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Budget Analyst -- Federal Agency Money Matters

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September 1999 opinions were:

September 28, 1999 - One down, three close (maybe), and the rest?  Will Congress cave?  Who wins with shutdown?

September 22, 1999 - Slow but fast business at appropriations. Appropriators need to take action if they are to avoid a shutdown.

September 10, 1999 - Major tax cut off the table - good or bad for appropriations?  I conclude that it is not good for the appropriations process.

September 7, 1999 - Ponderous Congress and "accidental" shutdowns.  There could be a shutdown without anyone wanting it - Congress takes its time to do things, and in this case this may mean a shutdown.

September 1, 1999 - Where are appropriations?   It is getting late for action.

September 28, 1999 - One down, three close (maybe), and the rest?  Will Congress cave?  Who wins with shutdown?

bulletCongress has passed and the President signed one appropriation act.  Congress has agreed on three others (for a total of four that Congress itself could agree on), and nothing else.  The hard work is still ahead.  A year's worth of effort now needs to be compressed into three days.  Obviously, Congress has to come up with a simple continuing resolution (CR) if it is to retain any credibility.  (Simple means without extraneous policy making baggage.)  The CR would buy time, and allow Congressional leadership to figure out what to do to get out of the box they are in.

 

bulletMeanwhile, the President is having a grand time threatening vetoes if he does no have his way.  Sounds like he believes he has the upper hand.  Nothing like having had the 1995-96 experience and having learned from it.  He does not mind if there is a shutdown.  The majority in Congress will take the blame.  How would you like to run for Congress after you caused the government to shut down again?   You are not likely to get reelected.  Forcing a shutdown may be a good strategy for the minority in Congress.

 

bulletI am not going to belabor this point more.  You can read about  what others say about all this, such as in the AP story carried today by Capitol Web (click).

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September 22, 1999 - Slow but fast business at appropriations.

bulletEight days are left in the fiscal year.  Appropriators need to make haste.   Not doing so will result in shutdowns for most of the Federal government.   Without action, the shutdowns will be automatic.  The potential for an "accidental" shutdown is great.

 

bulletBut I hope that appropriators are making haste slowly.  They cannot afford to mess things up.  There has been too much fast and loose work reported.  They need to act with deliberation.  All the issues they need to address have been spelled out in great detail, and simply pretending that they do not have an obligation to act responsibly to address the issues will not make their responsibility for proper stewardship of the Federal government go away.  The obvious thing to do is to come to agreement with the President, pass a continuing resolution, and get down to the business of governing rather than running for office in November of 2000.  Even if they want to postpone matters to a President who will take office in 2001 they need to deal with the next year or so.

 

bulletHasty action is the last thing we need.  By now most legislators should be despairing at their ability to govern.  They cannot expect to be taken seriously (or to even justify their pay) if they cannot deal with something as basic as a budget for the United States Government.  But their despair should not lead them to make major mistakes that we will all have to pay for later.  The 1997 budget agreement was one such mistake, which has come back to haunt them all.

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September 10, 1999 - Major tax cut off the table - good or bad for appropriations?

bulletProbably bad.  The people who wanted a major tax cut will not give their opponent, the President, an inch.  And making appropriations happen is not the way to get even with him.  I cannot find any positives in this development as far as the appropriations process is concerned and the budgets of Federal agencies for FY 2000.   Not a good way to go into the new millennium.

 

bulletThe point of the tax cut was to deny the Federal government the revenue needed to support programs and thereby force reduced funding for the programs.  Another way to deny funding, of course, is to reduce appropriations.  Cutting the budget is not going to be easy, and definitely will make the process even longer.  And there may be vetoes of appropriations acts.  There are less than three calendar weeks until shutdown.  Never mind counting up legislative days - it becomes very depressing.

 

bulletThe "accidental" shutdown also needs to be considered.  Start to dust off your furlough plans, and determine who must report to work regardless.  The rest of you, plan on an unplanned vacation.

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September 7, 1999 - Ponderous Congress and "accidental" shutdowns.

bulletCongress is weighty.  It has many procedures and many opinions.  It moves slowly.  It is supposed to move slowly, and it is so structured.  (We cannot afford too many fast movers in the government, taking rash actions; we have the Executive for that.)  However, the simple inability to move quickly may lead to one or more shutdowns.  Although there may be action to enact one or more continuing resolutions or appropriations bills, there may not be enough time to do this before the end of September.

 

bulletIn addition to the intractability of the issues directly related to the budget, such as the spending and tax cut plans, there are many distractions.  The distractions, ranging from natural disasters and East Timor to the credibility of the attorney general, all require attention from Congress, and may lead to hearings and legislation.  This, of course, is more fun than dealing with budget issues.  Any or all of these factors can lead to a failure to enact a CR by September 30, which failure to act would lead to an automatic shutdown.

 

bulletSo there could be good will, no overt intention to close the government, and much movement to avoid a shutdown, but it may still come about.  Although there are good reasons why Congress should act slowly, at this stage its ponderousness is not a good characteristic.

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September 1, 1999 - Where are appropriations?

bulletAppropriations are caught in tropical storm Dennis' winds, churning off the East Coast, waiting for some sort of action at the highest levels to change the 1997 budget deal.   As with Dennis, there is no way to tell where it will end up, and the chance of serious damage is always with us.  We can all hope for some rationality, but we cannot be assured of it.  Too much is riding on the dreams built upon the sands of the 1997 budget deal.  Perhaps Dennis will wash away this foundation and allow the players to start from scratch.

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Click for list of other opinions: - from 2000
- from 1999
 

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