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House Committee Scrutinizes Foreign Aid Budget

On March 21, the House Foreign Affairs Committee held a hearing on the FY2013 budget for the United States Agency for International Development (USAID). The Senate Appropriations Subcommittee on State, Foreign Operations, and Related Programs held a hearing on the subject on March 14 (see The Source, 3/16/12); the House Appropriations Subcommittee on State, Foreign Operations, and Related Programs and the Senate Foreign Relations Committee held hearings on March 6 (see The Source, 3/9/12).

“It is a common argument that the foreign aid budget represents one percent of the overall federal budget,” said Chair Ileana Ros-Lehtinen (R-FL). “However, within that one percent are billions of U.S. taxpayer dollars that the American people have earned through hard work and have generously provided to nations around the world. It is our responsibility to ensure that these hard earned dollars are held to the highest standards of transparency, are reaching the intended recipients, and are advancing our national and security interests and foreign policy priorities.” With regard to family planning and abortion, Chair Ros-Lehtinen said, “I also remain opposed to the increase in money for family planning and reproductive health – especially when all other global health accounts decline. The administration’s reversal of the Mexico City Policy allows U.S. government funding to be allocated to foreign non-governmental organizations that support or promote abortion as a method of family planning. An increase in family planning and reproductive health would only provide further opportunity for expanded funding for these organizations.”

Ranking Member Howard Berman (D-CA) said, “Reducing global poverty is not a partisan issue. Democrats and Republicans alike want to usher in an AIDS-free generation, expand access to clean water and sanitation, respond to natural disasters, help countries hold free and fair elections, and build new markets for U.S. exports. In fact, some of the biggest contributions to global health and development were spearheaded by Republican presidents, such as PEPFAR [President’s Emergency Plan for AIDS Relief] and the Millennium Challenge Corporation, which were both created by President George W. Bush. Still, in this difficult economic climate, we have a special obligation to ensure that the funds are spent as efficiently and effectively as possible, and that they best serve our national interests.” Rep. Berman added, “Despite the need for improvements, I think we have some good stories to tell. Since its founding 50 years ago, USAID has played a critical role in lowering child deaths by 12 million a year. It helped bring global coverage of basic childhood vaccines from 20 percent to 80 percent in most countries…And just recently the World Bank announced that the first Millennium Development Goal – halving the proportion of people living on less than $1 a day – has been reached ahead of schedule.”

USAID Administrator Dr. Rajiv Shah noted that, “While foreign assistance represents less than one percent of our budget, we are committed to improving our efficiency and maximizing the value of every dollar. American households around the country are tightening their belts and making difficult tradeoffs. So must we. Even as we face new challenges around the world, our budget represents a slight reduction from fiscal year 2012. We’ve prioritized, focused, and concentrated our investments across every portfolio. In global health, we propose to close out programs in Peru and Mexico as those countries take greater responsibility for the care of their own people…Our budget prioritizes our USAID Forward suite of reforms. That funding allows us to invest in innovative scientific research and new technologies. Last year, our support of the AIDS vaccine research through PEPFAR led to the isolation of 17 novel antibodies that may hold the key to fighting the pandemic. And we’re working with local scientists at the Kenyan Agricultural Research Institute to develop new drought‐resistant seed varieties of sorghum, millet, and beans, as well as a vitamin‐A rich orange‐fleshed sweet potato.”

With regard to global Health, Dr. Shah said, “Thanks in large part to the bipartisan support we’ve had for investments in global health, we’re on track to provide life‐saving assistance to more people than ever before. Although this year’s request of $7.9 billion for the Global Health Initiative is lower than FY2012 levels, falling costs, increased investments by partner governments, and efficiencies we’ve generated by integrating efforts and strengthening health systems will empower us to reach even more people. That includes PEPFAR, which will provide life‐saving drugs to those around the world afflicted with HIV and expand prevention efforts in those countries where the pandemic continues to grow. We can expand access to treatment and lift a death sentence for six million people in total without additional funds. We’re also increasingly providing treatment for pregnant mothers with HIV/AIDS so we can ensure their children are born healthy. And because of breakthrough research released last year, we know that putting people on treatment actually helps prevention efforts – treatment is prevention. All of these efforts are accelerating progress towards President Obama’s call for an AIDS‐free generation.”