Congress, OMB Won't Deliver on Bush's AmeriCorps Promises

Despite rhetorical support for AmeriCorps from the Bush administration, Congressional Republicans and the Office of Management and Budget have effectively halved the number of AmeriCorps volunteers for this year. In the wake of the September 11, 2001, attacks, Bush issued a call for national service, and promised to increase the number of AmeriCorps volunteers from 50,000 to 75,000 in his 2002 State of the Union address. Now, however, AmeriCorps is facing a severe fiscal crisis that could not only halt the enrollment of new volunteers, but also cut the program to 26,000.

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Federal, State, Local Budget Cuts Compounded by Shrinking Private Funds

EPI, Campaign for America’s Future and State Groups Release Reports Detailing Damage Caused by Bush Tax Cuts

Check for the report on the problems your state will face if the Bush tax cut goes through – and find out how to work to stop it.

A person can’t open a newspaper these days without catching sight of at least one article reporting on recent slashes in some local or state budget or in one of the many threads of the country’s social safety net. From coast to coast, over the course of just the last two weeks, cuts have been announced: Oregon Governor Ted Kulongoski (D) announced that several million dollars will be cut this year and next from the state’s Medicaid program, which had been heralded for its success in providing mental and dental benefits, in addition to the traditional hospital care, to Oregon’s poor, elderly, and disabled residents; newly-elected Maryland Governor Bob Erhlich (R) has proposed a $25 million cut in state-funding for child care for low-income parents – this is on top of a 70% cut in funds for Maryland’s Child Care Resource Centers Network, which provides families of all income levels with guidance and information on available local child care providers.

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Estate Tax Moves to the ?Top Ten? in the Senate

With approval of the FY 2003 spending bills finally accomplished, Senate Republican leaders unveiled their legislative agenda for the 108th Congress on February 15, 2003. Permanent repeal of the estate tax made their list of top-ten legislative items. In January 2003, Sen. Jon Kyl (R-AZ) introduced a bill to accelerate full repeal (currently scheduled for one year in 2010 by the 2001 Bush tax cut) to 2005 and permanently eliminate the estate tax thereafter. Several other bills have since been introduced to make repeal permanent after 2010.

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President Signs FY 2003 Appropriations Omnibus Bill

On February 20, nearly five months after the October 1 start of federal fiscal year 2003, the President signed into law an omnibus bill providing funding for the departments and programs covered by the 11 appropriations bills that were not completed by the October 1 deadline last fall.

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GAO Dropped Cheney Lawsuit Under Threat of Budget Cuts

The Hill newspaper is reporting that Republicans, who control both houses of Congress, threatened the General Accounting Office (GAO) with deep budget cuts unless GAO dropped its lawsuit against Vice President Cheney over Cheney’s refusal to turn over documents related to the Vice President’s Energy Policy Task Force.

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CPSC Finds Dangers to Children, Decides Not to Act

Staff at the U.S. Consumer Product Safety Commission (CPSC)are recommending that the agency defer action on a petition to ban chromium copper arsenate (CCA) pressure-treated wood, despite finding that children who play on equipment made from such wood face an increased risk of developing lung or bladder cancer. CCA-treated wood is used in nearly 90 percent of all backyard decks and wooden play sets, and releases arsenic for up to 20 years after installation, according to the Environmental Working Group, which brought the petition seeking a ban.

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Plan for Disclosing Proxy Voting Records Appealed to OMB

An industry trade group for mutual fund companies, says it would be too burdensome for mutual fund companies to disclose how they voted when they cast votes for their investment clients in shareholder decisions. Until now, mutual fund companies have kept their voting records secret. The Investment Company Institute (ICI) is asking the Office of Management and Budget to overturn a decision by the Securities and Exchange Commission (SEC) to require public disclosure of proxy voting records. (See “Ray of Sunshine at SEC?" in the February 10, 2003, issue of the Watcher).

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Church Electioneering Bill Gains Sponsors

Rep. Walter Jones' (R-NC) bill to allow houses of worship to engage in partisan electioneering, including endorsing or opposing candidates, during religious services and similar events has gained 54 co-sponsors in the House. The bill, H.R. 235, is a scaled back version of legislation that failed to pass the House last year. While the new bill limits electioneering to religious services, it has still raised concerns about houses of worship becoming soft money conduits and indirect tax subsidies for partisan activity based on tax deductibility of donations to religious organizations.

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EPA Scales Back Wastewater Rule for Metal Finishers

EPA has significantly weakened a rule to address wastewater from facilities that manufacture, rebuild or maintain metal parts, products, or machines, covering only 2,400 facilities rather than the 89,000 covered by the original Clinton-era proposal. The rule, signed by EPA Administrator Christie Whitman on February 14, lays out narrow standards that apply only to facilities that generate oily wastewater, one of eight industry subcategories included in the original proposal.

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