CQ TODAY
Oct. 3, 2007 – 8:27 p.m.
Local Officials Wary of Spending Clash

The nation’s governors and mayors are nervously watching how the Democrat-led Congress and the White House conclude this year’s showdown over spending.

Local officials have a great deal at stake; they are counting on the fiscal 2008 appropriations bills to include funding increases for a host of their priorities. Among other things, they are seeking federal funds for law enforcement grants, education programs and infrastructure improvements.

Yet President Bush’s veto threats on most of the fiscal 2008 appropriations bills over their spending totals, and other issues, are putting those funding increases in jeopardy.

“Mayors across the country are very concerned,” said Douglas H. Palmer, the Democratic mayor of Trenton, N.J., who serves as president of the U.S. Conference of Mayors. “We are very concerned with the president’s priorities.”

The new fiscal year began Oct. 1, but Congress has yet to complete work on any fiscal 2008 spending bills. Lawmakers likely will have to cut much of the $23 billion in additional funding they are seeking this year in the 12 regular spending bills because Democrats lack the votes to get around vetoes on many of them. That means funding boosts for programs favored by states and local communities may not materialize.

Bush maintains that the overall funding increase proposed by Democrats is excessive and will lead to tax increases.

“I’ve submitted my budget, the core principle of which is that we will do what it takes to defend our homeland and make sure our troops have what it takes to do their jobs and keep your taxes low by not raising them,” Bush said in a speech Wednesday in Lancaster, Pa., in which he highlighted the differences between his and Democrats’ spending priorities.

Yet state and local officials, who face their own budget struggles, have never been shy about turning to the federal government for funding.

“We urge the president to sign these bills into law when they come to his desk and recognize the vital role these federal programs play in keeping our citizens safe, providing housing for low-income families, and repairing our bridges and roadways,” said Bart Peterson, the Democratic mayor of Indianapolis and president of the National League of Cities, in a release last week after the House passed a stopgap spending bill (PL 110-92) to fund government programs through Nov. 16.

At the start of the year, the U.S. Conference of Mayors compiled a 10-point plan that includes funding boosts for local law enforcement, education and community development programs. Local leaders also have been pressing for an expansion of a children’s health care program.

Congress Responds

Congress responded to the group’s wish list in the fiscal 2008 Transportation-HUD spending bill (HR 3074), with the House proposing $725 million and the Senate $550 million for the Community Oriented Policing Services (COPS) program, for which the president requested about $32 million.

Also, the Senate bill would provide $4.1 billion and the House $4.2 billion for a program funding community development projects. The House passed its version of the bill July 24; the Senate on Sept. 12.

Meanwhile, state governments are keeping a close eye on the funding battle with a particular interest in education spending.

“Special education is huge because it is costing states more and more,” said Raymond C. Scheppach, executive director of the National Governors Association. The administration has requested $11.5 billion for such programs while the House and Senate versions of Labor-HHS-Education spending bill (HR 3043) would provide $12.3 billion.

Scheppach said the concern is that added education funding in the House and Senate bills could be cut back sharply when a final deal is reached with the president.

Meanwhile, House and Senate leaders continue to work on their strategy for what bills to send to the White House first. Senators and aides said the Labor-HHS-Education and Commerce-Justice-Science (HR 3093) bills are among those that will likely be sent to the White House first to draw a clear distinction with the president on spending proposals.

The Senate hopes to pass the Commerce-Justice-Science bill before leaving this week for its Columbus Day recess.

Sen. Tom Coburn, R-Okla., plans to offer several amendments that would strip earmarks from the bill.

Source: CQ Today
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