May 26, 2017

Posts on discretionary spending

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Monday, July 19, 2010 - 3:51 PM

Last week President Obama nominated Jacob “Jack” Lew to be the new head of the Office of Management and Budget (OMB), replacing Peter Orszag, who is stepping down at the end of July. OMB is primarily responsible for developing the President’s budget.

If confirmed by the Senate, as expected, Lew will become OMB director for the second time. He served as President Clinton’s director from 1998 through the end of the Clinton administration in 2001.

While Lew is familiar with the job, the budget picture has changed considerably. Lew was OMB director during the only four years of budget surpluses since the late 1960’s. He was also a key negotiator on the bipartisan balanced budget agreement in 1997. Now the budget environment is even more partisan and the country is experiencing the largest deficits since the end of World War II.

The change in OMB leadership provides an opportunity to review the changes that have taken place since Lew’s last stint as budget director and also gives us another chance to review the major decisions looming for the federal budget.

The final budget presented by Lew for the Clinton administration in February of 2000 (FY 2001)...

Monday, July 19, 2010 - 10:34 AM

Below are several developments we have been following since the last edition of the Washington Budget Report (sign up here) was published. 

2011 APPROPRIATIONS PROCESS MOVES FORWARD AS TIME STANDS STILL FOR THE 2010 SUPPLEMENTAL: Last week the House Appropriations Committee continued to make progress on the FY 2011 bills. House subcommittees reported the Military Construction and Veterans Affairs; Energy and Water; and...

Monday, June 14, 2010 - 4:05 PM

If the Obama administration follows through on its newly announced effort to identify and weed out unproductive federal programs, it could build public confidence and support for more sweeping fiscal reforms in the future.

The White House has asked federal agencies to submit lists of the programs that are “least critical” to their missions.  These programs should total at least 5 percent of  each agency’s budget, according to a memo issued by Rahm Emanuel, the President’s chief of staff, and Peter Orszag, the White House budget director.

It would be easy to dismiss the administration’s announcement of this effort as simply a public relations exercise.  But two points are worth noting:

  • Administration officials say they are considering not just paring back many programs but eliminating them entirely. This would be consistent with the concerns they have expressed in the past over redundant programs. If one program will do the job, we don’t need two – or two dozen.
  • The President wants Congress to pass legislation that would create a...
Wednesday, June 9, 2010 - 1:04 PM

The Obama administration has announced a very small effort to reduce deficit spending, and yet liberal groups are attacking them for promoting a policy that will kill the economy – or at least prolong the recession. And conservatives continue to argue that any “stimulus” spending is by definition “wasteful” – especially if they don’t get how a less-idle economy might benefit themselves personally.

But “fiscal hawks” can walk and chew gum at the same time. It’s possible to argue for more and better stimulus at the same time that you call for greater fiscal responsibility. Here are two prime examples, starting with Concord's executive director, Bob Bixby. He was quoted in a CQ Weekly story by Clea Benson (subscription required):

Robert Bixby, the executive director of the Concord Coalition, is at the forefront of the effort to publicize the dangers of uncontrolled federal spending. But even he worries that the economy is not yet at a point where it makes sense to forgo extending...

Thursday, June 3, 2010 - 4:35 PM

Below are a few budget items we have been following, since the last edition of the Washington Budget Report (sign up here) was published.

  • Last week, the House Appropriations Committee postponed its mark-up of the FY 2010 war supplemental.  The committee's chairman, David Obey, released a proposal including $84 billion in supplemental funding.  In addition to funding the President's request for war funding, the proposal would...
Wednesday, May 26, 2010 - 4:56 PM

While we publish a weekly Washington Budget Report (sign up here), we wanted to direct your attention to some other budget items we are watching this week.

  • The Senate is considering a McCaskill/ Sessions (amendment text here) that would institute statutory discretionary spending caps for three years.
Monday, May 24, 2010 - 5:27 PM

Today the Senate began considering the $59 billion supplemental spending bill (HR 4899) that the Senate Appropriations Committee approved last week. The bill includes emergency funding for priorities such as military operations in Iraq/Afghanistan, disaster assistance and veterans disability payments.  (For more details on the legislation, please see last week’s Washington Budget Report).

During the course of the week, amendments will likely be proposed to add extraneous items to the bill.  The Concord Coalition urges policymakers to resist adding non-emergency spending that will add to deficits that are already fiscally unsustainable. If these items are added, they should be paid for without emergency designations that exempt them from budget allocations.

Another potential addition to the bill is a procedural device called a “deeming resolution.”  Deeming resolutions are procedural shortcuts that Congress resorts to when its members have not lived up to their responsibility to pass a budget resolution.  Deeming resolutions have...