Hillary Rodham Clinton

Promoting Security Through Diplomacy and Development: The Fiscal Year 2011 International Affairs Budget

Hillary Rodham Clinton

Secretary of State

Opening Remarks Before the House Foreign Affairs Committee

Washington, DC

February 25, 2010

Well, first, let me say to you and to the Ranking Member and to all of the members of the committee that it is a pleasure to be back with you today. When I was last here discussing our budget, I emphasized my commitment to elevate diplomacy and development as core pillars of American power. And since then, I have been heartened by the bipartisan support of this committee and the rest of Congress, and I want to take this opportunity to thank you on behalf of the men and women who work every day for the State Department, for USAID here at home and around the world, putting our foreign policy into action, advancing America’s interests and values.

And that’s what this budget we’re presenting today intends to do. Our fiscal year 2011 request for the State Department and USAID totals $52.8 billion. That’s a $4.9 billion increase over 2010. Of that increase, $3.6 billion will go to supporting efforts in the front-line states – Afghanistan, Pakistan, and Iraq. Other funding will grow by $1.3 billion, which is a 2.7 percent increase that will help us address global challenges, strengthen partnerships, and ensure that the State Department and USAID are equipped with the right people and resources.

Over the past six weeks in Haiti, we’ve been reminded yet again of the importance of American leadership. I am very proud of what our country has done. Our military and civilian personnel have performed extraordinarily. And we are continuing our work with our Haitian and international partners to address the ongoing suffering and transition from relief to recovery.

Now, Mr. Chairman, I know that this is a time of great economic strain for our fellow Americans. And as a former member of Congress, I know what this means for the people you each represent. For every dollar we spend, we have to show results. That’s why this budget must support programs vital to our national security, our national interests, and our leadership in the world, while guarding against waste, duplication, and irrelevancy. And I believe it achieves those objectives.

The figures in the budget are more than numbers on a page. They tell the story of the challenges we face and the resources we need to overcome them. We are fighting two wars that call for the skill and sacrifice of our civilians as well as our troops. We have pursued a dual-track approach to Iran that has exposed for the world to see its refusal to live up to its responsibility, and it has helped us achieve a new unity with our international partners. Iran has left the international community little choice but to impose greater costs for its provocative steps. And we are now working actively with other countries to prepare and implement new measures to pressure Iran to change course.

We also achieved, this past year, unprecedented unity in our response to North Korea’s provocative action, even as we leave the door open for a restart of Six-Party Talks. And we’re moving closer to a fresh nuclear agreement with Russia, one that advances our security while furthering President Obama’s long-term vision of a world without nuclear weapons. With China, we’re seeking areas of common purpose while standing firm where we differ.

We’re making concrete our new beginning with the Muslim world, and we’re strengthening partnerships with allies in Europe and Asia, with friends in our own hemisphere, and with countries around the world from India to Indonesia to South Africa, Brazil, and Turkey. And yes, we are working every day to end the impasse and the conflict between Israelis and Palestinians.

At the same time, we’re developing a new architecture of cooperation to meet global challenges that cross national boundaries like climate change and the use of our planet’s oceans. In so many instances, our national interests and the common interests converge. And so from the Western Hemisphere to Africa, Asia, and the Middle East, we’re promoting human rights, the rule of law, democracy, and internet freedom. We’re fighting poverty, hunger and disease, and we’re working to ensure that economic growth is broadly shared.

Our agenda is ambitious because the times demand it. America is called to lead. And we need the tools and resources to exercise that leadership wisely and effectively. We can bury our heads in the sand and pay the consequences later, or we can make hard-nosed, targeted investments now, addressing the security challenges of today while building a stronger foundation for security and prosperity in the future.

Let me quickly highlight the three areas where we are making significant new investments: First, in the security of the front-line states. In Afghanistan, we’ve tripled the number of civilians on the ground, and this presence will grow by hundreds more with the $5 billion in this budget. Our diplomats and development experts are embedded with our military. They have moved into Marja along with our forces. They are now helping to set up institutions, expand economic opportunities, and provide meaningful alternatives for insurgents ready to renounce violence and al-Qaida and join Afghan society in a peaceful way.

In Pakistan, our request includes $3.2 billion to combat extremism, promote economic development, strengthen democratic institutions, and build a long-term relationship with the Pakistani people. This includes funding of the Kerry-Lugar-Berman initiative. And I want to thank you, Mr. Chairman, for your visionary leadership on this legislation. Our request also includes a 59 percent increase in funding for Yemen to help counter the extremist threat and build institutions and economic opportunity.

In Iraq, we are winding down our military presence and establishing a more normal civilian mission. Our civilian efforts will not and cannot mirror the scale of our military presence, but rather provide assistance consistent with the priorities of the Iraqi Government. So our request includes $2.6 billion for Iraq to enable us to support the democratic process and ensure a smooth transition to civilian-led security training and operational support. As these funds allow civilians to take responsibility for these programs, the Defense Department’s budget for Iraq will decrease by about $16 billion. That’s a powerful illustration of the return on civilian investment.

We are blessed, as we all know, with the best troops in the world, as we have seen time and time again. But we’ve got to give our civilian experts the resources that we ask them to exercise as they go about doing what they’re expected to do, and the budget takes a step in that direction. It includes $100 million for a State Department complex crisis fund, replacing the 1207 fund through which the Defense Department directed money toward crisis response. And it includes support for the Pakistan Counterinsurgency Capability Fund, which previously also fell under the Defense Department.

The second major area is investing in development. This budget makes targeted investments in fragile societies which, in our interconnected world, bear heavily on our own security and prosperity. These investments are a key part of our effort to get ahead of crises rather than just responding to them, positioning us to deal with the threats and challenges that lie before us.

The first of these is in health. Building on our progress treating HIV, malaria, and tuberculosis, our Global Health Initiative will invest $63 billion over six years, starting with $8.5 billion in FY2011 to help our partners address specific diseases, but also to build strong, sustainable health systems for themselves.

The Administration has also pledged to invest at least $3.5 billion in food security over three years. And this year’s request includes $1.6 billion, of which $1.2 billion will be funded through the State Department. This funding will focus on countries that have developed effective comprehensive strategies, where agriculture is central to prosperity and hunger remains widespread.

On climate change, our request of $646 million seeks to promote the United States as a leader in green technology and to leverage other countries’ cooperation, including through the Copenhagen Accord which, for the first time, brought developed and developing countries together on this challenge. This is part of the Administration’s total request of $1.4 billion to support core climate change activities in developing nations. Our request also includes $4.2 billion for humanitarian assistance programs. Our efforts in Haiti have made clear that State and USAID must be able to respond quickly and effectively to human tragedies.

These initiatives are designed to enhance American security, help people in need, and give the American people a strong return on their investment. Our aim is not to create dependency, but to help people develop solutions that they can sustain for themselves over the long term. And essential to this is a focus on advancing equality and opportunity for women and girls who are the key drivers of economic and social progress in the developing world.

And that brings me to the third and final area of investment. None of this can happen if we do not recruit, train, and empower the right people for the job. The State Department and USAID are full of talented and committed public servants, but too often we’ve neglected to give them the tools they need to carry out their missions on the ground. Rather than building their expertise, we have often relied on contractors, sometimes with little oversight and often with increased costs. This budget will allow us to expand the Foreign Service by over 600 positions, including an additional 410 for the State Department and 200 for USAID. It will also allow us to staff the standby element of the Civilian Reserve Corps*, which is a crucial tool we are developing to respond to crises.

Now, while deploying these personnel does generate new expenses in some accounts, it will reduce expenses in others by changing the way we do business. We are ending an over-reliance on contractors and finding opportunities to save money by bringing essential functions into government and improving oversight.

One thing that I hope is clear from this budget is that the State Department and USAID are taking a lead in carrying out the United States foreign policy and national security agenda. As we finish the first-ever Quadrennial Diplomacy and Development Review, we have a unique opportunity to define the capabilities we need, and then match resources with priorities. This budget aligns our investments with the strategic imperatives of our time. We are putting a lot of effort into the management of the State Department and USAID. We are asking a lot of hard questions. And we come to you with a commitment to be responsive, as we have done so this past year.

At a time of change and challenge at home and abroad, we believe these investments will enhance the security of Americans, assure the future of American leadership, and help build the foundations of peace, stability, and prosperity for the years ahead.

I look forward to continuing to work with you, and I would be pleased to take your questions, Mr. Chairman.

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*Should read "Civilian Response Corps."

PRN: 2010/217