Appendix II

Chronology of Key Events Related to the
Formulation and Execution of the NWS
Fiscal Year 1997 Budget

Date
11/95

11/95-1/96

2/5/96

4/30/96 and
5/14/96

9/30/96

1/3/97

2/14/97

3/18/97

3/18/97

Description

Department of Commerce's fiscal year 1997 budget request
submitted to OMB included $2 billion for NOAA's operations.
research, and facilities which included $693 million for NWS.
OMB passback and subsequent discussions resulted in reductions of
$16.8 and $22.3 million to NOAA and NWS budgets, respectively.
President's budget for fiscal year 1997 submitted to Congress
included about $2 billion request for NOAA's operations, research.
and facilities The President's backup book included about $670 7
million for NWS-about $471.7 million for operations and research
and $199 million for systems acquisition. It also showed that the
request included increases in the operations, research and facilities
over fiscal year 1996 for pay raise and within-grade step increases.
House and Senate Appropriations Subcommittees on Commerce.
Justice, and State, the Judiciary, and Related Agencies held hearings
on Commerce's budget request. In testimony, NOAA's Under
Secretary noted that NWS' fiscal year 1997 request for operations and
research funds to provide public weather and flood warnings and
forecasts and applied research in support of the weather service
modernization was reduced by $18 2 million from the base.
The Omnibus Consolidated Appropriations Act for fiscal year 1997
appropriated $1.85 billion for NOAA operations, research and
facilities. The Conference Report provided $638 million for NWS of
which $460.8 million was for operations and research The
appropriations represented a reduction of $117.1 million for NOAA
and $32.7 million for NWS Of NWS reductions. $10.9 million was cut
from NWS operations and research request and $21.8 million was cut
from NWS systems request.

Memorandum from NWS Director of Management and Budget Office
to NOAA Chief Financial Officer mentioning a $36.3 million NWS base
deficit for fiscal year 1997 and expressing deep concern over
NOAA's withholding of within grade adjustments of $1.9 million.
Congressional briefing by NOAA and NWS officials, including the
NOAA Deputy Under Secretary, the Assistant Administrator for
Weather Services, and the NWS Deputy Assistant Administrator for
Operations, noting that fiscal year 1997 Base Operations Budget
showed reductions of $27.5 million based on the fiscal year 1997
enacted appropriation versus the fiscal year 1996 appropriation and
planned actions of $27.5 million to address the reductions.
The Modernization Transition Committee recommended that the
Assistant Administrator for Weather Services approve over 80
certifications for consolidation, automation and/or closure of weather
service offices.

Memorandum from Assistant Administrator for Weather Services to
NOAA Deputy Under Secretary stating that the "operational deficit
facing NWS in fiscal year 1997 is $36.3 million rather than $27.5
million. The memo also cites another $6.8 million in withheld
adjustments to base which raises the "operating deficit' to $43.1
million.

(continued)

Appendix II

Chronology of Key Events Related to the
Formulation and Execution of the NWS
Fiscal Year 1997 Budget

Date

3/21/97

4/1/97

4/4/97

4/8/97

4/17/97

4/18/97

4/22/97

5/6/97

5/15/97

5/16/97

Description

Department of Commerce press release on NWS' plans to restructure operations to meet lower budget allocations discusses recommended actions, which include (1) accelerating planned reductions in staffing and operations at headquarters, regional offices, central operations and field offices and (2) reengineering certain programs, including accelerating plans for up to 200 reduction-in-force actions and closing the southern region headquarters office.

Analysis of NWS "deficit showing $42.2 million "deficit" and $42.2 million in actions to meet "deficit," including $15.5 million in permanent and one-time reductions. $6.5 million in temporary reductions, and $9.7 million of reductions to absorb inflationary costs. Congressional briefing by NOAA and NWS officials on Base Operations-Fiscal Year 1998 Funding Restoration showing reductions of $42 2 million, composed of $27 5 reduction plus $9.7 million in inflationary costs plus $5 million in estimated personnel separation costs. The briefing also lists $42.2 million in actions taken to meet the reductions

Hearings before the House Committee on Appropriations
Subcommittee on Commerce. Justice, and State, the Judiciary, and
Related Agencies indicate the NOAA Under Secretary said NWS
could fulfill its public safety mission with fiscal year 1997 funding.
Assistant Administrator for Weather Services referred to components
comprising a $27.5 million reduction and noted that NWS and all
agencies must absorb 3-percent pay raises. The Assistant
Administrator for Weather Services further noted that in an operational
organization such as the weather service, ongoing degradation as a
result of that ongoing absorption of pay raises will eventually lead to a
much smaller weather service.

Notification to House Appropriations Subcommittee on Commerce,
Justice and State for $0.7 million reprogramming to NWS for the
National Hurricane Center

NWS schedule on $7.9 million reprogramming request for fiscal year
1997 operations and research.

Assistant Administrator for Weather Services forwarded over 80
certifications for consolidation, automation, and/or closure of weather
service offices to NOAA Under Secretary for approval.

E-mail message from Counselor to the NOAA Under Secretary to
NWS Budget Analyst noting that the NWS reprogramming request for
$7.9 million for fiscal year 1997 has not been acted upon yet by
NOAA

NOAA Under Secretary and the Assistant Administrator for Weather
Services testify before the Senate Subcommittee on Science.
Technology and Space on the components of the $47.4 million
"shortfall," including NWS funding reductions and increased costs.
such as pay-related costs and the cost of NOAA support and
centralized services

E-mail message from Counselor to NOAA Under Secretary to NWS
Senior Budget Analyst stating that the reprogramming package is
with NOAA Deputy Under Secretary and is on its way to NOAA Under
Secretary for signature

(continued)

5/22/97

5/29/97

6/6/97

6/19/97

6/20/97

6/25/97

6/25/97

7/3/97

7/16/97

7/21/97

Description

Memorandum from NOAA Chief Financial Officer to NOAA Under
Secretary requesting a reprogramming for NWS of $7.9 million.
Memorandum from NOAA Under Secretary to Department of
Commerce Acting Chief Financial Officer requesting a
reprogramming of $7.9 million for NWS.

E-mail message to NWS Senior Budget Analyst stating that the NOAA
reprogramming is under review and that hopefully there will be a
Department of Commerce decision late the next week.

E-mail from NWS Deputy Assistant Administrator for Operations to NOAA Deputy Under Secretary asking for guidance on how to proceed with vacancies. E-mail notes that on June 16 NOAA Deputy Under Secretary indicated that NWS would not be able to fill the vacancies because NWS still had a deficit on the books. E-mail notes that this was a surprise to NWS because of NOAA's previous commitment to pay the separation costs.

NWS Deputy Assistant Administrator for Modernization recommended in an e-mail to NOAA Deputy Under Secretary that the certification packages for approximately 27 offices be held back because of staffing vacancies.

E-mail message from NWS' Management and Budget Office Director
to NWS Senior Budget Analysts stating that the Department has
requested that the NOAA fiscal year 1997 reprogramming request be
submitted 6/25/97

Department of Commerce press release notes that the Assistant
Administrator for Weather Services is reassigned to other duties within
NOAA

Reprogramming Notification from the Department of Commerce
Acting Chief Financial Officer to the Congress on a $5.4 million
reprogramming for NWS operations and research.

House Committee on Appropriations. Subcommittee on Commerce.
Justice, and State, the Judiciary, and Related Agencies, responded
to Department of Commerce Acting Chief Financial Officer on the
$5.4 million reprogramming notification for NWS that it has no
objection to reprogramming $3.6 million from satellite programs for
deferred maintenance and related activities, but drects the
department to transfer the additional $1.8 million from the Economic
Development Fund.

E-mail message forwarded by Counselor to NOAA Under Secretary to
NWS Senior Budget Analyst stating that the House and Senate have
officially concurred with the $5.4 million reprogramming for NWS.

Major Contributors to This Report