We thought you would like to know about an exciting and promising new effort aimed at stimulating the development of a long-term, proactive initiative on federal tax and budget policy.


Economy and Jobs Watch: Corporate Profits at Record Highs, While Labor Compensation at 38-year Lows (05/17/2004)

Recent data show a major shift in the balance between corporate income and labor compensation. As a share of the economy labor compensation has not been this low in almost 40 years (since 1966), and after-tax corporate profits are at the highest levels ever recorded by the Bureau of Economic Analysis.


Economy and Jobs Watch: Employment Struggling to Recover (05/17/2004)
Employment increased by a steady 288,000 jobs in April, the Department of Labor announced earlier this month. The unemployment rate remains steady at 5.6 percent as well.

OMB Fast-Tracks Revised Peer Review Policy (05/17/2004)
The Office of Management and Budget (OMB) appears unwilling to allow a sober and unhurried review of their revised proposal for government-wide peer review requirements. The revised proposal was published in the Federal Register April 28 with only a 30-day public comment period that is scheduled to end May 28. OMB rejected a request from various public interest groups for a 60-day extension to the public review period.

One Week Remains for Comments on Critical Infrastructure Information Rule (05/17/2004)
Only a single week remains to submit comments to the Department of Homeland Security (DHS) on the highly controversial Critical Infrastructure Information (CII) rule. DHS published an interim final rule in the Federal Register Feb. 20 with a 90-day public comment period that ends May 20.

Secret ACLU, NYCLU Lawsuit Tests Constitutionality of Patriot Act (05/17/2004)
While Congress remains reluctant to extend provisions of the Patriot Act set to expire in 2005, the American Civil Liberties Union (ACLU) and New York Civil Liberties Union revealed that they secretly filed a lawsuit last month challenging the constitutionality of a section of the Patriot Act that gives the government the authority to use "National Security Letters" to subpoena business records without judicial oversight.


FEC Delays Political Committee Rulemaking for 90 Days (05/17/2004)
At its May 13 meeting the Federal Election Commission (FEC) approved a General Counsel recommendation to defer action on its political committee rulemaking for 90 days. The General Counsel said the FEC needed time to give the complex issues in the case more thorough consideration, saying "It is just as important not to drop the issue as to get it right." The move makes it unlikely any new rules will take effect this year. In response the House Administration Committee has scheduled a hearing for May 20.


OMB Updates Guidance for Federal Grantees (05/17/2004)
As part of its effort to streamline the federal grants process, the Office of Management and Budget has published updated versions of its grants circulars that make definitions of key terms consistent for all types of grantees. The new Title 2 of the Code of Federal Regulations will centralize all policy guidance and rules for grants and cooperative agreements.

Democratic Senator Cancels Criticized Fundraiser (05/17/2004)
Sen. Blanche Lincoln (D-AK) has decided to cancel her July 28 fundraiser that was to be held during the weekend of Democratic National Convention in Boston. Worried about both potential criticism and comparisons with the fundraiser hosted by Rep. Tom DeLay's (R-TX), Lincoln decided to pull the plug. For more on this see last week's Watcher story entitled, In the Name of Charity or Political Gain?


Lawsuits Challenge Viewpoint Discrimination Against Nonprofit Public Communications (05/17/2004)
The American Civil Liberties Union (ACLU) filed two federal lawsuits aimed at protecting nonprofit speech.

Anti-regulatory Bill Pushes Through House (05/17/2004)
A bill making its way through the House threatens to advance the cause of "regulatory budgeting" policies that ration our protections of the public health, safety and environment based on phony cost and benefit numbers tailoredto serve industry interests.


OSHA Bills Protect Employers at Cost of Workers' Safety (05/17/2004)
The House may soon consider four bills amending the Occupational Safety and Health Act of 1970, which would effectively consolidate White House control over the Occupational Safety and Health Review Commission (OSHRC) and provide leniency to employers at the cost of the health and safety of workers.

Side-Impact Air Bag Rule Issued, but Advocates Raise Questions (05/17/2004)
The federal highway safety agency has issued a new rule requiring side-impact air bags. Safety advocates argue that, while a significant step forward, the rule is neither innovative nor sufficient to address side-impact collisions.

FDA Ignores Experts, Rejects Plan B for Over-the-Counter Use (05/17/2004)
The Food and Drug Administration (FDA) rejected an application to the "morning after pill" Plan B available without a prescription, despite the nearly unanimous advice of its own panel of experts that the drug is safe for over-the-counter use.

eRulemaking Workshops (05/17/2004)
The School of Public Policy and Public Administration at the George Washington University will host a series of half-day workshops on the federal eRulemaking Initiative June 2 to 4. The purpose of the workshops is to solicit input from various end-user communities with a stake in eRulemaking.

As U.S. Embraces Secrecy, Other Countries Embrace Openness (05/17/2004)
Countries around the world are embracing laws promoting openness in government, according to an updated global survey for freedominfo.org, a web site operated by the National Security Archive and other openness advocates.