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OMB Watch Logo
Publications :  The Watcher :  OMB Watcher Vol. 8: 2007 :  March 20, 2007 Vol. 8, No. 6 : 

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In This Issue

Federal Budget
Contracting Reform Bills Move in Congress
House Panel Passes $124 Billion Supplemental Bill
Senate Committee Adopts $2.9 Billion Budget Resolution; Floor Action Ahead
PAYGO Questions Answered

Information & Access
Journalist Audit Underscores Lack of Transparency
Open Government Legislation the Focus of Sunshine Week
EPA Looking at Labs
Report Finds Underreporting and Abuse of USA PATRIOT Act Powers

Nonprofit Issues
House Proposal for Grassroots Lobbying Disclosure Due Soon
Committee Votes Down Faith-Based Hiring Amendment to Head Start Bill
Appeals Court Upholds USAID Pledge Requirement for HIV/AIDS Grantees
Senate Votes Down Effort to Expand Definition of Material Support

Regulatory Matters
Mine Safety Concerns Remain after Sago
Leaders of Finance Committee Respond to IRS Outsourcing Program


Journalist Audit Underscores Lack of Transparency (03/20/2007)
An audit by journalist groups found that public access to Comprehensive Emergency Response Plans (CERP), as required by law, was inconsistent and unreliable around the country. Only 44 percent of the requests for the CERP were granted in full, whereas 20 percent were partially released and 36 percent were completely denied.

Open Government Legislation the Focus of Sunshine Week (03/20/2007)
Sunshine Week is an annual effort by the media, civic groups, libraries, universities, legislators and others to highlight the importance of open government. During this year's Sunshine Week (March 11-17), many legislative proposals to increase government oversight and transparency moved forward in Congress. The bills address contractor responsibility, environmental information, Freedom of Information Act reform, whistleblower protections, and other important aspects of an open and accountable government.

EPA Looking at Labs (03/20/2007)
The U.S. Environmental Protection Agency (EPA) has begun a review of its laboratory network that may result in significant closures, according to some early agency plans. In response to budget cuts, EPA intends to reduce costs at least 20 percent by 2011. According to EPA officials in a phone briefing on March 15, the review is to assess the efficacy of the lab network, eliminate duplicative programs or efforts, and increase overall efficiency. Given the FY 2007 and 2008 budget cuts to research and development, there is concern that the review and potential closures of labs are budget driven rather than reflecting a substantive management plan to create a more effective EPA.

Report Finds Underreporting and Abuse of USA PATRIOT Act Powers (03/20/2007)
The Office of the Inspector General (OIG) at the Department of Justice (DOJ) reported on March 9 that the Federal Bureau of Investigation (FBI) has been systematically underreporting National Security Letter (NSL) requests and has repeatedly violated federal law and agency policies in collecting personal information. The report unleashed a firestorm on the Hill, with calls for reform of the USA PATRIOT Act.

House Proposal for Grassroots Lobbying Disclosure Due Soon (03/20/2007)
While House Speaker Nancy Pelosi's (D-CA) office is still working on the details of grassroots lobbying disclosure as part of a package of Lobbying Disclosure Act (LDA) reforms, both supporters and opponents have continued to debate the merits of the idea.

Committee Votes Down Faith-Based Hiring Amendment to Head Start Bill (03/20/2007)
On March 14, the House Education and Labor Committee approved the Improving Head Start Act of 2007 (H.R.1429) after defeating an amendment that would have allowed faith-based organizations to hire teachers for the Head Start program based on religion. Attempts to insert such language into Head Start were unsuccessful in the past. This is the first time the issue has come up in the 110th Congress. The controversial provision was defeated 26-19 on a party line vote, and the overall bill passed 42-1. However, the amendment could be brought up again when the bill is considered on the House floor, which may occur before Congress' April recess.

Appeals Court Upholds USAID Pledge Requirement for HIV/AIDS Grantees (03/20/2007)
On Feb. 27, a three-judge panel of the U.S. Circuit Court for the District of Columbia overturned a lower court ruling that voided a USAID requirement that grantees under an HIV/AIDS program adopt certain policies on prostitution. The ruling in DKT International v. USAID is the first decision in two cases in separate federal appeals courts that involve the same issue. DKT expects to seek a re-hearing before the entire Circuit Court. An appeal from another lower court ruling that overturned the same requirement is pending in the U.S. Court of Appeals for the Second Circuit in New York. Conflicting rulings in the two appeals courts could increase the likelihood the issue will reach the Supreme Court.

Senate Votes Down Effort to Expand Definition of Material Support (03/20/2007)
The Senate bill designed to implement recommendations of the 9/11 Commission, S. 4, had almost 200 amendments and took over two months to complete. One amendment, introduced by Sen. Jon Kyl (R-AZ), could have potentially weakened humanitarian work of U.S. charities overseas but was defeated as part of a package of amendments that did not pass.

Mine Safety Concerns Remain after Sago (03/20/2007)
One of America's largest miners' unions has released a report faulting the coal industry and the federal government for the Sago mine incident of 2006. The report comes as mine safety legislation passed in the wake of the incident has yet to be fully enforced.

Leaders of Finance Committee Respond to IRS Outsourcing Program (03/20/2007)
Sens. Max Baucus (D-MT) and Chuck Grassley (R-IA), Chairman and Ranking Member of the Senate Committee on Finance, sent letters to IRS officials March 15 questioning an Internal Revenue Service (IRS) pilot program allowing outside experts to draft guidance documents for the IRS. The letters follow the controversy raised by a March 9 New York Times story [subscription] detailing the project, which allows tax lawyers and accountants to draft the documents rather than IRS officials.

Contracting Reform Bills Move in Congress (03/20/2007)
Congress is moving forward on bills to reform the federal contracting system, as the House approved a bill that improves contracting procedures, and the Senate introduced a comprehensive contract reform bill. The bills are an encouraging sign that Congress is working to fix some of the broken parts of the contracting system, but it will need to do much more to address the full scope of the problem.

House Panel Passes $124 Billion Supplemental Bill (03/20/2007)
On March 19, the Bush administration said it would veto a supplemental appropriations bill being readied for a House vote expected to come as soon as March 22. The White House indicated that the president opposes language that would require troop withdrawal from Iraq as well as "excessive and extraneous non-emergency spending". The supplemental appropriations bill, at $124 billion, will be the largest supplemental bill ever considered by a house of Congress and has sweeteners in it to offset a tough vote on withdrawing troops from Iraq. The Senate Appropriations Committee is scheduled to consider its own version of the supplemental on March 22.

Senate Committee Adopts $2.9 Billion Budget Resolution; Floor Action Ahead (03/20/2007)
On March 15, the Senate Budget Committee approved a $2.9 billion budget resolution for Fiscal Year 2008 on a 12-11 party-line vote. The full Senate is expected to take up the measure on March 20, with 50 hours of debate, votes on numerous amendments, and a final vote scheduled before the end of the week. The House Budget Committee is set to mark up its own budget resolution, with floor action likely the week of March 26. (Click here for links to resolution summary and details.)

PAYGO Questions Answered (03/20/2007)
The 110th Congress has brought attention once again to a well-known but little-understood fiscal responsibility mechanism: the pay-as-you-go rule, or PAYGO. The House has already enacted a PAYGO rule. The Senate has introduced a PAYGO bill (S. 10), and is expected to pass its own PAYGO rule in the FY 2008 Budget Resolution, which is now being considered in the Senate.