Publications :  The Watcher :  OMB Watcher Vol. 5: 2004 :  June 1, 2004 Vol.5, No.11 : 

In This Issue

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Economy and Jobs Watch: Major Cuts to Domestic Services are on the Horizon (06/01/2004)
The White House's Office of Management and Budget (OMB) has instructed government agencies to plan for cuts to a wide range of domestic programs. In a memo dated May 19, 2004, (download pdf), the White House told agencies to prepare their budgets for fiscal year (FY) 2006 consistent with the FY 2005 budget proposal -- specifically, to "[a]ssume accounts are funded at the 2006 level specified in the 2005 Budget database." The database refers to the OMB computer run that was circulated earlier this year.

Budget Resolution Update (06/01/2004)
As of June 1, there is still no budget resolution, even as the appropriations process is scheduled to begin.

TSA to Expand "Sensitive Security Information" (06/01/2004)
The Transportation Security Administration (TSA) plans to expand the amount of information it can withhold from the public disclosure, according to a May 18 Federal Register notice.


ABA Task Force Calls on IRS to Protect 501(c)(4) Groups (06/01/2004)
The American Bar Association (ABA) sent a letter May 25 to the IRS calling for two regulatory changes that would protect social welfare organizations exempt under 501(c)(4) of the tax code from losing exempt status if they are involved in election related activity.

Report Says IRS Site on 527 Groups Needs Improvement (06/01/2004)
A May 12 report by the Treasury Department's Inspector General for Tax Administration found that the Internal Revenue Service (IRS) has complied with a 2002 Congressional mandate to make its website disclosing finances of Section 527 political committees searchable. However, the report said improvements are needed.

Republicans Jump on "527" Bandwagon (06/01/2004)
Within days of the Federal Election Commission's (FEC) May 13 decision to delay action on its proposed rule expanding regulation of independent political committees (often referred to as 527 groups), Republicans began calling for aggressive fundraising for groups sympathetic to them. By the end of May some Republican Members of Congress were stretching the limits of the Bipartisan Campaign Reform Act of 2002 (BCRA) by agreeing to appear at fundraisers for groups like the Leadership Forum.




Judge Acquits Greenpeace in Victory for Free Speech (06/01/2004)
On May 19, 2004, a federal court judge threw out the charges brought against Greenpeace by the United States Justice Department. Shortly after the prosecution rested their case, the judge decided that there was not enough evidence for the case to go to the jury and granted the motion for acquittal.

IRS May Investigate Catholic Diocese Political Communications (06/01/2004)
A charity watchdog group has asked the Internal Revenue Service (IRS) to investigate and possibly revoke the tax-exempt status of the Roman Catholic Diocese of Colorado Springs.

Public Outcry Forces DeLay to Cancel Fundraiser (06/01/2004)
A charity associated with Rep. Tom DeLay (R-TX) has finally decided to pull the plug on its fundraiser that was to take place during the week of the Republican National Convention in New York. The cancellation came after numerous complaints were filed to the IRS and an outpouring of criticism was rehashed in most major U.S. newspapers.

New Bush Regulatory Report: Ex-Agency Workers Describe Anti-Regulatory Agenda (06/01/2004)
Citizens for Sensible Safeguards released a new report documenting a systematic attack on regulatory protections to a standing-room-only crowd at an event that featured former federal workers who have resigned in protest of that attack.

Anti-Regulatory, Anti-Worker Bills Pass House (06/01/2004)
The House advanced the regulatory rollback this month by passing five bills, one of which threatens safeguards across the board while the other four specifically target workplace health and safety protections.

Bill to Extend Patriot Act Is Quietly Introduced (06/01/2004)
Secrecy News reported the next salvo in the debate about the Patriot Act: On May 21, Sen. Jon Kyl (R-AZ) [and others] introduced a bill to make the Patriot Act permanent. S. 2476 would repeal sunset provisions of the most controversial sections of the Patriot Act, which are set to expire in 2005.

Questionable Contracts Are Up and Information About Contracts Is Down (06/01/2004)
The House Committee on Government Reform's Minority Office recently released a report done for Rep. Henry A. Waxman (D-CA) examining current trends in the government's use of noncompetitive contracts. The report discovered that under the Bush administration the amount spent on these questionable contracts increased $40 billion compared to Clinton's final year. Equally troubling is the fact that under a new development at Government Services Administration (GSA) the public will soon find it much more difficult and potentially much more expensive to explore how the government spends our tax dollars.

Mistakes and Terrorism Fears Jail the Innocent, Miss Employee Misconduct (06/01/2004)
When authorities in Philadelphia found a motion sensor along some railroad tracks, they worried terrorists might be installing triggering devices to launch an attack against trains along the busy eastern rail corridor between Boston and Washington. But they soon found out terrorism concerns overshadowed the real problem of employee misconduct.

Park Service Superintendents Gagged by Agency (06/01/2004)
National Park Service (NPS) superintendents now must adhere to agency-prescribed "talking points" when speaking with the media. According to a May 12 press release by the Public Employees for Environmental Responsibility (PEER), the talking points try masking budget cutbacks by painting a rosy picture of national parks under the Bush administration.

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