The President's 2016 Budget is designed to bring middle class economics into the 21st Century. This Budget shows what we can do if we invest in America's future and commit to an economy that rewards hard work, generates rising incomes, and allows everyone to share in the prosperity of a growing America. It lays out a strategy to strengthen our middle class and help America's hard-working families get ahead in a time of relentless economic and technological change. And it makes the critical investments needed to accelerate and sustain economic growth in the long run, including in research, education, training, and infrastructure.

These proposals will help working families feel more secure with paychecks that go further, help American workers upgrade their skills so they can compete for higher-paying jobs, and help create the conditions for our businesses to keep generating good new jobs for our workers to fill, while also fulfilling our most basic responsibility to keep Americans safe. We will make these investments, and end the harmful spending cuts known as sequestration, by cutting inefficient spending and reforming our broken tax code to make sure everyone pays their fair share. We can do all this while also putting our Nation on a more sustainable fiscal path. The Budget achieves about $1.8 trillion in deficit reduction, primarily from reforms to health programs, our tax code, and immigration.

The President’s Budget request for the Department of State and the U.S. Agency for International Development (USAID) directly supports the forthcoming National Security Strategy by helping to build and sustain a more secure, prosperous, and democratic world. The Budget proposes targeted investments in international programs that will help mobilize collective action to meet global challenges, counter terrorism and violent extremism overseas, strengthen the U.S. economy, and support United States citizens and the U.S. presence overseas. The Budget also advances diplomatic engagement on issues such as environment, energy, human rights, and non-proliferation policies as well as strengthens democratic institutions overseas.

Funding Highlights: The President’s FY 2016 Budget provides $50.3 billion in discretionary funding for the Department of State and the U.S. Agency for International Development, including $7.0 billion in Overseas Contingency Operations. This includes: Dedicating $3.5 billion to counter the Islamic State of Iraq and the Levant (ISIL) and respond to the crisis in Syria, bolster regional security, and provide for related humanitarian needs;

Providing $1 billion to address the root causes of migration from Central America, including the migration of unaccompanied children;

Investing in clean energy, sustainable landscapes, and adaptation through the Global Climate Change Initiative to support a healthy global environment, climate-smart growth, and improved resilience to the impacts of climate change for the most vulnerable countries;

Providing $4.6 billion for International Organizations and peacekeeping missions to share global security responsibilities with other nations and respond to new peacekeeping requirements;

Investing $4.8 billion to support security requirements and overseas infrastructure to support the people, infrastructure, and programs that enable U.S. operations and relations with foreign governments;

Advancing the President’s commitment to global health by: investing in programs to end preventable child & maternal deaths; combating infectious disease threats in support of the Global Health Security Agenda; and creating an AIDS-free generation by supporting targeted global HIV/AIDS efforts, including through a new PEPFAR Impact Fund; and

Countering Russian pressure and aggressive actions by providing essential support for Ukraine and neighboring countries in the region. Reforms: The Department continues to strengthen budget and strategy integration, drawing stronger correlations between funding requested and the strategic goals that funding supports. The Bureau of Budget and Planning is enhancing systems and out-year budgeting to accommodate tying funding to both bureau and department-level strategic objectives.

Peace, Security, and Stability

Counters ISIL and Responds to the Syria Crisis. As part of the Administration’s effort to work with coalition partners to degrade and ultimately destroy ISIL and address the crisis in Syria, the Budget includes $3.5 billion to strengthen regional partners, counter ISIL, provide humanitarian assistance, and strengthen Syria’s moderate opposition to advance the conditions for a negotiated political transition. In addition to the $3.5 billion in foreign assistance funding, the Budget includes $1.1 billion to support diplomatic engagement with Iraq to sustain the strategic partnership and to advance American interests.

Addresses Root Causes of Migration from Central America. The Budget provides $1 billion to support a comprehensive whole-of-government strategy for Central America to address the underlying factors of illegal migration, including the migration of unaccompanied children, by improving governance, advancing prosperity, and continuing strong support for the Central America Regional Security Initiative. Additionally, the Budget includes $142 million for Mexico, which includes funds to bolster Mexico’s enforcement capacity on its southern border.

Supports International Organizations and Peacekeeping. The Budget provides over $5.4 billion for international organizations and peacekeeping efforts. These funds strengthen strategic relationships across the globe and enable the U.S. to advance global security while sharing the burden with other nations. Our assessed contributions support 17 United Nations (UN) peacekeeping missions that mitigate conflict in Africa and the Middle East and satisfy U.S. obligations to the UN and 44 other organizations.

Reinforces our Commitment to Afghanistan and Pakistan. With a new reform-minded Afghan government in place, the Budget continues to support U.S. security, economic and civilian programs necessary to solidify the progress made over the last decade. The Budget also invests in security improvements at diplomatic facilities to sustain operations as the U.S. military presence continues to decline. For Pakistan, the Budget demonstrates our commitment to fostering stability and prosperity, and provides security assistance that promotes counterterrorism and counterinsurgency capabilities. The Budget continues to support public engagement and partnership programs in Pakistan and maintains staffing in order to support these critical U.S. priorities.

Counters Russian Pressure. The Budget includes vital support for Ukraine and countries in the region to counter Russian pressure and aggressive actions, including $275 million to support an additional loan guarantee for up to $1 billion in vital macro-economic financing in FY 2016 if Ukraine continues to make progress on its IMF program, implements reforms, and if other conditions warrant. The Budget also provides support for democracy and anti-corruption measures, national unity, European integration, trade, energy security, and public diplomacy strategies to counter Russian propaganda throughout Europe and Central Asia.

Addresses Humanitarian Needs Worldwide. The Budget provides $5.6 billion in humanitarian assistance to address increasing global need, including four Level 3 crises in Syria, South Sudan, the Central African Republic, and Iraq, an unprecedented number of the highest state of humanitarian crisis as designated by the UN.

Shared Prosperity in the Global Economy

Promotes Investment in Clean Energy, Forests, and Climate Resilience. The Budget invests in clean energy, sustainable landscapes, and adaptation through the Global Climate Change Initiative to support a healthy global environment, climate-smart growth, and improved resilience to the impacts of climate change. Funding of $808.3 million at the Department of State and USAID will support both bilateral and multilateral programs, including an investment in the Green Climate Fund, a new multilateral fund that will help developing countries gain access to public and private finance to invest in reducing carbon pollution and strengthening resilience to climate change.

Strengthens Global Health by Investing in High Impact Interventions. The Administration is investing in proven interventions to continue progress toward the goals of achieving an AIDS-free generation and putting an end to preventable child and maternal deaths. The Budget creates a new President’s Emergency Plan for AIDS Relief (PEPFAR) Impact Fund for targeted HIV/AIDS efforts to more quickly achieve epidemic control, and increases funding for Gavi, the Vaccine Alliance.

Bolsters Growth in Africa and Global Partnerships. As part of our significant investments in the African continent in FY 2016, the Budget supports important Africa initiatives, including Power Africa, Trade and Investment Capacity Building, the Young African Leaders Initiative, the African Peacekeeping Rapid Response Partnership, and the Security Governance Initiative. Additional funding from the Bureau of Education and Cultural Exchanges will engage global youth and expand support for the United States through international exchange programs such as the flagship Fulbright program and the Washington Mandela Fellowships.

Invests in Adolescent Girls' Education, Safety, and Health. In collaboration with the Office of the First Lady and as part of a new whole-of-government initiative, the Budget provides more than $200 million in new and reallocated funds to broaden opportunities for adolescent girls around the world. This new, expanded Let Girls Learn initiative—building on USAID’s initial funding and programs—will improve access to quality education and healthcare, and help address violence and other barriers to education that adolescent girls face.

Invest in Innovation and Technology for More Sustainable Development Outcomes. The Budget includes $190.5 million for the Global Development Lab and the Bureau of Policy, Planning, and Learning at USAID to develop and scale breakthrough solutions and accelerate the transformation of U.S. development efforts, leveraging outside resources and improving the sustainability of development interventions by attracting private-sector resources and strengthening evaluation and assessments.

Our People and Platform

Promotes the Ongoing Mission. The Budget includes $6.9 billion to support the people, infrastructure, and programs for the official U.S. relations with foreign governments and international organizations, our development experts in Washington and abroad, services to U.S. citizens and businesses, and reaching foreign audiences through public diplomacy.

Supports Embassy Security. The Budget includes $4.8 billion, including $1.1 billion in OCO, for Worldwide Security Protection to support security requirements such as protection of diplomatic personnel and infrastructure including the Foreign Affairs Security Training Center. Within the Embassy Security, Construction and Maintenance account, the Budget includes $1.4 billion (including $124 million in OCO) for Worldwide Security Upgrades, which includes support for the Capital Security and Maintenance Cost Sharing Programs and construction, maintenance, and security upgrades for diplomatic facilities, as recommended by the Benghazi Accountability Review Board.

Supports Consular Operations. Consular fees and surcharges support a range of activities that are critical to ensuring U.S. border security, including services for American citizens overseas, passport issuance, visa adjudications, and fraud prevention. The Budget creates a new standalone Treasury account to display fee-funded consular programs independent of the larger Diplomatic and Consular Programs account. The new account structure will enable the Department of State to make financial reporting and budget information more accessible to users and other stakeholders.

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