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108th Congress, 2d Session - - - - - - - - - - - - House Document 108-200

 
                 REQUESTS FOR FY 2005 BUDGET AMENDMENTS

                               __________

                             COMMUNICATION

                                  FROM

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

     REQUESTS FOR FY 2005 BUDGET AMENDMENTS FOR THE DEPARTMENTS OF 
AGRICULTURE, HEALTH AND HUMAN SERVICES, HOUSING AND URBAN DEVELOPMENT, 
 JUSTICE, AND LABOR. IN ADDITION AN FY 2004 LANGUAGE PROPOSAL FOR THE 
              DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>


   July, 15, 2004.--Referred to the Committee on Appropriations and 
                         ordered to be printed.

                                 ______


                     U.S. GOVERNMENT PRINTING OFFICE
                           WASHINGTON : 2004



                                           The White House,
                                         Washington, July 14, 2004.
Hon. J. Dennis Hastert,
Speaker of the House of Representatives,
Washington, DC.
    Dear Mr. Speaker: I ask the Congress to consider the 
enclosed FY 2005 budget amendments for the Departments of 
Agriculture, Health and Human Services, Housing and Urban 
Development, Justice, and Labor. In addition, I ask the 
Congress to consider the enclosed FY 2004 language proposal for 
the Department of Housing and Urban Development. Overall, the 
discretionary budget authority proposed in my FY 2005 Budget 
would not be increased by these requests.
    The details of these proposals are set forth in the 
enclosed letter from the Director of the Office of Management 
and Budget.
            Sincerely,
                                                    George W. Bush.
    Enclosure.



                [Estimate No. 7, 108th Cong., 2d Sess.]

                 Executive Office of the President,
                           Office of Management and Budget,
                                     Washington, DC, July 13, 2004.
The President,
The White House.
    Submitted for your consideration are requests for FY 2005 
budget amendments for the Departments of Agriculture, Health 
and Human Services, Housing and Urban Development, Justice, and 
Labor. In addition, this transmittal includes an FY 2004 
language proposal for the Department of Housing and Urban 
Development. Overall, discretionary budget authority would not 
be increased by these requests.
    As described below and in more detail in the enclosures, 
the requests include the following:
Special Supplemental Nutrition Program
    <bullet> An additional $300 million is proposed for the 
Department of Agriculture's Special Supplemental Nutrition 
Program for Women, Infants, and Children (WIC) to ensure that 
resources are adequate to meet State agencies' requirements to 
fulfill demand in FY 2005. This requested increase in budget 
authority would be fully offset within the Department of 
Agriculture.
Health
    <bullet> A language amendment is proposed for the 
Department of Health and Human Services (HHS) that would 
provide the Secretary of HHS the flexibility to target 
resources to States with individuals with HIV/AIDS most in need 
of lifesaving medications and to increase the total resources 
available under the set-aside for severe need populations.
    <bullet> A language amendment is also proposed for HHS that 
would increase human stem cell research funding by reallocating 
funds within the National Institutes of Health.
Prisoner Re-entry Initiative
    <bullet> FY 2005 amendments to the pending appropriations 
language for the Administration's Prisoner Re-entry Initiative 
are also proposed. The amendments would modify the requests for 
the Departments of Housing and Urban Development, Justice, and 
Labor to facilitate the allocation of joint grant awards, make 
funds available at the beginning of FY 2005, and broaden the 
list of eligible grantees and activities, but would not 
increase the total funding requested. With the involvement of 
faith-based and community groups, the initiative will help 
individuals exiting prison make a successful transition to 
community life and long-term employment.
Federal Detention Trustee
    <bullet> An additional $150 million is proposed for the 
Department of Justice's Office of the Federal Detention Trustee 
to fund housing and related expenses of the increasing detainee 
population in non-Federal facilities. This requested increase 
in FY 2005 budget authority would be fully offset within the 
Justice Department.
Housing
    <bullet> Language is proposed for the Department of Housing 
and Urban Development that would increase the loan commitment 
limit for the Federal Housing Administration General and 
Special Risk Program by $4 billion, bringing the total limit 
for FY 2004 to $29 billion.
Recommendation
    I have carefully reviewed these proposals and am satisfied 
that they are necessary at this time. Therefore, I join the 
heads of the affected Departments in recommending that you 
transmit these amendments to the Congress.
            Sincerely,
                                          Joshua B. Bolten,
                                                          Director.
    Enclosures.


                        FY 2005 Budget Amendment


                       DEPARTMENT OF AGRICULTURE


                       Food and Nutrition Service


SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, AND CHILDREN 
                                 (WIC)

FY 2005 Budget Appendix Page: 177
FY 2005 Pending Request: $4,787,250,000
Proposed Amendment: $300,000,000
Revised Request: $5,087,250,000

    (In the appropriations language under the above heading, 
amend as follows:)
    (1) Delete ``$4,787,250,000'' and substitute 
$5,087,250,000;
    (2) Insert after ``to remain available through September 
30, 2006'' , of which $300,000,000 shall be allocated as the 
Secretary deems necessary, notwithstanding section 17(i) of 
such Act, to support participation; and
    (3) Insert before the period : Provided further, That none 
of the funds provided shall be available to pay the 
administrative expenses of a State agency that, after the date 
of enactment of this Act, authorizes any additional vendors to 
transact food instruments under this program if more than 50 
percent of the annual revenue of the vendor is derived from the 
sale of supplemental foods that are obtained with food 
instruments, except that the Secretary may permit a State 
agency to approve the authorization of such a vendor if the 
approval is necessary to assure access to program benefits
    This proposal would increase the appropriations request for 
the Special Supplemental Nutrition Program for Women, Infants, 
and Children (WIC) to ensure that resources are adequate to 
meet State agencies' requirements to fulfill current and 
anticipated demand for program services. This increase is 
necessitated by significantly higher than anticipated growth in 
food costs and, to a lesser extent, participation in the 
program.
    This amendment would also provide the Secretary of 
Agriculture with the discretion to direct the requested 
additional funds to States and Tribal organizations in need 
rather than through the standard funds allocation formula.
    Furthermore, this proposal would prohibit States from 
approving any new vendors to the WIC program that derive more 
than 50 percent of their income from WIC transactions. The 
rapid growth of WIC-only stores, vendors that exclusively or 
predominantly stock WIC-approved food items and serve only WIC 
participants, is placing tremendous pressure on program costs 
because WIC-only stores generally charge significantly higher 
prices than other authorized retailers. The number of WIC-only 
stores has increased by 50 percent in the past two years and 
accounts for nine percent of WIC transactions nationwide.
    The requested increase in budget authority would be fully 
offset by proposed reductions to other accounts within the 
Department of Agriculture, as described in accompanying 
amendments.


                        FY 2005 Budget Amendment


                       DEPARTMENT OF AGRICULTURE


                      Departmental Administration


        AGRICULTURE BUILDINGS AND FACILITIES AND RENTAL PAYMENTS

FY 2005 Budget Appendix Page: 74
FY 2005 Pending Request: $203,938,000
Proposed Amendment: -$28,000,000
Revised Request: $175,938,000

    This proposal would reduce by $28 million the funds 
requested in the Agriculture Buildings and Facilities and 
Rental Payments account for the South Buildings renovation. The 
reduction would partially offset a proposed increase to the 
Special Supplemental Nutrition Program for Women, Infants, and 
Children (WIC), as described in an accompanying amendment.


                        FY 2005 Budget Amendment


                       DEPARTMENT OF AGRICULTURE


                      Foreign Assistance Programs


                 PUBLIC LAW 480 TITLE I PROGRAM ACCOUNT

FY 2005 Budget Appendix Page: 171
FY 2005 Pending Request: --
Proposed Amendment: -$205,000,000
Revised Request: -$205,000,000

    (In the appropriations language under the above heading 
after the last paragraph, add the following new paragraph:)
    Of the unobligated balances available to the Foreign 
Agricultural Service for the Public Law 480 Title I Program at 
the beginning of fiscal year 2005, $205,000,000 is hereby 
canceled.
    This proposal would cancel a portion of the unobligated 
balance in the Public Law 480 Title I Program Account. 
Unobligated balances currently projected to be carried forward 
into FY 2005 are sufficient to cover current- and prior-year 
loan and grant program obligations. The reduction would 
partially offset a proposed increase to the Special 
Supplemental Nutrition Program for Women, Infants, and Children 
(WIC), as described in an accompanying amendment.


                        FY 2005 Budget Amendment


                       DEPARTMENT OF AGRICULTURE


                       Food and Nutrition Service


                           FOOD STAMP PROGRAM

FY 2005 Budget Appendix Page: 175
FY 2005 Pending Request: $33,641,798,000
Proposed Amendment: -$6,000,000
Revised Request: $33,635,798,000

    This proposal would reduce funding for performance 
measurement and program assessment in the pending FY 2005 
discretionary request for the Food Stamp Program account by $6 
million. The reduction would partially offset a proposed 
increase to the Special Supplemental Nutrition Program for 
Women, Infants, and Children (WIC), as described in an 
accompanying amendment.


                        FY 2005 Budget Amendment


                       DEPARTMENT OF AGRICULTURE


                       Food and Nutrition Service


                        CHILD NUTRITION PROGRAMS

FY 2005 Budget Appendix Page: 176
FY 2005 Pending Request: $11,380,557,000
Proposed Amendment: -$4,000,000
Revised Request: $11,376,557,000

    (In the appropriations language under the above heading, 
delete ``$11,380,557,000'' and substitute $11,376,557,000; and 
delete ``$6,060,860,000'' and substitute $6,056,860,000.)
    This proposal would reduce funding for performance 
measurement and program assessment in the pending FY 2005 
discretionary request for the Child Nutrition Programs account 
by $4 million. The reduction would partially offset a proposed 
increase to the Special Supplemental Nutrition Program for 

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