June 29, 2007
Senate Appropriations Update
Energy and Water. The Senate Appropriations Committee approved its FY 2008 spending bill that funds the Department of Energy (DOE), Army Corps of Engineers and Interior Department's Bureau of Reclamation. The bill is about $1.8 billion more than the president's request and nearly $2 billion more than FY 2007.
Justice. The committee also approved $24.3 billion for the Department of Justice in FY 2008, which is $1.46 billion more than FY 2007 and $2.06 more than the president's request. State and local law enforcement programs would receive $2.6 billion, including $660 million for Justice Assistance Grants (60% for Byrne block grants and 40% for the Local Law Enforcement Block Grant ), $550 million for COPS, $340 million for juvenile justice programs ($80 million for juvenile justice state formula grants) and $375 million for the State Criminal Alien Assistance Program.
House Clears One-Month Higher Ed Extension
Yesterday, the House cleared a one-month extension of the Higher Education Act (HEA) through July 31, 2007. The Senate approved a one-month extension earlier in the week.
House Committee Approves Aviation Bill
The House Transportation and Infrastructure Committee approved the FAA Reauthorization Act of 2007 (H.R. 2881). The bill authorizes the Airport Improvement Program (AIP) for four years at levels comparable to those in the Senate bill (S. 1300), which was approved in May by the Senate Commerce, Science, and Transportation Committee.
House Committee Authorizes Emergency Management Performance Grants
Yesterday, the House Transportation and Infrastructure Committee approved H.R. 2775, which amends the Robert T. Stafford Disaster Relief Act to authorize funding for emergency management performance grants (EMPG). The measure emphasizes that EMPG is to continue an all-hazards approach and not focus only on terrorism. It authorizes $1.4 billion from FY 2009 through FY 2011 for EMPG. The Senate included EMPG reform in its bill to implement the September 11 Commission's recommendations (S. 4), which is in conference with a similar House bill (H.R. 1).
June 28, 2007
House Appropriations Update
Interior-Environment. Yesterday, the House passed its FY 2008 Interior and Environment appropriations bill (H.R. 2643). The measure includes $8.1 billion for the Environmental Protection Agency ($887 million above the president's request) and $10.2 billion for the Department of Interior ($450 million above the president's request).
Senate Extends Transitional Medicaid Assistance
Yesterday, the Senate passed S. 1701, which provides a three-month extension of Transitional Medical Assistance (TMA). Set to expire at the end of June, TMA provides temporary Medicaid coverage for families moving off welfare because of higher earnings. The House is likely to consider a companion bill prior to the July 4th recess, and the president is expected to sign it.
Senate Approves HEA Extension
The Senate has approved an extension of the Higher Education Act (HEA) through October 31, 2007. The current bill was due to sunset at the end of this month. HEA was originally scheduled to be reauthorized in 2003, but instead has been extended multiple times.
Senate HELP Committee Approves Health Legislation
The Senate Health, Education, Labor and Pensions (HELP) Committee approved two health care bills. The Wired for Health Care Quality Act of 2007 (S. 1693) would provide states and health care providers $163 million in both FY 2008 and FY 2009 to encourage adoption of health care information technology (health IT).
The Biologics Price Competition and Innovation Act (S. 1695) is intended to create a pathway for the Food and Drug Administration (FDA) to approve biosimilar versions of expensive biopharmaceutical products.
Senate Committee Approves Veterans’ Measures
The Senate Veterans' Affairs Committee approved five bills that offer benefits and services for veterans. S. 1315 is an omnibus benefits measure that includes a provision to allow enrollment of Priority 8 veterans (veterans who do not have a disability related to their military service and whose annual incomes exceed $27,790) to receive VA health services. The other four measures are S. 423, which provides a cost-of-living adjustment for veterans' benefits; S. 1163, which expands veterans' vision benefits; S. 1233, a traumatic brain injury and omnibus health care bill and S. 479, a suicide prevention bill. The House Committee on Veterans' Affairs Committee recently approved similar bills.
June 27, 2007
Senate Appropriations Update
Energy and Water. Yesterday, the Senate Appropriations Subcommittee on Energy and Water Development approved its FY 2008 appropriation for the Department of Energy, Army Corps of Engineer and the Interior Department's Bureau of Reclamation. The bill would provide $1.8 billion more than the president's request, including restoring proposed cuts for water infrastructure projects, cleanup of former nuclear weapons and various energy research and development projects. The president has issued a veto threat against the bill because it exceeds his requested budget levels.
Justice. Yesterday, the Senate Appropriations Subcommittee on Commerce, Justice and Science approved the Department of Justice appropriation for FY 2008. It provides $1.46 billion more than the FY 2007 level and $2.06 billion more than the president's request. State and local law enforcement programs would receive $2.6 billion, including $660 million for Justice Assistance Grants (60% for Byrne grants and 40% for the Local Law Enforcement Block Grant ), $550 million for COPS, $340 million for juvenile justice programs ($80 million for juvenile justice state formula grants), $375 million for the State Criminal Alien Assistance Program and $25 million for drug courts.
June 26, 2007
Circular A-133 Revisions Published
On June 26, 2007, the federal Office of Management
and Budget (OMB) published revisions to OMB Circular A-133, Audits of States,
Local Governments, and Non-Profit Organizations, in the Federal Register.
The revisions make the circular consistent with Government Accountability
Office (GAO) standards for defining a "control deficiency" and a
"significant deficiency." The announcement is available here.
June 22, 2007
Senate Passes Energy Legislation
The Senate has passed H.R. 6. The bill increases the mandate for ethanol use, creates new efficiency standards for appliances and federal buildings and promotes new energy technologies. It also calls for an increase in Corporate Average Fuel Economy (CAFE) standards for passenger cars and trucks by 2020. The bill now moves to the House, where the path has been cleared for full committee consideration of its energy package.
Senate Appropriations Update
Labor/HHS/Education. The Senate Appropriations Committee approved its FY 2008 Labor, Health and Human Services, and Education spending bill, which is more than $9 billion more than the president's request. For detail on specific funding levels, please reference Today's News for June 20, 2007.
The House version of the measure, which was approved by the Labor, Health and Human Services, and Education Subcommittee, is pending approval from the full Appropriations Committee.
Interior/Environment. The Senate Appropriations Committee approved its FY 2008 Interior and Environment spending bill, which calls for $1.5 billion more than the administration's request. It provides $887 million for the Clean Water State Revolving Fund ($193 million less than FY 2007 and $213 million less than the FY 2008 level approved by the House Appropriations Committee).
June 21, 2007
House Committee Approves Energy Tax Package
The
House Committee Approves Climate Change Legislation
Yesterday, the House Transportation and Infrastructure Committee approved the Transportation Energy Security and Climate Change Mitigation Act of 2007 (H.R. 2701), which calls for cuts in energy use and greenhouse gas emissions from the transportation sector. H.R. 2701 authorizes increases for mass transit funding. It increases federal support of transit vehicles that rely on alternative fuels from 90% to 100% in FY 2008 and FY 2009, and authorizes $750 million in new funding for urban areas in FY 2008 and FY 2009, as well as an additional $100 million for other areas in those years. The bill authorizes the federal government to pay the full cost of grants to purchase clean or alternative-fuel equipment for passenger rail, buses, ferries and locomotives, and waives a state matching requirement for a highway program aimed at improving air quality.
Senate Committee Approves Higher Ed Bills
The Senate Health, Education, Labor and Pensions (HELP) Committee has marked-up two pieces of higher education legislation. The Higher Education Access Act is a reconciliation measure resulting from instructions in the FY 2008 budget resolution. It would cut $18.3 billion from student lender subsidies, with some of the savings used to provide more grant aid and loan relief to students, increase the maximum Pell grant to $5,400 per student by 2011 and institute a new test program for certain loans. The House Education and Labor Committee approved its version of higher education reconciliation legislation last week.
The second bill would reauthorize the Higher Education Act for the next five years. It includes a new "Promise" scholarship program for low-income students, a cap on loan repayments, loan forgiveness for employees in public services fields and a system for tracking tuition increases.
House Committee Approves Collective Bargaining Bill
The House Education and Labor Committee approved the Public Safety Employer-Employee Cooperation Act of 2007 (H.R. 890). The measure would allow state public safety employees to form and join unions, and provide them with collective bargaining rights over hours, wages and work conditions. H.R. 890 also provides for state government enforcement of those contracts. The Federal Labor Relations Authority would determine whether a state's unionization laws for public safety employees meet the federal standards. If the state's law does comply, it would take precedence over any federal law; if not, federal law would prevail or the state could change its law to conform.
June 20, 2007
Senate Passes Head Start Reauthorization
Yesterday, the Senate passed H.R. 1429, its Head Start reauthorization bill. The bill now heads to conference with the House.
Senate Appropriations Update
Labor/HHS/Education. The Senate Appropriations Subcommittee on Labor, Health and Human Services, Education and Related Agencies approved its FY 2008 spending bill, totaling $9 billion more than the president's request.
A chart listing funding levels for major programs can be found here.
Interior. Yesterday, the Senate Appropriations Subcommittee on Interior, Environment and Related Agencies approved its FY 2008 draft spending bill. The measure reflects a $1.5 billion increase from the president's request, but provides $238 million less than the version approved last week by the House Appropriations Committee for low-cost loans and financial assistance to help states improve water infrastructure.
Senate Energy Update
The Senate
Finance Committee approved a package of energy tax incentives that includes
additional funding for advancing renewable energy and clean coal technologies.
The bill would cost $28.5 billion over 10 years. It is an expansion of an
original $13.7 billion proposal and extends key benefits for wind, biomass,
geothermal, landfill gas and other renewable sources for five years, instead of
the two-year extensions in the previous version. In addition, the committee
approved an amendment that would restore funding through 2011 for the
In its debate of H.R. 6, the energy bill, the Senate defeated two coal-to-liquids amendments. Today's debate is expected to focus on the corporate average fuel economy standards, followed by the Finance Committee's tax incentives package.
June 19, 2007
Energy Bill Update
Senate debate on the energy bill continues, with debate focusing on corporate average fuel economy standards.
Meanwhile,
House leaders reached an agreement that clears the path for full committee
consideration of a comprehensive energy package. Congressman Dingell is
dropping language that would restrict the authority of the U.S. Environmental
Protection Agency and the state of
Supreme Court Backs States in Business Tax Cases
Yesterday the U.S. Supreme Court denied review in two state tax cases involving state business activity taxes. Both FIA Card Services NA v. West Virginia Tax Commissioner, (U.S., No. 06-1228, cert. denied 6/18/07) and Lanco Inc., v. Director, New Jersey Division of Taxation, (U.S., No. 06-1236, cert. denied 6/18/07) questioned whether the Commerce Clause of the U.S. Constitution requires that an entity have a physical presence in a state before that state has jurisdiction to impose its corporate income or business activity tax. The states' position - that an economic presence is sufficient for business tax purposes - prevailed in both cases in lower courts.
June 18, 2007
House Appropriations Update
Homeland Security. Last Friday, the House passed its FY 2008 spending bill (H.R. 2638) for homeland security programs. It is $2 billion more than the FY 2007 funding level and $2.1 billion more than the president requested. The bill includes $50 million for Real ID, $550 million for the State Homeland Security Grant Program, $800 million for the Urban Area Security Initiative, $400 million for law enforcement terrorism prevention grants, $400 million for port security grants, $400 million for rail and transit security grants, $50 million for interoperable communications, $800 million for firefighter assistance grants, $300 million for Emergency Management Performance Grants and $1.7 billion for the disaster relief fund. The president has issued a veto threat against this measure.
Military Construction/VA. The House also passed H.R. 2642, the FY 2008 appropriations bill for military construction and veteran affairs (VA). Funding includes $37.1 billion for improving veterans' health programs. In addition, the bill provides $70.9 million for substance abuse programs, $23 million for homeless veteran programs and $12.5 million for expanding outpatient services to the blind. The bill would fund base realignment and closure at the requested level of $8.2 billion. The president has not threatened a veto of this measure.
The current status of all FY 2008 appropriations bills can be found online.
June 15, 2007
House Reaches Earmark Agreement
The House will resume its debate of the FY 2008 Homeland Security appropriations bill (H.R. 2638), which had been stalled over a contentious earmark process. House leaders reached an agreement that calls for House floor consideration of both the homeland security and military construction-VA (H.R. 2642) spending bills as drafted without earmarks. House committee reports on remaining appropriations bills will identify earmarks rather than wait until conference to disclose them. The president has issued a veto threat against the homeland security spending measure but not the military construction bill.
Senate Committee Approves 302(b) Allocations
The Senate Appropriations Committee approved 302(b) allocations for FY 2008 discretionary spending. The amounts are similar to allocations approved by the House Appropriations Committee and are more than $20 billion greater than the president's request. Comparative amounts are listed below:
· Agriculture: $18.7 billion (House: $18.8 billion; president: $17.7 billion; FY 2007: $17.7 billion)
· Commerce/Justice/Science: $54.4 billion (House: $53.6 billion; president: $51.2 billion; FY 2007: $50.3 billion)
· Defense: $459.3 billion (House: $459.3 billion; president: $462.9 billion; FY 2007: $419.6 billion)
· Energy and Water: $32.3 billion (House: $31.6 billion; president: $30.5 billion; FY 2007: $30.3 billion)
· Financial Services: $21.4 billion (House: $21 billion; president: $21.4 billion; FY 2007: $19.6 billion)
· Homeland Security: $36.4 billion (House: $36.3 billion; president: $34.2 billion; FY 2007: $33.7 billion)
· Interior/Environment: $27.2 billion (House: $27.6 billion; president: $25.7 billion; FY 2007: $26.4 billion)
· Labor/HHS/Education: $149.2 billion (House: $151.1 billion; president: $140.3 billion; FY 2007: $144.5 billion)
· Legislative Branch: $4 billion (House: $4 billion; president: $4.3 billion; FY 2007: $3.8 billion)
· Military Construction/VA: $64.7 billion (House: $64.7 billion; president: $60.7 billion; FY 2007: $49.8 billion)
· State/Foreign Operations: $34.2 billion (House: $34.2 billion; president: $34.9 billion; FY 2007: $31.3 billion)
· Transportation/Housing and Urban Development: $51 billion (House: $50.7 billion; president: $47.96 billion; FY 2007: $47.5 billion)
Homeland Security. The Senate Appropriations Committee approved its FY 2008 homeland security spending bill. It is $2.2 billion more than the president's request and $2.7 billion more than FY 2007. The measure provides $820 million for Urban Area Security Grants, $400 million for rail and mass transit security grants, $400 million for port security and $300 million for Emergency Management Performance Grants. The bill would bar the federal government from preempting stronger state chemical regulations.
Veterans Affairs and the National Guard. The Senate Appropriations Committee also approved its military construction-VA spending bill for FY 2008. The measure funds the implementation of Base Realignment and Closure at $8.17 billion. It also provides $929.8 million for the National Guard and Reserves, which is $234.7 million more than the president's request.
Senate Judiciary Committee Approves Gang Violence Deterrence Bill
Yesterday, the Senate Judiciary Committee approved the Gang Abatement and Prevention Act of 2007 (S. 456). The measure authorizes a new anti-gang grant program of $100 million annually from FY 2008 through FY 2012 for federal, state and local activities in gang suppression.
June 14, 2007
House Committee Approves Climate Bill
Yesterday, the House Natural Resources Committee approved the Energy Policy Reform and Revitalization Act of 2007 (H.R. 2337). The bill would repeal sections of the Energy Policy Act of 2005 that accelerated oil and gas drilling on public land. It would boost carbon sequestration studies, update oceans policy, address the effects of global warming on wildlife and limit the Department of Interior's royalty collection program. The legislation is expected to be included as part of a House energy package that is being developed.
House Committee Approves College Cost Reduction Act
The House Education and Labor Committee approved H.R. 2669, the College Cost Reduction Act. It would increase federal spending by $20 billion over five years by reducing subsidies to private lenders. It also addresses the FY 2008 budget reconciliation requirement of reducing higher education spending by $750 million over five years. The bill would provide a Pell Grant increase, a reduction in the interest rate for need-based aid, tuition assistance for teachers who work in low-income school districts, loan forgiveness for public service providers and cost containment strategies.
Senate Appropriations Update
Homeland Security. The Senate Appropriations Subcommittee on Homeland Security approved its FY 2008 spending bill, which includes an increase of $2.2 billion more than the president's request and $2.7 billion more than the FY 2007 level. The measure provides $820 million for Urban Area Security Grants, $400 million for rail and mass transit security grants, $400 million for port security and $300 million for Emergency Management Performance Grants. In addition, the bill would bar the federal government from preempting stronger state chemical regulations.
Military Construction-VA. The Senate
Appropriations Subcommittee on Military Construction and Veterans Affairs
approved its FY 2008 appropriations bill. The measure funds implementation
of Base Realignment and Closure (BRAC) at $8.17 billion. In addition, it
provides $929.8 million for the National Guard and Reserves, which is $234.7
million more than the president's budget request.
June 12, 2007
House
Appropriations Update
Transportation-HUD. The House Appropriations Subcommittee on Transportation and Housing and Urban Development (HUD) approved a FY 2008 spending bill that provides $2.8 billion more in discretionary funds than the administration's request. The bill includes $40.2 billion for highways and $9.7 billion for transit. It also provides $1.4 billion for Amtrak and $50 million for a new intercity passenger rail state matching grant program (half the amount proposed by the administration). The measure excludes an administration proposal to eliminate $631 million in revenue aligned budget authority (RABA). The bill provides $4.18 billion for the Community Development Block Grant program, $400 million more than FY 2007. Housing programs, including Section 8, tenant-based rental assistance, project-based rental assistance and the HOPE IV program, receive increased funding. In addition, the Airport Improvement Program was funded at $3.6 billion, $850 million above the president's request.
Commerce-Justice. The House Appropriations Subcommittee on Commerce, Justice and Science approved its FY 2008 spending bill. The measure calls for an increase of 7% above FY 2007 levels and 5% above the president's request. It provides $3.2 billion for Department of Justice state and local law enforcement initiatives, which is 10% more than FY 2007 and 53% more than the president's request. Specific program funding levels include $600 million for Justice Assistance Grants (Byrne Program and Local Law Enforcement Block Grant Program), $725 million for COPS, $85 million for methamphetamine "hot spots" and $10 million for the Residential State Prison Drug Treatment program.
June 8, 2007
House Progress on Labor-HHS-Education Appropriation Bill
Click here for summary information from the House Labor, Health and Human Services, Education and Related Agencies Appropriations Subcommittee on its recommendations for FY 2008. This is an important indicator of legislative intent in the House. The next steps will be for full-committee and full-House consideration, and then Senate amendment. The president has indicated his willingness to veto bills that exceed his targets for discretionary spending.
The subcommittee was originally
allocated $151 billion, ($10 billion more than the president's request and $6
billion more than FY 2007). At the markup, the committee allocated $153.7
billion for discretionary programs.
Education and
Labor. The Department of Education is slated to receive the
largest budget increase of 7.4%. Education programs that would receive
increased funding include Title I, IDEA Part B, Teacher Quality State Grants,
Head Start and Statewide Data Systems.
Health and
Human Services. Key provisions include $1.1 billion for pandemic flu
preparedness, an increase of $1 billion over FY 2007, $109 million for the
Preventive Health and Health Services Block Grant, $2.66 billion for the Low-Income
Home Energy Assistance program, $2.2 billion for community health centers
and $1.59 billion for Terrorism Preparedness and Response to provide for biodefense activities within the Centers for Disease
Control and Prevention.
House Committee Approves
Interior-Environment Spending Bill
Yesterday the House Appropriations
Committee approved its FY 2008 Interior-Environment spending bill. The
bill provides a 4.5% increase over FY 2007 discretionary spending.
House Approves HEA Extension
On Wednesday, June 6, the House
approved the First Higher Education Extension Act of 2007 (H.R. 2559), to
extend programs under the Higher Education Act of 1965 (HEA) through October
31, 2007. The authority of the current bill was due to sunset at the end of
this month. HEA was originally scheduled to be reauthorized in 2003, but
instead has been extended through multiple legislative efforts.
June 7, 2007
SCHIP
Reauthorization Update
Senate Health, Education, Labor and Pensions Committee Chairman Edward M. Kennedy and Ranking Member Orrin Hatch released a set of principles for reauthorizing the State Children's Health Insurance Program (SCHIP) that calls for an increase in the federal tobacco tax to fund the program. The senators also recommended that SCHIP give states the flexibility to determine eligibility, improve outreach and decide whether to cover legal immigrant children who currently are excluded for five years.
The Senate Finance Committee has jurisdiction over SCHIP and is tentatively scheduled to mark-up a bill next week. The National Association of State Medicaid
Directors has put together a side-by-side analysis of leading bills that have been offered to date. While none of the bills listed are expected to be the legislative vehicles used by either the House or the Senate, the side-by-side presents a good summary of many important issues under discussion and some of the proposals to resolve them.
House
Passes Health IT Training Measure
The House passed H.R. 1467, the 10,000 Trained by 2010 Act, which authorizes $99.6 million through FY 2011 for grants administered by the National Science Foundation and awarded for basic research on innovative approaches to improve health care information technology systems.
Update
on Homeland Security Spending Measure
During the House Appropriations Committee markup of the FY 2008 Homeland Security spending bill, a provision was approved that prohibits preemption of state and local chemical security laws and regulations that are stricter than federal standards. On a related issue, the committee approved $50 million for Real ID in the Homeland Security spending bill.
Energy
and Water Spending Bill Update
Yesterday, the House Appropriations Committee approved an Energy and Water spending bill for FY 2008. The bill boosts spending by 4%.
Senate
Committee Approves Technical Corrections Bill for SAFETEA-LU
Yesterday, the Senate Environment and Public Works Committee approved H.R. 1195, which makes technical corrections to the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU). The legislation amends the research title of the bill and provides additional funding for the National Surface Transportation Policy and Revenue Study Commission, while extending the deadline for its report to Congress to December of 2007. The measure is similar to a bill passed by the House in March.
CMS
Clawback Letters Being Readied
FFIS has learned that the Centers for Medicare and Medicaid Services is preparing e-mail letters informing states of their October-December 2007 clawback multipliers reflecting the new federal medical assistance percentages (FMAPs) for FY 2008. The letters should be issued shortly.
June 5, 2007
House Committee Releases 302(b) Allocations
Yesterday, the House Appropriations Committee released its proposal to allocate $953.1 billion in FY 2008 discretionary spending among its 12 subcommittees. The plan shifts funding from non-war defense activities to domestic priorities including education, health, veterans and housing. It allocates more than the president's request for eight of the 12 spending bills and represents a 9.2% increase over FY 2007.
· Agriculture: $18.8 billion (president: $17.8 billion; FY 2007: $17.7 billion)
· Commerce/Justice/Science: $53.6 billion (president: $51.2 billion; FY 2007: $50.3 billion)
· Defense: $459.3 billion (president: $462.9 billion; FY 2007: $419.6 billion)
· Energy and Water: $31.6 billion (president: $30.5 billion; FY 2007: $30.3 billion)
· Financial Services: $21 billion (president: $21.7 billion; FY 2007: $19.5 billion)
· Homeland Security: $36.3 billion (president: $34.2 billion; FY 2007: $31.9 billion)
· Interior/Environment: $27.6 billion (president: $25.7 billion; FY 2007: $26.4 billion)
· Labor/HHS/Education: $151.1 billion; (president: $140.9 billion; FY 2007: $144.5 billion)
· Legislative Branch: $4 billion (president: $4.3 billion; FY 2007: $3.8 billion)
· Military Construction/VA: $64.7 billion (president: $60.7 billion; FY 2007: $49.8 billion)
· State/Foreign Operations: $34.2 billion (president: $34.9 billion; FY 2007: $31.3 billion)
· Transportation/Housing and Urban Development: $50.7 billion; (president: $47.96 billion; FY 2007: $47.5 billion)
The House Appropriations Committee is scheduled to mark-up the FY 2008 Homeland Security spending bill today.
Expiration of SSA's Federal Computer Matching and Privacy Protection Act
The Social Security Administration's (SSA) Federal Computer Matching and Privacy Protection Act agreements with states expire on June 30, 2007. These agreements allow SSA to provide certain data on individuals to states without the individual's consent. The information is used in making eligibility determinations for certain health and income maintenance programs such as Medicaid, Food Stamps and TANF.
Concern with identity theft and security breaches at some agencies has led the Office of Management and Budget to issue tighter rules and requirements for the distribution of federal data. SSA estimates that it needs to process 350 agreements before July 1. If agreements are not completed by that time, SSA will terminate its data flow to that particular state or state agency.