FLASH ALERT: President's Budget Request for the Corps of Engineer

The President has just released the FY2005 Budget request and, as we expected, this Administration continues to give short shrift to the Corps' program.

Corps of Engineers' FY 2005 Budget request (in millions)

 

Title FY 03 Expended FY 04 Request FY 04 Appropriation FY 05 Request
Gen. Invest.

$148

$100

$117

$91

Constr. Gen.

1,812

1,350

1,722

1,422

MR&T

340

280

324

270

Regulatory Prog.

141

144

140

150

Gen. Expenses

147

171

160

167

FUSRAP

145

140

140

140

FC/Coast. Emer.

37

70

0

50

TOTAL

$4,905

$4,194

$4,571

$4,215

Obviously, the request is $690 million under what the Corps spent last year.

OMB did NOT attempt to use the Inland Waterway Trust Fund for O&M this year. But, they did again require that the budgetary authority be offset by $150 million in funds from the Power Marketing Administration for hydropower O&M.

In addition, OMB plans to rescind some of the "carryover" balances that the Corps has -- for some 30 projects, totally $123 million, more or less.

These funds are primarily for the "Act" or politically sensitive projects, which, no doubt, will cause a great deal of outcry in Congress as the action affects the pet projects of a number of Appropriations Committee legislators. That leaves the Corps with a budgetary authority of only around $3.942 billion.

One of OMB's initiatives is to "de-emphasize" low use waterways and shallow draft harbors that do not serve commercial or subsistence fishing or Federal users. There is only $84 million for inland waterway projects which carry less than 5 billion ton miles, but more than 1 billion ton miles and $49 million for those having less than 1 btm.

Under Construction General, OMB has provided near capability funding for its eight "high priority" projects and new contract award monies are included for only those projects, no others. There are 3 new starts and 16 completions. PED monies have not been included for the Upper Mississippi and Illinois project. OMB has also instituted a new policy for beach nourishment -- only the initial construction will be funded. Further renourishments are to be a local responsibility.

If you would like to register your disapproval with the White House, their phone number is (202) 456-1111.

Ms. Worth Hager, President

National Waterways Conference

1130 17th Street, Northwest

Washington, DC 20036

phone: (202) 296-4415

fax: (202) 835-3861

worth@waterways.org