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OMB Watch Logo
Publications :  The Watcher :  OMB Watcher Vol. 3: 2002 :  October 15, 2002 Vol. 3 No. 21 : 

Acrobat PDF Version

In This Issue

Federal Budget
"Bi-Partisan" Economic Summit A Good Start, But We Need Much More
Too Much Spending? Or Not Enough?
Continuing Resolution, Part III
CBO Says 2002 Had Largest Percentage Drop in Federal Revenue in 50 Years
Alliance for Children and Families: National Family Week

Information & Access
U.S. Department of Education Website Drops Record Number of Electronic Files
Comment Deadline Extended on FERC Rule Limiting Public Access

Nonprofit Issues
Campaign Finance Reform Update

Regulatory Matters
Administration Gives Panel on Childhood Lead Poisoning an Industry Tilt


"Bi-Partisan" Economic Summit A Good Start, But We Need Much More (10/15/2002)
The Democratic Policy Committee (DPC) hosted an economic forum on October 11. Subtitled “Securing Our Economic Future,” it was billed as an attempt to offer a bi-partisan discussion of and debate about the issues underlying the nation’s economic woes. Though the point was clearly made that no Republican Members of Congress accepted the DPC’s invitation, the forum’s first panel was comprised not only of former members of Clinton’s Council of Economic Advisors, but also a former Associate Director for economics in President Reagan’s Office of Management and Budget and a former economic advisor to House Majority Leader Dick Armey (R-TX).

Too Much Spending? Or Not Enough? (10/15/2002)
Only 9 billion dollars separates the House and the Senate Budget Committee FY 2003 discretionary spending totals, but this small divide has been widened by continuing efforts to limit spending on domestic programs. Each of the budget proposals that has been put forth calls for reductions in this year’s real per capita spending from last year’s levels. Yet a recent analysis from the Center on Budget and Policy Priorities (CBPP) argues that we are nowhere near a discretionary “spending explosion,” in either domestic or military spending.

Continuing Resolution, Part III (10/15/2002)

The House and Senate passed their third Continuing Resolution (CR) last Thursday, providing funding to keep the government operating through October 18. Passage of H.J. Res. 122 was required to prevent a government shutdown since none of the 13 annual appropriations necessary for federal programs to continue to operate has yet been enacted. It is anticipated that the Defense and Military Construction appropriations bills will be passed before a longer term CR is enacted.

CBO Says 2002 Had Largest Percentage Drop in Federal Revenue in 50 Years
The Congressional Budget Office’s (CBO) Monthly Budget Review reports that the $137 billion drop in revenue for FY 2002 represents the largest one-year drop in 50 years. The combination of this reduction in revenue and the increase in spending in response to last year’s terrorist attacks, the increase in the unemployment rate, and steep increases in Medicaid costs amounted to a $157 billion deficit for FY 2002, which ended September 30. Though this return to a deficit represents a $254 billion turn-around from last year’s $127 billion surplus, the deficit is only 1.5 percent of GDP, a manageable size and a great deal smaller than the deficits of the mid-1980’s, which amounted to 6 percent of GDP.

For an overview of CBO’s report on what happened to the surplus, see this OMB Watcher article.


Alliance for Children and Families: National Family Week
The Alliance for Children and Families along with thousands of people across the United States will join together during the 32nd annual National Family Week, November 24-30. This nationwide awareness campaign recognizes strong families and children are at the center of strong communities. National Family Week is observed the week of Thanksgiving, a time when many families traditionally celebrate their connections with one another. Accordingly, the theme, Connections Count, embraces the premise that children live better lives when their families are strong; and families are strong when they live in communities that connect them to quality education, child care, employment opportunities, transportation, and other social investments within the communities where they live and work. Local events are being planned across the country, including family fun festivals, parades, balloon releases, Family Week awards, and art contests. For more information about how you can participate, visit www.nationalfamilyweek.org to download a free how-to guide or find an Alliance member near you.

U.S. Department of Education Website Drops Record Number of Electronic Files
The U.S. Department of Education recently sparked controversy in the education and research communities for its decision to both remove and delete information from its agency websites, in the interests of consolidating information and making it more usable and accessible to the public. Critics charge that it is both an effort to remove information with which the Bush Administration does not agree, and symptomatic of broader long-standing problems facing intra- and inter-agency electronic document and records management. More discussion is provided in the following NPTalk located online: http://www.ombwatch.org/article/articleview/1130/1/96

Campaign Finance Reform Update
Below is a summary of new developments concerning campaign finance issues.

Administration Gives Panel on Childhood Lead Poisoning an Industry Tilt
The Bush administration is packing an advisory committee on childhood lead poisoning with those friendly to industry and predisposed against new regulation, according to a new report released by Rep. Edward Markey (D-MA).

Comment Deadline Extended on FERC Rule Limiting Public Access
On October 9, 2002, the Federal Energy Regulatory Commission (FERC) announced it was granting a 30-day extension for public comments on the Commission's Notice of Proposed Rulemaking issued September 5, 2002, and published in the Federal Register on September 13, 2002 in Docket Nos. RM02-4-000 and PL02-1-000.