U.S. Department of State Fiscal Year 2020 Agency Financial Report

Budgetary Position for Foreign Assistance For 2020, Foreign Assistance funding for the Department of State and USAID totaled $39.0 billion, which included $33.2 billion in appropriated Enduring funds, and $4.1 billion in appropriated OCO funds in the FY 2020 Act, as well as a total of $1.7 billion in supplemental Foreign Assistance funding to respond to the coronavirus pandemic through Public Law No. 116-123 and Public Law No 116-136. The 2020 funding supported the President’s commitment to four key national priorities: defending U.S. national security, fostering opportunities for U.S. economic interests, asserting U.S. leadership and influence, and ensuring effectiveness and accountability to the U.S. taxpayer. Foreign Assistance accounts fully managed by the Department of State totaled $19.3 billion, approximately half of the total 2020 Foreign Assistance budget. The Department also implements funds from the Assistance for Europe, Eurasia, and Central Asia account and the Economic Support Funds account, although these are also implemented by USAID. USAID fully implements the following accounts: Global Health Programs-USAID, International Disaster Assistance, Food for Peace, Development Assistance, Transition Initiatives, Complex Crises Fund, Operating Expenses, Capital Investment Fund, and the Office of the Inspector General revenues that support the Consular and Border Security Programs (CBSP) account. CBSP funds support programs that provide protection to U.S. citizens overseas and contribute to national security and economic growth. These programs are a core element of the national effort to deny individuals who threaten the country entry into the United States while assisting and facilitating the entry of legitimate travelers, and promoting tourism. For 2021, the Department’s Diplomatic Engagement budget request totals $16.2 billion in new budget authority. The 2021 estimate for consular fee revenue to support Consular and Border Security programs has been revised downwards to $3.1 billion, a reduction from the 2021 request due to reduced visa and passport demand. The Department is not requesting OCO funding in 2021. Looking ahead, the 2021 President’s Budget puts U.S. national security interests first, while carrying out our fiduciary responsibility to the U.S. taxpayer through necessary trade-offs and reductions. The request focuses our resources to address challenges such as terrorism, international health and humanitarian disasters, and competition from nations that do not share our values of freedom and democracy. It promotes U.S. economic growth by creating welcoming environments for U.S. businesses overseas, supporting the Department’s continued efforts to strengthen engagement with the private sector, and creating a fair and level playing field. The Budget recalibrates American contributions to international organizations to a more sustainable level, maintaining American leadership while asking other nations to increase their support. Finally, the request also continues to invest in the Department’s global workforce and promote efficient operations through information technology modernization and overseas humanitarian assistance restructuring. Budgetary Position for Diplomatic Engagement The 2020 funding provided for Diplomatic Engagement totaled $19.8 billion, which included $11.8 billion in appropriated Enduring funds and $3.7 billion in appropriated Overseas Contingency Operations (OCO) funds included in Title I of the FY 2020 Act, an additional $3.7 billion in non-appropriated retained fee revenue in the Consular and Border Security Program, and $588 million in cumulative supplemental appropriated Coronavirus response funds. Funding provided in these Acts supports the people and programs that carry out U.S. foreign policy, advancing U.S. national security, political, and economic interests at 276 posts in 191 countries around the world. These funds also maintain and secure the U.S. diplomatic infrastructure platform from which U.S. Government agencies operate overseas. In addition to the $19.8 billion in new 2020 funding, $13.5 billion in prior year Diplomatic Engagement funding remained available for obligation in 2020. In 2020, the Department earned and retained $3.7 billion in new user fee revenue derived from passport and visa processing, including Machine Readable Visa fees, Immigrant Visa fees, the Western Hemisphere Travel Initiative Surcharge, Visa Fraud Prevention and Detection fees, and other fee and surcharge 2020 A gency F inanci al R eport U ni ted S tates D epartment of S tate | 27 FINANCIAL SUMMARY AND HIGHLIGHTS | MANAGEMENT’S DISCUSSION AND ANALYSIS