Senate Passes Foreign Aid Bill

James Gandolfini, fourth from left, poses with Iraq war veterans after they arrived for the premiere of the HBO's "Alive Day Memories: Home From Iraq," Tuesday, Sept. 4, 2007, in New York. Gandolfini was executive producer on the film which surveys the physical and emotional cost of war through memories of their "alive day," the day they narrowly escaped death in Iraq. (AP Photo/Henny Ray Abrams) (Henny Ray Abrams - AP)

Bush requested $3 billion for the Millennium Challenge Corp., a program that assists countries in putting in place economic and political reforms. That total would fall to $1.2 billion under the Senate bill. The administration has been slow to spend earlier money for the program.

The spending measure would boost Bush's $4.2 billion request for the global HIV/AIDS account by $940 million. Lawmakers are adding $590 million to the administration's request for a global fund to combat AIDS, tuberculosis and malaria _ enough money to almost triple it.

Altogether, however, the Senate would cut Bush's request for foreign aid and the State Department budget by about $700 million, transferring money to domestic accounts favored on Capitol Hill.

The bill also provides military aid to familiar allies in the Middle East. Israel would receive $2.4 billion, while Egypt receives $1.3 billion. Afghanistan would receive about $1.1 billion for humanitarian assistance and reconstruction aid.

But the Senate joined the House in denying the administration's $456 million request for aid to Iraq; $2.8 billion in Iraq reconstruction aid provided in May has yet to be spent.

Earlier Thursday, the Senate brushed aside administration protests and passed legislation containing big budget increases for medical care for veterans.

The Senate approved the Veterans Affairs Department's budget bill by a 92-1 vote. Sen. Jim DeMint, R-S.C., was the lone vote against it.

The overwhelming margin illustrated why the White House backed away from a veto threat issued in May and has signaled Bush would sign the bill, even though it breaks his budget by $4 billion.

That bill also provides huge budget increases for construction at military bases.

The bill rewards the VA with an almost 10 percent budget increase of $3.2 billion for its health care accounts next year _ on top of $1.3 billion added for health care to the Iraq funding bill passed in May.