1559 / H.Rept. 108-76 ) providing $78.49 billion to cover the costsof military operations in Iraq, relief and reconstruction of Iraq, ongoing U.S. costs in Afghanistan,additional aid to coalition partners and nations cooperating in the global war on terrorism, andhomeland security. Theconference version includes a $3.1 billion airline industry relief package that was not requested bythe President. 108-11 ). The $2.475 billion Iraq Relief and Reconstruction Fund will follow theauthorities of regular foreign aid programs that are usually managed by the Department of State andthe U.S. Agency for International Development (USAID). As passed, H.R. However, it also sets up a new$15.7 billion Iraq Freedom Fund to give DOD additional flexibility. (3)
For homeland security, the conference version provides $5.12 billion, $749 million more than requested. For defense, the conference version allocates much of the $59.9 billion requested by the Department of Defense in the Defense Emergency Response Fund to regular appropriationsaccounts, reserving $15.7 billion in a new Iraq Freedom Response Fund to be allocated by thePresident subject to various ceilings and floors set in the bill. The conference report also allocates most of these fundsto specific accounts. The conference version of H.R. Congressional Action on the Department of Defense's Request

The Administration requested $62.6 billion for the Department of Defense (DOD) for the costof the war in Iraq, continued U.S. operations in Afghanistan and the global war on terrorism, andenhanced security at military bases in the United States. Balancing Congressional oversight and DOD Flexibility : DOD requested that $59.9 billion be provided in the Defense Emergency Response Account (DERF) where DODwould have discretion to spend the funds, flexibility reduced by Congress because of concerns aboutoversight; (14) 
Flexibility to fund foreign military forces : DOD requested funds for foreign military forces who cooperate with the U.S. in combating terrorism, and Congress responded byadding reporting requirements; 
Compensation for war duty: Congress increased combat pay and family separation allowances for military personnel in theater because of concerns aboutadequacy;
Defining DOD's postwar role : The Administration request allowed the President to allocated funds for reconstruction and relief activities in Iraq to any agency, includingDOD, and Congress agreed; and
Costs and other effects of the war : Costs beyond FY2003 and effects on DOD's readiness and forces over the longer-term are unclear from DOD's request and remainconcerns of Congress. International Assistance. Turkey -- $1 billion for economic grants which could be applied to fees associated with $8.5 billion in direct loans or loanguarantees. Congressional Action on International Assistance. 1559 , as approved, includes$4.52 billion in additional aid to countries and regional programs, about $180 millionless than requested. U.S. Country Assistance. of Homeland Security items below. Support to State and Local Governments for Terrorism Prevention and Security Enhancements (63)

The Bush Administration's request for FY2003 supplemental appropriations included $2 billion for the ODP. The enacted supplemental ( P.L. For Homeland Security Counterterrorism Fund, the Senaterecommended $1.135 billion after shifting $580 million for the Coast Guard to aseparate account, but including $215 million for the President's Emergency ResponseFund. 1559 combines approaches taken in the House and Senate bills of allocating most of the proposed $500 million DOJCounterterrorism Fund to specific accounts.
On March 25, 2003, President Bush requested $74.8 billion in the FY2003 Emergency Supplemental for ongoing military operations in Iraq, postwar occupation, reconstruction and reliefin Iraq, international assistance to countries contributing to the war in Iraq or the global war onterrorism, the cost of the continued U.S. presence in Afghanistan, and additional homeland security.
On April 12, 2003, the House and Senate passed the conference version of the FY2003 supplemental ( H.R. 1559 / H.Rept. 108-76 / P.L. 108-11 ). It includes $78.49 billion, $3.7billion more than requested by the President. Additions made by Congress include $3.1 billion forassistance to the airlines, $749 million more for homeland security programs, and $369 million infood aid for Iraq and other countries.
The Administration asked Congress to approve funding that would be lodged in several large emergency funds where agencies could determine the actual allocation of funds to particularpurposes or specific countries. The conference version distributes most of these funds to regularappropriations accounts and generally requires additional notifications to Congress of transfers incases where the Administration is given additional flexibility.
The largest fund proposed was $59.9 billion for the DOD's Defense Emergency Response Fund that would cover the costs associated with the war in Iraq, the continued U.S. presence inAfghanistan, enhanced security at U.S. military bases, and postwar occupation in Iraq. Theconference includes $15.7 billion in a new Iraq Freedom Fund but distributes the remaining fundsto specific accounts.
Congress further provides $2.475 billion for an Iraq Relief and Reconstruction that will fall under the authorities of regular foreign assistance programs usually managed by the StateDepartment and the U.S. Agency for International Development (USAID). H.R. 1559 ,however, extends considerable flexibility to the President, allowing him to directly apportion fundsto several federal agencies, including the Defense Department. The FY2003 EmergencySupplemental also includes $4.7 billion in international assistance for about 22 countries which havecontributed in some fashion to the war in Iraq or the global war on terrorism. This includessubstantial increases in current aid levels for Israel, Egypt, Jordan, Afghanistan, Pakistan, andTurkey. Israel, Egypt and Turkey would also receive U.S. government guaranteed loans.
The Administration also requested that substantial appropriations be provided en bloc for homeland security, including $2 billion for the Department of Homeland Security (DHS) for grantsto states and enhancements of security, and $500 million for a DHS Counterterrorism Fund for investigations and operations. The conference provides $749 million more for homeland securitybut allocates funds to specific appropriation accounts.