H.R. 4526 would require the Department of State to establish an Office of City and State Diplomacy to coordinate and support the interactions of U.S. state and municipal governments with foreign governments. It also would require that office to provide annual reports to the Congress on its activities.
For this estimate, CBO assumes that the bill will be enacted in fiscal year 2022. On the basis of information about similar activities conducted by the department’s Bureau of Global Public Affairs, CBO estimates that the department would move some existing staff in the Bureau to the new office and hire an additional five employees at an annual cost of $200,000 each. In total, CBO estimates that creating the new office and satisfying the reporting requirement would cost about $1 million each year and total $5 million over the 2021-2026 period. Such spending would be subject to the availability of appropriated funds.