A key element of the FY2016 Homeland Security Appropriations included in the FY2016 Consolidated Appropriations Act (P.L. 114-113) provides funding for the U.S. Coast Guard.

Discretionary funding (appropriated by Congress) for the Coast Guard totals $9.3 billion, $1.2 billion higher than the request. The Coast Guard budget also includes $1.6 billion in Mandatory funding for retired pay.

Coast Guard military personnel will receive 1.3 percent pay raise authorized in the FY2016 Defense Authorization bill. Coast Guard civilians will receive a 1 percent across-the-board pay increase and a .3 percent locality pay raise as Congress did not change the president's recommendations.

Operating expenses account for $7.061 billion of Coast Guard FY2016 discretionary funding, $239 million higher than the request.These amounts fund Coast Guard operational activities worldwide, including personnel costs. Two-thirds of the increase is accounted for by $160 million for Overseas Contingency Operations (OCO), in the Coast Guard budget rather than in Department of Defense account. An additional $41.8 million is provided to reduce critical depot maintenance, $8.4 million to restore operating hours, $14 million to restore cuts to military special pays and bonuses, $2,2 million for a “Bravo-0” response capability, and $899 million for increased personnel levels at Aids to Navigation sites.

FY2016 funding for Coast Guard acquisition, construction, and improvements totals $1.945 billion, $930 million higher than the request. Funding is increased by $640 million for the award and production costs of the ninth National Security Cutter. An additional $70.5 million is provided to begin Phase II of the Offshore Patrol Cutter (OSP). The bill also provides another $95 million for one fully-missionized HC-130J aircraft. Additional funding is also provided for construction of shore facilities ($80 million) and for the capitalization, improvement, and acquisition of family housing ($21 million).