----- Original Message -----
From: "Joe Volk" <joevolk@fcnl.org>
To: "Miriam Vieni" <miriamvieni@optonline.net>
Sent: Tuesday, May 02, 2006 4:33 PM
Subject: The Budget: It Matters How You Do It - FCNL
Budgets usually aren't very entertaining, whether for a household or
for a nation, and few of us like to spend time on issues as arcane as
"budget processes."
Unless we pay attention now, though, we could be unpleasantly surprised
by the effects of some sweeping changes that Congress is expected to
consider in the next two months. Two proposals are of particular
concern to FCNL, because they would substantially shift Congress's
"power of the purse" to the White House or to an unelected
commission.
*Line Item Veto*
-What's the law now?
The president has the power now to veto any piece of legislation;
Congress can then re-affirm its support of the legislation (override
the veto) with a two-thirds majority vote. The president can also
delay spending on a program for up to 45 days by proposing a rescission
for the approval of Congress. This process, while imperfect, provides
both branches of government with significant power in the governing
process, and allows Congress to over-balance the president's position,
with broad democratic support.
-What's being proposed?
A new proposal (introduced in March 2006 as S. 2381 and H.R. 4890)
would allow the president to veto (or modify) any part of a bill that
would cause an increase in spending. The president would also be
authorized to modify the rules or benefits of large eligibility
programs such as Medicare, Medicaid, food stamps, and student aid.
Congress would then have 13 legislative days to respond and override
the president's veto. The override would be a yes or no vote on the
full package of line items - they do not even have to relate to one
bill or one set of programs. When it votes, Congress would not be able
to pick and choose among the items vetoed, as the president did.
Program improvements approved by Congress could be cancelled, even if
they have strong support in Congress, because Congress would have to
accept or reject the president's entire package of spending cuts.
Finally, the president's action would hold up funding for the program
for 180 days, whether or not Congress votes to override the action.
-What's wrong with this proposal?
The line item veto allows the president to act as a super-legislator.
After the Congress negotiates and approves a balance of concerns by
making spending choices - more here, less there - the president can
cross out any of the "more" spending that is not favored by his/her
political party. When he introduced his 2007 budget proposal,
President Bush provided a long list of programs that he would prefer to
eliminate. Congress will be considering that list as it makes spending
allocations in the appropriations process. After the Congress spends
weeks on that exercise, the president could then re-shape the
appropriations bills to match his original proposal, leaving the
Congress without a significant role to play in funding allocations.
The congressional process is imperfect and sometimes even results in
poor spending choices, but it is a fundamental part of the democratic
system in this country and offers the best chance for voters to hold
their government accountable for the choices it makes.
*Sunset Commission*
-What's the law now?
Congress authorizes programs for three to five years, sometimes longer.
Each time a program is due for reauthorization, Congress closely
reviews it in public hearings and in meetings with the department and
agency involved before deciding to continue, change, or discontinue the
program. In addition, Congress considers funding for agencies and
programs each year in the appropriations process. When Congress has
detailed questions about the operations of a particular agency or
program, it can commission a study by the Government Accountability
Office, the Congressional Budget Office, or the Congressional Research
Service and can require agencies to respond to questions in public
hearings. The president, through the Office of Management and Budget,
sometimes recommends that certain programs be scaled down or
terminated; Congress considers these proposals in allocating funds to
the agency.
-What's being proposed?
A new proposal would side-step the congressional authorization and
appropriations process by requiring that all programs expire every 10
years. In effect, the president will add another layer of bureaucracy
to an already complicated process. To continue in existence, program
representatives would appeal to an appointed "sunset commission," to
demonstrate that the program is still needed, that it is meeting its
objectives, and that it does not duplicate a service that is offered by
another agency or in the private sector. Even if the sunset
commission decides to make a positive recommendation, Congress must
still act on that recommendation before the program's deadline or it
will be terminated.
-What's wrong with this proposal?
1. This proposal creates a new level of administrative assessment to
which agencies and programs would have to respond, in addition to the
normal congressional budgeting and reauthorizing cycles. The
bureaucratic requirements are likely to be more damaging to small,
underfunded programs, than to large established agencies, since a
larger percentage of program resources will have to be devoted to
political survival.
2. One of the criteria for continued existence would be a showing
that the program or service is not duplicated elsewhere in the
government or in the private sector. All research, education, economic
development, and environmental programs are likely to have difficulty
with this criterion, as will many health care, aging, and children's
programs.
3. The proposal would place great weight on the judgment of a
commission that is appointed by the majority party and takes the
prerogative for such judgment from elected congressional
representatives. As a 10-year deadline approached, and the "sunset
commission" made its positive or negative recommendation, Congress
would be required to take very quick action to consolidate, terminate,
or continue federal programs, without the benefit of review by its own
expert committees.
The sunset provision proposal, as well as the proposed line item veto,
removes important spending decisions from Congress and place them in
the hands of one person - the president - or an appointed commission.
Spending decisions create the shape of our government as we
experience it day to day - our legislators are responsible to us for
those decisions. That responsibility should not be diluted or taken
away from them.
*What's likely to happen? *
During negotiations on the House Budget Resolution, House leaders
agreed to bring forward the line item veto and sunset commission bills
to the floor, probably by early June. As you contact your
representatives about various spending decisions, be sure to emphasize
the importance of their contributions to the budget process, and urge
them to defeat proposals that would undermine the role of the Congress
and give away "the power of the purse."
See More information about the line item veto legislation
H.R. 4890 -
http://thomas.loc.gov/cgi-bin/bdquery/z?d109:HR04890:@@@L&summ2=m&
S. 2381 -
http://thomas.loc.gov/cgi-bin/bdquery/z?d109:SN02381:@@@L&summ2=m&
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