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Home :  Federal Budget & Tax : 
Federal Budget & Tax:      News     Blog     Background    



Tuesday, April 25, 2006

Many Not Pleased With Levels of Supplemental Spending

The New York Times has a great article today highlighting some of the criticisms of supplemental spending, which has "ballooned over the last five years, driven first by the Sept. 11 attacks, followed by the war in Iraq and then by natural disasters including the tsunami in Asia and Hurricane Katrina."

Excessive supplemental spending allows lawmakers to push through projects without going through the budget process, and allows them to evade voted-on, set spending limits. And while supplemental emergency spending is often used to fund war activities, many believe that at this point the spending should no longer be categorized as "emergency." The article quote AEI research fellow Veronique de Rugy as saying:

We have been using supplementals to finance the war, and it might actually make sense the first year. But three or four years into the war, no war spending should be going through supplementals. It's not as if it's sudden, urgent and unforeseen, or temporary.

This issue is currently relative as the Senate plans to take up a $106 billion emergency spending bill this week, which is $14 billion higher than the one requested by the White House. As the NY Times points out, the bill includes such non-emergecny spending as "farm-program provisions totaling $4 billion," "$700 million to relocate a rail line in Mississippi," and "$1.1 billion for fishery projects, including a $15 million 'seafood promotion strategy.'"

Majority Leader Bill Frist and a number of other lawmakers are in agreement that the emergency spending process is being abused, and has been for years. In an April 21 letter to his Republican colleagues, Frist said "the supplemental should not be bogged down with extraneous amendments and unrelated provisions. In the face of continued deficits, we must be careful to not blow the bank on the back of the war."

New York Times: New Criticism Falls on 'Supplemental' Bills



Posted by Becky Lewis, 04:26:56 PM



Monday, April 17, 2006

Congress Increases Criticism of Bush's Supplemental Requests

A growing number of lawmakers are increasing their criticism of the dependence on repeated supplemental or emergency funding requests from the White House. While in the past the criticism has been from a limited group of lawmakers (mostly deficit hawks) and was mostly rhetorical, the increasing unease of lawmakers has pushed congressional appropriators to take action.

Within the current supplemental working its way through Congress, appropriators have added language that challenges the administration for continuing to fund known and ongoing military costs through supplemental requests - which are exempt from spending controls. Appropriators included this slap to the White House in the committee report for the bill:

Congress will not be able to fully support [future] supplemental requests unless it is provided with the same detailed justification and program materials that it receives with the annual request.

Previously, Sen. Robert Byrd (D-WV), Rep. David Obey (D-WI), and a host of other lawmakers have tried to convince the administration, and their colleagues in Congress, to end the practice of depending on huge supplemental bills to fund ongoing war costs.

It is an extremely bad budget procedure that weakens fiscal responsibility, errodes congressional oversight, and discourages long-term planning and preparedness. Why has it taken Congress so long to figure this out?

Roll Call: Senate Targets Supplemental: 'Emergency' Bills Draw Scrutiny (sub. required)



Posted by Adam Hughes, 11:32:08 AM



Washington Post On Congress' Tax Gimmickry

Following up on a OMB Watch Budget Blog posting late last month, the Washington Post has an excellent editorial in this morning's paper criticizing Congress for "resorting to a [tax] gimmick that is even more egregious than their usual tactics."

The only way for the folks over at the Post to improve this editorial is to correctly identify this gimmick as a GOP proposal and not hide behind the general moniker of 'Congress.' As important as it is for all members of Congress to be honest about the impact of their policy proposals, it is equally important for the media to call a spade a spade. This tax gimmick is a purely GOP idea to finagle passage of a GOP tax cut that Democrats do not support.

It is still possible for the Senate parliamentarian to rule against this tax gimmick when Congress returns next week, then forcing the Senate to muster a more difficult 60 votes to approve the bill rather than simply 50. Unfortunately, that is the only way this bill won't eventually pass into law.

Washington Post: Tax Gimmickry



Posted by Adam Hughes, 10:51:10 AM



Friday, April 14, 2006

Oppose Sunsets Whenever You See Your Congressman!
Your representative in the House is probably at home from Washington for the Easter recess, holding town hall forums, making speeches, and kissing babies. Now is the perfect time to let your representative know that you are concerned about radical proposals for sunset commissions!

Any chance you get -- whether it's a question-and-answer session or just going down the line to shake your member's hand -- is a chance to register your concerns. Take it!

Print out our tips (PDF | Word), or read below:

State your concern: Whatever chance you get to speak, start right off the bat by stating your concern: "I am very concerned about Congress considering creating sunset commissions."

Explain the issue: Your member probably isn't expecting the issue to come up, so give a quick explanation: "The House leadership just promised a subset of members that there will be a vote on sunset commissions. If this radical proposal goes through, it would mean that every single federal program would be forced to beg for its life in front of an unelected commission that gets to decide whether it lives or dies."

Say what it means to you: Your member needs to hear that sunsets are a bad idea, but also that they will have consequences for you. Here are some ideas:

  • Programs that you care about are at risk: "I am really concerned about ___________. I think there's no doubt at all that we need this program. It will be a waste of resources for that program to have to beg for its life; that's money that should be spent on the good things that program does."

  • Programs that you care about are probably on the chopping block: If your program has been repeatedly set up for budget cuts or being eliminated, that program would probably be especially at risk from a sunset commission. "A sunset commission would take its cues from the White House's assessment of programs. Year after year, the White House argues that ________ should be cut or eliminated. That troubles me, because that means that _______ is particularly at risk from a sunset commission."

  • Programs that you care about could be killed with no warning: "Some of the sunset proposals would actually allow the sunset commission to decide what programs live or die, without ever having any hearings or letting us come in to defend the program. And Congress would have extreme limits on its ability to debate the sunset commission's recommendations, or make changes to save important programs."

  • Your tax dollars would be wasted: "There's just no need for this kind of waste. Congress already has the power to kill programs any time it wants, and it already spends most of its time every year deciding whether to give them any funding. We know that we need programs like EPA, or the Department of Education, or veterans' support programs. It would be a waste of my taxpayer dollars to force these programs to take time away from serving us in order to beg for their lives."

Demand your representative to take a stand. "I am opposed to a federal sunset commission. I want to know where you stand on sunset commissions. Will you allow the House to vote on sunset commissions? If there is a vote, will you vote against it?"

And here are more reasons to oppose sunset commissions.

Posted by Robert Shull, 05:02:05 PM



Friday, April 07, 2006

House GOP Attempts To Pass Budget Fail

In a surprising collapse late yesterday afternoon, the House GOP leadership pulled the 2007 budget resolution from floor consideration and gave up any efforts to pass the bill before the two-week April recess. Lacking the votes to pass the resolution, new GOP Majority Leader John Boehner (R-OH) failed in his first major test as head of the new leadership team in the House.

Boehner had made statements earlier this week vowing to pass a budget before the recess or abandon efforts to pass one at all. On April 4, he asked rhetorically, "If we don't do it this week, why do it at all?"

The straw that broke the camels back was a provision to require authorization from the Budget Committee for any emergency disaster relief appropriations in excess of $4.3 billion. This budget cap was heavily pushed by conservatives over the past few weeks (along with other harsh budget process changes) in exchange for their support on the budget resolution. But inclusion of this cap forced Appropriations Committee Chairman Jerry Lewis (R-CA) to withdraw his suppport and lobby the other 35 members of his commmittee to do the same.

While it is unclear if the House Majority Leader will hold to his earlier comments about abandoning efforts to pass a budget resolution, it may make little difference at this point. With the House GOP caucus now split into multiple factions and with united Democratic opposition, it seems more unlikely Congress will pass a budget now than perhaps at any other time this year.

And without the ability to pass a budget, the Republican Party continues to pull apart at the seams and has become a majority party withouth the ability to govern. While before they could muster the support to pass an irresponsible and reckless budget, this year, they may not be able to pass any budget at all.

Here's hoping they don't...

Washington Post: GOP Budget Talks Collaspe In House
NY Times: House Republicans Abandon Budget Effort

Posted by Adam Hughes, 10:19:54 AM



Tuesday, April 04, 2006

Senate Approps Approves Yet Another Supplemental Bill

The Senate Appropriations Committee approved yet another supplemental funding bill today by a 27-1 vote. The bill funds an additional $105 billion in fiscal 2006 supplemental spending - most of the money would fund military operations in Iraq and Afghanistan and hurricane relief.

It appears Budget Committee Chairman Judd Gregg (R-NH) - also a member of the Appropriations Committee, was the lone Senator to vote against the measure. Gregg decried the bill as already "balloon[ing] out of control" by including substantially more funding for extraneous items than the president requested and for underfunding border security - a key issue for Gregg

The bill head to the floor after the two-week April recess.



Posted by Adam Hughes, 05:42:15 PM



2005 Budget Cut Bill's Future Still Uncertain

The 2005 budget cuts reconciliation bill's future still hangs in the balance as the public interest group Public Citizen has challenged the law's constitutionality - rightly claiming the president's signed a bill that was never passed by Congress. The timing of the next steps in the lawsuit is unclear.

The Washington Post wrote a very good editorial over the weekend on the issue.



Posted by Adam Hughes, 11:04:04 AM




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