Ask the Scholar
Document scope · 1 page
Scholar
Ask about this object, its catalog metadata, its source description, or the page inventory.
For page-specific OCR and visual context, open one of the page chats.
Scholar Source Context
Document identity
localId
7345556
label
Contents of a special message on funds appropriated for Foreign Military credit sales [Notice to Press]
core
doc
dtoType
document
citationUrl
pageCount
1
Source metadata
id
7345556
sourceUrl
contentType
document
title
Contents of a special message on funds appropriated for Foreign Military credit sales [Notice to Press]
citationUrl
collections
White House Press Releases (Ford Administration)
Press Releases
largeImageUrl
imageCount
1
hasImages
yes
source
import
hasTranscription
no
Source extras
naId
7345556
levelOfDescription
item
productionDates
day
7
logicalDate
1976-09-07
month
9
year
1976
recordType
description
ocrSource
nara-archive
Single page context
seq
1
pageIndex
0
type
document
mediaId
bf6ad8642a36f10a
ocrText
Digitized from Box 30 of the White House Press Releases at the Gerald R. Ford Presidential Library
[9-7-76]
CONTENTS OF SPECIAL MESSAGE
(in thousands of dollars)
Rescis-
Budget
sion #
Item
Authority
Funds Appropriated to the President:
International Security Assistance
R76-50
Foreign military credit sales
126,750
SUMMARY OF SPECIAL MESSAGES
FOR FY 1976 AND THE TRANSITION QUARTER
(amounts in thousands of dollars)
Rescissions
Deferrals
Twentieth special message:
New items
126,750
---
Changes to amounts
previously submitted
Effect of the twentieth
special message
126,750
---
Previous special messages
3,455,314
8,335,296
Adjustments to eliminate
double counting
-242,023
Total amount proposed in
special messages
3,582,064
8,093,273
(in 50 re-
(in 117
scission
deferrals)
proposals)
NOTE: All amounts listed represent budget authority except for
$114,828,220 consisting of two general revenue sharing
deferrals (of outlays only). Supplementary reports for
these deferrals (D76-25F and D76-67A) are included in
the seventeenth special message.
Rescission Proposa No: R76-50
PROPOSED RESCISSION OF BUDGET AUTHORITY
Report Pursuant to Section 1012 of P.L. 93-344
Agency Funds Appropriated to the President
New budget authority
TQ $ 140,000,000
Bureau
International Security Assistance
(P.L 94-330
)
TQ
141,560,000
Other budgetary resources
Appropriation title & symbol
Total budgetary resourcesTQ
281,560,000
Foreign Military Credit Sales
1161082
Amount proposed for
126,750,000*
rescission
$
OMB identification code:
Legal authority '(in addition to sec. 1012):
04-09-1082-0-1-052
Antideficiency Act
Grant program
Yes
No
Other
Type of account or fund:
Type of budget authority:
X
Annual
X
Appropriation
Multiple-year
Contract authority
(expiration date)
No-year
Other
Justification
Pursuant to Public Law 90-629, the "Foreign Military Sales Act," approved October 22,
1968, as amended (including Title II of Public Law 94-329, the International
Security Assistance and Arms Export Control Act of 1976, approved June 30, 1976), and
Executive Order No. 11501 of December 22, 1969, as amended, the Secretary of Defense,
under the continuous supervision and general direction of the Secretary of State,
uses appropriated funds to make loans to friendly foreign countries and international
organizations to finance procurement of defense articles and defense services from the
United States or to guarantee loans made by private U.S. financial institutions or the
Federal Financing Bank for the same purpose.
Public Law 94-330, the "Foreign Assistance and Related Programs Appropriation Act,
1976, and the period ending September 30, 1976," approved June 30, 1976, appropriated
$1,065,000,000 for fiscal year 1976 and $140,000,000 for the period July 1, 1976,
through September 30, 1976, "to enable the President to carryout the provisions of
the Foreign Military Sales Act" (now the Arms Export Control Act). At the end of
June 30, 1976, a balance of $134,750,000 of the 1976 appropriation remained unobligated
and would otherwise have expired; however, as a result of section 204 of Public Law
93-554, approved December 27, 1974, that balance remains available until September 30,
1976. On July 1, 1976, the unobligated balance of the 1976 appropriation was merged
with the funds appropriated for the period July 1, 1976, through September 30, 1976,
pursuant to Public Law 94-274, the "Fiscal Year Transition Act," approved April 21, 1976.
In addition, $6,810,000 of fiscal year 1976 funds which were obligated in 1976 have
become available.
*$140,250,000 was placed in reserve on July 30, 1976. On August 30, 1976, the amount
in reserve was revised to $126,750,000.
-2-
R76-50
The President has determined that a part of the available budget authority will not be
required to carry out the full objectives and scope of the Foreign Military Credit Sales
program for which it was provided. Therefore, a rescission of $126,750,000 is proposed.
This excess amount arose as a result of increased reliance on guaranteed loans rather
than direct credit during fiscal year 1976. Under the guarantee program, funds equal
to 10% of the face value of loans are obligated to guarantee loans provided to foreign
aid recipients by the Federal Financing Bank or private lending institutions, while
in direct credit transactions, the full face value of the loans is obligated by the
U.S. government.
Estimated Effect:
Planned programs will not be reduced by this rescission. If rescission of the excess
funds is not effected and the funds are obligated, the funds would have to be used for
lower priority projects or for projects planned for fiscal year 1977.
Outlay Effect: (Estimated in millions of dollars)
Comparison with the President's 1977 budget:
1. Budget outlay estimate for the transition quarter
192.0
2. Outlay savings, if any, included in the budget outlay estimate
-0-
Current Outlay Estimate for the Transition Quarter:
3. Without rescission
869.0
4. With rescission
854.0
5. Current outlay savings (line 3 NAME line 4)
15.0
Outlay Savings for 1977
39.0
Outlay Savings for 1978
20.0
Outlay Savings for 1979
9.0
-3-
R76-50
FOREIGN MILITARY CREDIT SALES
Foreign Military, Credit Sales
Of the funds appropriated under this head in the Foreign
Assistance and Related Programs Appropriations Act, 1976,
and the period ending September 30, 1976, $126,750,000 are
rescinded.