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OMB Watch Logo
Publications :  The Watcher :  OMB Watcher Vol. 9: 2008 :  April 29, 2008 Vol. 9, No. 9 : 

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In This Issue

Federal Budget
Contract Reform Takes Center Stage in House
Lack of Action in Congress on Pivotal Fiscal Policy Issues

Information & Access
Report Documents Political Meddling with Science at EPA
Bill Requires Disclosure of Product Defects

Nonprofit Issues
IRS to Continue Flawed Enforcement Program on Partisan Activities
Court Upholds Stealth Lobbying Disclosure
HHS Proposes Restrictive Rules for HIV/AIDS Grantees

Regulatory Matters
Plastics Chemical Poses Health Risk, Businesses Respond
Fuel Economy Proposal: Higher Mileage, State Preemption
Farm Bill Proposes Food Safety Improvements


Plastics Chemical Poses Health Risk, Businesses Respond (04/29/2008)
The findings of a U.S. government science panel and actions by the Canadian government are prompting major retailers and manufacturers to reconsider selling products containing bisphenol-A, a chemical commonly found in hard plastics and food containers.

Fuel Economy Proposal: Higher Mileage, State Preemption (04/29/2008)
The U.S. Secretary of Transportation, Mary E. Peters, announced April 22 a proposed new rule to raise fuel efficiency standards for cars and light trucks. In December 2007, Congress passed the Energy Independence and Security Act, which required revisions to the Corporate Average Fuel Economy (CAFE) standards. The new rule, if implemented, would be the first significant improvement in fuel efficiency standards since the CAFE program's inception in 1975.

Farm Bill Proposes Food Safety Improvements (04/29/2008)
The huge farm bill reauthorization under discussion among House and Senate conferees contains two food safety-related items that could help regulatory agencies better protect the U.S. food supply and provide consumers with more information when making purchasing decisions. First, the bill contains country-of-origin labeling, primarily for marketing livestock by-products. Second, it proposes a bipartisan food safety commission to review the existing food system and make recommendations for improvements.

Report Documents Political Meddling with Science at EPA (04/29/2008)
U.S. Environmental Protection Agency (EPA) scientists are faced with widespread political interference that has significantly increased under the Bush administration, a new report from the Union of Concerned Scientists (UCS) shows. Hundreds of the scientists surveyed (60 percent) reported some degree of political meddling, ranging from unnecessary delays to forced resignations.

Bill Requires Disclosure of Product Defects (04/29/2008)
In an effort to improve transparency following litigation on defective products, the House last week introduced the Sunshine in Litigation Act (H.R. 5884).

Contract Reform Takes Center Stage in House (04/29/2008)
A group of reform bills that would bring accountability and transparency to the federal contracting process has been approved by the House in the last few months, potentially setting the stage for federal contracting reform to be a major area of legislative action in the remaining months of the 110th Congress.

Lack of Action in Congress on Pivotal Fiscal Policy Issues (04/29/2008)
Congress continues to wrestle with a number of high-profile budget and financial bills that will have broad impact on citizens throughout the United States and around the world, including legislation on war funding, economic stimulus, housing, and the last budget of the Bush presidency. Despite significant congressional rhetoric and media coverage of these efforts, Congress has made little real progress on reaching compromise or instituting policies.

IRS to Continue Flawed Enforcement Program on Partisan Activities (04/29/2008)
In an April 17 letter, the Internal Revenue Service (IRS) announced that its enforcement program on partisan activities by charities and religious organizations will remain in effect for the 2008 election season. The IRS announcement provided some helpful information on how the agency will consider cases involving charities' websites, but it muddied the waters for organizations that publish voter guides. The announcement does little to mitigate the vagueness of the standard, a problem Rep. Adam Schiff (D-CA) addressed in a hearing where he called for a bright-line rule defining what is and is not allowed.



Court Upholds Stealth Lobbying Disclosure (04/29/2008)
The National Association of Manufacturers' (NAM) legal challenge to the stealth lobbying disclosure provisions in the 2007 lobbying and ethics reform law was rejected by the U.S. District Court for the District of Columbia on April 11. After the U.S. Court of Appeals and the U.S. Supreme Court refused to grant a stay pending appeal, NAM announced it would comply with the law while its appeal proceeds by disclosing members who contributed more than $5,000 toward lobbying in a quarter and have supervision, control, or active participation in NAM's federal lobbying efforts.

HHS Proposes Restrictive Rules for HIV/AIDS Grantees (04/29/2008)
On April 17, the Department of Health and Human Services (HHS) published a notice of proposed rulemaking that seeks public comments on special requirements for organizations that receive HIV/AIDS funding from HHS. The rule would require "legal, financial, and organizational" separation between a grantee and any affiliate organization that does not adopt mandatory language opposing prostitution and sex trafficking. This "pledge requirement" is being challenged in court by groups that say the policy might stigmatize and alienate the people in need of HIV/AIDS prevention services and violates First Amendment rights because it applies to other programs that are not federally funded. Comments on the proposed regulation are due May 19.