http://www.fas.org/sgp/crs/mideast/RL33222.pdf
Summary
This report provides an overview of U.S. foreign assistance to Israel. It includes a review of past
aid programs, data on annual assistance, and an analysis of current issues. For general
information on Israel, see CRS Report RL33476, Israel: Background and U.S. Relations, by Jim
Zanotti.
Israel is the largest cumulative recipient of U.S. foreign assistance since World War II. To date,
the United States has provided Israel $115 billion in bilateral assistance. Almost all U.S. bilateral
aid to Israel is in the form of military assistance, although in the past Israel also received
significant economic assistance. Strong congressional support for Israel has resulted in Israel
receiving benefits not available to any other countries; for example, Israel can use some U.S.
military assistance both for research and development in the United States and for military
purchases from Israeli manufacturers. In addition, all U.S. assistance earmarked for Israel is
delivered in the first 30 days of the fiscal year, while most other recipients normally receive aid in
installments. In addition to receiving U.S. State Department-administered foreign assistance,
Israel also receives funds from annual defense appropriations bills for joint U.S.-Israeli missile
defense programs.
In 2007, the Bush Administration and the Israeli government agreed to a 10-year, $30 billion
military aid package that gradually will raise Israel’s annual Foreign Military Financing grant
from a baseline of nearly $2.55 billion in FY2009 to approximately $3.1 billion for FY2013
through FY2018. For FY2013, the Obama Administration is requesting $3.1 billion in FMF to
Israel.
In the second session of the 112th Congress, in addition to the normal foreign operations
appropriations process, lawmakers may address: Administration or Israeli requests for additional
defense appropriations for joint U.S.-Israeli missile defense; an extension of U.S. loan guarantees
to Israel beyond FY2012 when they are set to expire; and new funding for joint U.S.-Israeli
scientific research.
The Obama Administration’s FY2013 request includes $3.1 billion in Foreign Military Financing
for Israel and $15 million for refugee resettlement. Within the U.S. Department of Defense, the
U.S. Missile Defense Agency’s FY2013 budget request includes $99.8 million in joint U.S.-
Israeli co-development for missile defense.
On March 5, 2012, House lawmakers introduced H.R. 4133, the United States-Israel Enhanced
Security Cooperation Act of 2012. If passed, this bill would, among other things, allocate
additional weaponry and munitions for the forward-deployed United States stockpile in Israel;
provide Israel additional surplus defense articles and defense services, as appropriate, in the wake
of the withdrawal of United States forces from Iraq; expand Israel's authority to make purchases
under the Foreign Military Financing program on a commercial basis; encourage an expanded
role for Israel within the North Atlantic Treaty Organization (NATO), including an enhanced
presence at NATO headquarters and exercises; support extension of the long-standing loan
guarantee program for Israel, recognizing Israel's unbroken record of repaying its loans on time
and in full; and require the President to submit a report on the status of Israel's qualitative military
edge in light of current trends and instability in the region.
(See full report for details)