New Official Secrets Law?: Case Threatens Open Government and Freedom of Press

On Aug. 9, a federal district court ruled that use of the Espionage Act to prosecute private citizens for receiving and transmitting national security information is constitutional. The decision to extend the Espionage Act to non-governmental employees has sweeping implications for open government and freedom of speech and the press, and raises the prospect of the U.S. adopting an Official Secrets Act similar to that of the UK.

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Strange Happenings at the IRS Could Affect Enforcement

This fall, the Internal Revenue Service will likely make two changes to its tax enforcement efforts that defy logical explanation. IRS Commissioner Mark Everson will soon go forward with plans to cut nearly half its staff of estate tax auditors and to create a program that would allow private companies to pursue taxpayers who owe back taxes.

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Dudley Materials Reappear on Mercatus Website

Earlier this month, OMB Watch reported that articles authored by the nominee to replace John Graham as the head of the Office of Information and Regulatory Affairs (OIRA), Susan Dudley, were no longer available on the website of the Mercatus Center, the industry-backed think tank where Dudley was previously employed. Now, all the missing articles have mysteriously returned to the website and several previously unavailable articles by Dudley have also been posted there.

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With Hearing Possible on Extremist Nominee for Regulatory Czar, Opponents Gear Up for Fight

While a vote on Susan Dudley's nomination to be the new White House regulatory czar has yet to be scheduled, it is rumored that the GOP majority on the Homeland Security and Government Affairs Committee will try to push a vote through in September.

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Contracts and Grants Disclosure Bill Fast-Tracked

The Senate Committee on Homeland Security and Governmental Affairs unanimously passed the Federal Funding Accountability and Transparency Act (S. 2590) on Aug. 8. The bill would create a searchable website that provides information about all federal spending, including government contracts and grants. Following the quick committee action, Sens. Susan Collins (R-ME) and Joseph Lieberman (D-CT), the committee's chair and ranking member respectively, jointly requested that the bill be fast-tracked and brought to the Senate floor for a unanimous consent vote.

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Sunset Legislation Delayed Until September

In a sign that public pressure from concerned citizens works, the two sunset commission bills in the House scheduled for floor votes the week before August recess were both delayed until September.

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Senate Defeats Estate Tax Giveaway...Yet Again

The Senate voted last week to reject a tax and wage package dubbed the "trifecta" that would have slashed the estate tax permanently, increased the minimum wage modestly, and extended a broad set of tax breaks. The bill, passed by the House last month, also contained a number of "sweeteners" to entice targeted senators to vote for the bill. "What I will do over the next month [is] assess where America is," Frist said. "And what I would very much like to do or to have happen is ... pressure from the American people. If I felt that, I would use that procedural option in bringing these back."

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Safer Chemicals Provision Improves Federal Chemical Security Bill

The House Homeland Security Committee on July 27 passed what is being hailed by public interest groups as a substantially improved chemical security bill, the Chemical Facility Anti-Terrorism Act of 2006 (H.R. 5695). The bill, sponsored by Rep. Daniel Lungren (R-CA), establishes security requirements for our nation's chemical facilities, something that critics charge is long overdue. The original bill, however, had serious flaws, among them failing to require companies to use safer technologies and preempting states and localities from establishing their own security programs.

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FEC Releases Proposed Exemption for Grassroots Lobbying Broadcasts

The Federal Election Commission is set to vote soon on a grassroots lobbying exemption to the Bipartisan Campaign Reform Act's election-season ban on broadcast communications that discuss a federal candidate. On Aug. 3, the Federal Election Commission (FEC) released a proposal to allow corporations and unions to fund advertisements 60 days before a general election or 30 days before a primary, on either television or the radio, discussing a federal candidate's position on an issue. Specifically, the advertisement must:

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    GAO Finds More Grantee Input, Standardization Needed in Grants Streamlining

    A new report by the Government Accountability Office found that, while some progress has been made in the federal government's effort to simplify and streamline grant-making procedures, there is still room for improvement. Consequently, federal grantees may be continuing to divert resources from program objectives to comply with burdensome administrative requirements.

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