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L       Congressional Research Service
   h~I fo rg the legeslative debate s nce 1914


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                                                                                                  October 23, 2019

FY2020 Defense Appropriations: Selected Issues Raised by

H.R. 2740 (Div. C) and S. 2474


House and Senate negotiators trying to draft a compromise
version of the FY2020 Defense Appropriations Act likely
will have to deal with elements of the House-passed bill
(H.R. 2740, Division C) that challenge some of the Trump
Administration's signature policies. Among these are
provisions to block construction of a barrier along the U.S.
border with Mexico and provisions that would slow or
block some parts of the planned modernization of the U.S.
strategic arsenal. Those are among several aspects of the
House bill cited by the Office of Management and Budget
(OMB) as potential grounds for a veto in a Statement of
Administration Policy issued on June 11, 2019.

The House passed its version of the FY2020 Defense
Appropriations bill on June 19, 2019 as part of a
Consolidated Appropriations Act (H.R. 2740, Division C).
In contrast to the House, the Senate has not yet passed any


appropriations bills. The Senate Appropriations Committee
reported its version of the FY2020 Defense Appropriations
Act (S. 2474) on September 12, 2019.

One potential obstacle to agreement may have been set
aside on August 2, 2019, with enactment of the Bipartisan
Budget Act of 2019 (P.L. 116-37), which set a new
statutory cap on discretionary defense spending for base
budget activities in FY2020. The Department of Defense
(DOD) base budget funds routine activities not associated
with ongoing military deployments, which are designated as
Overseas Contingency Operations (OCO). In order to
comply with the lower limits on base budget defense
spending that were in place at the time the FY2020 budget
was released, the Administration had designated as OCO
funding $98 billion intended to fund base budget activities,
seeking to exempt those funds from the spending cap.


          Table I. FY2020 Defense Appropriations Act (H.R. 2968, S. 2474)
              (amounts in millions of dollars of discretionary budget authority)

                                                    FY2020       House               Senate
                                                    Request      passed H.R. 2968    Committee
                                     FY2020        adjusted      (incorporated into  reported
Appropriations Title                 Request      (see table note) H.R. 2740)         S. 2474


Military Personnel

Operation and Maintenance

Procurement

R&D

Revolving and Management\ Funds

Defense Health Program and other DOD Programs

Related Agencies

General provisions

Subtotal: Base Budget

Overseas Contingency Operations (OCO)

Disaster Relief

Grand Total


143,476.5

123,944.6

118,923.1

102,647.5

   1,426.2

   35,147.1

   1,072.0


526,637.0

163,980.5


690,617.6


143,476.5

207,661.7

132,378.1

103,395.5

   1,426.2

   35,147.1

   1,072.0


624,557.1

  66,060.5


690,617.6


141,621.6

206,673.5

130,544.8

100,455.4

  1,426.2

  35,641.8

  1,072.0

  -2,698.2


142,983.8

200,610.1

132,837.2

104,282.1

  1,580.2

  35,728.7

  1,053.4

  -3,904.3


614,737.1      615,171.2


68,079.0


70,665.0


                  1,710.2
682,816.2      687,546.5


Sources: H.Rept. 116-84, House Appropriations Committee report to accompany H.R. 2968 and S.Rept. 116-103, Senate Appropriations
Committee report to accompany S. 2474.

Notes: In order to comply with the cap on discretionary appropriations for the FY2020 DOD base budget, the Trump Administration included
in its FY2020 DOD request for Overseas Contingency Operations (OCO), $98.0 billion for base budget activities. In Table I, the FY2020
Request column presents the Administration's budget request as submitted to Congress. However, the Armed Services and Appropriations
Committees of both the House and Senate chose, instead, to designate the funds in question as part of the DOD base budget. To facilitate
comparisons between the Administration request and the actions of the House and the Senate committee, the FY2020 Request Adjusted
column presents the Administration's request with funds intended for the base budget included in the appropriate base budget title.


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