Special Trustee Thomas Sloanaker, an independent
overseer for the Department of the Interior, was forced to resign
his post recently because he openly criticized the department for
its ongoing mismanagement of Indian trust funds. He was then
offered the choice of resigning or being fired. -- The
Wall Street Journal (7/31)
Unions recruited a firefighter and a border
security agent to testify alongside Senate Democrats in opposition
to management flexibility within the Homeland Security
Department. President Bush has threatened to veto over the
measure, which could restrict the department's autonomy to direct
its resources where need demands. -- Associated Press
(7/31)
In a rare moment, the Senate passed the Defense
Appropriation with less than the amount requested by the White
House. Cynics point out the defense bill will likely be hiked
in Senate-House conference, while the other appropriations bills
with more than requested will remain the
same. -- Associated Press (7/31)
Former presidential candidate Bob Dole will star
in a series of federally financed advertisements for the USA Freedom
Corps, to promote its recently redesigned
website. -- Washington Post (7/31)
The 1996 welfare reforms will expire this
October, and the Bush Administration proposes to renew it with more
teeth using longer workweek requirements. The Senate sees
things differently though, and its version will allow education and
job searching to count as work, and adds $5.5
billion over the next five years for child
care. -- Washington Post (7/30)
The House Energy Plan promises $33
billion in tax breaks and subsidies for the energy
industry. The Senate bill, with a price tag of $14.5
billion, looks to be better but will mail as many checks to
"green" energy as it will to viable
sources. -- Washington Post (7/30)
The U.S. Treasury will borrow $76
billion to cover new debt in the July-September period, $21
billion more than expected. -- Washington Post
(7/30)
A Bush Administration audit of the Centers for
Disease Control has provoked criticism of taxpayer-funded HIV
prevention programs in San Francisco that feature drag queens and
masturbation demonstrations. -- Foxnews.com
(7/30)
The White House is transforming its Radio Free
Afghanistan into a full fledged Office of Global Communications, a
government PR firm for American foreign
policy. -- Washington Post (7/30)
The Bush Administration, through the Office of
Budget and Management, is pushing management reform through
red-lining government agencies. The reform would implement
management flexibility in pay and firing. Naturally, unions
oppose it. Interest in the initiative is said to be low on
Capitol Hill, especially in the House. -- Federal
Times (7/29)
The IRS quietly 'fessed up to politically
motivated tax audits recently, with a 1,500-page dump of Freedom of
Information Act requests. The Cato Institute, Heritage
Foundation, and other right-leaning associations were audited during
the Clinton Administration. -- Syndicated columnist Robert
Novak (7/29)
Wisconsin Gov. Scott McCallum (R) is advancing a
state constitutional amendment, forcing a referendum for any tax
increase. "I want to make it as difficult as I can in this
state to raise taxes," McCallum said. "We're the third-highest in
the nation for state and local taxes." -- Florida
Today (7/28)
The Clinton Administration attempted to terminate
artificial beach construction on the coast, but instead of
extinguishing these programs eventually increased them. Since
then, the government has spent a record $788
million to build up shorelines from North Carolina to
California. Bush has requested an additional $73.6
million. -- Florida Today (7/28)
According to the Department of Justice and the
Drug Enforcement Agency, glow sticks and bottled water are drug
paraphernalia. Commonly used by ecstasy rollers at raves, the
RAVE Act would cement these agencies' efforts to shut down
electronic music concerts at which they are often
sold. -- Instapundit.com (7/25)
The Bush Administration's executive branch
appointees are waiting longer for confirmation than any others since
1960, the Brookings Institution reports. Ninety nine
cabinet-level positions remain unfilled. -- Washington
Post (7/25)
The Senate Military Construction Appropriation,
opposed by the Bush Administration for its unnecessary $1.1
billion of bloat, passed 96-3 with only two Republicans
loyal to their president. -- CongressDaily
(7/25)
The Senate has proposed to increase Amtrak's
appropriation this year to $1.2 billion, twice the
Bush recommendation. Sen. Patty Murray (D-Wash.) proposed a
$64.6 billion transportation bill with similar
increases for highways and airports. To make way for the new
spending, Congress proposed to cut funding to the high-priority
Yucca Mountain nuclear waste repository. --Washington
Post (7/25)
In a day of limited military resources, retiring
Sen. Strom Thurmond (R-SC) secured $8 million in
federal funding for an Army parking garage. He obtained the
funds through the defense appropriations bill, and rather than give
them to his home state, he has routed them to the Walter Reed Army
Medical Center in Northwest DC where he currently
lives. --Roll Call (7/25)
Senate Majority Leader Daschle (D-S.D.) slipped a
provision into the emergency supplemental defense bill exempting
South Dakota from environmental regulations and lawsuits related to
logging. Other states still must follow federal statue when
fighting catastrophic fires. --Washington Times
(7/24)
Congress pushed through a pay raise for itself
and other federal employees to match the 4.1
percent pay raise given to military personnel. The
Bush Administration had requested a 2.6 percent raise for civilian
employees this year. --Washington Post
(7/24) California passed a law to regulate the fuel
economy standards of all automobiles sold inside state borders, as
well as to add carbon dioxide to the list of regulated
chemicals. CO2 is not on the EPA's list of regulated emissions
because it is exhaled by every animal. The new standards may
necessitate another move to smaller cars, a move the Harvard Center
for Risk Analysis says is responsible for around a 20 percent
increase in motor vehicle deaths. --Washington Post
(7/24)
Trial lawyer Samuel Hersch has announced a class
action lawsuit against the four largest fast food chains, accusing
them of responsibility for his clients' obesity. Through
deceptive advertising and poor nutritional choices, the plaintiff
says that fast food companies created an addiction resulting in high
blood pressure and diabetes. --FOXNews.com (7/23)
Former President Bill Clinton criticized the $1
billion the U.S. is committed to spending fighting AIDS worldwide;
$2.5 billion would be closer to our share, he
said. --NBC.com (7/23)
The Senate Appropriations Agriculture
Subcommittee added another $900 million to the FY2003 Agriculture
spending bill, already at $17 billion due to the 2002 Farm
Bill. In total, spending increased $1.6 billion over
FY2002. --Congressional Quarterly (7/23)
A federal employee had a 0.02722 chance of being
dismissed for performance reasons from
1997-2001. --Washington Post (7/23)
How are states using funds won from their massive
tobacco lawsuit? New York spent $24 million for a
county jail and office building, and $700,000 on a
sprinkler system at a golf course. Alaska used $3.5
million of its settlement to renovate shipping docks.
Ironically, North Carolina used $42 million of it
to market its state tobacco products. --Good Morning
America (7/22)
The federal government posted an $118 billion
deficit in a preliminary fiscal report. The Office of
Management and Budget predicts the 2002 deficit will grow to
$165 billion by the end of FY2002. --Wall
Street Journal (7/22)
The Transportation Security Agency, an agency
created 10 months ago in the wake of airport security scares, has
come under fire from lawmakers for failing to do much of
anything. The bureaucracy has struggled even to define its
mission law enforcement or overseer? and its scope in the airports
or the whole transportation system? Currently, it trains and
employs airport screeners. --Washington Post
(7/22)
In order to cut down on alleged tax fraud, the
IRS announced it will resume its policy of randomly auditing tax
returns, ended in 1988 by the Reagan Administration. Also, the
Bush Administration proposed $200 million for a free mortgage for
lower-than-average income earners, with an additional $35 million to
educate home buyers on the merits of buying homes. --National
Review Online (7/19)
California blackouts could return. The two
biggest electrical utilities have no credit, and the state
government buys most of the electricity. State and federal
regulators still have not come to a consensus on a
solution. --Wall Street Journal (7/18)
Senate committees approved a $137 billion
Labor-HHS bill, $5.8 billion fatter than requested
by the president, a $355 billion Defense Appropriations bill,
$3 billion larger than expected, a $2.7 billion to
increase funding for Capitol staff and police, and began work on a
$5,000 pay raise for congressional
representatives. --Congressional Quarterly (7/18)
The Clinton Administration predicted
discretionary outlays pretty much everything but Social Security and
Medicare to equal about $600 billion of the roughly $2 trillion
federal budget. Since Clinton left office, FY2003
discretionary spending is pushing $800 billion, 33
percent higher than predicted. The Cato Institute calculates
that if spending remained at merely Clintonian levels, the
government would have posted a $1 trillion in surplus in four
years. --Columnist Steve Chapman (7/18)
After a brief rebellion by conservative
Republicans, the House of Representatives caved in and approved a
$19.8 billion spending bill for the arts, including a 10
percent increase for the NEA. --New York Times
(7/18)
The arts vote was followed by another spending
bill. Two hours later the House approved a $20.4 billion
natural resources bill, exceeding the president's request by
$1.5 billion. --Washington Post
(7/18)
A General Accounting Office probe found that more
than 200 Army Officers used federal credit cards to pay for fees at
strip clubs. In total, $38,000 was
spent. The probe did not disclose the specific nature of the
fees. --Associated Press (7/17)
With the recent addition of Michigan, 17 states
this year have levied cigarette taxes, a move the Bureau of Alcohol,
Tobacco and Firearms fears will create a viable black market for
cigarette smuggling. Already the illegal cigarette trade has
gone into the New Economy they are not only available on street
corners but through specialty Internet sites. State and
federal authorities lose more than $1.5 billion in
evaded cigarette taxes annually. --Associated Press
(7/17)
Sen. Richard Shelby (R-Ala.) boasted of several
appropriations in fiscal 2003: $3 million for a
National Fatherhood Initiative, $500,000 for Youth
Violence Prevention Research, $1 million for the
shellfish industry, $500,000 for "at risk"
employment training, and $106 million for the
manufacturing industry. --The Office of Sen. Shelby (7/17)
US Airways, on the verge of bankruptcy before
Sept 11, is in the process of bargaining for a $900
million loan to keep flying. Southwest Airlines,
however, said no to a government bailout. --Free Congress
Foundation (7/16)
The Enron and WorldCom scandals pale in
comparison to the tricky reporting used in the government's
accounting. If the government kept its books the way it
requires companies to, last year's $127 billion surplus would have
been a $515 billion deficit. In addition, $17
billion simply disappeared from the government's books. --USA
Today (7/16)
California experienced a $23
billion deficit under Gov. Gray Davis (D) this year, while
Colorado delivered $927 million in tax rebates along with a balanced
budget. And, Colorado has neither Silicon Valley nor a major
tourist industry. The difference is that Colorado, unlike big
spending states North Carolina, Kansas, Tennessee, Ohio, and
California, has a balanced budget amendment. Forty-six states
are raiding their cash reserves this year to reduce
deficits. --Wall Street Journal (7/16)
The Army has spent $10 million
to develop a computer war game to attract recruits. --George
Gilder's Friday Letter (7/16)
The Office of Budget and Management released an
agency-wide review of governmental bookkeeping practices.
Twenty two out of 26 agencies, including the OMB itself, got the
lowest rating. --USA Today (7/15)
"I'm convinced that the director of the Office of
Management and Budget is only concerned about numbers and has no
concern about what those numbers do or do not do for the country,
for our military, for our security." --House Appropriations
Chairman Bill Young (R-Fla.), after OMB Director Mitch Daniels said
the porked-up Supplemental Defense bill was unacceptable. (7/12)
According to the Brookings Institution, the sheer
size of the proposed Department of Homeland Security could create
unintended consequences. It recommends the department be
boiled down to handle border security, threat analysis, and
infrastructure protection only. --New York Times
(7/14)
The federal government is paying for cleaning
Manhattan apartments for dust kicked up by the World Trade Center
collapse, at an estimated cost of $7,000
each. No word on what proportion of the borough's
15,000 apartments will be eligible. Meanwhile, tenants
associations are advising residents to complain to the EPA that
apartment cleaning alone is inadequate, and that it must also clean
their rooftops, outdoor spaces, and common
areas. --Associated Press (5/8), (7/5)
Earlier this year, President Bush proposed that
$77 billion be spent on new health benefits over the next ten
years. House Democrats have upped the ante for the same period
to $1 trillion. --National Review
(7/15)
Two of the biggest beneficiaries from the bloated
$170 billion farm bill are not really farmers. A deeply buried
provision raises subsidy levels for cotton mills and shippers, who
could reap $1.5 billion over the next six
years. --Time (7/15)
Amtrak, which needed a federal bailout to avert a
threatened shutdown this month, is headed for its second straight
annual loss of at least $1 billion, the railroad's president told
Congress. David Gunn said at a Senate hearing that Amtrak's
red ink this fiscal year would be similar to 2001 when overall
losses hit a record $1.1 billion. Cash losses, which account
for depreciation, would total about $500 million, he added.
The fiscal year ends Sept. 30, and Gunn has said Amtrak must have at
least $1.2 billion in federal subsidies by then to
operate for another year. --Washington Post (7/11)
The Sept. 11 terrorist attacks on the United
States have created a wave of new government spending reminiscent of
the space program in the 1960s or the savings and loan bailout of
the 1980s. New federal outlays for homeland defense are
expected to hit $57.2 billion by next year, and President Bush has
made it clear the investment will continue for years to come.
--Washington Post (7/11)
"First Accounts" is a Treasury Dept. program to
teach low income citizens to open bank accounts. In May,
Treasury awarded 15 grants through the program totaling $8.4
million. This meant that to open the 35,445 proposed bank
accounts, the cost averaged $236 each. At this rate, the cost
to taxpayers of persuading the estimated 11 million unbanked
Americans nationwide to open bank accounts would be almost $2.6
billion. Despite being unauthorized by Congress, the program
received a $10-million appropriation in fiscal
2002. --Office of Rep. Ernest Istook (R-Okla.) (7/9)
According to FBI Director Robert Mueller, the
bureau has a "paper bureaucracy built up over 90 years" and
"burdensome, if not tortuous" procedures. Its case-numbering
system, for example, dates back to the days of J. Edgar Hoover, and
still includes offenses related to Prohibition, white slavery, and
sedition. Responsibility for his agency's dangerously
dilapidated communication-and-information system goes beyond the
bureau. Skeptical of the FBI's ability to manage its own
modernization, Congress three years ago helped derail a far-reaching
proposal to fix the problem. --Wall Street Journal
(7/9)
Higher standards for government regulations may
be on the way as result of a little-noticed law, the Federal Data
Quality Act. Anybody affected by the regulations or activities
of an agency would have the right to inspect the data and demand
corrections. --Columnist Thomas J. Bray on http://www.opinionjournal.com/
(7/9)
Government expenditures accounted for 59.8
percent of total U.S. health care costs in 1999, according to a
Harvard Medical School study. At $2,604 per
capita, government spending was the highest of any
nation--including those with national health insurance.
Indeed, government health spending in the U.S. exceeded total health
spending (government plus private) in every other country except
Switzerland. --Associated Press (7/9)
What normally happens when producers crank out 25
percent more of a product than consumers are willing to buy?
Prices drop, of course. What can stop this process from
working? Only government meddling. Every time you buy a
gallon of milk, the federal government buys an extra quart for you,
with your money, to stop oversupply from reducing prices--making
sure you pay a really high price for that first gallon you actually
bought. According to the Associated Press, storage costs for
the government's milk store are approaching $20 million
a year, but the milk powder just keeps piling
up. --Las Vegas Review Journal (7/8)
The federal government continues to provide free
parking for its employees, often at high cost to taxpayers.
The Washington region has 29,235 federal government-owned parking
spaces, not including the Pentagon's massive lots with about 9,000
spaces. Agencies pay for thousands of parking spots in private
buildings where they lease office space. The agencies can pass
on the costs to employees or have taxpayers pick up the tab.
Some parking spaces cost taxpayers more than $1,200 each
to subsidize every year. --Washington Post
(7/8)
Despite the sluggish economy, a record number of
House staffers earn six-figure salaries, a recent study of House
payroll records shows. --Roll Call (7/8)
This month the IRS opened the door to Medical
Savings Account type accounts for tens of millions of American
workers. The little-noticed ruling is a great leap forward for
patient-directed health care. The IRS ruled that money
provided by employers for employees' out-of-pocket medical expenses
will not be subject to tax. --Wall Street Journal
(7/8)
Declines in the amount of mail being sent
continue to plague the Post Office, which has lost $281
million in the last three months. Losses are expected
to continue, despite the recent hike in stamp
prices. --Associated Press (7/2)
Checkpoint screeners at 32 of the nation's
largest airports failed to detect fake weapons -- guns, dynamite, or
bombs -- in almost a quarter of undercover tests by the
Transportation Security Administration last month. Tens of
thousands of them will likely be hired by the government by
November, when screeners become federal employees. --USA
Today (7/1)
The Senate passed a bill in June establishing an
Office of Electronic Government within the Office of Management and
Budget. The measure, known as the Electronic Government Act,
now goes to the House. It also authorizes $345 million
over four years to fund interagency E-government projects,
establish an online directory of federal Web sites, requires federal
courts to post opinions online, and calls for improvements in the
recruitment and training of IT
professionals. --informationweek.com (7/1)
Reuters reported the Office of Management and
Budget "unveiled a new tool for fighting government bloat," a
website called The Wastebasket "that allows taxpayers to submit
examples of wasteful government bureaucracy." --Reuters
(7/1)
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