State Support for Underfunded Head Start

Oregon politicians are looking for ways to replace a shortfall in federal Head Start funding. This East Portland Head Start program looks like the last place you'd expect a visit from politicians. Three- and four-year-olds are drawing pictures and practicing songs. A few months ago, they might have seemed all but forgotten. The president of the National Head Start Association, Sarah Greene, called a press conference in June to press Congress for money.

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Continuing Resolution Coming Soon

We're getting reports that the White House has drawn up a "continuing resolution" that keeps the government funded if Congress, which it won't, has not passed all appropriations bills by October 1st. The CR would set funding at the lower of either the Senate or House-passed versions of each annual appropriations bills. This CR format will wreak havoc in programs that are funded by an appropriations bill that has passed at least one chamber. Congress used the same format last year to drastically cut many programs .

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Accounting Secrets: The Deficit Unmasked

Rep. Jim Cooper (D-TN)’s article in Roll Call today points out that “The Financial Report of the United States,” a document so embarrassing to the While House that it published only 2,100 copies this year, reveals a true accounting of the deficit -— one that encompasses veterans’ benefits, civil service retirement, Social Security, and Medicare. Cooper notes that a partial unmasking of the true extent of the nation’s financial condition was mandated this summer, when:

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Wash Post: Reform to Nowhere?

The transparent inadequacies of the new House rule on earmarks disclosure are enumerated in a powerful Washington Post editorial today. Noting the insufficency of disclosure, the modesty of the rule's scope and the Senate's to failure to act at all, the editorial concludes:

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Estate Tax: Where Are The Charities?

A repeal of the estate tax may decrease charitable giving, yet charities have been largely silent on the issue. From Bloomberg News: That's the dilemma facing charities, universities, museums and other organizations that rely on donations as Senate Republicans consider another vote on permanently reducing the tax as early as this week. Most of the organizations are following [James] Tisch's advice, keeping mum on the issue in deference to their most generous patrons: the very wealthy who often serve on their boards.

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Calling for Deficit Honesty

Columnist Allan Sloan has come out in favor of deficit figures that show the long-term consequences of our spend now-pay later fiscal policy. Today, on Marketplace: SCOTT JAGOW: We're less than two weeks from the end of the government's fiscal year and it looks like the federal budget deficit will come in about 20 percent smaller than last year, around $260 billion. Or it could be twice that amount if you do the math the way Newsweek's Allan Sloan does it. ALLAN SLOAN: $558 billion dollars, give or take a few buck for rounding errors.

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GAO Report Highlights Magnitude of Fiscal Challenge

Earlier, Matt posted about a GAO report released today about the unsustainability of the federal budget. The report illustrates in six pages the enormity of the challenges the federal budget faces. And it makes clear that even if Congress allows the 2001 and 2003 tax cuts to expire, as is currently the law, the federal government will have to make serious changes to its current fiscal policy.

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When the Rules Hit the Road, Will Feathers Fly?

As Congress nears its target adjournment date of Sept. 29, the odds of its passing more than a small handful of the outstanding FY 2007 spending bills are lengthening. Congressional procrastination means that passage of a continuing budget resolution will be necessary to keep the government operating when the 2007 fiscal year begins on Oct. 1, followed by a (probably lame-duck) omnibus spending package comprising appropriations bills uncompleted before the end of the year. These conference reports and omnibus packages are notorious vehicles for feather-bedding earmarks.

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Halliburton and Friends, Exposed

TomPaine.com has a good article on the cost of a privatized military here.

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GAO: Fiscal Policy "Unsustainable"

CBO chief Donald Marron, a month ago : "[T]he message I would send is that we've gone from a period in which the fiscal deficits we were running in this country were large and not sustainable if they had persisted, to a situation in which, at least now and for next year, for several years going forward, deficits appear to be in a range that they're sustainable.”

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