This Is Enough to Make Anyone Ill

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 $121 billion (current, or non-inflation-adjusted, dollars) 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, U.S. assistance

earmarked for Israel is generally delivered in the first 30 days of the fiscal year, while most other

recipients normally receive aid in installments, and Israel (as is also the case with Egypt) is

permitted to use cash flow financing for its U.S. arms purchases. In addition to receiving U.S.

State Department-administered foreign assistance, Israel also receives funds from annual defense

appropriations bills for rocket and missile defense programs. Israel pursues some of those

programs jointly with the United States.

In 2007, the Bush Administration and the Israeli government agreed to a 10-year, $30 billion

military aid package for the period from FY2009 to FY2018. During his March 2013 visit to

Israel, President Obama pledged that the United States would continue to provide Israel with

multi-year commitments of military aid subject to the approval of Congress.

The FY2014 Consolidated Appropriations Act (P.L

. 113-76) provides the President’s full $3.1

billion request in FMF for Israel. In addition, it provides another $504 million in funding for

research, development, and production of Israel

’s Iron Dome anti-rocket system ($235 million)

and of the joint U.S.-Israel missile defense sy

stems David’s Sling ($149.7 million), the Arrow

improvement program (or Arrow II, $44.3 million), and Arrow III ($74.7 million).

For FY2015, the Administration is requesting $3.1 billion in FMF to Israel and $10 million in

Migration and Refugee Assistance. The Missile Defense Agency’s FY2015 request for joint U.S.-

Israeli programs is $96.8 million. The Administration also is requesting $175.9 million for Iron

Dome.

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