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Fact Sheet
Washington, DC
February 13, 2012

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The President’s FY 2013 Budget for the Department of State and the U.S. Agency for International Development (USAID) strengthens U.S. national security, advances America’s economic interests, and elevates America’s global leadership through diplomacy and development. It supports U.S. businesses, protects Americans at home and abroad, and stops the proliferation of weapons of mass destruction. It supports our allies and partners, prevents conflict, promotes democracy, and reflects our core values.

Making up just 1 percent of the U.S. Government’s overall budget, the Department of State/USAID budget totals $51.6 billion. The request provides the most cost-efficient way to ensure diplomats and development experts have the resources necessary to address complex threats to our national security and promote our economic renewal.

Overview of the President’s Budget proposal for State/USAID

• Includes $43.4 billion for the core budget, which funds the long-term national security mission of the Department and USAID.


• Provides $8.2 billion for Overseas Contingency Operations (OCO) to support the extraordinary and temporary costs of civilian-led programs and missions in Iraq, Afghanistan, and Pakistan.


• Supports U.S. engagement with the government and people of 190 countries across the globe.


• Builds upon our commitment to job creation at home and economic statecraft by giving our people the tools to better help American companies compete overseas; build future trading partners; and facilitate legitimate travel by U.S. citizens and international businesspeople and tourists.


• Continues to fulfill the Administration’s commitment to elevating development as a core pillar of US foreign policy through targeted investments with measurable returns, consistent with the principles in the President’s Policy Directive on Global Development (PPD-6) and the Quadrennial Diplomacy and Development Review (QDDR).


• Supports the President’s new commitment to treat 6 million people with HIV/AIDS by the end of 2013.


• Proposes a new Middle East and North Africa Incentive Fund to better position the United States to quickly respond to dramatic changes in the region and incentivize reforms.


• Devotes resources where they are most needed to achieve foreign policy and development goals, reflecting hard trade-offs. Specifically, this budget:


• Reduces funding for Europe and Eurasia by 18 percent to reflect the successful transition of a number of countries to market-based democracies and eliminates the stand alone Assistance to Europe, Eurasia, and Central Asia account.


• Reflects over $100 million in FY 2012-FY 2013 administrative savings through administrative reforms.


• Enhances consular resources in areas with high demands for visas, including Brazil and China, generating tourism in the U.S. and new business opportunities for American companies. This work will be funded out of fees generated by the increase in visa applications.


• Limits the Department’s planned expansion of the Foreign Service by extending the timeframe for the goal of a 25 percent increase while focusing modest staff growth on highest priority programs and countries.


• Scales back funding for overseas construction for one year, despite ongoing need for newer, more secure diplomatic facilities.


• Normalizes the Development Leadership Initiative (DLI) within USAID Operating Expenses and does not request additional USAID Foreign Service positions for FY 2013.


• Supports major changes outlined in the QDDR and PPD-6 by allocating resources to goals with the greatest impact:


• Reorganizes to establish three new State Department bureaus focusing on high-priority issues of counterterrorism and energy, and reorganizes and renames the Conflict and Stabilization Operations bureau to better fulfill conflict prevention missions;


• Continues to expand the application of science, technology, and innovation in USAID and State Department programs to ensure the most efficient and effective use of assistance funding; and


• Encourages whole-of-government approaches to development in emerging global markets, especially in the Partnership for Growth countries of El Salvador, the Philippines, Ghana, and Tanzania.

Supporting our Work in Frontline States ($11.9 billion):

“Improving governance, creating economic opportunity, supporting civil society is vital to solidifying our military gains and advancing our political and diplomatic goals.”-Secretary Clinton, June 2011

• Iraq: $4.8 billion ($4.0 billion OCO and $770 million core)


• $2.0 billion in assistance, including $1.8 billion to fund police training and military assistance programs transitioned from the Department of Defense (DoD). Investments in health, education, and private sector development continue to decline as these programs transition to the Government of Iraq.


• $2.7 billion in operations funding supports the Embassy and three consulates as well as public outreach programs to strengthen ties with the Iraqi people.


• This is approximately 10% less than in FY-12.


• Afghanistan: $4.6 billion ($3.2 billion OCO and $1.4 billion core)


• $2.5 billion in assistance for counterterrorism-related programs, economic growth, reconciliation and reintegration, and capacity building, as well as to support progress in governance, rule of law, counternarcotics, agriculture, health, and education.


• $2.1 billion supports the expansion of the diplomatic and interagency presence, the extraordinary costs of security in a conflict zone, and public diplomacy programs to build long-lasting bridges with civil society.


• Pakistan: $2.4 billion ($959 million OCO and $1.5 billion core)
  


• $2.2 billion in assistance to strengthen democratic and civil institutions that provide a bulwark against extremism, and support joint security and counterterrorism efforts, including $800 million for the Pakistan Counterinsurgency Capability Fund.


• $197 million supports the U.S. government’s civilian presence, as well as programs for engagement with civil society.


• Other Frontline States-Related Costs: $95 million OCO. $95 million provides funding for additional USAID administrative costs and the cost to administer the Iraq military assistance program.

Improving Global Human and Economic Security ($14.7 billion):

“We need to continue shifting our approach and our thinking from aid to investment, investments targeted to produce tangible returns... Wise investors choose their investments carefully, they manage for risks, and they amplify their impact by trying to draw even more participants to the table”-Secretary Clinton, Busan Aid Effectiveness Forum, November 2011

• $9.3 billion for critical interventions in health, food security, and climate change, as outlined in the PPD as presidential initiatives:


• $7.9 billion for the Global Health Initiative (GHI), including $5.4 billion for the President’s Emergency Plan for AIDS Relief (PEPFAR). The budget supports President Obama’s call for an AIDS-free generation with the goal of providing lifesaving treatment to six million people globally by the end of 2013. The request also includes $2.5 billion for USAID managed programs that build on significant progress to date and focus resources on key areas where the United States can make a marked difference in the struggle against pandemics and disease, including saving mothers and children through high-impact interventions such as malaria prevention and child vaccination programs.


• $1.0 billion for the global hunger and food security initiative, Feed the Future, to reduce poverty, hunger, and under-nutrition through sustainable investments in agriculture-focused economic growth. Together with the Department of Treasury’s contribution to the Global Agriculture and Food Security Program, this funding will enable the United States to reach millions of beneficiaries. The request supports implementing country-owned strategies that integrate the efforts of smallholder farmers, the private sector, governments, and civil society and provides them with the tools to achieve sustainable results.


• $469.5 million for Global Climate Change to address the environmental, economic, and social ramifications of global climate change through programs that develop clean energy economies; combat deforestation; and help vulnerable countries build resilience to withstand extreme weather and rising sea levels.


• $4.0 billion in humanitarian assistance to provide life-saving interventions for victims of conflict, natural disasters, and persecution, including $1.4 billion for food aid, $1.7 billion to aid refugees and conflict victims, and $960 million for disaster assistance.


• $1.3 billion to support development investments in the world’s poorest and most unstable nations, helping to stabilize societies and open new markets for U.S. goods.

Strengthening Partnerships and Preventing Conflict ($14.6 billion):

“American leadership must be as dynamic as the challenges we face. We have to be ready to adapt and innovate, and that might mean leveraging new groups of nations to work on specific issues.” – Secretary Clinton, Speech on American Global Leadership at the Center for American Progress, October 2011

• $770 million for a new Middle East and North Africa Incentive Fund to respond strategically to the historical changes taking place across the region. The Fund will incentivize long-term economic, political and trade reforms—key pillars of stability—by supporting governments that demonstrate a commitment to undergo meaningful change and empower their people.
  


• $5.1 billion in military assistance to support ongoing partnerships worldwide, including $3.1 billion for Israel, $1.3 billion for Egypt, $300 million for Jordan, and approximately $400 million for 70 other strategic partners around the world. This budget also provides $93.1 million in the International Military Education and Training account to promote regional stability and defense capabilities through professional military education and training
.

• $2.7 billion in economic and transition assistance to help strengthen and stabilize developing countries and countries in transition from conflict. This includes investing in building governing capacity, reform, and conflict mitigation in recently independent South Sudan; supporting continued democratic development in Liberia; post-earthquake reconstruction in Haiti; and encouraging reform in Burma.
  


• $4.1 billion in contributions to international organizations (voluntary and assessed) to support cooperation and security in accordance with U.S. law:
  


• $1.5 billion to meet U.S. obligations to nearly 50 international organizations, including the United Nations.


• $2.1 billion to support the US share of international peacekeeping missions, including critical operations in Somalia, Sudan and Darfur, the Democratic Republic of the Congo, Sudan, Haiti, and Liberia.


• o$535.9 million for voluntary contributions to international organizations, including UN Children’s Fund (UNICEF) and the UN Development Program (UNDP), and to peacekeeping missions worldwide in order to diminish and resolve conflict, enhance partner countries’ capabilities to participate in peacekeeping operations and address counterterrorism threats, and reform professional military forces.


• $531.7 million for anti-terrorism and non-proliferation programs including support for programs that counter violent extremism and terrorist finance, and address the humanitarian threat posed by landmines and unexploded ordnance.


• $932.5 million for rule of law, police development, and counterdrug programs worldwide, including protecting our borders and repelling the reach of criminal organizations and gang violence.


• $56.5 million for Conflict Stabilization Operations to provide rapid responders to crisis regions, support conflict prevention efforts, and stabilize crises and set the conditions for the transition to long-term peace. These funds will support overseas deployments and the management of the civilian response corps for expeditionary operations.


• $75 million to address emergent national security challenges, including through the existing Complex Crisis Fund ($50 million), and the new Global Security Contingency Fund ($25 million) introduced in FY 2012, which integrates Defense and State resources to address security crises.


• $254 million to support bilateral international commissions, foreign affairs foundations and research centers. This includes academic institutions such as the Asia Foundation, exchange programs that include Eisenhower Fellowships, and multilateral organizations such as the International Fisheries Commission.

Supporting America’s Global Presence ($10.4 billion):
“Leading through civilian power saves lives and money. With the right tools, training, and leadership, our diplomats and development experts can defuse crises before they explode and create new opportunities for economic growth.” – Secretary Clinton, December 2010

• $6.5 billion to support civilians in embassies, missions, and consulates around the world (not including the Frontline States), as well as at our headquarters in Washington. The request includes the following priorities:
  


• $507.4 million for public diplomacy to engage foreign audiences and win support for U.S. foreign policy goals, programs that include engaging with civil society in transition countries such as Tunisia, Libya, and Egypt (including the Frontline States, the total Public Diplomacy Request is $541.7 million).


• $1.4 billion in security for diplomatic personnel, information and facilities at our worldwide posts.


• $4.5 billion to fund other requirements, including staffing, operations and programs for our bureaus, envoys, and more than 270 posts overseas and in the United States, and funding for 121 new positions (83 Foreign Service and 38 civil service) in high priority programs and regions.


• $1.5 billion to fund USAID operations, including USAID core staffing and security requirements in the Frontline States, and funding for the Implementation and Procurement Reform Initiative of USAID Forward.


• $1.6 billion for security-related construction, major facility rehabilitation, and operational requirements at embassies, consulates, and missions worldwide. Supports the construction of new embassy compounds in Chad, the Hague, and fit-out of the U.S. Mission’s wing of the new NATO headquarters nearing completion in Brussels. Also continues the $270 million capital maintenance cost-sharing program initiated in FY 2012.


• $83.3 million for investment in essential modernization of information technology through the Department of State’s Capital Investment Fund.


• $587.0 million for exchange programs that give U.S. citizens broad exposure to the world and help foreign students better understand the United States. Scholarship programs and cultural exchanges such as the Fulbright Program advance U.S. national interests by preparing the next generation of leaders to work together to tackle global challenges.


• $200 million for activities including financial oversight work of inspector general, support of American citizens for repatriation loans, and the protection of foreign missions and officials in the United States. These programs also fund a wide-range of other activities, including support for the evacuation of American citizens from nations in crisis

ENDS

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