Additional U.S. Support to Ukraine

Last Saturday, H.R. 7691, The Additional Ukraine Supplemental Appropriations Act, 2022 became law, providing $40.1B in assistance to Ukraine and related efforts. This latest measure follows a line of U.S. funding to Ukraine since the conflict with Russia began nearly three months ago. Historically, an April 2022 CRS report cites that the U.S. provided $275M to the Ukraine Security Assistance Initiative (USAI) fund and $115M in Foreign Military Financing (FMF) program in FY 2021. Prior and immediately following Russia’s February 2022 invasion, Congress increased the Presidential Drawdown Authority (PDA) to $3B and the authority to fulfill PDA packages to $500M. In the Ukraine Supplemental Appropriations Act, 2022, which was passed in March 2022 with the FY 2022 omnibus spending package, provided $13.6B in emergency funding support to Ukraine.

The latest $40.1B funding bill delivers appropriations across eight federal departments:

Source: H.R.7691

Key measures include:

• $9.1B to replenish U.S. stocks of equipment sent through the drawdown authority (DOD)
• $8.8B to the Economic Support Fund to respond to emergent needs in Ukraine, including funds for continuity of government and to counter human trafficking (State)
• $6.0B for the USAI towards assistance, equipment, weapons, logistics and intelligence support to Ukraine forces (DOD)
• $4.4B for International Disaster Assistance for emergency food assistance to those suffering from hunger due to the conflict (USAID)
• 4.0B for the FMF program for Ukraine and other countries affected by the conflict, including eastern NATO countries (State)
• $3.9B toward European Command Operations to support troops deployed to the region (DOD)
• Over $900M to provide medical, housing, education and mental health support for Ukraine refugee arrivals (HHS)
• Authorizes up to $11B in draw down defense articles and services
• Over $600M in multilateral assistance to support the European Bank for Reconstruction and Development and the Global Agriculture and Food Security Program

Contractors will play a role in the latest round of assistance funding to Ukraine. Replenishing U.S. stock of weapons will require a higher production of weapons such as Javelins and Stingers to replace those transferred to Ukraine. Moreover, contractors will participate in providing essential services for Ukrainian refugee assistance, both in the U.S. as well as neighboring Ukrainian countries in Europe. Operations and maintenance support for the current U.S. stockpile is also necessary. The increase in draw down defense authority will also provide flexibility for the provision of excess equipment and direct procurement to Ukraine and other regional allies.

For additional information on U.S. Support of the conflict, including a background on the types of funding avenues and legislation for U.S. security assistance to Ukraine, please refer to Deltek’s The Ukraine Conflict and U.S. Support briefing.