Budget Failures: Cutting to the Core

Republicans in Congress, in order to avoid a backlash from core supporters this November, are on a path to make harmful budget cuts under the cover of a "continuing resolution" and a post-election "lame-duck" session. Only two of 12 appropriations bills -the Department of Homeland Security and Department of Defense spending bills - are even close to passage, and both should receive hefty allotments that will crowd out spending in the remaining appropriations bills.

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Earmark My Word: Boehner Promises House Action This Week

Last Thursday, House Majority Leader John Boehner (R-OH) announced the House will take up legislation as soon as this week to overhaul the process allowing individual lawmakers to slip funding for special projects into large appropriations bills. Earlier this year, Congress seemed sure to address the enormously embarrassing loopholes riddling the nation's lobbying laws and Congress' own lax ethics rules in the aftermath of the Jack Abramoff scandal and the resignation of disgraced former Rep. Randy "Duke" Cunningham (R-CA).

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Trifecta Bill May Resurface in Senate This Month

The fate of the "trifecta" bill and middle-class tax cuts remains uncertain, as GOP leaders send mixed signals about their intentions and the GOP ranks appear restless. In late July, the House passed a so-called "trifecta" package (H.R. 5970) that would roll back estate taxes, increase the minimum wage, and extend several business and other tax credits. Solely because of the inclusion of the estate tax cut, the package failed in the Senate, falling three votes short of the 60 necessary to end debate.

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Congress Squanders Year As Appropriations Remain Unfinished

With the beginning of the new fiscal year less than three weeks away, not one of this year's appropriations bills has been signed into law. The Senate shoulders most of the blame for the standstill, having now passed just two of its 12 appropriations bills. Because there is so little time left, Congress will have to finish up its appropriations work in a lame-duck session after the November election.

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Senate Defeats Estate Tax Giveaway...Yet Again

The Senate voted last week to reject a tax and wage package dubbed the "trifecta" that would have slashed the estate tax permanently, increased the minimum wage modestly, and extended a broad set of tax breaks. The bill, passed by the House last month, also contained a number of "sweeteners" to entice targeted senators to vote for the bill. "What I will do over the next month [is] assess where America is," Frist said. "And what I would very much like to do or to have happen is ... pressure from the American people. If I felt that, I would use that procedural option in bringing these back."

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Last-Minute Attempt to Add Estate Tax to Pension Reforms Fails

Over the last week, Capitol Hill has been abuzz with speculation that House and Senate GOP leaders were engaging in a last-ditch effort to attach a provision gutting the estate tax to a sensitive and complicated pension reform conference report. The sneaky move failed, however, as Senate Majority Leader Bill First (R-TN) announced today he could not convince a number of key Republicans, particularly Sen. Olympia Snowe (R-ME), to support it. In related news, President Bush has moved to gut IRS estate tax enforcement.

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Congress Running Out of Time for Approps Work

Lawmakers returned to Washington on Monday after a week-long 4th of July break. Both chambers of Congress are far behind in their work for the year and appear to lack momentum toward completing contentious legislation, including immigration and pension reform, additional tax cuts, and budget process changes. This already nearly guarantees that a continuing resolution (CR) will be necessary for funding the federal government after the start of the fiscal year on Oct.

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Measures to Reform Budget Process Move in Congress

Both chambers of Congress are moving forward on measures centered around budget process changes, with a focus on giving the president line-item veto authority. The House passed the Legislative Line Item Veto Act (H.R. 4890) 247-172 on Jun. 22, and the Senate Budget Committee reported out a broader budget reform bill on Jun. 21 that included presidential line-item rescission authority. The Senate bill, called the Stop Over Spending Act (S. 3521), also includes:

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    Summary of House Grants Disclosure Bill

    The House of Representatives passed a bill requiring the Office of Management and Budget to ensure there is a free searchable website providing access to federal financial assistance awards. This searchable database will not cover disclosure of federal contracts, however. H.R. 5060, co-sponsored by Reps. Roy Blunt (R-MO) and Tom Davis (R-VA), passed the House on a voice vote on June 21.

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    House Passes Budget, Slips in Increase to Debt Ceiling

    In the very wee hours of May 18, the House finally succeeded in passing its version of the 2007 budget resolution, more than a month too late. Majority Leader John Boehner (R-IA) had repeatedly postponed the vote, because he lacked enough support to pass the bill. The passage of the resolution carries little practical purpose, because the House and Senate are unlikely to have the time or inclination to reconcile the very different versions of the bill, and the House has already moved forward quickly with appropriations.

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