Appropriations: A Look Ahead

As Congress reconvenes today, the Defense Bill remains the only completed appropriation bill for FY 2005. The $417.5 billion bill was approved only just prior to the August recess. Members of Congress have a lot of work ahead of them if they wish to complete their appropriations work before the end of the fiscal year, which ends on September 30th, as only three other bills -- Homeland Security, Legislative Branch, and Military Construction -- have even made it through a full Senate committee.

If Congress is unable or unwilling to pass the other twelve appropriations bills before the end of the month, they may be forced to combine the remaining bills into a massive omnibus bill. The lack of time to adequately address the bills individually, along with both an extremely partisan political environment and a tight budget cap makes the omnibus route very likely. Resorting to an omnibus bill is somewhat detrimental because this process not only reduces bill discussion and debate, but it also makes way for bill sponsors to attach numerous pieces of unrelated legislation in order to gain needed Congressional support. Last year, seven spending bills were rolled into one omnibus bill for FY 2004, and as a result $10.7 billion worth of earmarks were passed along with the appropriation bills. Lawmakers passed thousands of provisions with most people not knowing where the money went. The same situation could very well occur again with the appropriation bills for FY 2005. There is also a possibility that the bills -- either individually or as a group -- will not pass and that Congress would be forced to take up the issue in a lame-duck session after the November elections.

In addition to following a flawed process, the bills also reflect flawed domestic priorities. The budget bills are set to embody the domestic discretionary spending cuts proposed and supported by the current administration. Looking towards the future, domestic discretionary programs will see cuts based on the administration's funding request over the next five years, according to a recent report released by the Center on Budget and Policy Priorities. By 2009, the report claims, overall funding for all domestic discretionary programs besides Homeland Security will be cut by 10.4percent, or approximately $45 billion, when taking into account adjustments for inflation. This action will reduce funding for many basic services that citizens across the country rely upon.

Congress thus has a huge challenge ahead of them, not only in the next few weeks, but also in the upcoming years. The annual appropriations process requires time for both intelligent debate, committee testimony, and the opportunity for amendments to be proposed and decided upon. A rushed omnibus bill reflects a lack of congressional effectiveness in passing a responsible federal budget, and only makes it easier for the current administration to slip in spending cuts that affect multiple discretionary programs.

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