Budget estimate, 2004...................................       3,393,000
Committee recommendation................................       3,393,000

\1\ Reflects reduction of $22,000 pursuant to section 601 of Public Law 
108-7.

    This appropriation provides support consisting of pensions, 
office staffs, and related expenses for former Presidents 
Gerald R. Ford, Jimmy Carter, Ronald Reagan, George Bush, and 
William Jefferson Clinton, and for pension and postal franking 
privileges for the widow of former President Lyndon B. Johnson.
    The Committee recommends $3,393,000 for allowances and 
office staff for former Presidents.
    Below is listed a detailed breakdown of the fiscal year 
2004 funding:

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                               Fiscal year 2004 request--former Presidents
                                           --------------------------------------------------  Widows     Total
                                              Ford     Carter    Reagan     Bush     Clinton
----------------------------------------------------------------------------------------------------------------
Personnel Compensation....................        96        96        96        96       113  ........       497
Personnel Benefits........................        24         6        34        52        56  ........       172
Benefits for Former Presidents............       175       175       175       175       180        20       900
Travel....................................        50         2         2        55        41  ........       150
Rental Payments to GSA....................       120       102       145       174       445  ........       986
Communications, Utilities and
 Miscellaneous charges:
    Telephone.............................        20        25        26        14        72  ........       157
    Postage...............................        18        20        10        14        10         2        74
Printing..................................         4         5        12        14         8  ........        43
Other Services............................        10        62        26        67       138  ........       303
Supplies & Materials......................        16         6        13        13        17  ........        65
Equipment.................................         2         9         2        14        19  ........        46
                                           ---------------------------------------------------------------------
      Total Obligations...................       535       508       541       688     1,099        22     3,393
----------------------------------------------------------------------------------------------------------------

          GENERAL PROVISIONS--GENERAL SERVICES ADMINISTRATION

    Section 401 authorizes GSA to credit accounts with certain 
funds received from Government corporations.
    Section 402 authorizes GSA to use funds for the hire of 
passenger motor vehicles.
    Section 403 authorizes GSA to transfer funds within the 
Federal buildings fund for meeting program requirements.
    Section 404 limits funding for courthouse construction 
which does not meet certain standards of a capital improvement 
plan.
    Section 405 provides that no funds may be used to increase 
the amount of occupiable square feet, provide cleaning 
services, security enhancements, or any other service usually 
provided, to any agency which does not pay the requested rate.
    Section 406 allows pilot information technology projects to 
be repaid from the information technology fund.
    Section 407 authorizes GSA to pay claims up to $2,000,000 
from construction projects and acquisition of buildings.
    Section 408 authorizes GSA to acquire 27 acres of land, 
identified as Site 7 and located at 234 Corporate Drive, Pease 
International Tradeport, Portsmouth, New Hampshire 03801 to 
design and construct a new Federal Office Building.

                     Merit Systems Protection Board


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $31,818,825
Budget estimate, 2004...................................      35,503,000
Committee recommendation................................      35,503,000

\1\ Reflects reduction of $208,176 pursuant to section 601 of Public Law 
108-7.

    MSPB assists Federal agencies in running a merit-based 
civil service system. This is accomplished on a case-by-case 
basis through hearing and deciding employee appeals, and on a 
systemic basis by reviewing significant actions and regulations 
of the Office of Personnel Management [OPM] and conducting 
studies of the civil service and other merit systems. These 
actions are designed to assure that personnel actions taken 
against employees are processed within the law, and that 
actions taken by OPM and other agencies support and enhance 
Federal merit principles.
    The Committee recommends an appropriation of $35,503,000 
for the Merit Systems Protection Board [MSPB].

 Morris K. Udall Scholarship and Excellence in National Environmental 
                           Policy Foundation


   FEDERAL PAYMENT TO MORRIS K. UDALL SCHOLARSHIP AND EXCELLENCE IN 
                NATIONAL ENVIRONMENTAL POLICY FOUNDATION

Appropriations, 2003 \1\................................      $1,983,026
Budget estimate, 2004...................................         372,000
Committee recommendation................................       1,996,000

\1\ Reflects reduction of $12,974 pursuant to section 601 of Public Law 
108-7.

    The General Fund payment to the Morris K. Udall Fund is 
invested in Treasury securities with maturities suitable to the 
needs of the Fund. Interest earnings from the investments are 
used to carry out the activities of the Morris K. Udall 
Foundation. The Foundation awards scholarships, fellowships and 
grants, and funds activities of the Udall Center.
    Public Law 106-568 authorized the Morris K. Udall 
Foundation to establish training programs for professionals in 
health care policy and public policy, such as the Native 
Nations Institute [NNI]. NNI, based at the University of 
Arizona, will provide Native Americans with leadership and 
management training and analyze policies relevant to tribes.
    The Committee recommends an appropriation of $1,996,000 for 
these activities of the Morris K. Udall Foundation. The 
Committee includes language to allow up to 60 percent of the 
appropriation to be used for the expenses of the Native Nations 
Institute. The Committee also includes language requiring the 
Foundation to report to the House and Senate Committees on 
Appropriations on the amount of funding, if any, transferred 
from the Trust Fund for the Native Nations Institute and 
justification for such transfers. This report should include an 
itemization of planned Native Nations Institute expenditures 
for fiscal year 2004. Future budget justifications submitted to 
Congress regarding this effort are to contain detailed 
information on the actual expenditures of past years as well as 
detailed information on planned expenditures for the current 
and future budget years.

         MORRIS K. UDALL ENVIRONMENTAL DISPUTE RESOLUTION FUND

Appropriations, 2003 \1\................................      $1,300,492
Budget estimate, 2004...................................         700,000
Committee recommendation................................       1,309,000

\1\ Reflects reduction of $8,509 pursuant to section 601 of Public Law 
108-7.

    The U.S. Institute for Environmental Conflict Resolution is 
a Federal program established by Public Law 105-156 to assist 
parties in resolving environmental, natural resource, and 
public lands conflicts. The Institute is part of the Morris K. 
Udall Foundation, and serves as an impartial, non-partisan 
institution providing professional expertise, services, and 
resources to all parties involved in such disputes. The 
Institute helps parties determine whether collaborative problem 
solving is appropriate for specific environmental conflicts, 
how and when to bring all the parties together for discussion, 
and whether a third-party facilitator or mediator might be 
helpful in assisting the parties in their efforts to each 
consensus or to resolve the conflict. In addition, the 
Institute maintains a roster of qualified facilitators and 
mediators with substantial experience in environmental conflict 
resolution, and can help parties in selecting an appropriate 
neutral.

              National Archives and Records Administration


                           OPERATING EXPENSES

Appropriations, 2003 \1\................................    $248,250,813
Budget estimate, 2004...................................     294,105,000
Committee recommendation................................     258,191,000

\1\ Reflects reduction of $1,624,188 pursuant to section 601 of Public 
Law 108-7.

    NARA provides for basic operations dealing with management 
of the Federal Government's archives and records, operation of 
Presidential Libraries, and for the review for declassification 
of classified security information.
    The Committee recommends an appropriation of $258,191,000 
for Operating Expenses of the National Archives and archived 
Federal records and related activities. This amount is 
$35,914,000 less than the budget request due to the deferment 
of funding for the Electronic Records Archives.
    Electronic Records Archives.--National Archives and Records 
Administration [NARA] is developing an Electronic Records 
Archives [ERA] that will ensure the preservation of and access 
to Government electronic records. ERA will preserve electronic 
records generated in a variety of formats, and enable 
requesters to access them on computer systems now and in the 
future. The upcoming system development tasks include 
completing a systems requirement specification, system 
architecture, and system design for ERA.
    The Committee recognizes that the development of ERA is a 
substantial undertaking due to the sheer volume and complexity 
of the records that are generated by the Federal Government. 
This effort is further complicated by the dynamic and evolving 
nature of information technology development and the fact that 
this is the first system of its kind.
    The General Accounting Office [GAO] and the National 
Academies of Science have reviewed NARA's initial development 
plans for ERA, identified areas of risk, and made 
recommendations for improvement. In particular, the Committee 
is concerned with the GAO's assertion that NARA may be unable 
to independently track the cost and schedule of the ERA 
project. Given both the importance and obvious magnitude of 
ERA, the Committee intends to carefully monitor NARA's 
acquisition plans, staffing levels and ability to meet 
established deadlines. In that regard, the Committee directs 
GAO to provide a further progress report on NARA's development 
of ERA and to report its findings to the House and Senate 
Committees on Appropriations by May 22, 2004.

              ARCHIVES FACILITIES REPAIRS AND RESTORATION

Appropriations, 2003 \1\................................     $14,115,648
Budget estimate, 2004...................................       6,458,000
Committee recommendation................................      13,483,000

\1\ Reflects reduction of $92,352 pursuant to section 601 of Public Law 
108-7.

    This account provides for the repair, alteration, and 
improvement of Archives facilities and Presidential Libraries 
nationwide, and provides adequate storage for holdings. It will 
better enable the National Archives to maintain its facilities 
in proper condition for public visitors, researchers, and 
employees in NARA facilities, and also maintain the structural 
integrity of the buildings. These funds will determine 
appropriate options for preserving and providing access to 20th 
century military service records. These funds will allow NARA 
to complete preliminary design studies and analysis, including 
workflow and cost estimates, for housing and access options for 
these massive and valuable records. Technology and facility 
approaches will also be examined.
    The Committee recommends an appropriation of $13,483,000. 
The Committee has included $2,025,000 to complete the purchase 
of land in Anchorage, Alaska, to build a new regional archives 
and record facility. The funds will be used to reimburse the 
General Service Administration for land acquisition services 
and for the purchase of approximately 10 acres of land. The 
recommendation also provides $5,000,000 for the repair and 
restoration of the plaza that surrounds the Lyndon Baines 
Johnson Presidential Library at the University of Texas.

        National Historical Publications and Records Commission


                             GRANTS PROGRAM

Appropriations, 2003 \1\................................      $6,457,750
Budget estimate, 2004...................................       5,000,000
Committee recommendation................................       5,000,000

\1\ Reflects reduction of $42,250 pursuant to section 601 of Public Law 
108-7.

    The National Historical Publications and Records Commission 
[NHPRC] provides grants nationwide to preserve and publish 
records that document American history. Administered within the 
National Archives, which preserves Federal records, NHPRC helps 
State, local, and private institutions preserve non-Federal 
records, helps publish the papers of major figures in American 
history, and helps archivists and records managers improve 
their techniques, training, and ability to serve a range of 
information users.
    The Committee recommends an appropriation of $5,000,000.

                  National Transportation Safety Board


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $71,979,075
Budget estimate, 2004...................................      71,480,000
Committee recommendation................................      72,170,000

\1\ Reflects reduction of $470,925 pursuant to section 601 of Public Law 
108-7.

    The National Transportation Safety Board [NTSB], as an 
independent nonregulatory agency, is charged with promoting 
transportation safety through the investigation of accidents, 
the conduct of special studies, the development of 
recommendations to prevent accidents, the evaluation of the 
effectiveness of other Government agencies in preventing 
transportation accidents, and the review of appeals of adverse 
certificate and civil penalty actions taken by the 
Administrators of agencies of the Department of Transportation 
involving airman and seaman certificates and licenses.
    The bill includes $72,170,000 for the National 
Transportation Safety Board. The Committee recommendation is 
$690,000 more than the budget request to allow NTSB to maintain 
its current staffing level.
    Child Safety Seats.--The Committee notes that not all child 
safety seats that meet National Highway Traffic Safety 
Administration standards are certified by the Federal Aviation 
Administration for air travel. Likewise, seats are not 
adequately labeled to make it clear to airline personnel 
whether seats are permitted aboard aircraft causing delays 
during boarding as the passenger searches for evidence of FAA 
certification. To alleviate this problem, the National 
Transportation Safety Board, in consultation with the 
appropriate modal administrations and industry groups, should 
make recommendations for unified standards that meet both NHTSA 
and FAA requirements. Such recommendations should include 
clear, conspicuous, and consistent labeling requirements on the 
packaging and the seat to inform both consumers and airline 
personnel.

                           EMERGENCY FUNDING

Appropriations, 2003....................................................
Budget estimate, 2004 (limitation)......................        $600,000
Committee recommendation................................         600,000

    The National Transportation Safety Board is mandated by 
Congress to investigate all catastrophic transportation 
accidents and, therefore, has no control over the frequency of 
costly accident investigations. The emergency fund provides a 
funding mechanism by which periodic accident investigation cost 
fluctuations can be met without delaying critical phases of the 
investigations.
    For fiscal year 2004, the administration has requested a 
funding level of $600,000 to replenish the emergency fund to 
its authorized level of $2,000,000. The Committee has provided 
the requested amount.

                      Office of Government Ethics


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................     $10,488,000
Budget estimate, 2004...................................      10,738,000
Committee recommendation................................      10,738,000

\1\ Reflects reduction of $89,000 pursuant to section 601 of Public Law 
108-7.

    OGE is charged by law to provide overall direction of 
Executive Branch policies designed to prevent conflicts of 
interest and ensure high ethical standards. OGE carries out 
these responsibilities by developing rules and regulations 
pertaining to conflicts of interest, post employment 
restrictions, standards of conduct, and public and confidential 
financial disclosure in the Executive Branch; by monitoring 
compliance with the public and confidential disclosure 
requirements of the Ethics Reform Act of 1978 and the Ethics 
Reform Act of 1989 to determine possible violations of 
applicable laws or regulations and recommending appropriate 
corrective action; by consulting with and assisting various 
officials in evaluating the effectiveness of applicable laws 
and the resolution of individual problems; and by preparing 
formal advisory opinions, informal letter opinions, policy 
memoranda, and Federal Register entries on how to interpret and 
comply with the requirements on conflicts of interest, post 
employment, standards of conduct, and financial disclosure.
    The Committee recommends an appropriation of $10,738,000 
for salaries and expenses of the Office of Government Ethics 
[OGE] in fiscal year 2004.

                     Office of Personnel Management


                         SALARIES AND EXPENSES

Appropriations, 2003 \1\................................    $128,644,000
Budget estimate, 2004...................................     118,748,000
Committee recommendation................................     118,748,000

\1\ Reflects reduction of $842,000 pursuant to section 601 of Public Law 
108-7.

    The Office of Personnel Management [OPM] is the Federal 
Government agency responsible for management of Federal human 
resources policy and oversight of the merit civil service 
system. Although individual agencies are increasingly 
responsible for personnel operations, OPM provides a 
Governmentwide policy framework for personnel matters, advises 
and assists agencies (often on a reimbursable basis), and 
ensures that agency operations are consistent with requirements 
of law on issues such as veterans preference. OPM oversees 
examining of applicants for employment, issues regulations and 
policies on hiring, classification and pay, training, 
investigations, other aspects of personnel management, and 
operates a reimbursable training program for the Federal 
Government's managers and executives. OPM is also responsible 
for administering the retirement, health benefits and life 
insurance programs affecting most Federal employees, retired 
Federal employees, and their survivors.
    The Committee recommends an appropriation of $118,748,000 
for the salaries and expenses of the Office of Personnel 
Management [OPM].
    Retirement Systems Modernization.--The Committee is aware 
that the Office of Personnel Management initiated a Retirement 
Systems Modernization Program in 1997 to automate and 
streamline the manual and paper-intensive business processes 
used to administer the Federal employee retirement program. Two 
years ago, the Committee recommended that OPM reach out to GAO 
for guidance and support because OPM could benefit from the 
experiences that GAO has documented with other Federal agency 
modernization projects. OPM did not act on the Committee's 
suggestion, therefore, last year, the Committee directed OPM to 
conduct quarterly meetings with GAO on the progress of the IT 
modernization project. These meetings did not occur quarterly. 
Instead, only one meeting occurred in 2002 and none in 2003. 
The Committee is now aware that this mufti-year effort has been 
plagued with problems. The Committee is disappointed by this 
lack of cooperation and therefore directs GAO to do a 
comprehensive audit on the problems and any mismanagement of 
the modernization project.

                               limitation


                       (TRANSFER OF TRUST FUNDS)

Limitation, 2003........................................    $120,006,000
Budget estimate, 2004...................................     135,914,000
Committee recommendation................................     135,914,000

    These funds will be transferred from the appropriate trust 
funds of the Office of Personnel Management to cover 
administrative expenses for the retirement and insurance 
programs.
    The Committee recommends a limitation of $135,914,000.

                      OFFICE OF INSPECTOR GENERAL

                         salaries and expenses

Appropriations, 2003 \1\................................      $1,509,000
Budget estimate, 2004...................................       1,498,000
Committee recommendation................................       1,498,000

\1\ Reflects reduction of $10,000 pursuant to section 601 of Public Law 
108-7.

    The Office of Inspector General is charged with 
establishing policies for conducting and coordinating efforts 
which promote economy, efficiency, and integrity in the Office 
of Personnel Management's activities which prevent and detect 
fraud, waste, and mismanagement in the agency's programs. 
Contract audits provide professional advice to agency 
contracting officials on accounting and financial matters 
regarding the negotiation, award, administration, repricing, 
and settlement of contracts. Internal agency audits review and 
evaluate all facets of agency operations, including financial 
statements. Evaluation and inspection services provide detailed 
technical evaluations of agency operations. Insurance audits 
review the operations of health and life insurance carriers, 
health care providers, and insurance subscribers. The 
investigative function provides for the detection and 
investigation of improper and illegal activities involving 
programs, personnel, and operations. Administrative sanctions 
debar from participation in the health insurance program those 
health care providers whose conduct may pose a threat to the 
financial integrity of the program itself or to the well-being 
of insurance program enrollees.
    The Committee recommends an appropriation of $1,498,000 for 
salaries and expenses of the Office of Inspector General in 
fiscal year 2004.

               (LIMITATION ON TRANSFER FROM TRUST FUNDS)

Limitation, 2003........................................     $10,815,000
Budget estimate, 2004...................................      14,427,000
Committee recommendation................................      14,427,000

    The Committee recommends a limitation on transfers from the 
trust funds in support of the Office of Inspector General 
activities totaling $14,427,000 for fiscal year 2004.

      government payment for annuitants, employees health benefits

Appropriations, 2003....................................  $6,853,000,000
Budget estimate, 2004...................................   7,219,000,000
Committee recommendation................................   7,219,000,000

    This appropriation covers the Government's share of the 
cost of health insurance for annuitants covered by the Federal 
Employees Health Benefits Program and the Retired Federal 
Employees Health Benefits Act of 1960, as well as 
administrative expenses incurred by OPM for these programs.
    The Committee recommends an appropriation of $7,219,000,000 
for Government payments for annuitants, employees health 
benefits.

       government payment for annuitants, employee life insurance

Appropriations, 2003....................................     $34,000,000
Budget estimate, 2004...................................      35,000,000
Committee recommendation................................      35,000,000

    Public Law 96-427, the Federal Employees' Group Life 
Insurance Act of 1980 requires that all employees under the age 
of 65 who separate from the Federal Government for purposes of 
retirement on or after January 1, 1990, continue to make 
contributions toward their basic life insurance coverage after 
retirement until they reach the age of 65. These retirees will 
contribute two-thirds of the cost of the basic life insurance 
premium, identical to the amount contributed by active Federal 
employees for basic life insurance coverage. As with the active 
Federal employees, the Government is required to contribute 
one-third of the cost of the premium for basic coverage. OPM, 
acting as the payroll office on behalf of Federal retirees, has 
requested, and the Committee has provided, the funding 
necessary to make the required Government contribution 
associated with annuitants' postretirement life insurance 
coverage.
    The Committee recommends an appropriation of $35,000,000 
for the Government payment for annuitants, employee life 
insurance. This amount equals the budget request.

        payment to civil service retirement and disability fund

Appropriations, 2003....................................  $9,410,000,000
Budget estimate, 2004...................................   9,987,000,000
Committee recommendation................................   9,987,000,000

    The civil service retirement and disability fund was 
established in 1920 to administer the financing and payment of 
annuities to retired Federal employees and their survivors. The 
fund covers the operation of the Civil Service Retirement 
System and the Federal Employees' Retirement System.
    This appropriation provides for the Government's share of 
retirement costs, transfers of interest on the unfunded 
liability and annuity disbursements attributable to military 
service, and survivor annuities to eligible former spouses of 
some annuitants who did not elect survivor coverage.
    The Committee recommends an appropriation of $9,987,000,000 
for payment to the civil service retirement and disability 
fund. The Committee recommendation equals the budget estimate.

                     HUMAN CAPITAL PERFORMANCE FUND

Appropriations, 2003....................................................
Budget estimate, 2004...................................    $500,000,000
Committee recommendation................................................

    The Human Capital Performance Fund is designed to create 
performance-driven pay systems for employees and reinforce the 
value of employee performance management systems. The 
administration proposes providing additional pay over and above 
any annual, across-the-board pay raise to certain civilian 
employees based on individual or organizational performance 
and/or other critical agency human capital needs. Under the 
proposal the current GS system would remain unchanged. 
Individual employees would remain at their existing GS levels 
and on schedule for all routine pay raises such as a within-
grade increase. Any pay increase received from the Fund would 
be treated as increases to base pay for retirement and other 
purposes and would stay with an employee throughout his/her 
career.
    The Committee agrees with the concept but denies the 
creation of the Human Capital Performance Fund. The Committee 
believes that an initiative of this type should be budgeted and 
administered within each individual agency.

                       Office of Special Counsel


                         salaries and expenses

Appropriations, 2003 \1\................................     $12,368,000
Budget estimate, 2004...................................      13,504,000
Committee recommendation................................      13,504,000

\1\ Reflects reduction of $81,000 pursuant to section 601 of Public Law 
108-7.

    OSC investigates Federal employee allegations of prohibited 
personnel practices and, when appropriate, prosecutes cases 
before the Merit Systems Protection Board and enforces the 
Hatch Act. OSC also provides a channel for whistleblowing by 
Federal employees, and may transmit whistleblowing allegations 
to the agency head concerned and require an agency 
investigation and a report to Congress and the President when 
appropriate.
    The Committee recommends an appropriation of $13,504,000 
for the Office of Special Counsel [OSC].

                      United States Postal Service


                   PAYMENT TO THE POSTAL SERVICE FUND

Appropriations, 2003 \1\................................     $76,121,000
Budget estimate, 2004...................................      65,521,000
Committee recommendation................................      65,521,000

\1\ Reflects reduction of $498,000 pursuant to section 601 of Public Law 
108-7.

    Pursuant to Public Law 93-328, the fiscal year 2004 
appropriation request of the U.S. Postal Service for Payment to 
the Postal Service Fund is $65,521,000. This amount includes: 
$55,685,000 requested for free mail for the blind and overseas 
voting; $19,164,000 as a reconciliation adjustment for 2001 
actual mail volume of free mail for the blind and overseas 
voting; and $29,000,000 for prior years' liability under the 
Revenue Forgone Reform Act of 1993. In addition to these funds, 
$31,014,000 (an advance appropriation from 2003 for the 2003 
costs and the 2000 reconciliation adjustment for free mail for 
the blind and overseas voting) will become available to the 
U.S. Postal Service in fiscal year 2004.
    Revenue forgone on free and reduced-rate mail enables 
postage rates to be set at levels below the unsubsidized rates 
for certain categories of mail as authorized by subsections (c) 
and (d) of section 2401 of title 39, United States Code. Free 
mail for the blind and overseas voters will continue to be 
provided at the funding level recommended by the Committee.
    The Committee recommends a total of $65,521,000 in fiscal 
year 2004 funding and advanced appropriations for payments to 
the Postal Service Fund.
    The Committee includes provisions in the bill that would 
assure that mail for overseas voting and mail for the blind 
shall continue to be free; that 6-day delivery and rural 
delivery of mail shall continue at the 1983 level; and that 
none of the funds provided be used to consolidate or close 
small rural and other small post offices in fiscal year 2004. 
These are services that must be maintained in fiscal year 2004 
and beyond.
    The Committee believes that 6-day mail delivery is one of 
the most important services provided by the Federal Government 
to its citizens. Especially in rural and small town America, 
this critical postal service is the linchpin that serves to 
bind the Nation together.
    The Committee is aware that the Postal Service has had a 
freeze on construction of new postal facilities since 2001. 
There are some areas in desperate need of a new facility. The 
Committee directs the Postal Service to evaluate these needs 
and report within 60 days of the enactment of this Act on the 
current conditions of these Post Offices and when a replacement 
will be built.
    Post Office Hours of Operation.--The Committee is aware of 
the U.S. Postal Service efforts to promote efficiency by 
reducing the hours of operation at certain Post Offices across 
the nation. The Committee is concerned that the Postal Service 
has reduced customer service hours without adequate 
consideration of peak hour public use. The Committee directs 
the Postal Service to work with the various communities 
including East Brewton, Alabama, to review the hours of 
operation that will best serve the community and report to the 
Committees on Appropriations on the results of the review.
    Memphis, Tennessee.--The Committee is aware of efforts by 
the city of Memphis, Tennessee, to relocate certain U.S. Postal 
Service facilities from their current position on the Memphis 
Riverfront to another location. The Committee directs the U.S. 
Postal Service to enter into discussions with the city of 
Memphis regarding plans to relocate the U.S. Postal Service and 
customer service center that is currently located in the 
Customs House building. Relocation of these facilities will 
reconnect downtown to the riverfront and facilitate 
revitalization efforts.

                        United States Tax Court


                         salaries and expenses

Appropriations, 2003 \1\................................     $37,063,000
Budget estimate, 2004...................................      40,187,000
Committee recommendation................................      40,187,000

\1\ Reflects reduction of $242,000 pursuant to section 601 of Public Law 
108-7.

    The U.S. Tax Court is an independent judicial body in the 
legislative branch under article I of the Constitution of the 
United States. The court is composed of a chief judge and 18 
judges. Decisions by the court are reviewable by the U.S. 
Courts of Appeals and, if certiorari is granted, by the Supreme 
Court.
    In their judicial duties the judges are assisted by senior 
judges, who participate in the adjudication of regular cases, 
and by special trial judges, who hear small tax cases and 
certain regular cases assigned to them by the chief judge.
    The court conducts trial sessions throughout the United 
States, including Hawaii and Alaska. The matters over which the 
Court has jurisdiction are set forth in various sections of 
title 26 of the United States Code.
    Tax Court Independent Counsel Fund.--This fund is 
established pursuant to 26 U.S.C. 7475. The fund is used by the 
Tax Court to employ independent counsel to pursue disciplinary 
matters involving practitioners admitted to practice before the 
Court.
    Tax Court Judges Survivors Annuity Fund.--This fund 
established pursuant to 26 U.S.C. 7448, is used to pay 
survivorship benefits to eligible surviving spouses and 
dependent children of deceased judges of the U.S. Tax Court. 
Participating judges pay 3.5 percent of their salaries or 
retired pay into the fund to cover creditable service for which 
payment is required. Additional funds, as are needed, are 
provided through the annual appropriation to the U.S. Tax 
Court.
    The Committee recommends an appropriation of $40,187,000 
for the U.S. Tax Court.

      White House Commission on the National Moment of Remembrance

Appropriations, 2003 \1\................................        $248,000
Budget estimate, 2003...................................         250,000
Committee recommendation................................         250,000

\1\ Reflects reduction of $2,000 pursuant to section 601 of Public Law 
108-7.

    The Commission was established and authorized by Public Law 
106-579. The Commission will also accept gifts and generate 
product royalty revenue in order to revitalize the national 
understanding and commemoration of Memorial Day.
    The Committee recommends an appropriation of $250,000 for 
the White House Commission on the National Moment of 
Remembrance. This is the same as the President's request.

                STATEMENT CONCERNING GENERAL PROVISIONS

    The Transportation, Treasury and General Government 
appropriation bill includes general provisions which govern 
both the activities of the agencies covered by the bill, and, 
in some cases, activities of agencies, programs, and general 
government activities that are not covered by the bill. General 
provisions that are governmentwide in scope are contained in 
title VI of this bill.
    The bill contains a number of general provisions that have 
been carried in this bill for years and which are routine in 
nature and scope. General provisions in the bill are explained 
under this section of the report. Those general provisions that 
deal with a single agency only are shown immediately following 
that particular agency's or department's appropriation accounts 
in the bill. Those general provisions that address activities 
or directives affecting all of the agencies covered in this 
bill are contained in title V.

                  TITLE V--GENERAL PROVISIONS THIS ACT

    Section 501 allows funds for maintenance and operation of 
aircraft; motor vehicles; liability insurance; uniforms; or 
allowances, as authorized by law.
    Section 502 requires pay raises to be absorbed within 
appropriated levels in this Act or previous appropriations 
Acts.
    Section 503 limits appropriations for services authorized 
by 5 U.S.C. 3109 not to exceed the rate for an Executive Level 
IV.
    Section 504 prohibits funds in this Act for salaries and 
expenses of more than 106 political and Presidential appointees 
in the Department of Transportation, and prohibits political 
and Presidential personnel to be assigned on temporary detail 
outside the Department of Transportation or an independent 
agency funded in this Act.
    Section 505 prohibits pay and other expenses for non-
Federal parties in regulatory or adjudicatory proceedings 
funded in this Act.
    Section 506 prohibits obligations beyond the current fiscal 
year and prohibits transfers of funds unless expressly so 
provided herein.
    Section 507 limits consulting service expenditures.
    Section 508 prohibits funds for the implementation of 
section 404 of title 23, U.S.C.
    Section 509 prohibits recipients of funds made available in 
this Act to release personal information, including a social 
security number, medical or disability information, and 
photographs from a driver's license or motor vehicle record 
without express consent of the person to whom such information 
pertains; and prohibits the Secretary from withholding funds 
provided in this Act for any grantee if a State is in 
noncompliance with this provision.
    Section 510 allows funds received by the Federal Highway 
Administration, Federal Transit Administration, and the Federal 
Railroad Administration from States, counties, municipalities, 
other public authorities, and private sources for expenses 
incurred for training may be credited to each agency's 
respective accounts.
    Section 511 authorizes the Secretary of Transportation to 
allow issuers of any preferred stock to redeem or repurchase 
preferred stock sold to the Department of Transportation.
    Section 512 prohibits funds in this Act to make a grant 
unless the Secretary of Transportation notifies the House and 
Senate Committees on Appropriations at least 3 full business 
days before any discretionary grant award, letter of intent, or 
full funding grant agreement totaling $1,000,000 or more is 
announced by the Department or its modal administration.
    Section 513 allows rebates, refunds, incentive payments, 
minor fees and other funds received by the Department of 
Transportation from travel management center, charge card 
programs, subleasing of building space and miscellaneous 
sources are to be credit to appropriations of the Department of 
Transportation.
    Section 514 prohibits funds for the Office of the Secretary 
of Transportation to approve assessments or reimbursable 
agreements pertaining to funds appropriated to the modal 
administrations in this Act, unless such assessments or 
agreements have completed the normal reprogramming process for 
Congressional notification.
    Section 515 requires the Secretary of Transportation to 
submit a report to the House and Senate Appropriations 
Committee annually on the safety and security of transportation 
into the United States by Mexico-domiciled motor carriers.
    Section 516 prohibits funds in this Act to be transferred 
without express authority.
    Section 517 limits the fiscal year 2004 Working Capital 
Fund for the Department of Transportation.
    Section 518 amends prior Surface Transportation Laws, ISTEA 
High Priority Corridors.
    Section 519 allows that amounts from improper payments to a 
third party contractor that are lawfully recovered by the 
Department of Transportation shall be available to cover 
expenses incurred in recovery of such payments.
    Section 520 authorizes the transfer of unexpended sums from 
``Minority Business Outreach'' to ``Office of the Secretary, 
Salaries and expenses''.
    Section 521 limits expenditures for consulting service 
through procurement contracts where such expenditures are a 
matter of public record and available for public inspection.
    Section 522 ensures that the proposed rules fully and 
accurately reflect the finding in the General Accounting Office 
regarding the adequacy of the Department's procedures.
    Section 523 protects employment rights of Federal employees 
who return to their civilian jobs after assignment with the 
Armed Forces.
    Section 524 prohibits the use of funds in compliance with 
the Buy American Act.
    Section 525 sense of the Congress to purchase only 
American-made equipment and products.
    Section 526 prohibits any person from intentionally 
affixing a label bearing a ``Made in America'' inscription or 
any inscription with the same meaning to products not made in 
America; such person will be ineligible to receive any contract 
or subcontract pursuant to this Act.
    Section 527 ensures that 50 percent of unobligated balances 
may remain available for certain purposes.
    Section 528 restricts the use of funds for the White House 
to request official background reports without the written 
consent of the individual who is the subject of the report.
    Section 529 ensures that the cost accounting standard shall 
not apply with respect to a contract under the Federal 
Employees Health Benefits Program.
    Section 530 reference non-foreign area cost of living 
allowances.
    Section 531 prohibits the use of funds by any person or 
entity convicted of violating the Buy American Act.
    Section 532 allows bridges that are owned and operated by a 
State agency whose toll revenues are administered by a 
Metropolitan Plan Organization to use toll revenues for other 
transportation costs.
    Section 533 reduces certain activities within 
administrative accounts by $128,076,000 to be administered by 
the Director, Office of Management and Budget within 30 days of 
enactment of this Act.
    Section 534 prohibits the use of funds in title I of this 
Act to change weight restrictions or prior permission rules at 
Teterboro Airport.
    Section 535 extends the Breast Cancer Stamp authorization 
(39 U.S.C. 414(h)) until 2005.
    Section 536 directs FTA and FHWA to work with the Utah 
Transit Authority and the Utah Department of Transportation to 
coordinate the development of the regional commuter rail and 
the northern segment of I-15 reconstruction in Wasatch Front 
corridor extending from Brigham City to Payson, Utah.

 TITLE VI--GENERAL PROVISIONS, DEPARTMENTS, AGENCIES, AND CORPORATIONS

    Section 601 authorizes agencies to pay travel costs of the 
families of Federal employees on foreign duty to return to the 
United States in the event of death or a life threatening 
illness of an employee.
    Section 602 requires agencies to administer a policy 
designed to ensure that all of its workplaces are free from the 
illegal use of controlled substances.
    Section 603 limits the price on vehicles to be purchased by 
the Federal Government.
    Section 604 allows funds made available to agencies for 
travel to also be used for quarters allowances and cost-of-
living allowances.
    Section 605 prohibits the Government, with certain 
specified exceptions, from employing non-U.S. citizens whose 
posts of duty would be in the continental United States.
    Section 606 ensures that agencies will have authority to 
pay the General Services Administration bills for space 
renovation and other services.
    Section 607 allows agencies to finance the costs of 
recycling and waste prevention programs with proceeds from the 
sale of materials recovered through such programs.
    Section 608 provides that funds may be used to pay rent and 
other service costs in the District of Columbia.
    Section 609 prohibits the use of appropriated funds to pay 
the salary of any nominee after the Senate voted not to approve 
the nomination.
    Section 610 precludes interagency financing of groups 
absent prior statutory approval.
    Section 611 authorizes the Postal Service to employ guards.
    Section 612 prohibits the use of appropriated funds for 
enforcing regulations disapproved in accordance with the 
applicable law of the United States.
    Section 613 limits the pay increases of certain prevailing 
rate employees.
    Section 614 limits the amount that can be used for 
redecoration of offices under certain circumstances.
    Section 615 permits interagency funding of national 
security and emergency preparedness telecommunications 
initiatives, which benefit multiple Federal departments, 
agencies, and entities.
    Section 616 requires agencies to certify that a schedule C 
appointment was not created solely or primarily to detail the 
employee to the White House.
    Section 617 requires agencies to administer a policy 
designed to ensure that all of its workplaces are free from 
discrimination and sexual harassment.
    Section 618 prohibits the use of funds to prevent Federal 
employees from communicating with Congress or to take 
disciplinary or personnel actions against employees for such 
communication.
    Section 619 prohibits training not directly related to the 
performance of official duties.
    Section 620 prohibits the expenditure of funds for the 
implementation of agreements in certain nondisclosure policies 
unless certain provisions are included in the policies.
    Section 621 prohibits use of appropriated funds for 
publicity or propaganda designed to support or defeat 
legislation pending before Congress.
    Section 622 prohibits use of appropriated funds by an 
agency to provide Federal employees home address to labor 
organizations.
    Section 623 prohibits the use of appropriated funds to 
provide nonpublic information such as mailing or telephone 
lists to any person or organization outside of the Government.
    Section 624 prohibits the use of appropriated funds for 
publicity or propaganda purposes within the United States not 
authorized by Congress.
    Section 625 directs agencies employees to use official time 
in an honest effort to perform official duties.
    Section 626 authorizes the use of current fiscal year funds 
to finance an appropriate share of the Joint Financial 
Management Improvement Program.
    Section 627 authorizes agencies to transfer funds to or 
reimburse the Policy and Operations account of GSA to finance 
an appropriate share of the Joint Financial Management 
Improvement Program.
    Section 628 prohibits the use of funds in this or any other 
Act to operate an online employment information service for the 
Federal Government under quotation number SOLO30000003 or to 
prohibit any agency from using appropriated funds as they see 
fit to independently contract with private companies to provide 
online employment applications and processing services.
    Section 629 authorizes breastfeeding at any location in a 
Federal building or on Federal property.
    Section 630 permits interagency funding of the National 
Science and Technology Council.
    Section 631 requires identification of the Federal agencies 
providing Federal funds and the amount provided for all 
proposals, solicitations, grant applications, forms, 
notifications, press releases, or other publications related to 
the distribution of funding to a State.
    Section 632 continues a provision which extends the 
authorization for franchise fund pilots for 1 year with 
modification.
    Section 633 continues a provision prohibiting the use of 
funds to monitor personal information relating to the use of 
Federal internet sites; the conferees apply this provision 
government-wide.
    Section 634 continues a provision regarding contraceptive 
coverage under the Federal Employees Health Benefits Plan.
    Section 635 clarifies that the United States Anti-Doping 
Agency is the official anti-doping agency for Olympic, Pan 
American, and Paralympic sport in the United States.
    Section 636 is a new provision regarding Federal employee 
pay adjustments.
    Section 637 directs departments and agencies to comply with 
the Rural Development Act of 1972.
    Section 638 prohibits the purchase of a product or service 
offered by the Federal Prison Industries, Inc., unless the 
Agency making such purchase determines that such product or 
service provides the best value.
    Section 639 allows the use of appropriated funds for 
official travel by Federal departments and agencies to 
participate in the fractional aircraft ownership pilot program.
    Section 640 requires each Department and Agency to evaluate 
the creditworthiness of an individual before issuing the 
individual a government purchase charge card or travel card.
    Sections 641 prohibits the expenditure of funds for the 
acquisition of additional Federal Law Enforcement Training 
facilities.
    Section 642 requires each agency to report on competitive 
sourcing activities.

  COMPLIANCE WITH PARAGRAPH 7, RULE XVI, OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 7 of rule XVI requires that Committee reports on 
general appropriations bills identify each Committee amendment 
to the House bill ``which proposes an item of appropriation 
which is not made to carry out the provisions of an existing 
law, a treaty stipulation, or an act or resolution previously 
passed by the Senate during that session.''
    The Committee recommends the following appropriations which 
lack authorization:

                      DEPARTMENT OF TRANSPORTATION

    Office of the Secretary of Transportation: Payments to air 
carriers
    Federal Aviation Administration:
    Operations
    Facilities and equipment
    Research, engineering and development
    Grants-in-aid to airports
    Small community air service development
    Federal Highway Administration:
    Federal-aid highways
    Appalachian development highway system
    Motor Carrier Safety Administration:
    Motor carrier safety
    National motor carrier safety program
    Border enforcement program
    National Highway Traffic Safety Administration:
    Operations and research
    Highway traffic safety grants
    National driver register
    Federal Railroad Administration:
    Safety and operations
    Alaska railroad rehabilitation
    Grants to the National Railroad Passenger Corporation
    Federal Transit Administration:
    Administrative expenses
    Formula grants
    University transportation centers
    Transit planning and research
    Capitol investment grants
    Job access and reverse commute grants
    St. Lawrence Seaway Development Corporation
    Maritime Administration:
    Maritime security program
    Operations and training
    Ship disposal
    Maritime loan guarantee loan program
    Research and Special Programs Administration: Research and 
special programs, hazardous materials safety
    Bureau of Transportation Statistics (drawdown from Federal-
aid highways)
    Surface Transportation Board

                       DEPARTMENT OF THE TREASURY

    Departmental Offices:
    Salaries and expenses
    Department-wide Systems and Capital Investments Program
    Air Transportation Stabilization Program
    Treasury Building and annex, repair and restoration
    Financial Crimes Enforcement Network, salaries and expenses
    Financial Management Service, salaries and expenses
    Internal Revenue Service:
    Processing, assistance, and management
    Tax law enforcement
    Earned Income Tax Credit
    Information systems

                   EXECUTIVE OFFICE OF THE PRESIDENT

    The White House Office, salaries and expenses
    Office of Homeland Security
    Executive Residence at the White House, operating expenses
    Special Assistance to the President, salaries and expenses
    Council of Economic Advisers, salaries and expenses
    National Security Council, salaries and expenses
    Office of Administration, salaries and expenses
    Office of Management and Budget, salaries and expenses
    Office of National Drug Control Policy, salaries and 
expenses
    Counterdrug Technology Assessment Center, salaries and 
expenses
    High-intensity drug trafficking areas

                          INDEPENDENT AGENCIES

    Federal Election Commission, salaries and expenses
    Federal Labor Relations Authority, salaries and expenses
    General Services Administration, Federal buildings fund, 
limitations on availability of revenue: Construction and 
Acquisition of Facilities
    National Historical Publications and Records Commission
    National Transportation Safety Board
    Office of Government Ethics, salaries and expenses
    U.S. Tax Court, salaries and expenses

COMPLIANCE WITH PARAGRAPH 7(C), RULE XXVI, OF THE STANDING RULES OF THE 
                                 SENATE

    Pursuant to paragraph 7(c) of rule XXVI, on September 4, 
2003, the Committee ordered reported en bloc: S. 1585, an 
original bill making appropriations for the Departments of 
Commerce, Justice, and State, the judiciary, and related 
agencies for the fiscal year ending September 30, 2004; S. 
1589, an original bill making appropriations for the 
Departments of Transportation and Treasury, the Executive 
Office of the President, and certain independent agencies for 
the fiscal year ending September 30, 2004; and S. 1584, an 
original bill making appropriations for the Departments of 
Veterans Affairs and Housing and Urban Development, and for 
sundry independent agencies, boards, commissions, corporations, 
and offices for the fiscal year ending September 30, 2004; each 
subject to amendment and each subject to the budget 
allocations, by a recorded vote of 29-0, a quorum being 
present. The vote was as follows:
        Yeas                          Nays
Chairman Stevens
Mr. Cochran
Mr. Specter
Mr. Domenici
Mr. Bond
Mr. McConnell
Mr. Burns
Mr. Shelby
Mr. Gregg
Mr. Bennett
Mr. Campbell
Mr. Craig
Mrs. Hutchison
Mr. DeWine
Mr. Brownback
Mr. Byrd
Mr. Inouye
Mr. Hollings
Mr. Leahy
Mr. Harkin
Ms. Mikulski
Mr. Reid
Mr. Kohl
Mrs. Murray
Mr. Dorgan
Mrs. Feinstein
Mr. Durbin
Mr. Johnson
Ms. Landrieu

 COMPLIANCE WITH PARAGRAPH 12, RULE XXVI OF THE STANDING RULES OF THE 
                                 SENATE

    Paragraph 12 of rule XXVI requires that Committee reports 
on a bill or joint resolution repealing or amending any statute 
or part of any statute include ``(a) the text of the statute or 
part thereof which is proposed to be repealed; and (b) a 
comparative print of that part of the bill or joint resolution 
making the amendment and of the statute or part thereof 
proposed to be amended, showing by stricken-through type and 
italics, parallel columns, or other appropriate typographical 
devices the omissions and insertions which would be made by the 
bill or joint resolution if enacted in the form recommended by 
the committee.''
    In compliance with this rule, the following changes in 
existing law proposed to be made by the bill are shown as 
follows: existing law to be omitted is enclosed in black 
brackets; new matter is printed in italic; and existing law in 
which no change is proposed is shown in roman.
    With respect to this bill, it is the opinion of the 
Committee that it is necessary to dispense with these 
requirements in order to expedite the business of the Senate.

                                            BUDGETARY IMPACT OF BILL
  PREPARED IN CONSULTATION WITH THE CONGRESSIONAL BUDGET OFFICE PURSUANT TO SEC. 308(a), PUBLIC LAW 93-344, AS
                                                     AMENDED
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                  Budget authority               Outlays
                                                             ---------------------------------------------------
                                                               Committee    Amount of    Committee    Amount of
                                                               allocation      bill      allocation      bill
----------------------------------------------------------------------------------------------------------------
Comparison of amounts in the bill with Committee allocations
 to its subcommittees of amounts in the Budget Resolution
 for 2004: Subcommittee on Transportation and Treasury:
    Mandatory...............................................       17,518       17,518       17,516   \1\ 17,516
    General purpose.........................................       26,041       26,038       33,397   \1\ 33,397
    Highway.................................................  ...........  ...........       31,555   \1\ 31,555
    Mass transit............................................        1,461        1,461        6,634    \1\ 6,632
Projection of outlays associated with the recommendation:
    2004....................................................  ...........  ...........  ...........   \2\ 47,575
    2005....................................................  ...........  ...........  ...........        7,310
    2006....................................................  ...........  ...........  ...........        2,740
    2007....................................................  ...........  ...........  ...........        1,640
    2008 and future years...................................  ...........  ...........  ...........        1,821
Financial assistance to State and local governments for                NA        1,713           NA       10,437
 2004.......................................................
----------------------------------------------------------------------------------------------------------------
\1\ Includes outlays from prior-year budget authority.
\2\ Excludes outlays from prior-year budget authority.

NA: Not applicable.


  COMPARATIVE STATEMENT OF NEW BUDGET (OBLIGATIONAL) AUTHORITY FOR FISCAL YEAR 2003 AND BUDGET ESTIMATES AND AMOUNTS RECOMMENDED IN THE BILL FOR FISCAL
                                                                        YEAR 2004
                                                                [In thousands of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                         Senate Committee recommendation compared with (+ or
                                                                                                                                  -)
             Item                     2003              Budget        House allowance      Committee    -----------------------------------------------------
                                  appropriation   estimate        deg.         recommendation         2003              Budget            House
                                                                                                           appropriation   estimate  allowance
------------------------------------------------------------------------------------------------------------------------- -----------------------------------

    TITLE I--DEPARTMENT OF

    Office of the Secretary

Salaries and expenses.........           87,574            108,931            91,276            +3,702           -17,655
    Immediate Office of the              (2,197)  .................           (2,500)            (+303)          (+2,500)
     Secretary................
    Immediate Office of the                (804)  .................             (706)             (-98)            (+706)
     Deputy Secretary.........
    Immediate office of the     ................            (5,149)  ................  ................          (-5,149)
     Secretary and Deputy
     Secretary................
    Office of the General               (15,555)           (15,992)          (15,403)            (-152)            (-589)
     Counsel..................
    Office of the Under                 (12,371)           (12,717)          (12,312)             (-59)            (-405)
     Secretary for
     Transportation Policy....
    Office of the Assistant              (8,321)            (8,630)           (8,536)            (+215)             (-94)
     Secretary for Budget and
     Programs.................
    Office of the Assistant              (2,437)            (2,518)           (2,477)             (+40)             (-41)
     Secretary for
     Governmental Affairs.....
    Office of the Assistant             (28,882)           (34,351)          (28,882)  ................          (-5,469)
     Secretary for
     Administration...........
    Office of Public Affairs..           (1,913)            (1,982)           (1,915)              (+2)             (-67)
    Executive Secretariat.....           (1,382)  .................           (1,458)             (+76)          (+1,458)
    Board of Contract Appeals.             (607)              (730)             (700)             (+93)             (-30)
    Office of Small and                  (1,296)            (1,268)           (1,268)             (-28)  ................
     Disadvantaged Business
     Utilization..............
    Office of Intelligence and  ................            (2,225)           (1,792)          (+1,792)            (-433)
     Security.................
    Office of the Chief                 (13,101)           (23,369)          (13,327)            (+226)         (-10,042)
     Information Officer......
    Transfer to Homeland                (-1,292)  .................  ................          (+1,292)  ................
     Security.................
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal................          (87,574)          (108,931)          (91,276)          (+3,702)         (-17,655)

Office of Civil Rights........            8,643              8,569             8,569               -74   ................
Transportation planning,                 20,864             10,836            15,836            -5,028            +5,000
 research, and development....
Working capital fund..........         (131,766)  .................         (116,715)         (-15,051)        (+116,715)
Minority business resource                  894                900               900                +6   ................
 center program...............
    (Limitation on guaranteed           (18,367)           (18,367)          (18,367)  ................  ................
     loans)...................
Minority business outreach....            2,981              3,000             3,000               +19   ................
New headquarters building.....  ................            45,000   ................  ................          -45,000
Payments to air carriers                 51,761   .................           52,000              +239           +52,000
 (Airport & Airway Trust Fund)
                               =========================================================================================================================
      Total, Office of the              172,717            177,236           171,581            -1,136            -5,655
       Secretary..............

       Federal Aviation
        Administration

Operations....................        7,023,070          7,590,648         7,535,648          +512,578           -55,000

Facilities & equipment                2,961,645          2,916,000         2,916,000           -45,645   ................
 (Airport & Airway Trust Fund)
    Rescission (Airport and             -20,000   .................  ................          +20,000   ................
     Airway Trust Fund).......
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, F&E...........;        2,941,645          2,916,000         2,916,000           -25,645   ................

Research, engineering, and              147,485            100,000           118,939           -28,546           +18,939
 development (Airport and
 Airway Trust Fund)...........
Grants-in-aid for airports
 (Airport and Airway
 TrustFund):
    (Liquidation of contract         (3,100,000)        (3,400,000)       (3,400,000)        (+300,000)  ................
     authorization)...........
    (Limitation on                   (3,377,900)        (3,400,000)       (3,400,000)         (+22,100)  ................
     obligations).............
        (Small community air            (20,000)  .................  ................         (-20,000)  ................
         service pilot
         program).............
                               -------------------------------------------------------------------------------------------------------------------------
          Subtotal, Grants-in-       (3,377,900)        (3,400,000)       (3,400,000)         (+22,100)  ................
           aid................

Aviation insurance revolving    ................  .................  ................  ................  ................
 fund.........................
                               =========================================================================================================================
      Total, Federal Aviation        10,132,200         10,606,648        10,570,587          +438,387           -36,061
       Administration.........
          (Limitations on            (3,377,900)        (3,400,000)       (3,400,000)         (+22,100)  ................
           obligations).......
          Rescissions.........          -20,000   .................  ................          +20,000   ................
                               -------------------------------------------------------------------------------------------------------------------------
            Subtotal..........      (13,490,100)       (14,006,648)      (13,970,587)        (+480,487)         (-36,061)

Federal Highway Administration

Limitation on administrative           (314,071)          (338,834)         (337,834)         (+23,763)          (-1,000)
 expenses.....................
    (Border enforcement                (106,897)  .................  ................        (-106,897)  ................
     program).................
Federal-aid highways (Highway       (31,593,300)       (29,293,948)      (33,843,000)      (+2,249,700)      (+4,549,052)
 Trust Fund): (Limitation on
 obligations).................
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal (limitations on      (31,593,300)       (29,293,948)      (33,843,000)      (+2,249,700)      (+4,549,052)
       obligations) (HTF).....

(Exempt obligations)..........         (884,329)          (931,297)         (931,297)         (+46,968)  ................
(Liquidation of contract            (32,000,000)       (30,000,000)      (34,000,000)      (+2,000,000)      (+4,000,000)
 authorization)...............
Miscellaneous appropriations             -5,609   .................  ................           +5,609   ................
 (rescission).................
Miscellaneous rescission of            -250,000   .................         -156,000           +94,000          -156,000
 contract authority...........
Appalachian development                 186,778   .................          150,000           -36,778          +150,000
 highway system...............
                               =========================================================================================================================
      Total, Federal Highway            186,778   .................          150,000           -36,778          +150,000
       Administration.........
          (Limitations on           (31,593,300)       (29,293,948)      (33,843,000)      (+2,249,700)      (+4,549,052)
           obligations).......
          (Exempt obligations)         (884,329)          (931,297)         (931,297)         (+46,968)  ................
          Rescissions.........           -5,609   .................  ................           +5,609   ................
          Rescissions of               -250,000   .................         -156,000           +94,000          -156,000
           contract authority.
                               -------------------------------------------------------------------------------------------------------------------------
            Net total, FHWA...      (32,408,798)       (30,225,245)      (34,768,297)      (+2,359,499)      (+4,543,052)

 Federal Motor Carrier Safety
        Administration

Motor carrier safety                   (116,700)          (224,406)         (245,972)        (+129,272)         (+21,566)
 (limitation on administrative
 expenses) (limitation on
 obligations).................
National motor carrier safety
 program (Highway Trust Fund):
    (Liquidation of contract           (190,000)          (222,594)         (190,000)  ................         (-32,594)
     authorization)...........
    (Limitation on                     (188,765)          (222,594)         (190,000)          (+1,235)         (-32,594)
     obligations).............
    Border inspection station   ................  .................          (47,000)         (+47,000)         (+47,000)
     construction (Highway
     Trust fund)..............
                               =========================================================================================================================
      Total, Federal Motor      ................  .................  ................  ................  ................
       Carrier Safety Admin...
          (Limitations on              (305,465)          (447,000)         (435,972)        (+130,507)         (-11,028)
           obligations).......

   National Highway Traffic
     Safety Administration

Operations and research.......          137,389            126,058   ................         -137,389          -126,058
Operations and research (HTF).  ................  .................         (148,102)        (+148,102)        (+148,102)
Operations and research
 (Highway trust fund):
    (Liquidation of contract            (72,000)           (88,452)          (72,000)  ................         (-16,452)
     authorization)...........
    (Limitation on                      (71,532)           (88,452)          (72,000)            (+468)         (-16,452)
     obligations).............
National Driver Register                  1,987              3,600             3,600            +1,613   ................
 (Highway trust fund).........
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Operations and         (210,908)          (218,110)         (223,702)         (+12,794)          (+5,592)
       research...............

Highway traffic safety grants
 (Highway Trust Fund):
    (Liquidation of contract           (225,000)          (447,000)         (225,000)  ................        (-222,000)
     authorization)...........
    (Limitation on
     obligations):............
        Highway safety                 (163,928)          (387,000)         (165,000)          (+1,072)        (-222,000)
         programs (Sec. 402)..
        Occupant protection             (19,870)  .................          (20,000)            (+130)         (+20,000)
         incentive grants
         (Sec. 405)...........
        Alcohol-impaired                (39,740)  .................          (40,000)            (+260)         (+40,000)
         driving
         countermeasures
         grants (Sec. 410)....
    Emergency medical services  ................           (10,000)  ................  ................         (-10,000)
     grants (Sec. 407)........
    State traffic safety info   ................           (50,000)  ................  ................         (-50,000)
     system improvement grants
     (Sec. 412)...............
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, limitation on          (223,538)          (447,000)         (225,000)          (+1,462)        (-222,000)
       obligations............
                               =========================================================================================================================
      Total, National Highway           139,376            129,658             3,600          -135,776          -126,058
       Traffic Safety Admin...
          (Limitations on              (295,070)          (535,452)         (297,000)          (+1,930)        (-238,452)
           obligations).......
                               -------------------------------------------------------------------------------------------------------------------------
            Total budgetary            (434,446)          (665,110)         (300,600)        (-133,846)        (-364,510)
             resources........

       Federal Railroad
        Administration

Safety and operations.........          116,600            131,175           130,825           +14,225              -350
Railroad research and                    29,134             35,025            34,225            +5,091              -800
 development..................
Amtrack RRIF repayment          ................  .................            3,000            +3,000            +3,000
 deferment....................
Pennsylvania Station                     19,870   .................  ................          -19,870   ................
 Redevelopment project
 (advance appropriation.......
Next generation high-speed               30,252             23,200            29,350              -902            +6,150
 rail.........................
Alaska Railroad rehabilitation           21,857   .................           25,000            +3,143           +25,000
Grants to the National                1,043,175            900,000         1,346,000          +302,825          +446,000
 Railroad Passenger
 Corporation..................
                               =========================================================================================================================
      Total, Federal Railroad         1,260,888          1,089,400         1,568,400          +307,512          +479,000
       Administration.........

Federal Transit Administration

Administrative expenses.......           14,505             76,500            14,600               +95           -61,900
Administrative expenses                 (58,020)  .................          (58,400)            (+380)         (+58,400)
 (Highway Trust Fund,
 MassTransit Account)
 (limitation on obligations)..
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Administrative          (72,525)           (76,500)          (73,000)            (+475)          (-3,500)
       expenses...............

Formula grants................          762,809   .................          767,800            +4,991          +767,800
Formula grants (Highway Trust        (3,051,237)        (5,615,406)       (3,071,240)         (+20,003)      (-2,544,166)
 Fund) (limitation on
 obligations).................
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Formula grants       (3,814,046)        (5,615,406)       (3,839,040)         (+24,994)      (-1,776,366)

University transportation                 1,192   .................            1,200                +8            +1,200
 research.....................
University transportation                (4,769)  .................           (4,800)             (+31)          (+4,800)
 research (Highway Trust Fund,
 Mass Transit Acct)
 (limitation on obligations)..
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, University               (5,961)  .................           (6,000)             (+39)          (+6,000)
       transportation research

Transit planning and research.           24,043   .................           24,400              +357           +24,400
Transit planning and research           (97,164)  .................          (97,600)            (+436)         (+97,600)
 (Highway Trust Fund, Mass
 Transit Account) (limitation
 on obligations)..............
    Flexible funding..........  ................  .................  ................  ................  ................
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Transit                (121,207)  .................         (122,000)            (+793)        (+122,000)
       planning and research..

Rural transportation                     (5,216)  .................           (5,250)             (+34)          (+5,250)
 assistance...................
National transit institute....           (3,974)  .................           (4,000)             (+26)          (+4,000)
Transit cooperative research..           (8,196)  .................           (8,250)             (+54)          (+8,250)
Metropolitan planning.........          (59,993)  .................          (60,386)            (+393)         (+60,386)
State planning................          (12,532)  .................          (12,614)             (+82)         (+12,614)
National planning and research          (31,295)  .................          (31,500)            (+205)         (+31,500)
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Transit                (121,206)  .................         (122,000)            (+794)        (+122,000)
       planning and research..

Trust fund share of expenses         (5,781,000)          (320,594)       (5,844,000)         (+63,000)      (+5,523,406)
 (Highway Trust Fund)
 (liquidation of contract
 authorization)...............
Capital investment grants.....          603,253          1,213,500           628,000           +24,747          -585,500
Capital investment grants            (2,413,013)          (320,594)       (2,512,000)         (+98,987)      (+2,191,406)
 (Highway Trust Fund, Mass
 Transit Account) (limitation
 on obligations)..............
    Flexible funding..........  ................  .................  ................  ................  ................
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Capital              (3,016,266)        (1,534,094)       (3,140,000)        (+123,734)      (+1,605,906)
       investment grants......

Fixed guideway modernization..       (1,214,400)  .................       (1,214,000)            (-400)      (+1,214,000)
Buses and bus-related                  (607,200)  .................         (607,200)  ................        (+607,200)
 facilities...................
New starts....................       (1,214,400)  .................       (1,318,800)        (+104,400)      (+1,318,800)
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal................       (3,036,000)  .................       (3,140,000)        (+104,000)      (+3,140,000)

Job access and reverse commute           29,805   .................           25,000            -4,805           +25,000
 grants.......................
    (Highway Trust Fund, Mass          (119,220)  .................         (100,000)         (-19,220)        (+100,000)
     Transit Account)
     (limitation on
     obligations).............
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Job access and         (149,025)  .................         (125,000)         (-24,025)        (+125,000)
       reverse commute grants.
                               =========================================================================================================================
      Total, Federal Transit          1,435,607          1,290,000         1,461,000           +25,393          +171,000
       Administration.........
          (Limitations on            (5,743,423)        (5,936,000)       (5,844,040)        (+100,617)         (-91,960)
           obligations).......
                               -------------------------------------------------------------------------------------------------------------------------
            Total budgetary          (7,179,030)        (7,226,000)       (7,305,040)        (+126,010)         (+79,040)
             resources, FTA...

     Saint Lawrence Seaway
    Development Corporation

Operations and maintenance               13,994             14,400            14,400              +406   ................
 (Harbor Maintenance Trust
 Fund)........................

    Maritime Administration

Maritime security program.....           98,058             98,700            98,700              +642   ................
Operations and training.......           92,093            104,400           106,000           +13,907            +1,600
Ship disposal.................           11,088             11,422            18,422            +7,334            +7,000
Vessel operations revolving     ................  .................  ................  ................  ................
 fund.........................

Maritime Guaranteed Loan
 (Title XI) Program Account:
    Administrative expenses...            4,099              4,498             4,498              +399   ................
    Supplemental                         25,000   .................  ................          -25,000   ................
     appropriations (Public
     Law 108-11)..............
                               -------------------------------------------------------------------------------------------------------------------------
      Total, Maritime                   230,338            219,020           227,620            -2,718            +8,600
       Administration.........
                               =========================================================================================================================
 Research and Special Programs
        Administration

Research and special programs.           40,714             51,000            42,516            +1,802            -8,484
Pipeline safety:
    Pipeline Safety Fund......           56,370             48,336            50,429            -5,941            +2,093
    Oil Spill Liability Trust             7,423             18,741            17,183            +9,760            -1,558
     Fund.....................
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal, Pipeline                 63,793             67,077            67,612            +3,819              +535
       safety program (incl
       reserve)...............

Emergency preparedness grants:
    Emergency preparedness                  199                200               200                +1   ................
     fund.....................
    Limitation on emergency             (14,300)           (14,300)          (14,300)  ................  ................
     preparedness fund........
                               =========================================================================================================================
      Total, Research and               104,706            118,277           110,328            +5,622            -7,949
       Special Programs Admin.

  Office of Inspector General

Salaries and expenses.........           54,912             55,000            56,000            +1,088            +1,000

 Surface Transportation Board

Salaries and expenses.........           19,320             19,521            19,521              +201   ................
    Offsetting collections....           -1,000             -1,050            -1,050               -50   ................
                               -------------------------------------------------------------------------------------------------------------------------
      Total, Surface                     18,320             18,471            18,471              +151   ................
       Transportation Board...

   Bureau of Transportation
          Statistics

Office of airline information   ................             3,971   ................  ................           -3,971
 (Airport & Airway Trust Fund)
                               =========================================================================================================================
      Net total, title I,            13,474,227         13,722,081        14,195,987          +721,760          +473,906
       Department of
       Transportation.........
          Appropriations......      (13,749,836)       (13,722,081)      (14,351,987)        (+602,151)        (+629,906)
          Rescissions.........         (-25,609)  .................  ................         (+25,609)  ................
          Rescission of               (-250,000)  .................        (-156,000)         (+94,000)        (-156,000)
           contract authority.
          (By transfer).......  ................  .................  ................  ................  ................
          (Transfer authority)  ................  .................  ................  ................  ................
          (Limitations on           (41,315,158)       (39,612,400)      (43,820,012)      (+2,504,854)      (+4,207,612)
           obligations).......
          (Exempt obligations)         (884,329)          (931,297)         (931,297)         (+46,968)  ................
                               -------------------------------------------------------------------------------------------------------------------------
            Net total               (55,673,714)       (54,265,778)      (58,947,296)      (+3,273,582)      (+4,681,518)
             budgetary
             resources........
                               =========================================================================================================================
Transportation discretionary         13,474,227         13,722,081        14,195,987          +721,760          +473,906
 total........................

  TITLE II--DEPARTMENT OF THE
           TREASURY

Departmental Offices..........          157,669            166,875           174,809           +17,140            +7,934
Department-wide systems and              36,653             36,928            36,928              +275   ................
 capital investments programs.
Office of Inspector General...           11,092   .................           12,687            +1,595           +12,687
Treasury Inspector General for          124,198   .................          128,034            +3,836          +128,034
 Tax Administration...........
Treasury Inspector General....  ................           134,949   ................  ................         -134,949
Air Transportation                        6,002              2,538             2,538            -3,464   ................
 Stabilization Program Account
Treasury Building and Annex              28,744             25,000            25,000            -3,744   ................
 Repair and Restoration.......
Expanded Access to Financial              1,987   .................  ................           -1,987   ................
 Services.....................
Financial Crimes Enforcement             51,416             57,571            57,571            +6,155   ................
 Network......................
Interagency Law Enforcement:            106,877   .................  ................         -106,877   ................
 Interagency crime and drug
 enforcement..................
Financial Management Service..          220,634            228,606           228,558            +7,924               -48
Alcohol and Tobacco Tax and              79,480             80,000            80,000              +520   ................
 Trade Bureau.................
Bureau of the Public Debt.....          188,833            173,698           173,652           -15,181               -46
Payment of government losses              1,000                500               500              -500   ................
 in shipment..................
Internal Revenue Service:
    Processing, Assistance,           3,930,064          4,074,694         4,048,238          +118,174           -26,456
     and Management...........
    Tax Law Enforcement.......        3,849,884          3,976,641         4,172,808          +322,924          +196,167
    Earned Income Tax Credit            145,051            251,167   ................         -145,051          -251,167
     Compliance Initiative....
    Information Systems.......        1,621,833          1,670,039         1,590,962           -30,871           -79,077
    Business systems                    363,621            429,000           429,000           +65,379   ................
     modernization............
    Health Insurance Tax                 69,545             35,000            35,000           -34,545   ................
     Credit Administration....
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal................        9,979,998         10,436,541        10,276,008          +296,010          -160,533
                               =========================================================================================================================
      Total, title II,               10,994,583         11,343,206        11,196,285          +201,702          -146,921
       Department of the
       Treasury...............
          Appropriations......       10,994,583         11,343,206        11,196,285          +201,702          -146,921
          Rescissions.........  ................  .................  ................  ................  ................
                               =========================================================================================================================
TITLE III--EXECUTIVE OFFICE OF
    THE PRESIDENT AND FUNDS
 APPROPRIATED TO THE PRESIDENT

Compensation of the President
 and the White House Office:
    Compensation of the                     450   .................              450   ................             +450
     President................
    Salaries and Expenses.....           50,385   .................           61,937           +11,552           +61,937
Homeland Security Council.....           19,272   .................            8,331           -10,941            +8,331
Executive Residence at the
 White House:
    Operating Expenses........           12,149   .................           12,501              +352           +12,501
    White House Repair and                1,192   .................            4,225            +3,033            +4,225
     Restoration..............
Special Assistance to the
 President and the Official
 Residence of the Vice
 President:
    Salaries and Expenses.....            4,040              4,461             4,461              +421   ................
    Operating expenses........              322                331               331                +9   ................
Council of Economic Advisers..            3,739   .................            4,502              +763            +4,502
Office of Policy Development..            3,230   .................            4,109              +879            +4,109
National Security Council.....            7,770   .................           10,551            +2,781           +10,551
Office of Administration......           90,910   .................           77,164           -13,746           +77,164
The White House...............  ................           183,770   ................  ................         -183,770
Office of Management and                 61,988             77,417            75,417           +13,429            -2,000
 Budget.......................

Office of National Drug
 Control Policy:
    Salaries and expenses.....           26,284             27,290            27,997            +1,713              +707
    Counterdrug Technology               47,688             40,000            42,000            -5,688            +2,000
     Assessment Center........
                               -------------------------------------------------------------------------------------------------------------------------
      Subtotal................           73,972             67,290            69,997            -3,975            +2,707

Federal Drug Control Programs:
    High Intensity Drug                 224,879            206,350           226,350            +1,471           +20,000
     Trafficking Areas Program
    Other Federal Drug Control          221,749            250,000           174,000           -47,749           -76,000
     Programs.................
Unanticipated Needs...........              993              1,000             1,000                +7   ................
                               =========================================================================================================================
      Total, title III,                 777,040            790,619           735,326           -41,714           -55,293
       Executive Office of the
       President and Funds
       Appropriated to the
       President..............
                               =========================================================================================================================
  TITLE IV--RELATED AGENCIES

Architectural and                         5,160              5,401             5,401              +241   ................
 Transportation Barriers
 Compliance Board: Salaries
 and expenses.................
National Transportation Safety
 Board:
    Salaries and expenses.....           71,979             71,480            72,170              +191              +690
    Emergency fund............  ................               600               600              +600   ................
Committee for Purchase From               4,628              4,629             4,725               +97               +96
 People Who Are Blind or
 Severely Disabled............
Federal Election Commission...           49,542             50,440            50,440              +898   ................
Election Assistance
 Commission:
    Salaries and expenses.....            2,000             10,000             1,000            -1,000            -9,000
    Election reform programs..          833,000            490,000           499,000          -334,000            +9,000
Federal Labor Relations                  28,762             29,611            29,611              +849   ................
 Authority....................
Federal Maritime Commission...           16,591             18,471            18,471            +1,880   ................
General Services
 Administration:
    Federal Buildings Fund:
        Appropriations........          373,269            217,000           407,000           +33,731          +190,000
        Limitations on
         availability of
         revenue:
            Construction and           (717,488)          (400,568)         (659,668)         (-57,820)        (+259,100)
             acquisition of
             facilities.......
            Repairs and                (951,529)        (1,012,729)       (1,000,939)         (+49,410)         (-11,790)
             alterations......
            Installment                (178,960)          (169,745)         (169,745)          (-9,215)  ................
             acquisition
             payments.........
            Rental of space...       (3,113,211)        (3,388,187)       (3,278,187)        (+164,976)        (-110,000)
            Building                 (1,526,459)        (1,608,708)       (1,608,708)         (+82,249)  ................
             Operations.......
                               -------------------------------------------------------------------------------------------------------------------------
              Subtotal,              (6,487,647)        (6,579,937)       (6,717,247)        (+229,600)        (+137,310)
               limitations....

            Repayment of Debt.          (79,685)           (54,256)          (54,256)         (-25,429)  ................
            Rental income to    ................  .................  ................  ................  ................
             fund.............
                               -------------------------------------------------------------------------------------------------------------------------
              Total, Federal            373,269            217,000           407,000           +33,731          +190,000
               Buildings Fund.
                  (Limitations       (6,567,332)        (6,634,193)       (6,771,503)        (+204,171)        (+137,310)
                 )............
                               =========================================================================================================================
    Policy and Citizen                   65,873   .................  ................          -65,873   ................
     Services.................
    Governmentwide policy.....  ................            74,031            61,781           +61,781           -12,250
    Operating Expenses........           72,027             85,083            85,083           +13,056   ................
    Office of Inspector                  37,670             39,169            39,169            +1,499   ................
     General..................
    Electronic Government (E-             4,968             45,000             5,000               +32           -40,000
     Gov) Fund................
    Allowances and Office                 3,317              3,393             3,393               +76   ................
     Staff for Former
     Presidents...............
    Election Reform                      14,902   .................  ................          -14,902   ................
     Reimbursements...........
    Election Reform Payments..          650,000   .................  ................         -650,000   ................
Federal building project (sec.  ................  .................           13,669           +13,669           +13,669
 408).........................
                               -------------------------------------------------------------------------------------------------------------------------
      Total, General Services         1,222,026            463,676           615,095          -606,931          +151,419
       Administration.........
                               =========================================================================================================================

Merit Systems Protection
 Board:
    Salaries and Expenses.....           31,819             35,503            35,503            +3,684   ................
    Limitation on                         2,609   .................  ................           -2,609   ................
     administrative expenses..
Morris K. Udall Foundation:
    Morris K. Udall Trust Fund            1,983                372             1,996               +13            +1,624
    Environmental Dispute                 1,300                700             1,309                +9              +609
     Resolution Fund..........
National Archives and Records
 Administration:
    Operating expenses........          248,251            294,105           258,191            +9,940           -35,914
    Reduction of debt.........           -7,186             -7,810            -7,810              -624   ................
    Repairs and Restoration...           14,116              6,458            13,483              -633            +7,025
    National Historical                   6,458              5,000             5,000            -1,458   ................
     Publications and Records
     Commission: Grants
     program..................
                               -------------------------------------------------------------------------------------------------------------------------
      Total, National Archives          261,639            297,753           268,864            +7,225           -28,889
       and Records Admin......
                               =========================================================================================================================
Office of Government Ethics...           10,488             10,738            10,738              +250
Office of Personnel
 Management:
    Salaries and Expenses.....          128,644            118,748           118,748            -9,896   ................
        Limitation on                   120,006            135,914           135,914           +15,908   ................
         administrative
         expenses.............
    Office of Inspector                   1,509              1,498             1,498               -11   ................
     General..................
        Limitation on                    10,815             14,427            14,427            +3,612   ................
         administrative
         expenses.............
    Government Payment for            6,853,000          7,219,000         7,219,000          +366,000   ................
     Annuitants, Employees
     Health Benefits..........
    Government Payment for               34,000             35,000            35,000            +1,000   ................
     Annuitants, Employee Life
     Insurance................
    Payment to Civil Service          9,410,000          9,987,000         9,987,000          +577,000   ................
     Retirement and Disability
     Fund.....................
    Human Capital Performance   ................           500,000   ................  ................         -500,000
     Fund.....................
                               -------------------------------------------------------------------------------------------------------------------------
      Total, Office of               16,557,974         18,011,587        17,511,587          +953,613          -500,000
       Personnel Management...

Office of Special Counsel.....           12,368             13,504            13,504            +1,136   ................

Postal Service:
    Payment to the Postal                28,811             29,000            29,000              +189   ................
     Service Fund.............
          Advance                        47,309             31,014            31,014           -16,295   ................
           appropriation,
           fiscal years 2002/
           2003...............
          Advance                        30,812             36,521            36,521            +5,709   ................
           appropriation,
           fiscal year 2004...
                               =========================================================================================================================
            Total, Postal
             Service:.........
                Fiscal year              76,120             60,014            60,014           -16,106   ................
                 2002/2003....
                Fiscal year              30,812             36,521            36,521            +5,709   ................
                 2004.........
                               =========================================================================================================================
United States Tax Court.......           37,063             40,187            40,187            +3,124   ................
White House Commission on the               248                250               250                +2   ................
 National Momentof
 Rememberance.................
                               =========================================================================================================================
      Total, title IV,               19,258,111         19,651,437        19,276,986           +18,875          -374,451
       Independent Agencies...
                               =========================================================================================================================
 Title V--General Provisions,
           This Act

Surface transportation                   90,011   .................  ................          -90,011   ................
 projects (Sec. 330)..........
Excess stabilization resources          -90,000   .................  ................          +90,000   ................
 (rescission) (Sec. 333)......
LRFA program (rescission)                  -690   .................  ................             +690   ................
 (Sec. 343)...................
Iowa rail infrastructure rehab              686   .................  ................             -686   ................
 project (Sec. 343)...........
Misc. highway projects                  283,147   .................  ................         -283,147   ................
 (Highway Trust Fund) (Sec.
 344).........................
Value pricing pilot project              -8,000   .................  ................           +8,000   ................
 (rescission) (Highway Trust
 Fund) (Sec. 364).............
Aviation ops sustainment-                 3,477   .................  ................           -3,477   ................
 Midway Island (Sec. 371).....
Administrative accounts         ................  .................         -128,076          -128,076          -128,076
 adjustments..................
                               -------------------------------------------------------------------------------------------------------------------------
      Total, title V, General           278,631   .................         -128,076          -406,707          -128,076
       provision..............
                               =========================================================================================================================
      Grand total.............       44,782,592         45,507,343        45,276,508          +493,916          -230,835
          Appropriations......      (45,078,770)       (45,439,808)      (45,364,973)        (+286,203)         (-74,835)
          Rescissions.........        (-124,299)  .................  ................        (+124,299)  ................
          Rescission of               (-250,000)  .................        (-156,000)         (+94,000)        (-156,000)
           contract authority.
          (Limitation on            (41,315,158)       (39,612,400)      (43,820,012)      (+2,504,854)      (+4,207,612)
           obligations).......
          (Rescissions of       ................  .................  ................  ................  ................
           limitations on
           obligations).......
          (Exempt obligations)         (884,329)          (931,297)         (931,297)         (+46,968)  ................
                               -------------------------------------------------------------------------------------------------------------------------
            Net total               (86,982,079)       (86,051,040)      (90,027,817)      (+3,045,738)      (+3,976,777)
             budgetary
             resources........
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