U.S. Department of State Fiscal Year 2019 Agency Financial Report

This approach is required in transnational areas where solutions to problems are best addressed globally, such as protecting the ozone layer or safeguarding international air traffic. In other areas, the United States can multiply its influence and effectiveness through support for international programs. In 2019, the MRA appropriation totaled $3.4 billion, of which $1.4 billion was OCO and $2 billion was for core programs. These funds provided humanitarian assistance and resettlement opportunities for refugees and conflict victims around the globe. In 2019, MRA contributed to key multilateral organizations such as the UN High Commissioner for Refugees and the International Committee of the Red Cross, and to non-governmental organizations that address pressing humanitarian needs overseas and resettle refugees in the United States. The NADR appropriation in 2019 totaled $864.6 million. NADR funding is used to support U.S. national interests through critical, security-related programs, especially in the areas of nonproliferation and disarmament, export control, and other border security assistance; global threat-reduction programs; antiterrorism programs; and conventional weapons destruction. The PKO appropriation totaled $488.7 million, of which $325.2 million was OCO and $163.5 million supported core programs. PKO is used to support programs that bolster the capacity of partner nations to conduct critical peacekeeping and counterterrorism operations, support stabilization in countries grappling with violent conflict, enhance maritime security, and promote security sector reform. In 2019, the PKO program supported ongoing requirements for the Global Peace Operations Initiative, as well as multinational peacekeeping, security sector reform, and regional stability operations, particularly in Somalia. The Department of State’s 2020 budget request for Foreign Assistance is currently under congressional consideration. The request is for $26.9 billion to support core programs. R esource M anagement S ystems S ummary Other Information, Section III of this AFR, provides an overview of the Department’s current and future resource management systems framework and systems critical to effective agency-wide financial management operations, financial reporting, internal controls, and interagency administrative support cost sharing. This summary presents the Department’s resource management systems strategy and how it will improve financial and budget management across the agency. This overview also contains a synopsis of critical projects and remediation activities that are planned or currently underway. These projects are intended to modernize and consolidate Department resource management systems. L imitation of F inancial S tatements Management prepares the accompanying financial statements to report the financial position and results of operations for the Department of State pursuant to the requirements of Chapter 31 of the U.S. Code Section 3515(b). While these state- ments have been prepared from the books and records of the Department in accordance with FASAB standards using OMB Circular A-136, Financial Reporting Requirements , revised, and other applicable authority, these statements are in addition to the financial reports, prepared from the same books and records, used to monitor and control the budgetary resources. These statements should be read with the understanding that they are for a component of the U.S. Government, a sovereign entity. ? Did You Know? James Buchanan served as the 17th Secretary of State (1845-1849), Minister to Great Britain (1853-1856), and President (1857-1861). M ore information on former Secretaries can be f ound at: https://history.state.gov/departmenthistory/ p eople/secretaries 32 | U nited S tates D epartment of S tate 2019 A gency F inancial R eport MANAGEMENT’S DISCUSSION AND ANALYSIS | FINANCIAL SUMMARY AND HIGHLIGHTS