Publications :  The Watcher :  OMB Watcher Vol. 6: 2005 :  March 7, 2005 Vol.6, No.5 : 

In This Issue

---

Bush Budget to Increase Deficits $1.6 Trillion over 10 Years (03/07/2005)
The Congressional Budget Office released its estimates March 5 for the cost of President Bush’s fiscal year 2006 budget, showing deficits increasing by $1.6 trillion over the next 10 years. The CBO report will greatly impact the way the House and Senate budget committees write their FY 06 budget resolutions set for markup this week.

Social Security Debate Takes Dramatic Shift (03/07/2005)
In a dramatic shift in how the administration has approached overhauling Social Security, Treasury Secretary John Snow stated March 2 the administration is open to considering proposals that would create government-subsidized personal savings accounts outside the existing Social Security system or through means other than a diversion of funds from an individuals’ payroll tax. This announcement comes amid speculation that the president’s plan for Social Security reform may be less attainable than he and GOP congressional leaders would like to admit.

Congressional Leaders Begin Negotiations on Budget Resolution (03/07/2005)
With the proposed markup date for the budget resolution set for March 9, behind the scenes negotiation involving the budget committee chairmen and members of Congress was in full swing last week and through the weekend. Senate Budget Chairman Judd Gregg (R-NH) and House Budget Chairman Jim Nussle (R-IA) have spent the last few weeks soliciting input from members. While details are still vague, there are some initial indications of the shape and scope of the resolution.

Federal Spending Cuts, Caps to Hurt States Facing Own Deficits (03/07/2005)
This week, the House and Senate budget committees are scheduled to mark up their budget resolutions, and spending caps proposed for the next five years, would hurt many states. President Bush sees these budget spending caps as key to reducing the deficit and overall spending by the federal government — but they will do little to reduce the deficit.

Congress Rejects Competing Minimum Wage Amendments (03/07/2005)
On March 7, the Senate voted to kill two amendments to increase the minimum wage attached to the bankruptcy bill (S. 256). One offered by Sen. Ted Kennedy (D-MA), to raise the minimum wage from $5.15 to $7.25 per hour over two years, lost in a close 46–49 vote. The second, proposed by Sen. Rick Santorum (R-PA), and opposed by progressive groups, was soundly rejected 38–61. Santorum's amendment would have raised the minimum wage by $1.10 over two years to $6.25. Neither got the 60 votes needed to pass.

House Hearing Finds Too Much Secrecy, Seeks Fixes (03/07/2005)
A member of the 9/11 Commission and a former translator for the Federal Bureau of Investigation (FBI) warned House members that too much government secrecy today threatens the country’s ability to keep the nation safe. The comments were made during a House hearing March 2 that focused on the widespread breakdown of the system to help government keep only necessary secrets in a democratic political system.

White House Cuts Entire Chapter from Economic Report (03/07/2005)
The National Security Council (NSC) had an entire chapter on Iraq’s economy deleted from the “Economic Report of the President” simply because it would interfere with the positive tone of the rest of the report. The report is produced annually by the Council of Economic Advisers (CEA), a supposedly independent advisory entity. The unprecedented move is yet another example of the Bush administration’s willingness to manipulate expert and scientific information for political reasons.

Arizona Looks to Strengthen Freedom of Information (03/07/2005)
Arizona State Sen. Dean Martin (R-Phoenix) introduced two bills on Feb. 1 that would make it easier for Arizonans to access state-held information. The first bill, S.B. 1499, would create a state funded ’public access counselor’ to provide expert advice to citizens and state officials regarding requests for state-held information. The second bill, S.B. 1498, would make it illegal for state agencies to sue a person or group simply because they requested information.

Justice Department Opposes D.C. Anti-Terrorist Measures (03/07/2005)
On Feb. 25, the U.S. Department of Justice joined the rail company CSX in litigation to derail a new Washington, DC, law which bans hazardous cargo shipments through the district. In a brief filed with the Federal District Court, DOJ asserts that hazardous chemical shipments are part of interstate commerce and therefore may only be regulated by federal law.

Coalition Opposes Bill to Regulate Independent 527 Groups (03/07/2005)
A new coalition has formed to oppose passage of the 527 Reform Act of 2005 (S. 271 and H.R. 513). The Coalition to Protect Independent Political Speech sent a letter to Congress signed by more than 100 nonprofits urging rejection of the bill, noting, “These organizations have contributed to the revitalization of American democracy, helping bring millions of people back to the process of governing the country by bringing them back to the polls.” The Senate Rules Committee has scheduled a hearing for March 8.

Jones Continues to Misrepresent Rights of Houses of Worship (03/07/2005)
On March 2, Rep. Walter Jones (R-NC) formally introduced the Houses of Worship Free Speech Restoration Act (H.R. 235). The bill would amend the Internal Revenue Code to allow religious organizations to endorse or oppose candidates and engage in partisan activity as long as it is part of a religious event. Currently, all 501(c)(3) organizations, including houses of worship, are prohibited from intervening in elections. Supporters of the bill claim religious leaders are afraid to speak out on political issues.

Independent Sector Report Urges Nonprofit Accountability (03/07/2005)
On March 1, Independent Sector�s (IS) Panel on the Nonprofit Sector presented its Interim Report on nonprofit accountability, calling for voluntary action by nonprofits, increased enforcement by the Internal Revenue Service (IRS) and action by Congress, to Sen. Charles Grassley (R-IA), chair of the Senate Finance Committee. A hearing on proposals for legislative action is expected this spring. The Panel is expected to publish a final report before summer.

Faith-Based Roundup (03/07/2005)

House Vote on Jobs Act Would Codify Religious Discrimination, Opponents Await Senate Vote

On March 3, the House approved H.R. 27, the Job Training Improvement Act, which would allow publicly funded religious agencies to hire and fire workers based on their religious beliefs. A coalition of organizations had urged the House to reject the bill unless it was amended to ensure that workers could not be discriminated against on religious grounds in federally supported social service programs.

Senate Nixes New Right for Business to Restrict Information (03/07/2005)
The Senate rejected today a controversial amendment to a bankruptcy reform bill that would have given corporate special interests new incentives to refuse to provide information necessary for protecting the public.

Studies on Health Risks from Pollutants Verify Need for Safeguards (03/07/2005)
Several recently published scientific studies on the negative health impacts of depleted uranium, diesel engines, mercury and urban pollutants underscore the need for stronger environmental regulations to protect public health.

Privacy Statement | Press Room | Site Map | Contact OMB Watch

© 2008 OMB Watch
1742 Connecticut Avenue, N.W., Washington, D.C. 20009
202-234-8494 (phone)
202-234-8584 (fax)

Combined Federal Campaign #10201

Please credit OMB Watch when redistributing this material.