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19
2
5
6
THE WHITE HOUSE
WASHINGTON
Date: 8/21
TO: Research
FROM: JOHN S. GARDNER
Special Assistant to the President
and Assistant Staff Secretary
some good material here.
Je.
THE
HERITAGE
LECTURES
402
A Congressional
Priesthood
By Ralph Kinney Bennett
The
C
Heritage Foundation
The
Heritage Foundation
The Heritage Foundation was established in 1973 as a non partisan, tax-exempt policy
research institute dedicated to the principles of free competitive enterprise, limited
government, individual liberty, and strong national defense. The Foundation's research
and study programs are designed to make the voices of responsible conservatism heard
in Washington, D.C., throughout the United States, and in the capitals of the world.
Heritage publishes its research in a variety of formats for the benefit of policy makers;
the communications media; the academic, business, and financial communities; and the
public at large. Over the past five years alone The Heritage Foundation has published
some 1,500books, monographs, and studies, ranging in size from the 927-page government
blueprint, Mandate for Leadership III: Policy Strategies for the 1990's, to the more frequent
"Critical Issues" monographs and the topical "Backgrounders," "Issue Bulletins," and
"Talking Points" papers. Heritage's other regular publications include the SDI Report,
Business/Education Insider, Mexico Watch, and Policy Review, a quarterly journal of
analysis and opinion.
In addition to the printed word, Heritage regularly brings together national and
international opinion leaders and policy makers to discuss issues and ideas in a continuing
series of seminars, lectures, debated, briefings, and conferences.
Heritage is classified as a Section 501(c)(3) organization under the Internal Revenue
Code of 1954, and is recognized as a publicly supported organization described in Section
509(a)(1) and 170(b)(1)(A)(vi) of the Code. Individuals, corporations, companies,
associations, and foundations are eligible to support the work of The Heritage Foundation
through tax-deductible gifts.
Note: Nothing written here is to be construed as necessarily reflecting the views of The
Heritage Foundation or as an attempt to aid or hinder the passage of any bill before
Congress.
The Heritage Foundation
214 Massachusetts Avenue, N.E.
Washington, D.C. 20002-4999
U.S.A.
202/546-4400
A Congressional Priesthood
By Ralph Kinney Bennett
Andrews Air Force Base is just a short limousine ride from Capitol Hill, just outside the Beltway
and about as far into real America, it seems, as our isolated Congress would like to go. Andrews is
far enough away from the Hill that the nation's legislators can escape the legislative grind but still
be well shielded from the prying eyes of the general public, so that they can act, well, like them-
selves. While a "reform" spirit continues to sweep the Hill and perks keep dropping, at least
temporarily, by the wayside, it's useful to recall something which happened at Andrews Air Force
Base last fall: the Congressional Golf Tournament held on the base course.
There, you could see well-tanned senators and congressmen dressed in gaudy golf clothes gath-
ered at the base officer's club. Imagine, if you will, mighty legislators with tiny whales and anchors
and other little devices embroidered on their kelly-green pants coming in from their day on the
course. As they indulged in food, drink, and camaraderie, they were able to contemplate a veritable
tumulus of consumer goods, very expensive ones, piled before them: VCRs, crystal, electronic gad-
gets, clothing, liquor, magnums of champagne. All this vast pile, provided, by the way, by
lobbyists, was to be handed out as prizes for various feats on the golf course that day. The august
lawmakers eyed this mass of goods in such an anxious way that it was clear their $125,000 a year
salaries had not inured them from intense freebie lust.
Somehow it was decided that the idea of awarding prizes would be dispensed with. Everyone
could take what they wanted. Whatever decorum there may have been quickly evaporated. Elbow-
ing each other aside the men, all of whom had been provided with $400 leather golf bags courtesy
of some lobbyist, began stuffing items into these handy containers in what a participant described
later to the Wall Street Journal as a "feeding frenzy."
A World Apart. Such sordid scenes remain largely hidden from public knowledge because Con-
gress truly does live in a world apart. It's not just the perks and salaries; it's much more. We're
seeing all that go by the wayside for the moment under the glare of publicity: the fixed parking tick-
ets, the free first class upgrades, the junkets, the numerous slush funds disguised as furniture
allowances and stationery expenditures, et cetera, et cetera, et cetera. But there's something else that
sets the Congress apart, something of which the perks are just a symptom. It's a wilful elitism
which has become institutionalized and manifests itself in the very texture of life on the Hill. Con-
gress, by and large, sees itself not working for the people as public servants, but governing them. It
does what it wants and it takes what it wants.
The House check kiting scandal is an obvious example. Go back to the early days when it was
first revealed that the House bank, staffed by patronage employees, was allowing overdrafts to float
for months and even years. As the dimensions of the scandal first became apparent, the lawmakers
instinctively tried to cover up what was going on.
Read the newspaper accounts of those early days and see the character of the immediate reaction
of the Congress to that scandal. A reporter tried to find out whether the House Ways and Means
Ralph Kinney Bennett, a Senior Staff Editor of The Reader's Digest in its Washington Bureau, has reported from
Washington since 1966.
He spoke at The Heritage Foundation's Annual Board Meeting and Public Policy Seminar, Kiawah Island, South
Carolina, on April 11, 1992.
ISSN 0272-1155. © 1992 by The Heritage Foundation.
1
Committee chairman, Dan Rostenkowski, had bounced any checks. One of the congressman's key
aides confronted the journalist and said, "Aren't you ashamed? This is none of your business." Rep-
resentative Barney Frank embellished that and just said, "It's none of your damn business." Gus
Savage replied, "Call back when you have a serious question."
As public outrage grew, we noticed that the House fell back on its favorite defense, assuring the
public that it would have the matter investigated-by, of course, the House Ethics Committee, a
body whose chief purpose is as a staple of stand-up comedy. But my favorite moment, I think, was
when a spokesman for Speaker Foley reminded the press that these overdrafts were paid out of
members' bank balances and therefore no "public funds" were ever used. It never occurred to the
staffer that every dollar of the House bank overhead and salary of staff, every dollar in its accounts,
was our money. We, the people, pay these solons their ill-gotten salaries.
Watch congressmen and -women on the Hill and you see a separate race of public figures care-
fully coiffed, clothed, considerably pancaked for the television cameras, moving about on private
elevators, cordoned from staring tourists by sycophantic doormen and their own police force. They
have slipped the bonds of being public servants and assumed the mantle of governing in their own
right. While burdening the people with massive regulations, they have, of course, exempted them-
selves routinely from all of them. Congress is totally exempt from such strictures as the Equal
Employment Opportunity Act, the Occupational Safety and Health Act, the Fair Labor Standards
Act, the Freedom of Information Act, the Wage and Hour Act, the Americans With Disabilities Act,
all of the Civil Rights Acts.
Fancying themselves "in touch with the people" and fooling many voters through the technologi-
cal trickery of such things as computerized letters to answer constituent mail with replies tailored to
every issue, our senators and representatives basically listen only to each other and to the special in-
terest lobbyists, many of whom are ex-congressional staffers or government bureaucrats. They hear
what they want to hear in endless rounds of hearings, receptions, and junkets, disguised as fact-find-
ing trips.
Spenders Listening to Spenders. Read the excellent work which Jim Payne 1 has done showing
how this congressional culture thrives on itself and how its budget planning is nothing but spenders
listening to spenders in carefully orchestrated hearings. Look, too - if you believe that Congress
might somehow be taught to hold the line on national spending - - at what Congress spends on it-
self. In fiscal 1991, while businesses were cutting back, holding the line, offering three and four
percent salary increases, an expansionist Congress increased its spending 14.2 percent to over
$2.5 billion for its offices, its burgeoning staffs, its police, its trappings, and perquisites.
In fiscal 1992, Congress's spending on itself will jump 17.5 percent to over $3 billion. This re-
flects not only the pay increases for the legislators themselves, but many other costs. There are now
20 committees and 87 subcommittees in the Senate, 27 committees and 155 subcommittees in the
House; 37,000 employees on Capitol Hill. Five times the level from 1970.
This is all part of a phenomenon that really should give us pause. There was a survey done by the
Kettering Foundation that didn't get much notice last year. Called "Citizens and Politics as Viewed
From Main Street America," it shows that despite the conventional wisdom that Americans are apa-
thetic about national politics, the real problem lies elsewhere, on Capitol Hill. The Foundation
concluded that "citizens do care about politics but they no longer believe they can have an effect.
They feel politically impotent." Why? Because the study finds they feel they have been cut off
1
James L. Payne, The Culture of Spending: Why Congress Lives Beyond Our Means (San Francisco: ICS Press,
1991).
2
from most policy issues due to the way these issues are framed and talked about in Washington.
They are cut off by arcane procedures, and a foreign insider language that is alien to them.
I have seen this problem close up on Capitol Hill, and as I have interviewed congressmen and
staff people, I've come to realize more than ever that Congress does its business in such a way as to
really cut the public out of the loop. It has created elaborate parliamentary and procedural screens
behind which it can conduct its business without what it considers interference from the public. In-
deed, it has gone to the trouble of creating an ersatz forum of "public input," elaborately, orches-
trated through select witnesses and structured hearings. It has created for itself a huge, complex, yet
virtually invisible legislative system which goes its own way, forming legislation on its own terms
and with input only from those lobbyists and pressure groups which it chooses to hear.
Congress, if you really want to understand it, has become a priesthood, a priesthood of legisla-
tors, staff, and lobbyists. It is a priesthood of Byzantine complexities, temples within temples, rites
within rites. It employs a variety of obscure procedures, terms of art, et cetera, all designed to create
an illusion of openness. And the press, in many ways, goes along with this, because the press's posi-
tion is enhanced by this priesthood. Journalists are privileged to come down onto the steps of the
temple and explain to the masses the mysterious rites going on inside.
It is interesting, isn't it, that it took two reporters from the Philadelphia Inquirer fifteen months
of working day-in and day-out to ferret out the story of how the 1990 tax bill came into being.
Think about that! Here was a bill which affected you and me, every American, and yet it took two
reporters, working full-time and using every tool of their trade from leaks to Freedom of Informa-
tion filings to consultations with accountants and lawyers to furtive meetings with staffers who said,
"Don't use my name," to find out what was in a tax bill.
Robert Potts, former chief of staff of the Senate Republican Policy Committee and a top senato-
rial aide for former Senator Bill Armstrong, notes that, "Curiously, all this has been compounding
even while the Congress seems to be becoming more open, with C-SPAN coverage of both Houses.
But remember, the Congress controls those cameras and most of what is really significant cannot be
seen by the average citizen."
Congress's Tricks. There are many ways, of course, by which Congress bypasses or subverts the
normal civics class idea of how legislation is produced. One, of course, is the informal session. Be-
fore the formal session of the committee (which you may well see on C-SPAN and thus feel you're
seeing democracy at work) there has already been an informal meeting of the main committee mem-
bers in which all the substantive issues have been agreed upon and ironed out. There may well have
been agreement in that meeting that no new issues will be brought up during the public session. In
some cases, there may not even be this informal session, but merely a series of phone calls between
top staffers, extracting prior agreements that no embarrassing amendments or new business will be
brought up, and that certain congressmen or senators who have shown a kind of a meddlesome
streak will be kept out of the procedures.
Another favorite device is to bypass the conference committee. Instead of the usual meeting of
House and Senate conferees to reconcile two bills, a more informal get-together with key members
from both sides takes place. We'll never hear about this. There's no conference report. Perhaps not
even a complete transcript of the meeting in which the mark-up takes place.
Then there are the so-called "task forces." These are the new ad hoc, get-things-done groups on
Capitol Hill. Instead of the full committee meeting on something, task forces are formed excluding
certain "difficult" members. And, of course, there's that hoary classic: simply delay the printing of
the material from the hearings themselves. The record of the hearings on a bill is often not available
in time to be of any use to those considering the pros and cons of the legislation. (In the hearings,
the pros far outnumber the cons anyway.) Very often the final bill itself is not prepared or made
available in time for the vote. A thousand-page bill is being considered and there is one copy on the
3
floor for members to come down and peruse. Who is going to read it, let alone understand what is in
it?
But my favorite device of all-I love to see this one in action-is the concept that the more im-
portant and vital the hearing, the smaller the hearing room. This is a very deeply ingrained and very
important matter on the Hill. Committees do not want you to know what goes on when they get to-
gether with lobbyists to thrash out legislation. So what is not settled over the telephone or in an
informal session is discussed in tiny rooms where access is extremely limited. Go up to Capitol Hill
very early in the morning: you will see messengers who have been paid by lobbyists to sit in the
hall outside these legislative walk-in closets. They sit in the hall and hold a place in line for various
special interest supplicants who will then have a chance to get inside the room where this vital legis-
lation is being "hammered out."
Now, of course, the advocates of this system, the priests themselves, say that this is a more effec-
tive way of doing business. After all, it's so messy when the public gets involved in these things.
"Just a Citizen." Bob Potts told me a story that I think best illustrates the way Congress has be-
come a world apart, how even those with the best intentions become imbued with the characteristics
of a priesthood:
Senator Armstrong was on the Treasury and Postal Subcommittee of
Appropriations, so I would go to all those hearings with him. One morning
we had a meeting in which the Secretary of the Treasury was testifying. It
was just a small room and there weren't many people there. While he was
testifying, a man and his family, tourists, came into the room. It was just a
man and his wife and their kids, kind of thrilled, I guess, to be seeing
democracy at work close up.
At one point the Secretary had to leave the room to make a phone call or
something and there was a break. This man got up and raised his hand and
said, "Mr. Chairman, Mr. Chairman," very quietly and politely. He said he
knew something about the point they were discussing and he had something
helpful he would like to say. We all ignored him. I remember the staff people
who were there, just regular guys, good down-to-earth people, but suddenly
they were part of the different world, the different culture, and we ignored
this guy.
Finally some staff guy felt, "Well, I'd better do something," and he went
down and spoke to the man for a minute. He came back and we asked, "What
did you tell him?"
He said, "I told the man that if he had anything to say he could sign up to
testify and come back in a couple of months."
Why didn't we just let this guy say what he had to say? It wouldn't have hurt
anything. But no, we were the Senate and he was just a citizen.
4
THE BUDGET
Defeat of Budget Amendment
Fans Anti-Deficit Flames
Proponents already looking to vote on super collider
as test of congressional ability to restrain spending
he dramatic defeat June 11 of a
peatedly stressed during the House
T
proposed constitutional amend-
debate that it is the president's obliga-
ment requiring a balanced fed-
DetheDeople
tion to provide deficit-cutting leader-
eral budget has set Congress up for a
ship, it was widely agreed that the
summerlong series of tests of fiscal
amendment's defeat put Congress in
self-discipline.
the position of having to prove that it
Arguing that there is no substitute
could act without a constitutional
for political will, Democratic leaders
mandate.
reversed what just weeks before had
"We are in danger of doing again
seemed an unstoppable tide in favor of
what the people are blaming us for, all
a balanced-budget amendment.
talk and no action," Stenholm said, in
Budget-cutters in both parties are
concluding debate on the amendment
now hoping that they can turn their
June 11.
defeat into an opportunity for a new
"If you think American people are
assault on the deficit.
mad now, just defeat this one ray of
The first test will come the week of
BOXSCORE
hope we have now for reducing the
June 15 when the House votes on the
federal deficit, and you will really see
fate of the hyperexpensive super-
Bill: H J Res 290, S J Res 18
a revolt," added Rod Chandler, R-
conducting super collider as part of
balanced-budget constitutional
Wash.
the energy and water appropriations
amendment.
In a rare floor speech, House
bill (HR 5373). (Story, p. 1692)
Speaker Thomas S. Foley, D-Wash.,
Almost certain to be at risk is a $2
Latest action: House defeated,
urged support for a deficit-cutting bill
billion supplemental spending bill
280-153, June 11.
being crafted by House Budget Com-
(HR 5132) that started out as an
Next action: None expected.
mittee Chairman Leon E. Panetta, D-
emergency measure to help Los Ange-
Calif.
les recover from riots and Chicago
Reference: Weekly Report, pp.
"If half of the courage expressed in
1592, 1520, 1325, 1233; 1990
from floods. Lawmakers have since at-
the rhetoric presented here today in
Almanac, p. 174.
tached about $1.5 billion worth of ex-
support of this amendment will stand
tra spending that may be put on the
behind a proposal, which the Commit-
cutting block as proof of their will to
tee on the Budget will shortly produce
tackle the deficit. (Story, p. 1691)
gave opponents a relatively comfort-
on the floor, we can establish the pro-
"There will be a groundswell, and I
able nine-vote victory cushion. The
-cess to reduce the deficit," he said. .
think it will accomplish what many of
amendment (H J Res 290) was de-
Panetta's proposal would set new
us wanted," said David Dreier, R-
feated 280-153; it needed 289 votes,
deficit-reduction targets for the rest of
Calif., an amendment supporter.
two-thirds of those present, to pass.
the decade, coupled to a new mecha-
"This has been a wake-up call,"
(Vote 187, p. 1744)
nism for automatic spending cuts and
said Jim Slattery, D-Kan., a strong
In a bitter twist for chief sponsor
tax increases to force compliance if
advocate for spending restraint who
Charles W. Stenholm, D-Texas, 12 co-
Congress and the president fail to
opposed the amendment. "There will
sponsors of his original amendment
bring down the deficit voluntarily.
be a lot of key votes in the next 10
were persuaded to vote against the fi-
Panetta has vowed to bring his bill
days" as appropriations bills begin to
nal version, three more than his losing
to the floor in the coming weeks. Al-
come to the floor.
margin. (Defectors, p. 1684)
though he was a principal obstacle to
Barely a week before the vote, pas-
In the Senate, where sufficient
passage of the constitutional amend-
sage of the balanced-budget amend-
support for an amendment (S J Res
ment, using what some supporters
ment seemed certain. But a combina-
18) was even less certain, Majority
called scare tactics to defeat it, Sten-
tion of hard lobbying by the Demo-
Leader George J. Mitchell, D-Maine,
holm and another key amendment
cratic leadership and outside interest
said immediately after the House vote
backer, Bill Gradison, R-Ohio, have
groups, and a creeping uneasiness
that he would not call the measure up.
said they will cooperate with the Bud-
about tinkering with the Constitution,
That effectively killed any chance for
get chairman. (Panetta's role, p. 1688)
the amendment this year.
Both Stenholm and Gradison are
By John R. Cranford
Though Democratic opponents re-
on the Budget Committee, and both
CQ
JUNE 13, 1992 - 1683
ECONOMICS & FINANCE
Amendment's Fragile Bloc of Backers
W
ith a Mickey Mouse watch on his right wrist and a
Opposition Accelerated as Vote Neared
Rolex on his left, Robin Tallon is a walking contra-
The outcome was a testament to the power of
diction. When he went to the House floor June 11 for the
Speaker Thomas S. Foley, D-Wash., whom many mem-
vote on the balanced-budget amendment, he was carry-
bers were unwilling to cross in such a key test of strength
ing two speeches in his coat pocket - one in favor and
between the Democratic-controlled Congress and the
one against.
White House. But the result also reflected unease with
The South Carolina Democrat was waiting until the
the remedy, unease that grew as the vote neared. Quite
last possible moment to decide how he would vote on
suddenly, members supporting the amendment were
what was perhaps the most hotly lobbied vote of the
confronted with the intense opposition of senior citizens
year.
groups and organized labor, who argued that cuts neces-
There was one problem: He had already pledged his
sary to balance the budget would gut Social Security,
support to Charles W. Stenholm, D-Texas, sponsor of the
Medicare and other cherished programs.
balanced-budget amendment. As recently as that morn-
The political pressure to vote "no" heightened on the
ing, he had emerged from a White House lobbying ses-
day of the vote, when undeclared presidential candidate
sion with President Bush saying he was probably going
Ross Perot announced on NBC's "Today" show that
to vote for it.
morning that he was opposed to the constitutional
But as the day wore on, he began to falter under a
amendment.
barrage of lobbying by Democratic leaders and others
opposed to the amendment. Finally, his decision made,
12 Democrats Get 'Cold Feet'
Tallon chose the appropriate speech and stood in the
As the day wore on, votes began melting away.
well of the House: "It would be much easier to be consis-
Along with Tallon, Stenholm's defectors were Demo-
tent, to not admit I had changed my mind," Tallon said.
crats Frank Annunzio, III., Albert G. Bustamante, Texas,
"All I need to do is get on board this resolution and go
Joan Kelly Horn, Mo., Tom Lantos, Calif., Gerald D.
home as the champion of fiscal responsibility. But I will
Kleczka, Wis., Matthew G. Martinez, Calif., Austin J.
not vote for the Stenholm amendment."
Murphy, Pa., Richard E. Neal, Mass., Jim Olin, Va., Patri-
With that, Tallon sounded the death knell of the
cia Schroeder, Colo., and James A. Traficant Jr., Ohio.
balanced-budget amendment. In a climactic reversal of
Loss of the 12 Democrats was not taken kindly by
fortune, 12 Democrats who had attached their names to
Stenholm and his supporters. "Obviously I'm very disap-
Stenholm's list of 278 cosponsors changed positions and
pointed that many of our cosponsors switched," said
voted no.
Stenholm, adding that "Everybody will know who
"I never ever agonized on a vote as much as this one,"
switched and why. And that's the key."
Tallon said in an interview.
In a post-vote news conference, Texas Republican Joe
The final vote was 280-153. Had nine of the original
L. Barton ran down the full list in an effort to apply
supporters voted in favor, Stenholm would have had the
political heat to the defectors.
two-thirds majority necessary to approve a constitutional
Said Timothy J. Penny, D-Minn., a Stenholm sup-
amendment.
porter: "Some folks cosponsored the resolution, but did
favor moving ahead with deficit cuts
bill], it's because there aren't 50 votes
proof that "there were no cheap
for the coming fiscal year. But they
for it," Slattery said.
votes."
may have significantly different views
Sponsor Barbara B. Kennelly, D-
about how what has come to be called
A Week of Changes
Conn., rejected assertions that the bill
a budget enforcement bill should look.
Floor action began June 9, when the
was introduced to provide political
"I'm going to need to wait now for my
House took up a proposed balanced-
cover for those opposing the constitu-
chairman on this because I certainly
budget law that was similar to a bill that
tional amendment. Of the 189 Demo-
don't want to get out front of him again,"
passed the House in 1990 as an alterna-
crats who voted for the bill, however,
Stenholm said with a half-smile. "The
tive to a constitutional amendment.
121 later voted against the amend-
key is bipartisanship.
I'll be there
The bill (HR 5333) would have required
ment.
with Mr. Panetta and Mr. Gradison."
the president to submit a balanced bud-
The following day, Stenholm un-
Even if they can get together, how-
get, and the House and Senate Budget
veiled a revised version of his bal-
ever, there will be roadblocks to action
committees to send balanced budgets to
anced-budget amendment, which he
elsewhere. President Bush still wants
the floor of both chambers, beginning
had refined in negotiations among
a deficit-reduction measure acted on
for fiscal 1998.
House and Senate supporters.
after not before Congress sends
This year's bill died on a 199-220
Stenholm's substitute the ver-
a balanced-budget amendment to the
vote, not winning even a simple major-
sion eventually rejected by the House
states for ratification. In addition,
ity, much less the two-thirds needed
- was intended to provide a compro-
members facing re-election will be
because it was brought up under a
mise that might win support in the
chary of any bill that even hints of
special procedure that prevented
Senate without change and thereby
higher taxes.
amendments. (Vote 174, p. 1740)
avoid a joint House-Senate conference
"If we don't see [an enforcement
Stenholm cheered the defeat as
committee that could have been de-
1684 - JUNE 13, 1992
CQ
Undone by Last-Minute Defections
so with a feeling that it was never going to
for several multibillion-dollar projects that
come to a vote. When it did come to a
would directly benefit their state. Among
vote. they got cold feet," he said.
them are the superconducting super
For some, the decision to change was a
collider and the space station Freedom.
matter of simple politics. Annunzio, a vet-
"They're like drug addicts," Busta-
eran Chicago pol who is retiring from
mante said in an interview. "It's so hypo-
Congress this year, said he changed his
critical. I tell my friends you want a bal-
mind a week or so before the vote because
anced budget, and you want all these
"you got all the labor groups and senior
things for your state."
citizens" opposing the amendment. An-
nunzio did not bother to take his name off
Eleventh-Hour Bush Effort Fails
the list of cosponsors, however.
Bush, in last-minute lobbying before
Other lawmakers had reason to worry
leaving for South America, invited more
about their future advancement in the
than a dozen wavering members to the
House if they ignored the wishes of
White House for a morning meeting. He
Speaker Foley and Majority Leader Rich-
continued the lobbying even after take-off.
ard A. Gephardt, D-Mo., who fought hard
Robin Tallon
"The president called me this morning from
against the Stenholm amendment. With
Air Force One, and asked me to vote for a
the unusually high number of members retiring or being
balanced-budget amendment," said Neal. "I said I was
defeated at the polls, dozens of choice committee slots
going to."
will open up next year. Those who expect to be around
One undecided Democrat said that Foley, Bush and
know the unspoken rule of the House: If you want the
Gephardt all had called him in a span of 4½ hours. It was the
leadership to anoint your bid for a top committee slot,
third time in four days Foley had urged him to vote against
you are expected to side with them on votes like this one.
the amendment. Other lawmakers said they had received
Among the switchers said to be seeking new commit-
repeated calls from Cabinet members and other top admin-
tee slots are Kleczka and Traficant, who want to join the
istration officials urging them to back the president.
Ways and Means Committee. Both denied in interviews
But perhaps no one struggled more with the decision
or through staff that committee considerations played a
than Tallon. At the morning meeting with the White
role in their votes. Another Democrat who is considering
House, Tallon said, he asked Bush for specifics about the
leaving the Banking Committee, Peter Hoagland, D-
programs he would cut if the constitutional amendment
Neb., voted for the Stenholm amendment.
became law. Bush handed him a book of options for
Bustamante said he decided to switch his position at
cutting the deficit. He even autographed it: "Robin,"
a meeting of the Texas delegation the day before the
Bush wrote. "Do the right thing. Thanks, George Bush."
vote. It galled him, he said, to hear fellow Texans clamor-
"So I did the right thing," said Tallon. "I voted
ing to support the measure at the same meeting they
against it."
were discussing ways to get full federal funding this year
-David S. Cloud
railed by Democratic opponents in the
two weeks before that he had as many
morning of June 11 that the Democratic
leadership.
as 305 votes.
whip count showed 151 firm no votes.
Paul Simon, D-Ill., the prime
By June 10, the first day of floor
When the final tally was 153 "nays",
amendment sponsor in the Senate, em-
debate on the amendment, both sup-
Nagle said he had forgotten to include
braced the negotiated compromise. But
porters and opponents said it was too
Independent Bernard Sanders of Ver-
several House supporters abandoned
close to call. And for the first time
mont, and had only counted on one
Stenholm over the change.
Stenholm hinted that he might not
Republican, when two - Benjamin A.
Patricia Schroeder, D-Colo., who
even have a "solid 290" as he had con-
Gilman and Bill Green, both of New
signed on as a cosponsor in February,
tinued to assert.
York - voted against the méasure.
said she was disturbed by language
On the morning of June 11, as the
Nagle said that 10 days earlier
adopted from Simon's Senate version
House began to debate four alternative
there had been only 85 solid no votes.
that would have permitted a waiver of
balanced-budget amendments, oppo-
"It's been pretty intense," he said.
the balanced-budget requirement in
nents seemed to have turned the tide.
Still, a large number of members
times of declared military emergen-
"Earlier today, I thought it was
were undecided throughout the two
cies. "You don't think there will be an
still doable," said Timothy J. Penny,
days of floor action. Some said they
imminent threat to national security
D-Minn., a key pro-amendment strat-
made up their minds at the last minute.
every year - from Uruguayan terror-
egist. "We were four short, and there
Republican Constance A. Morella,
ists?" she said, half-facetiously.
were 12 names to get them from."
who represents the Maryland suburbs
Though supporters picked up two un-
of Washington said she ultimately and
And Heavy Lobbying
decided members, they lost others
reluctantly decided to vote for the
As the week progressed, Stenholm
during the day, he said.
amendment, despite a strong showing
backed away from his statement of
Dave Nagle, D-Iowa, said the
of constituent opposition. Peter
CQ
JUNE 13, 1992 - 1685
Hoagland, D-Neb., was on the fence
natives; the last to be adopted by
until late June 10, and said one
a majority vote was then submit-
contributing factor to his yes vote
ted to the full House for a final
was the number of senior citizens
vote, requiring a two-thirds major-
who, contrary to expectations,
ity. The four alternatives were:
called his district office endorsing
By Jon Kyl, R-Ariz. His
the amendment.
amendment, like the others, would
National senior citizen lobbies
have generally required that all
- led by the American Associa-
government outlays not exceed to-
tion of Retired Persons, the Older
tal receipts.
Women's League and the National
But it had two other significant
Committee to Preserve Social Se-
provisions. Total outlays would also
curity and Medicare - worked ac-
Thomas S. Foley
Charles W. Stenholm
have been restricted to 19 percent
tively against the amendment in
of the country's total output of
the final week. The latter group and
ment," said amendment supporter
goods and services for the year, mea-
others issued statements charging that
Jim Leach, R-Iowa.
sured by the gross national product
adoption would guarantee big cuts in
But Charlie Rose, D-N.C., who was
(GNP), and it would have given the
Social Security, a charge that amend-
undecided until the end, when he
president authority to veto all or part of
ment sponsors strongly denied.
voted no, said Perot made a good
individual provisions of bills that ap-
Stenholm complained that "a lot of
point. "Ross Perot says we don't need
propriated money or otherwise obli-
folks haven't been honest in fighting
it - we need leadership. That's advice
gated the Treasury.
this
Every member of the House
worth listening to."
Bills resulting in deficits or in out-
knows we will not gut Social Security."
lays in excess of the GNP ceiling
But he acknowledged that Medicare
Some Surprises
would have required support of three-
and Medicaid, the federal health-care
The seriousness of the 16 hours of
fifths of the total membership of the
programs for the elderly and the poor,
floor debate reflected the widespread
House and Senate.
were facing cuts: "We have to make
sense among members that they were
Panetta dismissed the outlay ceil-
substantive changes in Medicare and
casting a momentous vote.
ing as a "mindless formula." Kyl shot
Medicaid to keep them from bankrupt-
W.J. "Billy" Tauzin, D-La., invoked
back that "a lot of thought has gone
ing this country," he said.
his father in support of the amendment:
into it. It is not mindless."
When Slattery made a reference to
"He never had a credit card. He never
The amendment was rejected 170-
Social Security during floor debate,
signed a mortgage. He never signed a
258, on a nearly party-line vote. (Vote
Stenholm was ready with a big red
time agreement. He understood
183, p. 1744)
fish, which he placed on a table in the
something most ordinary Americans
By Joe L. Barton, R-Texas. This
middle of the House chamber. Sten-
understand
The easiest dollar to
amendment largely tracked Sten-
holm later told Slattery that he was
spend is the one you don't have
holm's, with one significant wrinkle. It
tempted to give him "the red herring
Most ordinary Americans would like to:
would not have allowed government
award."
put a limit on our credit card."
revenues to increase at a rate greater
Lobbyists from labor unions, advo-
Richard J. Durbin, D-Ill., offered a
than that of total growth in national
cacy groups representing senior citi-
catastrophic view in opposition: "This
income, unless a bill to that effect sup-
zens and low-income people, religious
amendment is the direct result of the
ported by three-fifths of both cham-
organizations and the citizens lobby
mismanagement and misguided poli-
bers was enacted into law.
Common Cause crowded the hallway
cies of Presidents Ronald Reagan and
Barton's amendment won strong
outside the chamber. As the amend-
George Bush This amendment is
Republican support and drew more
ment was defeated, a cheer arose first
Ronald Reagan's revenge.
He left a
Democrats than Kyl's, but it was re-
in the chamber and then among the
deficit behind him that is nothing
jected 200-227. One lone Democrat -
lobbyists.
short of a time bomb.
It's
an
act
of
Slattery - voted for Barton's amend-
But it seemed clear that the efforts
political desperation that will haunt
ment and voted no on final passage.
of Foley, Panetta and most of the rest
us for generations."
(Vote 184, p. 1744)
of the Democratic leadership were
In the final vote, although most
By Richard A. Gephardt, D-Mo.
more important to the outcome than
senior Democrats stuck with the lead-
Majority Leader Gephardt adapted
those of outside lobbyists.
ership, a few surprises stood out:
his amendment from one proposed
It might have helped, however, that
Jamie L. Whitten, D-Miss., and Wil-
several weeks before by two key
traditional anti-deficit lobbyists such as
liam H. Natcher, D-Ky., the chairman
Appropriations Committee sub-
the Chamber of Commerce of the
and acting chairman of the Appropria-
committee chairmen, David R. Obey,
United States, opposed the amendment
tions Committee, voted for the
D-Wis., and John P. Murtha, D-Pa.
(chiefly because they feared it would be
amendment. So did one other Appro-
It would have required only a major-
used to justify a tax increase). And sev-
priations subcommittee chairman,
ity of both the House and Senate to
eral members mentioned the opposition
Tom Bevill, D-Ala. One key member
permit a deficit. But it would have
of presumed presidential candidate
of the House leadership, Steny H.
capped outlays at the level proposed by
Ross Perot as a factor.
Hoyer, D-Md., who has a new, more
the president. And it would have ex-
Perot announced his opposition on
conservative district, also voted yes.
cluded Social Security from deficit cal-
the NBC "Today" show the morning
culations, which Gephardt contended
of the vote. He "became an extra argu-
Major Amendments
would have protected that program
mentative shield for those who op-
Floor action on the balanced-bud-
from cuts.
posed a balanced-budget amend-
get amendment focused on four alter-
Some Democratic opponents of
CQ
JUNE 13, 1992 - 1687
ECONOMICS & FINANCE
A Winner At Last
L
eon Panetta has a history of tak-
crats' budget is anything but a joint
ing on unpopular causes - and
effort with the Republicans on the
losing.
committee. But he does not shy from
In his former life as a Republi-
a fight whether to defend his par-
can, he ran the Office for Civil
ty's taxing and spending priorities or
Rights in the Nixon administration.
to battle against the balanced-bud-
In 1970, at age 31, he was forced out
get amendment.
by the White House for being too
His hardball tactics in the budget
aggressive.
amendment fight drew criticism
As a Democrat, he was elected to
from some Republicans.
the House in 1976, served for six
The White House accused him of
years on the Budget Committee and
"crying wolf" when he put out what
became its chairman in 1989. Since
most consider a worst-case scenario
then, he has had to defend the oft-
for spending cuts and tax increases
denounced 1990 budget agreement
to yield the $600 billion in deficit
that he helped engineer. He tried -
reduction over five years that the
and failed - to dismantle a portion
Congressional Budget Office says
of that agreement earlier this year to
would be needed to balance the bud-
shift money from defense to domes-
get. (Weekly Report, p. 1520)
tic spending. In the past month, he
But he has his bona fides on the
was for a long time a lone soldier
subject, and several members paid
trying to halt the juggernaut of the
R. MICHAEL JENKINS
him respect during the amendment
balanced-budget amendment. He
Panetta is not one to shy from a fight.
fight.
tends to laugh a lot at adversity, and
Panetta almost never left the
lately he's seemed to be having a rollicking good time.
floor during the two long days. At the end, his principal
He was asked at one point about Sen. Robert C.
adversary, Charles W. Stenholm, D-Texas, commended
Byrd, D-W.Va., who recently began working hard to
him for his handling of the debate.
derail the balanced-budget amendment in the Senate,
He also chided him for his effort earlier in the year to
apparently with success. "He came to life, didn't he,"
to spend money that was to be cut from defense, instead
Panetta said, and then guffawed, letting his laughter
of applying it to the deficit. "Mr. Chairman, you were
express his relief.
not with us that day
But you have been with us most
of the other times."
The Real Test
Panetta returned the compliment, paying tribute to
This time, Panetta won. But it remains to be seen if
Stenholm and others for raising the visibility of the
he can convince his colleagues that they should get
deficit issue - and seizing the opportunity to hold
serious about cutting the deficit in this election year.
members accountable for the next test.
Panetta would view that as real success.
"What we've done here is we've focused attention,"
Like Bill Gradison of Ohio, ranking Republican on
Panetta said after the amendment was defeated. "Now
the Budget Committee, Panetta tends toward serious-
we've got to roll up our sleeves and get to work on what I
ness; he is rarely without a sheaf of papers under his
think is the effort that really counts
so
that
we
truly
arm, and he is constantly in motion.
exercise the discipline that we have to do if we're serious
He eschews partisanship when he can, despite the
about getting the deficit in control."
highly partisan job he holds: Presenting the Demo-
-John R. Cranford
Stenholm were clearly enamored of
This is very, very dangerous."
three-fifths majorities to permit deficit
this version, if only to show their sup-
The amendment appeared to have
spending or an increase in the federal
port either for a balanced budget or
the desired effect of muting Democratic
debt. But it incorporated the military
for Social Security.
support for Stenholm. "The decision to
emergency waiver, a requirement that
"It's the best of a bad lot," said
put Gephardt in brought about 35 votes,"
Congress enforce the amendment by
Douglas Applegate, D-Ohio.
Nagle said. In all, 47 Democrats voted for
statute and a later effective date of fiscal
But some raised serious questions
Gephardt and against Stenholm; six of
1988. The substitute was first adopted
about ceding power to the president
them had been Stenholm cosponsors.
by a vote of 279-153. (Vote 186, p. 1744)
by letting him set a ceiling on outlays.
The amendment was rejected 103-
It then failed on final passage -
"Not even two-thirds of the House
327, with a significant majority of
when a two-thirds majority was re-
and two-thirds of the Senate are em-
Democrats and virtually all Republi-
quired - by 280-153. The difference
powered to [spend more than the
cans opposed. (Vote 185, p. 1744)
was that Walter B. Jones, D-N.C., voted
president proposes]," said Tom
By Stenholm. His alternate pre-
no on the substitute and yes on passage,
Campbell, R-Calif. "For the first time,
served the basic terms of HJ Res 290 as
and Foley, who has voted only 14 times
this would be an absolute veto
originally introduced - including
this year, voted no on passage.
1688 - JUNE 13, 1992
CQ
HOUSE VOTES 182, 183, 184, 185, 186, 187
183
184
185
186
187
KEY
182. Procedural Motion. Approval of the House Journal of
Y Voted for (yea).
42 Rohrabocher
NYYNYY
43 Packard
YYYNYY
Wednesday, June 10. Approved 284-112: R 48-107; D 236-5 (ND
# Paired for.
+ Announced for.
44 Cunningham
YYYNYY
164-5, SD 72-0); I 0-0, June 11, 1992.
45 Hunter
? Y Y N Y
N Voted against (nay).
X Paired against.
COLORADO
183. H J Res 290. Balanced-Budget Constitutional
- Announced against.
1 Schroeder
NNNYNN
Amendment/Spending Limit and Line-Item Veto. Kyl, R-
P Voted "present."
2 Skoggs
YNNYNN
Ariz., substitute to propose a constitutional amendment that
C Voted "present" to avoid possi-
3 Compbell
? ? N Y Y Y
4 Allard
NYYNYY
would prohibit total outlays from exceeding total revenues for each
ble conflict of interest.
5 Hefley
NYYNYY
fiscal year and prohibit total outlays from exceeding 19 percent of
? Did not vote or otherwise make a
6 Schoefer
NYYNYY
the gross national product for each fiscal year, unless a three-fifths
position known.
CONNECTICUT
majority in each chamber votes to permit a deficit. It would grant
the president line-item veto authority for all spending measures.
Democrats
Republicans
1 Kennelly
YNNNNN
Independent
2 Gejdenson
YNNNNN
The spending constraints would take effect the third fiscal year
3 Delauro
YNNYNN
after ratification but not before fiscal 1996. The line-item veto
4 Shays
NYYNYY
5 Franks
NYYNYY
would take effect upon ratification. Rejected 170-258: R 152-13; D
6 Johnson
NYYNYY
18-244 (ND 6-173, SD 12-71); I 0-1, June 11, 1992. (Story, p. 1683)
DELAWARE
AL Carper
Y N Y N Y Y
184. H J Res 290. Balanced-Budget Constitutional
Amendment/Tax Increase Limit. Barton, R-Texas, substitute to
183
184
185
186
187
FLORIDA
propose a constitutional amendment that would require the president
1 Hutto
YYYNYY
ALABAMA
2 Peterson
Y N Y Y Y Y
to submit and Congress to approve a budget in which outlays do not
1 Callahan
YYYNYY
3 Bennett
YYNNYY
exceed revenues unless a three-fifths majority in each chamber
2 Dickinson
NYYNYY
4 James
NYYNYY
approves a specified deficit; to require that estimated revenues do not
3 Browder
Y N Y Y Y Y
5 McCollum
YYYNYY
4 Bevill
Y N Y Y Y Y
6 Stearns
NYYNYY
grow faster than the rate of increase in national income in the second
5 Cramer
YNYNYY
7 Gibbons
YNNYYY
prior fiscal year, unless a three-fifths majority in each chamber
6 Erdreich
YYYNYY
8 Young
NYYNYY
approves a tax increase; and provide that the amount of federal public
7 Harris
Y N Y N Y Y
9 Bilirakis
NYYYYY
debt on the first day of the second fiscal year beginning after
10 Ireland
? Y ? N Y
ALASKA
11 Bacchus
YYYYYY
ratification shall become a permanent debt limit unless a three-fifths
AL Young
NYYNYY
12 Lewis
NYYNYY
majority of each chamber passes a bill approving an increase. The
13 Goss
NYYNYY
ARIZONA
amendment would take effect in fiscal 1998 or the second year after
14 Johnston
YNNNYY
1 Rhodes
YYYNYY
15 Show
YYYNYY
ratification, whichever is later. Rejected 200-227: R 155-9; D 45-217
2 Pastor
YNNYNN
16 Smith
YNNNNN
(ND 8-172, SD 37-45); I 0-1, June 11, 1992. (Story, p. 1683)
3 Stump
NYYNYY
17 Lehman
?NNNNN
4 Kyl
NYYNYY
18 Ros-Lehtinen
NYYNYY
5 Kolbe
NYYNYY
185. H J Res 290. Balanced-Budget Constitutional
19 Fascell
YNNNNN
Amendment/Majority Vote and Social Security Exemption.
ARKANSAS
GEORGIA
Gephardt, D-Mo., amendment in the nature of a substitute to propose
1 Alexander
?NNNNN
1 Thomas
YNYNYY
2 Thomton
YNNYNN
a constitutional amendment that would require the president to
2 Hatcher
YNYNYY
3
Hammerschmidt
YYYNYY
submit and Congress to adopt a balanced budget in the first year after
3 Ray
YNYNYY
4 Anthony
????YY
4 Jones
YNNNYY
ratification unless there is a declaration of a national urgency by the
5 Lewis
YNNNNN
CALIFORNIA
president that is approved by a majority vote of both chambers of
6 Gingrich
NYYNYY
1 Riggs
NYYNYY
Congress; prohibit Congress from approving higher expenditures than
7 Darden
YNYNYY
2 Herger
NYYNYY
8 Rowland
YNYNYY
recommended by the president in a fiscal year; and exempt Social
3 Matsui
YNNNNN
9 Jenkins
YNYNYY
4 Fazio
YNNYNN
Security from deficit calculations. Rejected 103-327: R 2-164; D 101-
10 Bamard
YNYNYY
5 Pelosi
YNNNNN
162 (ND 72-109, SD 29-53); I 0-1, June 11, 1992. (Story, p. 1683)
6 Boxer
YNNYNN
HAWAII
7 Miller
YNNNNN
1 Abercrombie
YNNYNN
186. H J Res 290. Balanced-Budget Constitutional
8 Dellums
YNNNNN
2 Mink
YNNNNN
9 Stark
YNNNNN
Amendment/Substitute. Stenholm, D-Texas, amendment in the
10 Edwards
YNNNNN
IDAHO
nature of a substitute to propose a constitutional amendment that
11 Lantos
YNNYNN
1 LaRocco
YNNYYY
would prohibit deficit spending unless a three-fifths majority of both
12 Campbell
NYYNYY
2 Stallings
YNNYYY
13 Mineto
YNNNNN
chambers of Congress approve a specific deficit amount or there is a
14 Doolittle
NYYNYY
ILLINOIS
declaration of war or a declaration of national military emergency
15 Condit
YYYNYY
1 Hoyes
YNNNNN
enacted into law, require the president to submit a balanced budget
16 Panetta
YNNNNN
2 Savage
?NNNNN
each fiscal year, and require a three-fifths majority of both chambers
17 Dooley
YNNNYY
3 Russo
YNNNNN
18 Lehmon
YNNNNN
4 Sangmeister
YNNYYY
of Congress to increase the public debt. The amendment would take
19 Lagemarsino
NYYNYY
5 Lipinski
YNNYYY
effect in fiscal 1998 or the second year after ratification, whichever is
20 Thomas
NYYNYY
6 Hyde
YYYNYY
later. Adopted 279-153: R 164-2; D 115-150 (ND 52-129, SD 63-21); I0-
21 Gallegly
NYYNYY
7 Collins
YNNNNN
22 Moorhead
NYYNYY
1, June 11, 1992. (Story, p. 1683)
8 Rostenkowski
YNNYNN
23 Beilenson
YNNNNN
9 Yates
YNNNNN
24 Waxman
YNNNNN
10 Porter
NYYNYY
187. H J Res 290. Balanced-Budget Constitutional
25 Roybal
YNNNNN
11 Annunzio
YNNNNN
Amendment/Passage. Passage of the joint resolution to propose a
26 Berman
YNNNNN
12 Crane
NYYNYY
27 Levine
YNNNNN
13 Fawell
NYYNYY
constitutional amendment that would prohibit deficit spending un-
28 Dixon
?NNNNN
14 Hastert
NYYNYY
less a three-fifths majority of both chambers of Congress approve a
29 Waters
?NNNNN
15 Ewing
YYYNYY
specific deficit amount or there is a declaration of war or a declaration
30 Martinez
YNNNNN
16 Cox
YNNYYY
of national military emergency enacted into law; require the presi-
31 Dymally
YNNNNN
17 Evans
YNNNNN
32 Anderson
YNNNYY
18 Michel
NYYNYY
dent to submit a balanced budget each fiscal year; and require a
33 Dreier
YYYNYY
19 Bruce
YNNYYY
three-fifths majority of both chambers of Congress to increase the
34 Torres
YNNYNN
20 Durbin
YNNYNN
public debt. The amendment would take effect in fiscal 1998 or the
35 Lewis
NYYNYY
21 Costello
YNNYYY
36 Brown
YNNYNN
22 Poshard
YYNYYY
second year after ratification, whichever is later. Rejected 280-153: R
37 McCandless
NYYNYY
164-2; D 116-150 (ND 52-130, SD 64-20); I 0-1, June 11, 1992. A two-
38 Dornan
? Y Y N Y Y
INDIANA
thirds majority of those present and voting of both chambers (289 in
39 Donnemeyer
NYYNYY
1 Visclosky
YNNNNN
40 Cox
?YYNYY
this case) is required to propose an amendment to the Constitution. A
2 Sharp
YNNNYY
41 Lowery
NYYNYY
3 Roemer
YNNYYY
"yea" was a vote in support of the president's position. (Story, p.
1683)
ND Northern Democrats SD Southern Democrats
1744 - JUNE 13, 1992 CQ
182
183
184
185
186
187
183
184
185
186
187
182
183
184
185
186
187
183
184
185
186
187
4 Long
YNNYYY
5 Sabo
YNNNNN
32 LoFake
YNNNNN
SOUTH DAKOTA
5 Jontz
YNNYYY
6 Sikorski
NNNNYY
33 Nowak
YNNNNN
AL Johnson
YNNYYY
6 Burton
NYYNYY
7 Peterson
YNNNYY
34 Houghton
YYYNYY
7 Myers
YNYNYY
8 Oberstar
YNNNNN
TENNESSEE
NORTH CAROLINA
8 McCloskey
YNNNYY
1 Quillen
NYYNYY
YNNYNN
MISSISSIPPI
1 Jones
YNNYNY
9 Hamilton
2 Duncan
YYYNYY
10 Jacobs
NNNNYY
1 Whitten
YN??YY
2 Valentine
Y N Y N Y Y
3 Lloyd
Y N Y N Y Y
2 Espy
YNNNYY
3 Lancaster
YNNYYY
4 Cooper
YYYYYY
IOWA
3 Montgomery
Y N Y N Y Y
4 Price
?NNYY
5 Clement
Y N Y N Y Y
1 Leach
NYYNYY
4 Parker
YYYNYY
5 Neol
?NNNYY
6 Gordon
YNNYYY
2 Nussle
NYYNYY
5 Toylor
YYYYYY
6 Coble
NYYNYY
7 Sundquist
NYYNYY
3 Nagle
YNNNNN
7 Rose
YNNYNN
8 Tanner
Y N Y N Y Y
4 Smith
YNNNNN
MISSOURI
8 Hetner
??????
9 Ford
YNNNNN
5 Lightfoot
NYYNYY
1 Cioy
NNNNNN
9 McMillan
NYYNYY
6 Grandy
NYNNYY
2 Hom
YNNYNN
10 Ballenger
NYYNYY
TEXAS
3 Gephard
YNNYNN
11 Taylor
NYYNYY
1 Chapman
? N N Y Y Y
KANSAS
4 Sketton
YNNNYY
2 Wilson
? N Y Y Y Y
1 Roberts
NYYNYY
5 Wheat
YNNNNN
NORTH DAKOTA
3 Johnson
YYYNYY
2 Siattery
YNYNNN
6 Coleman
YYYNYY
AL Dorgon
YNNNYY
4 Holl
YYYYYY
3 Meyers
NYYNYY
7 Hancock
NYYNYY
OHIO
5 Bryant
YNNNYY
4 Glickmar
YNNNYY
8 Emerson
YYYNYY
1 Luken
Y N Y N Y Y
6 Barton
NYYNYY
5 Nichols
? Y Y N Y
9 Volkmer
YNNYYY
2 Gradison
YYYNYY
7 Archer
YYYNYY
KENTUCKY
3 Hall
?NNNY
8 Fields
NYYNYY
MONTANA
1 Hubbard
YYYNYY
1 Williams
?NNNNN
4 Oxley
YYYNYY
9 Brooks
YNNNNN
2 Natcher
YNNYYY
5 Gillmor
YYYNYY
10 Pickle
YNNNYY
2 Marlenee
NYYNYY
3 Mazzoli
YNNYYY
6 McEwen
YYYNYY
11 Edwards
YNYNYY
4 Bunning
NYYNYY
NEBRASKA
7 Hobson
NYYNYY
12 Geren
YYYNYY
5 Rogers
NYYNYY
8 Boehner
13 Sarpalius
YNYYYY
1 Bereuter
NYYNYY
NYYNYY
6 Hopkins
NYYNYY
2 Hoagland
YNNYYY
9 Kaptur
YNNYNN
14 Laughlin
? N Y N Y
7 Perkins
?NNNNN
3 Barrett
NYYNYY
10 Miller
NYYNYY
15 de la Garzo
? N N Y Y Y
11 Eckort
YNNYYY
16 Coleman
YNNYNN
LOUISIANA
NEVADA
12 Kasich
YYYNYY
17 Stenholm
Y N Y N Y Y
1 Livingsten
?YYNYY
1 Bilbray
YYNYYY
13 Pease
YNNNNN
18 Washington
?NNNNN
2 Jefferson
YNNYNN
2 Vucanovich
NYYYYY
14 Sawyer
YNNNNN
19 Combest
YYYNYY
3 Touzin
YYYNYY
15 Wylie
YYYNYY
20 Gonzalez
YNNYNN
4 McCrery
NYYNYY
NEW HAMPSHIRE
16 Regula
NYYNYY
21 Smith
NYYNYY
5 Huckaby
YNNNYY
1 Zeliff
NYYNYY
17 Traficant
YNNNNN
22 DeLay
NYYNYY
6 Baker
NYYNYY
2 Swett
YYYYYY
18 Applegate
?NNYNN
23 Bustamante
YNNYNN
7 Hayes
YYYYYY
19 Feighan
YNNYYY
24 Frost
YNNYYY
8 Holloway
NYYNYY
NEW JERSEY
20 Oakor
YNNYNN
25 Andrews
YNNNYY
1 Andrews
YYYYYY
21 Stokes
YNNNNN
26 Armey
NYYNYY
MAINE
2 Hughes
YNNNNN
27 Ortiz
YNNNYY
1 Andrews
YNNNNN
3 Pallone
YYYYYY
OKLAHOMA
2 Snowe
YYYNYY
4 Smith
YYYNYY
1 Inhofe
NYYNYY
UTAH
5 Roukemo
NNNNYY
2 Synar
YNNNNN
1 Hansen
NYYNYY
MARYLAND
6 Dwyer
YNNNNN
3 Brewster
YNNNYY
2 Owens
YNNNYY
1 Gilchrest
NYYNYY
7 Rinaldo
YYYNYY
4 McCurdy
YNNNYY
3 Orton
YNNNYY
2 Bentley
NYYNYY
8 Roe
YNNYNN
5 Edwards
? Y Y N Y
3 Cardir
YNNNNN
9 Torricell
YNNYYY
6 English
Y N Y Y Y Y
VERMONT
4 McMiller
Y N Y Y Y Y
10 Payne
YNNNNN
AL Sanders
?NNNNN
5 Hoyer
YNNYYY
11 Galic
NYYNYY
OREGON
6 Byron
YNNNYY
NYYNYY
1 AuCoin
YNNNNN
12 Zimmer
VIRGINIA
7 Mfume
YNNNNN
2 Smith
NYYNYY
13 Saxton
NYYNYY
1 Bateman
YYYNYY
8 Morello
NNNNYY
3 Wyden
YNNNNN
14 Guarini
YNNNNN
2 Pickett
YNNNNN
4 DeFazio
?NNYY
3 Bliley
NYYNYY
MASSACHUSETTS
NEW MEXICO
5 Kopetski
YNNYNN
1 Olver
YNNYNN
4 Sisisky
YNYNYY
1 Schiff
YYYNYY
YNNYNN
5 Payne
Y N Y N Y Y
2 Neal
PENNSYLVANIA
2 Skeen
YYYNYY
6 Olin
YNNNNN
3 Early
YNNYYY
1 Foglietto
YNNNNN
3 Richardson
YNNYYY
7 Allen
NYYNYY
4 Frank
YNNNNN
2 Blackwell
YNNNNN
8 Moran
YNNYYY
5 Atkins
YNNNNN
NEW YORK
3 Borski
YNNNNN
9 Boucher
YNNYNN
6 Mavroules
YNNNNN
1 Hochbrueckner
YNNYNN
4 Kolter
YNNYYY
2 Downey
YNNNNN
5 Schulze
10 Wolf
NYYNYY
7 Markey
YNNYNN
YYYNYY
8 Kennedy
YNNYYY
YNNNNN
6 Yatron
YNNYYY
3 Mrazek
WASHINGTON
9 Mookley
YNNNNN
YYYNYY
7 Weldon
NYYNYY
4 Lent
1 Miller
NYYNYY
10 Studds
YNNNNN
5 McGrath
YYYNYY
8 Kostmayer
YNNYNN
2 Switt
YNNNNN
11 Donnelly
YNNNYY
9 Shuster
NY?NYY
6 Flake
YNNNNN
3 Unsoeld
YNNNNN
MICHIGAN
7 Ackerman
YNNYNN
10 McDade
NNYNYY
4 Morrison
?NNNYY
8 Scheuer
YNNNNN
11 Kanjorski
YNNNNN
1 Conyers
YNNNNN
9 Manton
12 Murtho
YNNYNN
5 Foley
2 Pursell
YNYNYY
YNNYNN
6 Dicks
YNNNN
10 Schumer
13 Coughlin
?YYNYY
3 Wolpe
YNNNNN
YNNNNN
7 McDermott
YNNNNN
4 Upton
NYYNYY
11 Towns
YNNNNN
14 Coyne
YNNNNN
8 Chandler
NYYNYY
5 Henry
NNNNYY
YNNNNN
15 Ritter
12 Owens
YYYNYY
16 Walker
NYYNYY
6 Carr
?NNYYY
13 Solarz
YNNNNN
WEST VIRGINIA
7 Kildee
YNNNNN
14 Molinari
17 Gekas
NYYNYY
NYYNYY
1 Mollohan
YNNNNN
18 Santorum
8 Traxler
??????
15 Green
YNNNNN
YYYNYY
2 Staggers
YNNNNN
16 Rangel
?NNNN
19 Goodling
NYYNYY
9 Vander Jog!
YYYNYY
3 Wise
YNNYYY
17 Weiss
YNNNNN
20 Gaydos
?NNYNN
10 Camp
NYYNYY
4 Rahall
YNNYNN
11 Davis
18 Serrano
YNNNNN
21 Ridge
NYYNYY
??YNYY
22 Murphy
NNNYNN
12 Bonior
???YNN
19 Engel
YNNYNN
WISCONSIN
20 Lowey
YNNNNN
23 Clinger
NYYNYY
13 Collins
YNNNNN
1 Aspin
YNNYNN
14 Hertel
YNNYNN
21 Fish
YYYNYY
RHODE ISLAND
2 Klug
NYYNYY
15 Ford
YNNNNN
22 Gilman
YNNNNN
1 Machtley
NYYNYY
3 Gunderson
YNYNYY
16 Dingell
YNNYNN
23 McNulty
YNNYNN
2 Reed
YNNYNN
4 Kleczko
YNNYNN
17 Levin
YNNNNN
24 Solomon
NYYNYY
5 Moody
YNNNYY
18 Broomfield
YYYNYY
25 Boehlert
NNNNYY
SOUTH CAROLINA
6 Petri
YYYNYY
26 Martin
NYYNYY
1 Ravenel
YYYNYY
7 Obey
YNNYNN
MINNESOTA
27 Walsh
YNYNYY
2 Spence
YYYNYY
8 Roth
NYYNYY
1 Penny
YNNNYY
28 McHugh
YNNNNN
3 Derrick
YNNNYY
9 Sensenbrenner
NYYNYY
2 Weber
? Y Y N Y
29 Horton
YNNNYY
4 Patterson
YNYNYY
3 Ramstad
NYYNYY
30 Slaughter
YNNNNN
5 Spratt
YNNNYY
WYOMING
4 Vento
YNNNNN
31 Paxon
NYYNYY
6 Tallon
?NNNNN
AL Thomas
YYYNYY
Southern states - Aia., Ark., Fla., Ga., Ky., la., Miss., N.C., Okla., S.C., Tenn., Texas, Va.
Omitted votes are quorum calls, which CQ does not include in its vote charts.
CQ JUNE 13, 1992 - 1745
October 29, 1990
MEMORANDUM FOR CHRISS WINSTON
ALL SPEECHWRITERS
ALL RESEARCHERS
FROM:
ED McNALLY
SUBJECT:
SACRED COW-ABUNGA & THE PORK-BARREL POLKA
Earlier today, you may have heard Mark Lange's classic
phrase for what the Lawrence Welk museum represents --- Congress'
"Pork Barrel Polka," dancing around the issues.
Attached are copies of articles from today's issues of Time
and U.S. News and World Report, detailing some of Congress' last
minute outrages -- some pork-barrel, some sacred COWS.
Two stand out in particular:
U.S. News' notes that Congress has recently voted itself a
pay raise that now puts them in the very tax bracket that
--- under the new budget -- is set to decrease by two
percent.
The $375,000 for a facelift of the House beauty parlor --
matched by $250,000 to study the best placement for T.V.
lights on the Senate floor -- rank up there with Lawrence
Welk. ("These are cosmetic changes, all smoke and mirrors.
But it's going to take more than a beauty parlor facelift
and a change in lighting to hide the ugly truth from the
American people
)
CALENDAR
U.S. NEWS
CHICK
The $15.5 billion publishing industry
is counting on history this fall as it
unleashes its new books. In past
economic slumps, Americans kept
buying books, and so far sales this
year are up 15 percent over the same
period last year. Simon & Schuster
was so hot for Ronald Reagan's
memoirs that it reportedly paid $5
million for his speeches plus An
American Life: The Autobiography,
set for release November 5. Steven
Spielberg created a $2 million man
by shelling out that sweet sum for
movie rights to Michael Crichton's
high-tech thriller Jurassic Park-
available November 20. Bad news in
On hold. "Keating Five" Senators Glenn and McCain
the Persian Gulf is good for
publishers. Sales of apocalyptic
FOOLS ON THE HILL
books at B. Dalton and Barnes &
Noble are up nearly 50 percent since
In their haste to get out of Washington after one of their most embarrassing
August. Religious and prophecy
political seasons, the men and women of Capitol Hill did some good, like passing the
books have also been boosted.
first clean-air bill for 13 years (see page 28), and a whole lot that was not so good.
Members were quick to protect their own, too. The Senate ethics committee
conveniently delayed until after elections the most politically charged case it has ever
had. Because the so-called Keating Five, five senators under investigation for their
dealings with indicted S&L executive Charles Keating, will be kept on hold until after
November 6, members of the ethics panel up for re-election can more easily duck
questions about how far lawmakers should go to aid constituents like Keating. The
committee also refused to release a report by its special counsel that reportedly clears
DATABASE
the lone Republican, Arizona's John McCain, as well as Ohio's John Glenn,
Total books sold (billions)
More egregious IS some of the last-minute pork law-
1989: 2.1 1988: 2.0 1982: 1.9
makers were tucking into several bills. Examples?
America's Two-Party System:
Percentage that were fiction
Nineteen million dollars to study the methane emis-
last year 10%
sions from the flatulence of cows and other barnyard
Average buys last year, by sex
animals, $375,000 for a facelift for the House beauty
US
Men: 10.6 each Women: 12.0
parlor and an additional $250,000 to study the best
THE
Average hardback price
placement of television lighting on the Senate floor.
Fiction: $18.44 Nonfiction: $32.46
The biggest beneficiaries of the congressional largess
Breakdown of fiction sold
seem to be the members themselves. Having voted themselves
Mystery books: 17% Romance: 15%
raises, legislators will find they are in the very tax bracket now set to
Science fiction: 9%
decrease by 2 percent. As a result of the cut, lawmakers could pick up a tidy $1,000 in
Occult: 4% Westerns: 3%
new tax breaks. With deep deficits and a looming recession, taxpayers will be paying
All other: 52%
for the pork and pay raises for some time to come. Probably until the ladies and
Best-selling authors in 1989
gentlemen of the Congress come up with some more surprises.
(hardback)
Danielle Steel 2.3 million
DOWNHILL RUN: U.S.-ISRAELI RELATIONS
Tom Clancy 1.6 million
Stephen King 1.5 million
The killings at Jerusalem's Temple Mount are doing more damage to already
Time teenagers spend daily
strained U.S.-Israeli relations than was expected. A controversial Israeli report on
Reading: 1 hour, 48 minutes
the incident was published on the heels of a second U.S. vote in the United Nations
Watching TV: 3 hours, 11 minutes
Security Council supporting criticism of Israel for failing to cooperate with an
Americans who say reading is
international investigation of the shootings. Relations between Israeli Prime Minis-
favorite evening pastime
ter Yitzhak Shamir and President Bush can hardly get more frosty. And as tensions
1988: 10% 1938: 21%
between Arabs and Jews in Jerusalem worsen, with Israeli soldiers sealing off the
Advance reportedly paid to Nancy
city to all Arabs from the West Bank and Gaza, attacks by both sides show no sign of
Reagan for My Turn, $2 million
letting up. With no peace process under way, and no dialogue between the two sides,
the violence could grow even worse, widening the gulf between Washington and
BY Jo ANN TOOLEY
Jerusalem still further.
U.S.NEWS & WORLD REPORT, NOVEMBER 5, 1990
14
ILLUSTRATION: STEVE McCRACKEN FOR USN≀ CARTOON: BROOKMINS-RICHMOND TIMES-DISPATCH
A Little Help for Some Friends
When big contributors need a tax break, Congress can oblige
W
hen Congress took up its deficit-reduction package last
campaign contributors. They will cost the Treasury untold mil-
week, few of the legislators knew precisely what they were
lions in lost revenue. In most cases, the provisions are so artfully
voting for. Buried in the 1,000 or more pages were dozens of mys-
worded that not even tax experts or congressional aides can de-
terious provisions inserted by key lawmakers during closed-door
termine for certain which companies or industries will benefit
committee sessions. Known euphemistically as "rifle shots," they
from them. Pending eventual publication of all the fine print,
are lucrative tax breaks for legislators' home-state industries and
word leaked out on a handful of special favors for those who gave.
THE DEVIL IS IN THE DETAILS
BARBARAT GUNDLE
ASHE
ROY ROPER
DIANA WALKER
A VINTAGE DEAL
Republican Bob Packwood responded to pleas from the Oregon
Winegrowers' Association to fight an 18c-per-bottle tax increase on wine.
COURTESY CESSNA AIRCRAFT
Packwood delivered: vineyards that produce less than 150,000 gal. a year
will be exempt from the increase, and those that turn out up to 250,000
gal. will be partly spared. Roughly 1,000 of the 1,400 wineries in the nation,
FLYING WITH BOB
including 80 in Oregon, will get the breaks. Packwood has received $7,000
Senate Republican leader Bob Dole has two builders of small aircraft,
from the industry's political-action committees (PACS).
Cessna and Beech, in his state of Kansas. They employ 12,300 people and
contribute more than $1 billion to the state's economy. Thus when a 10%
tax on the purchase of all small planes was proposed, Dole took off. He
got the surcharge limited to those costing more than $250,000, which
RICK STAR
exempts virtually all of the ones built in his state. Dole has received at
least $4,250 from the two manufacturers. Dole also got special treatment
for an old friend-Dwayne Andreas, president of the Archer-Daniels-
Midland Co. ADM produces 70% of the country's ethanol, a gasoline
substitute distilled from corn. The Senator protected an existing 60c-per-
RICARDO WATSON
gal. tax credit that goes to the firms that turn the ethanol into the gasohol
used in cars. Andreas and ADM's PAC have contributed $10,000 to Dole.
A NICE CATCH
Commercial fishing is important in Democratic Congressman Gerry
DEREK HUDSON-SYOMA
ASHE
Studds' Massachusetts district. Starting in 1988, owners of small fishing
boats who pay crewmen with a share of the catch were required to withhold
income tax and Social Security fees. Studds arranged to restore the crews'
previous immunity from withholding, which means they may not fully pay
their taxes. He has collected $10,475 from fishing PACS.
ASHE
ASHE
TOM PHOTOGRAPHIC RESOURCES
TERRY ASHE
RIGGING THE YACHTS
IGHI
A plan to slap a similar luxury tax on almost all yachts alarmed boat
builders all the way from Maine to Texas. So they turned to many
coastal-state legislators, including such congressional powers as Senate
Democratic leader George Mitchell, top, and Texas' two Senators,
JUST A GOOD BUD-DY
Democrat Lloyd Bentsen, left, and Republican Phil Gramm, for
House Democratic leader Dick Gephardt is a defender of Joe Six-Pack,
assistance. The pressure on the lawmakers was highly effective;
who would have been stung by a Republican proposal to raise the excise
the additional tax will apply only to yachts with price tags
tax on beer to 32c a pack. But Gephardt has another reason to be one of
higher than $100,000.
the boys: Anheuser-Busch Co. headquarters are in his St. Louis district.
Gephardt bellied up to the task of holding the beer tax to 16c per six-
pack. He has received $12,850 from beer industry PACS.
TIME, NOVEMBER 5, 1990
31
Sec
Washington Post
A
B
B9
C
Detail
SUNDAY,
G
Prices May
Metropolitan и
Use
WASHINGTON POST 10-21-90
R
Austerity
issiles
A
Also Brings
Pose Threat
A Windfall
In
Jeffrey Smith
2L
Post Staff Writer
Appropriators Guard
forces are begin-
Are
how to operate sophis-
'Discretionary' Funds
Hawk antiaircraft mis-
In
that were captured
brought back to the
By Dan Morgan
U.S. officials and
Washington Post Staff Writer
malysts disclosed last
At times during last week's
House-Senate conference on the
FO
pment has aroused con-
1991 transportation appropria-
20-"
the Iraqis captured
tions bill it seemed as if someone
the highly accurate mis-
acqui
had forgotten to tell members
the hands of properly
day 1
there was a budget crisis.
technicians, could
garde
During a session chaired by
threat to U.S. and
art.
Sen. Frank R. Lautenberg (D-
The
if they attacked
N.J.), the bipartisan conferees ap-
men,
targets.
proved a $2.5 billion, 18.8 percent
fore
and allied military air-
increase in federal aid to states for
region have no ready
they
highway and bridge construction;
that t
rotection against the
channeled $125 million to the
the officials said.
come
electrification of the Northeast
U.S. concerns stem-
**In
rail corridor between New Haven
initial Aug. 2 capture
verna
and Boston; and directed the De-
were intensified last
erly I
partment of Transportation to
electronic intelligence
admir
spend more than $30 million to
the region detected
her II
study magnetic levitation trains
aracteristic signs of
jitter
and "intelligent" cars.
operation at a special
did it
They threw in $1 million to de-
air-defense equipment
talk."
velop a "national transportation
y
emanations indicated
policy" on bicycling and walking,
see (
noting the potential in energy sav-
"playing around" with
Van
ings and reduced traffic conges-
systems, as one official
couns
tion. "You have to leave room for
till remains weeks to
go to
the new, with some uncertainty of
from actually deploy-
Th
where it leads you," said Rep,
for i
Martin Olav Sabo (D-Minn.), a
officials two weeks ago
freed
sponsor of the bike proposal.
lismissed any possibility
convi
Such scenes are part of a little-
could operate the
laws,
noticed story in this month's budget
a senior U.S. an-
CRAIG HERNDON-THE WASHINGTON POST
store
debacle. While defense spending
not to be identified
and automatic benefits such as
BRINGING IN NEW TAX PLAN
albun
that "in a while, the
Be."
Medicare and farm programs were
how" to use them
Budget director Richard G. Darman, left, and White House Chief of Staff
mont
slashed by the deficit-reduction
U.S. aircraft are not
John H. Sununu arrive at Capitol to confer on a budget proposal backed by
were
agreement between the White
the systems.
the White House that would raise the income tax rate on the wealthiest
for e
familiar with mil-
See SPEND, A6, Col. 1
Americans without demanding a capital gains rate cut. Story on Page A14,
plic
agreed and said
ple
A6 SUNDAY, OCTOBER 21, 1990
THE WASHINGTON POST
For Congressional Appropriators, a Small Windfall Amid Austerity
SPEND, From A1
some of the old meat-and-potatoes pro-
support for science, health, space, environ-
tomatic benefit programs. But none of the
said. The White House wants to channel
grams: a $554 million, 27 percent increase
mental protection, waste cleanup, health, ed-
cuts will come from the pool of "discretion-
more resources to the National Aeronautics
House and Congress, the Appropriations com-
in the Headstart preschool program; $1
ucation, law enforcement and infrastructure.
ary" domestic funds controlled by Byrd and
and Space Administration, whose facilities
mittees came away with a small windfall.
billion more than last year for education
In last summer's deficit-reduction nego-
his House counterpart, Appropriations Com-
are concentrated in Sun Belt states that
Predictably, a healthy chunk of it is going
programs for the disadvantaged; a commit-
tiations, Byrd reportedly fought relentlessly
mittee Chairman Jamie L. Whitten (D-Miss.).
could be important to President Bush's
to home-state projects of influential com-
ment to build 10,000 public housing units;
to prevent a further raid on this domestic
This pool of money will grow at the in-
1992 reelection. Meanwhile, most House
mittee members. But the fattened appro-
and funding for two new Department of
pot. In private and public, he gave the same
flation rate until fiscal 1994, when the ap-
and Senate Republicans agree with Dem-
priations coffers have also allowed the com-
Veterans Affairs nursing homes.
propriators will be free to increase it fur-
ocrats that government needs to invest
mittees to address new issues and start re-
The relatively flush position of the Appro-
ther by "raiding" defense accounts under
more in the nation's infrastructure, educa-:
building old, proven programs that fell on
priations committees in the final days of the
Fattened coffers permit
their control.
tion and industrial competitiveness.
lean times in the Reagan years.
session results from the tenacity and power
The $182.7 billion available for 1991 al-
The resulting appropriations bills contain:
There is money to study global warming
of a few influential members during last sum-
panels to address new
ready reflects a small "peace dividend," be-
more money for space. But there is also more
and the health impact of high power trans-
mer's budget negotiations, and the relentless
cause the summiteers allowed the appro-
mission lines on humans. The budget of the
spending pressures on both parties.
priators to reallocate the defense cuts to
for social programs that slipped far down the
Environmental Protection Agency is to
Senate Appropriations Committee Chair-
issues and start
the domestic side. The domestic pot for
priority ladder during the Reagan era.
grow by 19 percent, and the space program
man Robert C. Byrd (D-W.Va.) recently
1991 is about 10 percent bigger than the
Few have come away fully satisfied. Lob-:
was restructured to provide more money
described nonmilitary domestic spending as
rebuilding old, proven
$166 billion in 1990, though inflation eats
byists say there is still far too little money.,
for probes to monitor the Earth's ecology.
the "little runt pig" of the budget that has
away some of the increase, as does a special
for education, health, environmental
The 13 major national laboratories that
been "on the cutting table for 10 years."
programs.
$7.5 billion expenditure to renew expiring
cleanup, consumer protection and alterna-
are the core of American scientific prowess
The $182.7 billion available in 1991 rep-
leases on subsidized federal housing.
tive energy. Money for the atom-smashing
got increases of as much as 18 percent. De-
resents only about 13 percent of the bud-
The package before Congress also pro-
Superconducting Super Collider in Texas
spite talk of austerity, the appropriators
get, compared with nearly 25 percent in the
speech: "It's time we started spending some
tects the Appropriations committees from
was cut at the last minute by $75 million
found money to continue funding the exotic
late 1970s. Its share of gross national prod-
money on this country."
having to absorb the costs of Operation
and the allocation for the space station was
and the futuristic, from the Search for Ex-
uct has slipped, too, from around 6 percent
That view is reflected in the deal that
Desert Shield in the Persian Gulf. It will be
reduced sharply. The space station cuts
traterrestrial Intelligence to the CRAF-Cas-
to close to 4 percent.
emerged from the summit and that is being
paid for in a special appropriation next year.
drew a protest from Sen. Jake Garn (R-
sini probes that will meet up with a comet
This is the "discretionary" pool of money
revised on Capitol Hill. The deficit will be
Neither the White House nor congres-
Utah), who has flown on a shuttle mission.
and visit Saturn later in the decade.
that Congress has to finance the nondefense
reduced by $500 billion over the next five
sional Republicans had much heart for fur-
But the $243 million for the super collider
There will be much more money for
operations of government and most federal
years, through tax increases and cuts in au-
ther cuts in domestic accounts, sources
See SPEND, A7, Col. 1
F
1
9
9
0
First band beauty
SOIN PROGRESSIF DES MAINS BY
8
lancome, paris
LANCÔME
NIOSÔME
MOUSUNT
LANCOME
h
16.50 WITH PURCHASE
Services of Mead Data Central
PAGE
2
1ST STORY of Level 1 printed in FULL format.
Copyright (c) 1990 News World Communications Inc.;
The Washington Times
October 22, 1990, Monday, Final Edition
SECTION: Part A; Pg. A1
LENGTH: 528 words
HEADLINE: Top congressmen fill 'em up free
BYLINE: Paul M. Rodriguez; THE WASHINGTON TIMES
BODY:
Congressional leaders working to sock American motorists with a hefty gas
tax increase aren't worrying about the impact on their own wallets:
They're filling up their limos - for free - at a hideaway gas pump on a side
street on Capitol Hill.
The single non-partisan pump is reserved exclusively for the top brass in
Congress, including House Speaker Thomas Foley, Majority Leader Richard Gephardt
and Senate Majority Leader George Mitchell, all Democrats; and Minority Leader
Robert Dole, Minority Leader Robert Michel and Minority Whip Newt Gingrich, all
Republicans.
Those entitled to the free gasoline, along with the free and
subsidized meals, gymnasiums, cut-rate hair cuts and shoe repairs that everyone
in Congress gets, also ride in top-of-the-line limos, often furnished with
drivers.
Elsewhere in Washington and the suburbs, motorists paid about $1.41 a gallon
on average last week, according to the American Automobile Association. Prices
ran as high as $1.65 at local self-serve pumps.
The congressional gas station is nothing fancy - one pump housed in a small
shack on a vacant lot on E Street SE between First and South Capitol Streets.
It's open from 7 a.m to 3 p.m. seven days a week.
Though it's supposed to be for official use only, congressional sources say
there have been complaints of unauthorized use of the free gas by members and
aides who drive up in personal automobiles and fill up.
Bills for gas taken at the pump, at about $1 a gallon, are sent to and paid
by the officials' offices. On top of the unlocked, unmanned gas pump is a
clipboard on which users are supposed to sign in. Nearby is a cardboard box
with forms to fill out showing the amount of gas taken and the office the bill
should be sent to.
Among the offices to which gas was charged yesterday were those of Messrs.
Foley, Gephardt, Michel and Gingrich. There also were charges signed for the
Capitol post office, the Capitol Police and the Architect of the Capitol, who
runs the pump and buys the gas on long-term contracts to hold down the cost.
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1-43
IT'S YOUR MONEY
V
ing
Mas
Digest
pen
Politicians grant themselves
Okl
and civil servants fat retirement benefits-and
$100
us the trillion-dollar tab
R
brig
$75,0
Ariz
all-t
How Bureaucrats
Maj
Mon
$136
Pad Their Pensions
T
foun
35° I
Condensed from WASHINGTON MONTHLY
gettil
MATTHEW COOPER
more
one-l
nuall
U
gove
S
INCE 1975, Hastings Keith has
cial Security and another $8196 in
retire
been trying to stir up public
survivor benefits (after his wife-
for it
concern about exorbitant gov-
also a retired civil servant-died).
1990.
ernment pensions; his own benefits
His annual take: $90,400. In 17
Aid
dramatically exemplify their ex-
years, Keith has received more than
Child
cesses. The 74-year-old ex-Con-
$800,000 from the federal govern-
consu
gressman began his career as a fed
ment without working a day.
and
in the military. In 1958 he was
But Keith's take is moderate
wast
elected to Congress from Massa-
compared with that of other ex-
housi
chusetts, and in 1972 he retired. He
Congressmen. Jim Wright, after
Ev
was only 57.
his questionable book and oil-well
to wh
Because of cost-of-living in-
deals were exposed, resigned as
will
creases-"cost of luxury increases,"
Speaker of the House in shame-
a fin:
Keith dubs them-his civil-service
and in the money. The Texan's
go of
retirement is up to $55,260 a year.
Congressional pension is calculated
If
But as they say on the TV game
at 80 percent of his final three years'
our 0
shows: "Wait! That's not all!"
salary. The pension now is $88,212
ularly
Each year he collects $14,520 in
a year, and his total lifetime benefits
grow
military benefits, $12,432 from So-
will likely approach $2 million.
once
126
WASHINGTON MONTHLY (JULY/AUGUST '89), © 1989 BY WASHINGTON MONTHLY CO., 1611 CONNECTICUT AVE.,
N.W., WASHINGTON, D.C. 20009
Wright's predecessors aren't far-
be the same with public retirement
ing too badly either. Tip O'Neill of
plans, but it isn't.
Massachusetts receives an annual
Any difference between what we
pension of $65,640; Carl Albert of
save and what we are going to need
Oklahoma takes down around
is called an "unfunded liability."
$100,000.
The unfunded liabilities of federal
Retired Senator J. William Ful-
retirement programs-taking into
bright of Arkansas receives about
account employees already retired
$75,000, while Barry Goldwater of
and those likely to retire-are stun-
Arizona gets $66,900. Perhaps the
ning. They're much higher than the
all-time champion is former Senate
estimated $90 billion to $130 billion
Majority Leader Mike Mansfield of
it would cost the government today
Montana. He receives more than
to bail out the troubled savings-
$136,000 annually.
and-loan industry. They total more
The National Taxpayers Union
than $486 billion just for the Civil
found that at least 160 of the over
Service Retirement System, the
35° retired Congressmen currently
pension plan that covers 65 per-
getting benefits can expect to collect
cent of federal workers. Com-
more than $I million each. And over
bined with programs for military,
one-third of these receive more an-
railroad and other federal retirees,
nually than they earned in Congress.
the unfunded liabilities now top
Unfunded Needs. The federal
one trillion dollars.
government spent $54 billion on
And that's just the federal tab.
retirement and disability programs
Most of the 6000 state, county and
for its employees in the fiscal year
local-government pension plans
1990. That's more than it spent on
also carry unfunded liabilities. A
Aid to Families with Dependent
1988 survey of the 371 largest state
Children, and Food Stamps, and
and municipal pension funds.
consumer safety, and AIDS research
showed their total unfunded liabil-
and treatment, and hazardous-
ities to be $127 billion.
waste cleanup, and low-income
To be sure, these huge unfunded
housing combined.
liabilities can be spread out over
Even more alarming is the extent
decades. But we're still footing the
to which public-employee pensions
bill. Governments must either be-
will soak up future budgets. It's
gin paying more toward their pen-
a financial time bomb waiting to
sion liabilities now or continue to
go off.
carry them forward unfunded. In
If you or I were providing for
1984 the Grace Commission on cost
our own retirement, we would reg-
control found that to amortize the
ularly set aside sums that would
liability of the Civil Service Retire-
grow enough to cover our needs
ment System over 40 years would
once we stopped working. It should
require spending almost as much
127
READER'S DIGEST
annually on retirees as on current age of his five peak salary years.
employees.
This is nothing compared with the
In contrast, only 20 percent of
pensions for elected officials, who
private pensions have unfunded
can retire after 30 years with up to
liabilities. By law, private systems
99.9 percent of salary. Under pres-
must follow minimum funding
sure from public-employee unions,
rules set up by the federal govern-
Florida has continued to up the
ment-rules that public pensions
ante-recently, police and fire pen-
are exempt from.
sions were boosted 5° percent.
Incredible Deals. Government
Come 1993, law-enforcement offi-
pensions were designed to compen-
cers and firefighters will enjoy the
sate for what were originally low
same pension levels as elected offi-
salaries, as well as for the dangers
cials. (They already have the option
faced by soldiers. But pension costs
of retiring with a pension after ten
kept going out of sight even when
years.)
salaries got better and no real dan-
A public employee can latch onto
gers were faced. How did the simple
such incredibly good deals at an
idea of a fair government pension
absurdly young age. Normally, full
get so fouled up?
civil-service pensions kick in after
Here's how. First, public pen-
30 working years-usually around
sions are generous in the extreme.
age 56. In 1987 there were 343,288
The average private pensioner can
civil servants in their 50s receiving
expect to earn $200,000 during his
full benefits.
retirement; the average federal civil
Should we really be supporting
servant about $700,000.
the equivalent of a city the size of
Another way to gauge a pension
Miami full of retirees in their 50s?
is to see how much of your highest
In most private plans, walk away in
salary you get back annually in
your 50s and you suffer a signifi-
retirement. A study by the Bureau
cant financial penalty.
of Labor Statistics of medium and
With military pensions, the
large private companies that em-
problem is even worse. They take
ployed 100 employees or more
effect after just 20 years. Since
found that, after 3° years' service,
many service members enlist im-
retirees average 27 percent of their
mediately after high school, they
top salaries. By contrast, civil-serv-
can start getting full benefits at age
ice retirees in the same category
37 or 38.
average 53 percent-nearly twice as
One-third of all career military
much.
personnel retire in their 30s. The
State governments can be profli-
average age of a retiring service
gate too. In Florida the average
member is 44-younger than Roll-
civil servant can retire after 30 years
ing Stones guitarist Keith Richards.
and receive 48 percent of the aver-
Because of early retirement, a vet-
128
$29.7
BILLION (EST.)
eran can receive ten times more
pension income over his lifetime
than a private pensioner.
Since 1921,
These excessively early retire-
when payments to
ments create longer and hence larg-
civil-service retirees
er payouts to retirees. They also
were a mere
$4 million, outlays
make it possible for people to pur-
have been steadily
sue a whole new career that will
escalating. If the huge
end with yet another government
increases during the
pension.
last three decades
Where COLAs Went Wrong.
continue, the inflation-
adjusted cost is
Public-pension plans have gener-
projected at $92.3
ous payouts, yet often require only
billion by the year
negligible employee contributions.
2010.
The amount of total benefits paid
in by civil-service retirees is about
seven percent of salary; for the
military, it is zero percent. Of the
$54 billion the federal government
will spend on retirement this year,
only $8.3 billion comes from the
$13.8
employees themselves.
BILLION
Another cause of the spiraling
costs: public pensions carry auto-
matic cost-of-living adjustments.
These COLAs have gone wrong for
two main reasons:
One, they are not applied to a
base pension figure but are com-
pounded year after year-piling
COLAs on top of COLAs. Accord-
ing to a study by the Congressional
Research Service, civil-service re-
tirees who began receiving pen-
$2.66
BILLION
$.792
BILLION
1960
1970
1980
1990
READER'S DIGEST
sions in 1970 have seen their pen-
had the option of making higher
sions more than triple in the past 20
contributions toward their own
years because of annual COLAs.
pensions, and they are rewarded
Two, COLAs are applied to ev-
with matching funds if they decide
ery government pensioner's take-
to do so.
no matter how lavish-instead of
This is a small step in the right
being focused on people who need
direction. But we can and must do
Paul C
anti-inflation protection. More-
more.
Whe
over, why should all federal retirees
Our public servants must admit
drug,
be inflation-proofed when many
that fat sums of the Mike Mansfield
power
other Americans in greater need
variety are a perversion of the basic
ever is
are not? Virtually no private pen-
idea of a pension. No more free
rialists,
sion systems provide COLAs.
rides-pensioners should be re-
forth.
Estimates show that COLAs now
quired to make meaningful contri-
public
account for 56 percent of all federal
butions to their own futures. And
known
death or
pension payouts. Because of these
no more across-the-board or com-
Departn
adjustments, up to half a million
pounded COLAs.
two-thir
federal retirees make more now
Most important, no more hand-
from sta
than when they were working.
some retirement benefits after ten
serious
Politics makes the problem
or 20 years.
The
worse. Retired federal employees
The tab for the billions of dollars
radiation
form a huge, well-organized bloc of
of government pensions may well
criminals
two million voters. Recently, the
outstrip the cost of the S&L bailout.
and we
National Association of Retired
Yet at this point, like S&L officials
Federal Employees helped shoot
before them, politicians seem to
be hoping the pension problem
James A.
down a Bush Administration pro-
If you
posal to pare COLA provisions.
won't draw notice until it's so
customs,
Boasting over 510,000 members,
gargantuan that drastic help will
the peop
the federal retirees' group was the
have to be provided from outside
home. Yo
fifth largest contributor (among
the system. That means from tax-
into wate
4268 Political Action Committees)
payers, of course.
surface, bu
to federal campaigns during the last
Presidential election cycle.
If you want to do something about
Andy Roo
No More Free Rides. Some pen-
the public-pension problem, contact
For mos
sion reforms have been started.
your elected representatives, both na-
happens. I.
and worki.
Since 1986, new civil servants have
tional and local.
and sitting
Reprints of this article are available. See page 198.
ily or frie
you're not
someone b
No WONDER KIDS TODAY can't spell. They're surrounded by signs like:
happiness o
"Suzi's All-Nite E-Z Drive-Thru Donut Shoppe."
new job, h
-Dave Barry in Tropic Magazine
flawlessly h
130
Washington Post
Style Section
Personalities Column
10/23/90
Congress can't find its way clear to agree
on a budget, but it has been able to come up
with half a million dollars to make a tourist
attraction out of former bandleader Law-
rence Welk's Strasburg, N.D., birthplace.
The money, included in the fiscal 1991 agri-
culture appropriation bill now on its way to
the White House, is part of a program
intended to help rural communities develop
new businesses. "That's right, 'Ah one, ah
two, ah three, ah four, ah half a million
dollars," said Rep. Silvio Conte (R-Mass.),
mimicking the way Welk used to direct his
orchestra. Conte went on record as opposing
the funding.
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Republican
90 OCT 24 All : 51
National
Committee
FACSIMILE TRANSMISSION
DATE:
10/24/90
TO: MARK DAVIS / CAROL BLYMEiER
FAX NUMBER: (202) 456-6218
FROM:
JACK PITNEY
NUMBER OF PAGES (INCLUDING COVER SHEET): 13
IF ALL PAGES ARE NOT RECEIVED, PLEASE CALL (202) 863-8550.
Dwight D. Elsenhower Republican Center: 310 First Street Southeast, Washington, D.C. 20003. (202) 863-8600. Telex: 701144
12:11A 2 AST00.00 S
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House finds urgent need:
6A
$375,000 Bittosin for beauty shop
By Dan Fesperman
10-24-93
Washington Bureau of The Sun
to go home, as they are now, two
AI
In tight budge
weeks before Election Day.
WASHINGTON In this year of
There's also. to name a few more:
CONGRESS, from 1A
higher taxes and national paral-
82 million to renovate the
mony, there are some items Con-
kitchen and members' dining area of
gress wants to buy for itself that
the House restaurant in the Capitol.
the new budget as a "permanent ap-
propriation" passed last year and is
have been deemed too vital to give
825,000 to study where to put a
not subject to challenge. Total cost:
up.
gymnasium for congressional staff
812.25 million.
There's the renovation of the
(members already have their own).
840,000 to replace trash cans.
The funding for the beauty shop.
House of Representatives Beauty
restaurant. gymnasium study, trash
Parlor. for one. which would cost
And burled within the overall
81.7 billion cost of keeping Congress
cans and pay raise were not ap-
8375,000.
proved separately. It was wrapped
There's the pilot program for vid-
running another year - up from
last year's tab of 81.54 billion will
into the House legislative appropria-
eo-conferencing. for another - a
tions bill, which was passed on a roll
8130,000 project that could turn into
be perhaps the steepest increase of
call vote.
another advantage of incumbency.
all: the nearly 830,000-per-member
House pay raise - from 896,600 to
(As of yesterday evening. the Sen-
Some day It may allow lawmakers to
ate had not yet passed its own ver-
appear on video screens in their
about 8125,000 which glides into
sion of the legislative appropriations
home districts when they're too busy
bill. and its action will add further
See CONGRESS, 6A, Col. 1
expenses pertaining to the Senate
only. Differences in the plans will be
worked out in a conference commit-
legislative appropriations. the beauty
past two years. had been subsidized
tee: generally. the two chambers
parior item (which was originally
by $17,000 in government money
leave each other's pet items alone.)
$55,000 higher) had appeared only
those two years. The shop is not a
Part of the reason for the growth
as "8430,000 to remodel certain
private operation. Any profit at the
of the congressional budget, besides
Cannon building space." (The beauty
end of the year goes to the general
the pay raise, is inflation and leftover
parior is on the first floor of the Can-
treasury.
postage bills from last year. But
non House office building.) When
Representative Mary Rose Oakar,
there are also the little extras, like
Representative Fawell's amendment
D-Ohio, opposed the amendment,
the beauty parior renovation, one of
brought the item into the open, the
saying the House barbershop gets
the few items to spark any debate
subcommittee chairman, Represent-
much greater subsidies (about
when the House approved its own
ative Vic Fazio, D-Calif., said on the
8110,000 last year) than does the
appropriations last Sunday.
House floor. "I frankly wish this sub-
beauty parlor. She said Mr. Fawell's
Representative Harris W. Fawell,
ject had not come up."
proposal smacked of sexism.
R-III., set off more than an hour of
Mr. Fawell said yesterday that's
Mr. Fawell, by now exasperated,
debate on the matter when he of-
because "when you question a perk.
said he didn't much like the barber-
fered an amendment to cut the mon-
it's like taking candy from a baby."
shop either. "I think most taxpayers
ey. It was a move that didn't seem to
In speaking to his colleagues, Mr.
would say we could get our hair cut
please House leaders.
Fawell pointed out that operation of
or our hair fixed just like most of the
In the subcommittee report on
the beauty shop, a money loser the
people in America do."
But the amendment failed. and
dying with It was his proposal to ax
Traficant Jr., D-Ohio, rose to oppose
the 825,000 for studying the site of a
the pay raise as part of a rambling
staff gym as well. His request for a
tirade against foreign aid and other
roll call vote died for lack of support.
spending increases, Mr. Fazio quick-
The House did, however, kill a
ly set him straight.
$500,000 study on whether to buy
"I appreciate the gentleman's con-
modular furniture after hearing that
cern about burden sharing or the
a similar study two years ago had
lack of reduction in foreign aid. et
concluded that such furniture, while
cetera," Mr. Fazio said. "I just wanted
nice, would cost too much.
to clarify, though: There is no pay
The lawmakers also imposed lim-
raise for members of Congress in
this bill."
its on how much free mail they can
send to their constituents. a practice
He then pointed out that the raise
that has drawn criticiam as a dis-
was locked in, as part of the Ethics
guised form of campaigning.
Bill that was passed last year. Built
And then there was the matter of
into that bill was a clause stating
the pay raise.
that any later repeal of the pay raise
When Representative James A.
would automatically void the ethics
reforms that accompanied it.
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THE SUN
enate appropriations panel uses back door
TUESDAY, OCTOBER 16, 1990
*
to OK pork-barrel projects
By David Hess
creating & brand new category of fed-
Knight-Ridder News Service
The home-state projects. labeled
eral grants.
"special purpose grants," are includ-
The bill, now awaiting final action
WASHINGTON - When It comes
ed in the housing section of the bill
by a Senate-House conference com-
to preserving the sanctity of the con-
and circumvent an accord reached
mittee, appropriates 878.6 billion in
greasional pork barrel. the Senate
last year between lawmakers and
fiscal year 1991 for housing, veter-
rarely lacks for ingenuity — even in
Housing and Urban Development
this era of tight budgets and fierce
ans. space and environmental pro-
Secretary Jack Kemp. HUD was
grams. While the total cost of the
arguments over spending priorities.
been wracked by scandal because of
home-state projects is small com-
Making a wide turn around re-
pared with the overall price of the
projects awarded by Mr. Kemp's
strictions imposed Isst year on pork-
predecessor to clients of "Influence
parrel projects. members of the Sen-
bill. the money represents only a
down payment on many of them. By
peddling" former officials and politi-
ate-Appropriations Committee added
cal consultants.
B50 million worth of home-state
the time they are completed. they
Under the accord, there was at
will cost several times more than the
Items to a massive spending bill by
least a tacit pledge by Congress not
amount provided in this year's bill.
to load up the housing bill with ear-
marked projects that helped mem-
Utah. got 8500,000 in "seed money"
kin, D-lowa: Paul Simon, D-III.: Da.
bers bring home the bacon.
to finance high-tech business in two
"Our understanding in the HUD
vid Pryor, D-Ark.: Jim Exon. D-Neb.,
cities. In all, Mr. Garn got four proj-
and Daniel K. Akaka, D-Hawail -
reform bill. which was intended to
ects, worth 81.75 million, for his
win re-election. Mr. Harkin to the on-
eliminate many of the other abuses
state.
ly member of the committee.
in (our) programs, was not to use the
In addition, a 28th project was
Mr. Akaka got his projects courte-
spending bill as a vehicle for these
added on the Senate floor to move a
narrowly focused projects." a HUD
sy of the committee's third-ranking
charity-feeding kitchen in Kansas
Democrat, Hawaii Sen. Daniel K. In-
spokesman said. "Now look what
City, Kan., as B favor to Sen. Nancy
ouye: a $1.2 million road and sewer
we've got."
L. Kassebaum, R-Kan., who is run-
project and a 8500,000 water sys-
What HUD got was a Senate bill
ning for re-election.
tem.
with 27 pet projects sponsored by
Several other projects also ap-
Angered by the Senate's action
members of the appropriations
peared to be atmed at helping hard-
Mr. Kemp may get the last laugh. As
panel.
pressed incumbents including
the bill stands now, the Bush admin-
For example. Sen. Jake Garn, R-
Sens. Carl Levin. D-Mich.: Tom Har-
istration is threatening to veto It.
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WSJ
Tax Breaks for Special Groups Backed in Secret
will 10-19-90 A16
By JEFFREY H. BIRNBAUM
tober," complained Rep. Thomas Downey
Staff Reporter of THE WALL STREET JOURNAL
They could learn soon, however. Law.
(D., N.Y.).
makers speculated that committee Chair-
WASHINGTON-The House Ways and
It was unclear last night Just how many
Means Committee has spent hours in se-
man Dan Rostenkowski (D., Ill.). may pull
narrow tax breaks were passed and how
some of these tax breaks out his pocket
cret sessions approving dozens of narrow-
much they would cost. The committee, in a
during budget negotiations with the Senate
interest tax breaks that would benefit
sharp departure from past practice. re-
this weekend and quietly include them in
groups ranging from fishermen to nuclear-
fused to provide any details about provis-
the final deficit-reduction bill.
plant owners.
lons adopted, even tentatively, at the ses-
One major tax increase that aides said
The exercise. which was suspended last
sion. Only the lobbyists who won benefits
was tentatively approved would make it
evening. was characterized by the panel
for their clients knew for sure what was
members mostly as an effort to appease
adopted.
harder for individuals to deduct moving
expenses. The plan would change to 100
the many lobbyists who have been begging
"There's nothing to report." a commit-
miles from the current 35 miles the dis-
their favorite lawmakers on the tax-writ-
tee spokesman said. "There has not been a
tance that someone would have to move
ing committee for tax relief.
final action taken."
before being allowed to deduct the ex-
"It's strictly for outside interest." ex-
Conversations with lobbyists, law-
penses. The provision would raise an esti-
plained Rep. Raymond McGrath (R.,
makers and aides suggest there were
mated $1 billion over five years.
N.Y. referring to the lobbyists for whom
dozens of proposals that were at least ten-
The greatest interest focused on the
amendments were pushed. "It was so we
tatively adopted. These were accompanied
revenue losers, however. Aides said 28
could say. We got your bill considered this
by matching tax increases-meaning that
amendments. labeled "relatively noncon-
year.
there are companies. and probably individ-
troversial" in a staff document. were
Others put a more pejorative slant on
ual taxpayers. that face a tax increase and
adopted.
the event. "It was Santa's workshop in Oc-
don't know it.
According to the document. tax relief
was given for the following groups: foreign
Earlier Accounting Seen For Retirement Benefits
and domestic insurance companies, pri-
vate foundations. title-holding companies,
By a WALL STREET Reporter
1990 statements. but would serve as an
tax-exempt bond underwriters. rental tux-
WASHINGTON-Companies may get
early warning to investors.
edo stores. and crop dusters.
an earlier-than-expected headache from
The accounting rule is being pro-
In addition, there were tax-cut provis.
a proposed ruling that would change
posed by the Financial Accounting Stan-
ions related to Guam, aviation-fuel distrib-
their accounting for retirement bene-
dards Board, a federally sanctioned,
utors, partnerships. mutual funds and real
fits.
rule-making body for the accounting
estate transactions.
The accounting profession's rule-
profession. FASB has indicated it would
Some were obscure but intriguing, such
making body plans to require companies
adopt the ruling by year end.
as one that affected "estate tax treatment
to reflect as current costs the future re-
A 1987 SEC guideline requires compa-
of certain short-term debt obligations held
drement benefits of employees, rather
nies to footnote any matter that might
by nonresident allens."
than accounting for them as they are ac-
have a material affect on financial
Aides warned that the description of the
tually paid. Yesterday, the Securities
statements, including adoption of new
benefits might be incorrectly presented in
and Exchange Commission said compa-
accounting standards and the potential
the documents. But there wasn't anybody
nies may have to disclose in 1990 state.
impact In dollar amounts. Accounting
who could be. or was willing to be, more
ments an estimate of such benefit costs
firms have estimated that the largest
precise.
for the years ahead, even though the
1,000 companies in the U.S. could face
What's more. the initial 28 provisions
proposed rule would not take effect until
an increase of as much as $400 billion in
were just the start. Lawmakers and lobby-
1993. Such disclosure wouldn't affect the
current accounting for these benefits.
ists said the committee went on to approve
many more amendments.
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APn 10/19 0001 Pork Politics
Copyright, 1990. The Associated Press. All rights reserved.
By KIM I. MILLS
Associated Press Writer
WASHINGTON (AP) - Sen. Alfonse D'Amato took to the Senate floor this week,
scolding his colleagues for spending beyond their means.
"What about some fiscal discipline? What about a freeze?" the New York
Republican demanded. "What about maybe a cut? What about eliminating some
programs?"
Hours later, D'Amato's press secretary was on the phone giving reporters what
has become the senator's nightly pork report - i.e., a list of millions of
dollars for New York projects won by D'Amato's legendary tenacity on the
Appropriations Committee.
Is Congress trying to cut spending or bring home the bacon?
The answer is, both.
# wrong#
On the floors of the House and Senate, Congress has been debating proposals
to reduce the budget deficit by $500 billion over the next five years.
Meanwhile, conference committees have been meeting to craft appropriations bills
that will spend the government's money.
The timing could hardly look worse.
Just this week, one of the 13 Senate appropriations subcommittees received a
wish list of 28,000 special projects from various senators, said Sen. Dale
Bumpers, D-Ark.
"Those same senators then come in here with unctuous, pontificating
statements about how, if we could just freeze this or that, we could get the
deficit under control," Bumpers said on the Senate floor Wednesday.
And with elections less than a month away, members need to look fiscally
tough at the same time as they're taking credit for this bridge or that
veterans' hospital.
Take Rep. Doug Barnard Jr., a Georgia Democrat locked in a tense re-election
race. On Tuesday, Barnard issued a press release saying he had voted against the
House budget package because it would have hiked taxes by $149 billion over five
years.
"If the rest of the Congress had followed my lead and voted for
across-the-board cuts and freezes to spending bills all year, we wouldn't be
faced with trying to find massive cuts here at the 11th hour," he said.
The next day, Barnard issued another release bragging that Fort Gordon -- in
his district -- will get $10.6 million from federal coffers for a "soldier
support center" that would consolidate all administrative offices.
The Army originally requested the money for fiscal 1992, Barnard noted, but
he petitioned the House Appropriations Committee to fund the center a year
sooner.
"Everybody wants to reduce the deficit but nobody wants to contribute to the
reduction," Senate Minority Leader Bob Dole said earlier this week.
Yet, the Kansas Republican recently took credit for helping win $28 million
for military projects back home, as well as $1 million to relocate a soup
kitchen.
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Of course, only the politically naive would expect a senator or congressman
to give up money for a pet project, right?
Well, maybe not.
Last week, Rep. Carl Pursell, R-Mich., walked into the energy and water
development appropriations conference and asked that $3 million to clean up the
Rouge River near Detroit be stricken from the bill, the money returned to the
Treasury.
"As far as I know, it was an unprecedented move -- removing a project from a
bill," Purcell said afterward on the House floor. "If each member of this body
followed suit, and would give up any of their projects, the numbers would begin
to become significant."
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Congressional Budget Negotiators
Take Care of Some Constituents
Alb
By SUSAN F. RASKY
outside the
Special The New York Times
included Snal
WASHINGTON, Oct. 21 - Buried in
as "rifle shots," and they are hardly a
the House and Senate deficit reduction
new phenomenon on Capitol Hill. In-
plans that would raise the taxes of
SPONSOR
deed, by past standards, there are rela-
nearly all Americans are special
tively few of them in the House and
INCLUDED IN THE BUDGET Pl
breaks to alleviate much of the burden
Senate deficit measures.
for companies and industries fortunate
But this year, when so much of the
enough to be represented by the hand-
Senetor George Mitchell
ful of lawmakers negotiating the final
budget negotiating was handled by a
Reduce burden of new insurance
Democrat of Maine
compromises.
small group of senior lawmakers,
Industry tax for a company in Mains.
rank-and-file legislators and even sen-
Senate Majority Leader
Thanks largely to the efforts of the
for members of the tax committees
Senate Majority Leader, George Mitch-
who have been left out of the horsetrad-
ell of Maine, the UNUM Life Insurance
ing are furious.
Senstor Bob Packwood
Exempt certain wineries from increase
Company of Portland, the largest pri-
There are things all over the fine
Republican of Oregon
In wine exclse tax.
vate employer in the city, may pay a
print that we keep finding out about at
Senior Republican
fraction of the new tax being imposed
the eleventh hour complained Sena.
on Finance Committee
on the rest of the industry, and other in-
tor Daniel Patrick Moynthan, a New
surers must take up the slack Cost to
York Democrat and a member of the
other insurers? About $1 billion over
Finance Committee negotiating team.
the next five years
Some House members think Mr.
Rep. Sam Gibbone
Soften tobacco exclse tax increase on
Moynihan has little to grouse about
Democrat of Florida
Taxes on wine would rise by 18 cents
large cigars.
a bottle under the Senste bill and by 22
since the Finance Committee bill in
cents a bottle under the House version
cludes a provision he sponsored to aid
STILL BEING PROMOTED
but thanks to the efforts of Senator Bob
very wealthy taxpayers who donate
Packwood, the senior Republican on
paintings or manuscripts to public mu-
Senator John D.
the Senate Finance Committee, win-
soums and libraries.
Recketeller
ories that produce less than 200,000 gal-
Mr. Moynthan argues that the tax
lons a year will not be affected. All of
break has a broad public purpose and
Democrat of West
notes that it Was adopted, with strong
Finance
support, after discussion by the full Fl.
conferse
nance Committee We have always
made accommodations to members
Breaks for cigar
behind closed doors, but it used to be
Rep. Augustus Hawking
that at least everybody was in the
Expiring to include
Democrat of Callfornia
room," he said.
program
for
makers, wineries
The insurance tax, and the break for
UNUM is a good example. Both the
and others.
House and Senate bills would raise $8
Rep. Brian Donnelly,
Ease provision in current tax law that
billion in new taxes from the insurance
Democrat of
industry by chainging the way that
Massachusetts
horse New Gediard Righing industry.
Member of House Ways
Provision would DE Date for by
companies now deduct their expenses
the 80 Winieries in Mr. Packwood's
for obtaining new policies.
and Means Committee
ugbiening for moving
home state of Oregon happen to fall
Under a complicated formula, a
expanses - $1.1 billion IN
into that exempt category.
company like UNUM. which special-
new revenue, which makes the a good
According to a senior Republican tax
izes in health and accident insurance
candidate for Inclusion in final paceige.
aide, all but 300 of the nation's 1,400
policies that cannot be cancelled, was
small- and medium-sized wineries also
to have been treated like companies
fall in that category. And since these
that sell certain types of high-priced
Reg. Mary Rose Chec
wineries generally produce more ex-
life insurance. But as a result of Mr.
Democrat of Ohio
Expand - mclude
pensive wines, this provision would ex-
Mitchell's efforts, UNUM was placed
in a in & category with companies that
widely
would
empt most of the high-priced wines in
sell group life insurance where the
the treasury.
the country from the new levy.
Cost to the Treasury? Hundreds of
writeoff formula was more generous.
millions of dollars over five years. the
Make Up the Difference
The New York Times
aide said.
Since the committee still wanted to
Break on Big Cigare
raise a total of $8 billion from the insur-
pie who are too poor and too disabled to
petition among House members de-
And while higher tobacco taxes pro-
ance industry as a whole, other insur-
seek medical care outside their homes
manding that the negotiators make
ance companies were required to make
or communities. This would cost the
posed in both the House and Senate
Government $200 million over five
room for the Medicare change. "I've
bills will increase the price of ciga-
up the difference by bearing & larger
collected a 100 signatures in just the
rettes eight cents a pack by 1993, the
share of the tax burden.
years.
past 15 minutes, and I'm going to hand
cigar industry in Southern Florida
Some lawmakers, like Senator John
Mr. Hawkins. with strong backing
deliver it to each of the conferees."
won't feel as much of the bite if the
D. Rockefeller, A West Virginia Demo-
from Democratic liberals in the House,
House version prevails. Manufacturers
crat who is also part of the Finance
is likely to win some expansion of the
Mammography tests are covered by
Committee negotisting team, but not in
child care program to cover before-
Medicare if a doctor detects a lump in
of large cigars owe their break in the
the inner negociating circle, or Repre-
and after-school care for children
a patient's breast and orders the proce-
House bill, worth $100 million over five
sentative Augustus Hawkins, a Califor-
whose parents work during the day. It
dure, but routine screening, now widely
years. to Representative Sam Gibbons,
a Tampa Democrat who is a negotiator
nia Democrat who heads the House
would cost about $1 billion over five
recommeded as method of early can-
Education and Labor Committee, may
years.
cer detection, is not. "It's symptomatic
mittee. for the House Ways and Means.Com-
still have & chance to make their pet
of the way we do things around here,"
Mammiography Screening
initiatives on Medicald and child-care
Ms. Oakar said, arguing that the esti-
These carefully crafted tax provi-
part of the final budget compromise.
But other lawmakers, like Repre-
mated $1 billion the new coverage
sions may change, of course, in the give
and take of last-minute bargaining.
That is because the provisions they
sentative Mary Rose Oakar, a Demo-
would cost over five years would save
favor are at least part of either the
crat of Ohio, are fighting for provisions
money in the long run.
And other deals will almost certainly
House or Senate tax bills. In addition to
that were widely supported by both
parties and both chambers, but never
"The cost to the Medicare program
emerge as negociators look for ways to
raising revenue, the tax committees
for treating a woman whose breast
pick up the Votes needed for approval
of the deficit package.
have jurisdiction over most of the
made It in to either package. Ms.
Oakar's cause la expansion of Medi-
cancer is detected early is $10,000 or
But who wins and loses has a great
Medicare and Medicaid programs as
well as tax provisions that will will help
care coverage to include routine mam-
less. The cost to the program for treat-
deal to do with which players sit at the
mography screening for breast cancer,
ing a woman with later stage breast
bargaining table.
pay for child care.
Mr. Rockefeller has put other nego-
and she had been promised by House
cancer is between $85,000 and $125,000.
In Congressional periance, tax
Democratic leaders that 1 52 billion
But the budget figures never take that
breaks narrowly targeted to a few
clators on notice that he will demand in-
"cushion" in the Ways and Means tax
into account, and every time we think
companies or constituencies are known
clusion of new health care services in
the Medicaid program for alderly peo-
package would take care of it. "I'm
we have this coverage in the program,
livid," she said, as the circulated à
it gets taken out because somebody
says its too expensive."
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BR 22, 1990
NYT 10-22-90
at Could Swell the Deficit /
Cutting Here, Adding There
Senator Frank H. Murkowski of Alas-
ka, ranking Republican on the Vet-
While Congress Trims the Budget
erans Affairs Committee, said he saw a
"great inconsistency" in Congress's
schizophrenic instincts: cutting some
It Enlarges Programs (and Debt)
veterans programa by $620 million a
year while expanding others by almost
exactly the same amount.
By ROBERT PEAR
Speaking of & new plan to make
Special to The New York Times
World War II veterans eligible for "TO
WASHINGTON, Oct. 21 - Even as
adjustment counseling," Senator Alan
Congress trims some programs to re-
the accumulated total of all Federal
K. Simpson said, "It boggles the mind
duce the Federal budget deficit, It is ex-
borrowing, would soar to $5 trillion in
that veterans of World War II, the hide-
panding other programs, and lawmak-
1995, from the current $3.2 trillion.
ous war that ended 48 years ago, are
ers acknowledge that savings achieved
When President Reagan took office in
still having trouble readjusting to ciyil-
with great difficulty this year may
trillion. 1981, the debt was alighly less than $1
ian life after military service.'
soon be offset by added spending.
Senator Pete Domenici, Republican
The new spending comes about be-
of New Mexico, observed that "we all
A little-noticed provision of the defi-
cause of old-fashioned pork-barrel
cit-reduction bill passed by the House
say, 'Spend less,' but we have more
projects, policy choices in favor of new
would raise the statutory limit on the
ideas and we want more things." Here
or expanded programs and the deterio-
are a few examples:
public debt to $5 trillion. If the higher
ration of the economy, which is in-
9The deficit-reduction measures
limit is part of the final bill, Congress
creasing demand for benefits like
could avoid the annual ritual of in-
passed by both houses of Congress
unemployment insurance and food
would expand Medicaid to cover chil-
creasing the debt ceiling. The ritual is
stamps.
politically embarrassing to lawmakers
dren from poor families longer,
Whether any particular increase is
and occasionally brings the Govern-
through age 12 under the House bill and
good or bad is & political question with
ment to the brink of default. When Con-
age 18 in the Senate bill. Under current
a subjective answer; what seems es-
gress fails to extend the debt limit, the
law, states must cover poor children
sential to one lawmaker or interest
Treasury must postpone new borrow-
through age 5. Pediatricians and public
group may appear Wasteful to others.
ing from the public, as it did last week.
health experts applaud the expansion.
But It is indisputable that Congress has
But states pay, on the average, 44 per-
quietly enacted appropriation laws
There is virtually no way for the Gov-
cent of Medicaid costs, and the Na-
that increase spending, often in dis-
ernment to reduce the debt unless it
tional Governors' Association ex-
tricts represented by influential law-
runs a budget surplus. A budget deficit
pressed alarm at the cost of an expan-
makers, while they publicly proclaim
in one year must be covered by further
sion.
the need for deficit reduction.
borrowing. which increases the debt
9Under the House bill, the Federal
"The Federal debt. is going from a
and adds to interest COSTS in future
Government would pay Medicare pre-
quart to a gallon,' said Gerald H. Mill-
years.
miums for low-income elderly people,
er, executive director of the National
Net interest payments on the Fed-
and the Senate bill would allow states
Association of State Budget Officers,
"but Congress and the President are
eral debt were the fastest-growing
to offer such protection with a combi-
taking out only a cup."
major category of Federal spending in
nation of Federal and state funds.
the 1980's. The increase in such pay-
Congress has just approved an ap-
Protests Over Medicaid
ments, from $52.5 billion in 1980 to $169
propriation bill that permits $14.5 bil-
billion in 1989, exceeded all the savings
lion in highway spending this year, up
As part of the budget package being
negotiated on Capitol Hill, Congress is
Mr. Reagan achieved in health, educa.
from $12.2 billion last year. President
Bush requested $12 billion.
expanding Medicaid, for example, over
grams. tion, welfare and social service pro-
THouse and Senate negotiators
vehement protests from the nation's
agreed last week to provide more than
governors, who say they will be sad-
Dollars for Home Districts
$1.6 billion to help poor people pay
died with more costs. The expansion of
home heating costs, as against $1.4 bil-
Medicaid would cost the Federal Gov.
Representative Jamie L Whitten,
lion last year. Mr. Bush requested $1.05
emment at least $400 million a year.
chairman of the House Appropriations
billion. Mr. Conte said the increase was
In appropriation bills for the current
Committee, boasted that Congress Mad
needed because home heating oil had
fiscal year, Congress has approved *
earmarked millions of dollars for
become "outrageously expensive's as a
$2.3 billion increase in spending for
water projects, highway construction
result of turmoil in the Middle East.
Federal highway projects, to $14.5 bil-
and airport improvements in
QSenator Claiborne Pell, the chief-pa-
Lion a year, and is providing $20 billion
sissippi district.
tron of student aid programs in-Con-
in new money for specific park, land,
energy and water projects.
Congress also earmarked mil-
gress, is pushing new legislation; the
"This session of Congress has de-
lion for a highway demonstration
Middle-Income Student Assistance Act,
cided to vote again and again for pork
project in Pittafield, Mass., the hours of
to expand eligibility for Federal
barrel, to fund projects that may or
Representative Silvio O. Conter The
grants.
**
may not be better than other competi-
ranking Republican on the Appropria-
The purpose, he said, was to help
tive projects, and to fund them only be-
tions Committee. There was also
middle-income families pay for college
cause of who one may know CHO the Ap-
money for à veterans' hospital* in
and to reverse cutbacks made under
propriations Committee or the leader-
Northampton, Mass., and for &: adler
President Reagan, when "eligibility
ship," said Representative Steve Bart.
heating plant at the University of Mas-
was tightened so that only the most
lett, & Taxas Republican who is one of
sachusetts campus in Amherst, bota-in
needy qualified."
Mr. Conte's district.
many members of Congress to make
such criticisms.
The appropriation bills also set
Mr. Bartlett said the largess was bi-
money for West Virginia University
partisan, "There are projects in here
and for more than 20 public works
for members of both parties," he said
projects in West Virginia, the home of
of one bill, which increases housing ap-
Robert C. Byrd, chairman of the Senate
propriations by 22 percent, to $9.5 bil-
Appropriations Committee.
lion in the current fiscal year.
Senator Emest F. Hollings saki
Senator Dale Bumpers, Democrat of
the new deficit-reduction
28,000?
Arkansas, said one subcommittee of
"guts the Gramm-Rudman-Howl
the Appropriations Committee re-
law" by making it easier for Contrass
cently received-2 written requests
to avoid meeting the annual deficit tar
for park, land and-water projects from
gets in the law. Mr. Hollings, a' South
various senators. "Those same sens-
Carolina Democrat, was a co-author of
2,800
tors than come in here with unctuous,
the 1985 law.
pontificating statements about how, If
we just freeze this or that, we could get
As originally passed, the law stipu-
the deficit under control," Mr. Bump-
lated that the budget should be bal-
ors said.
anced in the fiscal year that began on
Oct. 1. The deficit, $231 billion in-1986,
To cover the increases in spending,
hovered in the range of $150 billion to
Congress plans to raise the debt limit.
$155 billion in the next three years, but
Under budget plans adopted by the
shot up again in the fiscal year just
House of Representatives and the Sen-
ended. The Office of Management and
ate, the Federal debt, which represents
Budget estimates that the deficit was &
record $231 billion in the fiscal year
that ended three weeks ago,
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DEMOCRATS AND THE DEFICIT
8-14-90
On June 26, President Bush displayed leadership and courage when he put everything
on the table in the budget talks.
But instead of working toward a responsible solution, the Democrats have been bloating
the budget and stonewalling proposed reforms. After 100 days, the President decided
that enough is enough. When it comes to dealing with Democrats, all bets are off.
This memo explains how the Democrats are selling out the economy for a bowlful of
soundbites. It has three parts:
I.
BOMBS -- Bloated, Overstuffed Money Bills
II.
Stonewalling Reform
III.
Trashing the President
IV.
Suggested talking points.
I. B.O.M.B.s -- Bloated, Overstuffed Money Bills
The Democrats have been talking trim and voting fat. Ignoring the need to cut the
budget, the Democrats have carried on their old tax-and-spend ways.
o
Since President Bush made his June 26 statement, the Democratic-controlled
House of Representatives has passed ten appropriation bills that exceed
President Bush's budget request by a total of $14 billion.
o
On May 24 and May 25, the Democratic House and Senate perpetrated
budgetary hijacking. President Bush had sought $720 million in emergency
funds to help the world's newest democracies, Nicaragua and Panama. The
House and Senate waylaid the proposal and stuffed it with new spending. When
they were done, the tab came to $4.3 billion. 600 percent more than the
President had asked. For "cover," they cut $2 billion from defense, but that
still left $2.3 billion in new spending, much of which was pork. The Democrat-
controlled House made its intentions clear when it approved amendments to lard
the bill:
*
To procure a fish farming laboratory in Arkansas.
*
To provide $750,000 to transfer a ferryboat to the government of
American Samoa.
*
To force HUD Secretary Kemp. under the Community Development
Block Grant Program, to fund 37 programs that Kemp believes are
unwarranted.
1
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o
When some legislators tried to slow down the spending express, Congress
ignored them. On July 13, Rep. William Frenzel (R- MN) offered an
amendment to the Treasury-Postal appropriations bill to provide for a 6.9
percent across-the-board cut in all discretionary accounts. Frenzel's proposal
would only have reduced the bill to last year's level -- but the House rejected it
(CQ Weekly, 7/21/90).
o
On Wednesday, August 1, the House passed a $27.9 billion housing
authorization bill. It authorizes a $6 billion increase in spending for fiscal
1991, compared with a $3 billion increase in the Senate version.
II. Stonewalling Reform
The Democrats have had a number of chances to say "yes" to measures that would
improve the economy and ensure budgetary discipline. But instead, they have
said "no comment" or "no way." Said Ways and Means Chairman Dan
Rostenkowski: "By our silence we have been successful in these talks" (Time,
August 13, 1990).
o
On July 17, by a vote of 279-158, the House failed to give the necessary two-
thirds support to a constitutional amendment to require a balanced budget.
Nearly all Republicans (169-5) supported it, but a majority (110-145) of
Democrats voted against it.
o
On May 9, President Bush launched the budget summit by saying "no
preconditions" (CQ Weekly, 5/12/90). But when it came to accepting a capital
gains cut without an income tax increase, Senator George Mitchell said:
"There are certain points beyond which you cannot go" (CQ Weekly, 7/14/90).
o
Even before the President's June 26 statement, House Majority Leader Richard
Gephardt said: "We asked the president to put down a proposal, and he did"
(CQ Weekly, 6/23/90). But on July 28, The New York Times reported:
"Senator Jim Sasser, a Tennessee Democrat who heads the Senate Budget
Committee, said he felt no obligation to put forward a proposal until the
Democrats actually saw the Administration's plan."
0
Sasser's House counterpart, Rep. Leon Panetta, said: "We did not pledge that
every time the Republicans slit their wrists we would slit ours" (New York
Times, 8-2-90).
2
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III. Trashing The President
The Democrats have not been content to play budgetary arson. They have been making
direct attacks on President Bush and his motives.
Sen. Bob Kerrey (D-NE)
"First I must honestly say I feel a personal distrust of President Bush's motives when
he says he wants to raise taxes, for whatever the reason. I know it sounds disrespectful
to say I do not trust the President, but there are many good reasons not to."
Congressional Record, 6/28/90
Ronald Brown, Chairman of the Democratic National Committee
"Clearly, Republicans for the last 20 years have been running on two issues: the Cold
War and taxes. The Cold War is virtually over and now, President Bush has broken
his promise on taxes. I think the political fallout is very evident all around the
country."
ABC's "This Week with David Brinkley",
7/1/90
"Two years ago, George Bush looked into a TV camera and said: 'read my lips, no
new taxes.' To keep that pledge, he was willing to let families sleep in doorways and
under bridges -- "we don't have the wallet' was the excuse. Let them sleep under a
thousand points of light
He was willing to let drugs win the war -- no federal help
to build needed prison cells or provide treatment to those who wanted it -- we lack the
wallet
To keep that pledge, George Bush was willing to let garbage wash up on
our beaches and smog foul our air.
"This summer, though, we have found the one cause for which George Bush is willing
to break his 'no new taxes' pledge: to clean up a mess caused by America's wealthiest
people -- the bankers and speculators who ran the Savings and Loan industry into the
ground. George Bush has finally asked for higher taxes at the same time he's still
trying to get a capital gains tax cut. We know who's [sic] wallet he wants to pick up
the tab for the S&L predators ball.
"
Address to Association of State Democratic
Chairs, 6/30/90
"Forty-eight hour ultimatums and partisan whining are now the Republican substitute
for George Bush's leadership if George Bush doesn't want to lead, then why did he
run for president?"
3
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New York Post, 8/2/90
Governor Michael Dukakis (D-MA)
"Itold the truth and paid the price. Mr. Bush did not and we're all now going to have
to pay the price for that."
AP, 6/27/90
Governor Mario Cuomo (D-NY)
"When they say 'Read my lips,' they don't mean it. [Bush] didn't really mean it.
They do whatever they have to politically, and they assume everybody's just like them.
You know the old expression, you can't con a conner, you can't con a con artist.
They're con artists. They're very good at it. They're very elegant. They wear white
shoes, they play croquet. But, they're con artists, and they think everybody else is."
National Journal, 7/28/90
Rep. Beryl Anthony (D-AR), Chairman of DCCC
"President Bush tried to fool the voters in 1988 about taxes, but he and GOP
Congressional candidates can no longer demagogue on this issue and try to deceive the
American people. The voters are in no mood to hear false promises."
Press release, 6/26/90
"This is an admission that the Republican economic policies of the last 10 years were a
dismal failure. Bush and his GOP congressional candidates can no longer try to
deceive the American people.
CQ Weekly Report, 6/30/90
Rep. Robert Torricelli (D-NJ)
"The other shoe, raised in the 1988 presidential campaign, just dropped. George Bush
has announced that he is raising taxes. The charade is finally over."
CQ Weekly Report, 6/30/90
Senator Ernest Hollings (D-SC)
4
RCV BY:THE WHITE HOUSE
10-24-90 :11:49AM ;
CCITT G3-
2024566218:#13
"This is just a statement to solve a political crisis, not a budget crisis."
The State, 6/27/90
IV. Talking Points
o
Mario Cuomo summed up the Democrats' attitude: "And if you are going to
do the taxes. you have to do them big. You should do them across the board.
you do a rate, maybe you do some consumption taxes, too, maybe you do
energy. Do them big. As long as you are going to take the hit for taxes, do
them big" (National Journal, 7/28/90).
o
The Democrats have long been the party of tax and tax, spend and spend, elect
and elect. Now they are also the party of stonewall and stonewall, blame and
blame.
o
The Democrats don't want to solve the budget problem, they want to embarrass
the President.
o
For 36 years, the Democrats have ruled the House of Representatives.
For 36 years, the Democrats have had the constitutional power of the purse.
For 36 years, the Democrats have let the deficit grow in fits and starts.
For 36 years, the Democrats have been a big part of the problem.
Now it's time they were part of the solution.
o
President Bush fulfilled his legal obligation on January 29, when he submitted
his executive budget. That's all he was required to do. It would have been
politically easy for him to leave it at that and blame Congress for its failure to
act.
But he went an extra mile when he called the budget summit.
He went another extra mile when he presented a revised budget proposal.
He went yet another extra mile when he made his June 26 statement.
So President Bush has gone three extra miles, but to date the congressional
Democrats haven't moved an inch.
o
What happens when the Democrats get their way?
Just look to Massachusetts, where they've taken the state from high tech to low
farce.
Just look to New York, where spending is up and bond ratings are down.
Just look to New Jersey, where Governor Florio saw tax increases not
as a last resort, but as a first resort.
###
5
Ref.
JK1061
Cule
WH
CONGRESS
A TO J
CQ's
Ready Reference
Encyclopedia
Congressional Quarterly Inc.
1414 22nd St. N.W.
Washington D.C. 20037
388
SPEECH OR DEBATE CLAUSE
advance. This is called a "special or-
heavily on these employees. Staff mem-
der."
bers cannot vote, but their imprint is on
In the House members who have
every other step in getting a bill passed.
requested special orders are allowed to
They draft legislation, negotiate with
speak for up to sixty minutes at the end
lobbyists, and plot strategy for floor ac-
of the day's session-before the House
tion.
adjourns but after legislative business
The influence of congressional staff
has been completed. TELEVISION cam-
is vast. Critics complain the staff exer-
eras record the speeches, which often
cises too much power and costs too
are made to an almost empty chamber.
much money. But legislators are asked
Controversy about the routine
to debate and vote on a wide range of
practice erupted in 1984, after Republi-
complex issues, and they need staff to
cans repeatedly used special orders for
provide the expertise that one person
speeches attacking the Democratic
alone simply could not master.
leadership. An angry Speaker Thomas
The congressional bureaucracy is
P. O'NEILL, Jr., ordered the TV cameras
well entrenched. More than 18,000 peo-
to pan the House chamber, showing
ple work for the House and Senate, and
viewers that few were present to hear
another 3,000 handle security, mainte-
the emotional speakers. The practice
nance, and other support services. Also
has been continued; periodically during
considered to be working directly for
the period reserved for special orders,
Congress are an additional 3,000 em-
the cameras show the House chamber-
ployees at the four legislative service
and its rows of empty seats.
agencies: the Congressional Research
In the Senate members are recog-
Service of the Library of Congress, the
nized for special orders at the beginning
Congressional Budget Office, the Office
of a day's session; they may speak for
of Technology Assessment, and 30 per-
five minutes. Fifteen-minute speeches
cent_ of those working at the General
were permitted until 1986, when Senate
Accounting Office. These 24,000 em-
sessions began to be televised and re-
ployees far outnumber the five-hun-
quests for special orders increased.
dred-plus representatives and senators.
Some senators ask for special-order
By the late 1980s Congress was
time almost every day.
spending five times as much on its oper-
The term "special order" also re-
ations as it did in 1970. Legislative
fers to the resolution approved by the
branch appropriations, which include
House RULES COMMITTEE setting guide-
some nonlegislative activities, are nev-
lines for floor consideration of a bill.
ertheless the best measure of its cost
The resolution is more commonly
that Congress has provided over the
known as a "rule." (See LEGISLATIVE
years. That figure rose from more than
PROCESS; RULE FOR HOUSE DEBATE.)
$361 million in fiscal 1970 to more than
$1.7 billion in fiscal 1988. The largest
share goes to pay salaries.
Speech or Debate Clause.
See
Growth in Staff Size
IMMUNITY, CONGRESSIONAL.
The size of the House and Senate
staff tripled between 1955 and 1975.
That enormous growth changed the
Staff
fabric of life on Capitol Hill. It crowded
existing offices, prompted expansion
into "annex" buildings formerly used as
Thousands of people work for Con-
hotels or apartments, and spurred con-
gress, and its elected members depend
struction of a third massive Senate of-
STAFF
389
ff mem.
fice building. The presence of so many
the legislator who originally hired them;
int is on
employees made Capitol Hill more and
they simply get a job with someone else.
passed.
more like a small city, bustling with
Sometimes staff members become
ate with
restaurants, barbershops, stationery
politicians themselves. President Lyn-
floor ac-
stores, gymnasiums, and its own sub-
don B. JOHNSON began his career as a
ways linking office buildings to the
congressional aide; later he was elected
nal staff
Capitol. By the early 1980s the growth
to Congress and served twenty-four
aff exer-
of staff slowed as Congress, trying to cut
years in the House and Senate, includ-
osts too
overall federal spending, responded to
ing six years as Senate majority leader.
re asked
criticism about increases in its own
Traditionally, many nonlegislative
range of
budget.
posts were PATRONAGE jobs. The chauf-
staff to
After World War II, and again in
feur, the elevator operator, the parking
person
the 1960s-and 1970s, the federal govern-
garage attendant, and even jobs closer
ment expanded rapidly and grew in--
to legislative action, such as the door-
cracy is
creasingly complex. Congress wanted its
keepers, were controlled by party lead-
000 peo-
own sources of information, indepen-
ers and their top aides. The system be-
hate, and
dent of the executive branch and inter-
gan to erode in the 1960s, when
mainte-
est groups, so it added staff. Changes
Secretary of the Senate Bobby Baker, a
ces. Also
within Congress also spurred the hiring
Johnson protégé, was convicted of using
ectly for
of more people. In the 1970s erosion of
his office-and his control of numerous
000 em-
the SENIORITY SYSTEM shifted new au-
Senate jobs-for personal gain. Since
service
thority to junior and minority members;
then the number of patronage jobs has
Research
they wanted aides to help with their
been drastically reduced, although not
tress, the
new_ responsibilities. Subcommittees
eliminated. Merit, not friendship with a
he Office
were given new status, and by the late
legislator, is usually the basis for being
d 30 per-
1970s as many people worked for sub-
hired.
General
committees as had worked for full com-
The political parties, however, still
000 em-
mittees in the 1960s.
maintain control over numerous jobs.
five-hun-
Congress also became the last re-
The top leaders of both parties- have
senators.
sort for those dealing with the federal
their own staff. Party affiliation is usu-
ress was
bureaucracy. Each legislator usually
ally a factor when legislators hire their
its oper-
had several employees whose sole job
personal aides. Committee hiring is also
egislative
was answering voters' complaints, a
partisan, with the majority usually re-
include
task known as "casework" or "constitu-
sponsible for about two-thirds of the
are nev-
ent services." Casework is usually the
jobs and the minority for about one-
its cost
primary function of district and state
third. In reality, though, other quali-
over the
offices. A measure of its importance is
fications often take precedence over
ore than
that more than a third of members' per-
party allegiance, and some committees
hore than
sonal staffs work outside of Washing-
have removed partisanship from their
e largest
ton.
hiring practices. The nonpartisan staff
of the Joint Committee on TAXATION
Partisanship
serves tax-writing panels in both
Congressional employees are drawn
houses, and the House and Senate BUD-
d Senate
from a mix of backgrounds, but most
GET committees consider most of their
nd 1975.
are young, male, and well educated.
professional staff to be nonpartisan.
nged the
Campaign workers can still end up on a
Despite partisanship in hiring, a
crowded
legislator's payroll, but jobs also go to
line is drawn between congressional
xpansion
others with no ties to the politician or
work and campaign work. House rules
y used as
the district. An economist might be
allow a House employee to work on a
rred con-
hired for a committee post, for example.
campaign if assigned congressional du-
enate of-
Many veteran "Hill" employees outlast
ties are also being fulfilled. The Senate
Photo Copy Preservation
GTON POST
JACK ANDERSON and DALE VAN ATTA
Sen. Burdick's Pork-Barrel Ways
FARGO, N.D.
-Agriculture Department research labs on the
n tight budget times, one of the Senate's kings of
campus. Burdick says they need a paved road to
pork is at it again. Sen. Quentin N. Burdick
connect them. But those who are naturally suspicious
(D-N.D.) is building a "golden mile" road here
of Burdick's motives-us included-can't help but
with federal money. He says it's essential for access
notice that the road will relieve congestion on the
to some U.S. Agriculture Department labs, but the
campus and will be the most convenient way to reach
lab employees say they don't need it.
the new Fargodome stadium.
The people who do need it are the thousands of
Some university officials are annoyed about the
North Dakota State University football fans who will
half-baked quality of Burdick's pork. They had
someday travel Burdick's road to reach their new
originally asked for $2 million for the mile-long road.
17,000-seat stadium. You may never use the road,
Burdick slipped the project into an agricultural
but you'll pay for it, and Burdick will take credit for it
appropriations bill, but for only $500,000. He must
with the voters back home.
have known there was only so much piggishness that
He won his last election here in 1988 by
his fellow senators would tolerate on a single project.
emphasizing his clout in Congress. So many federal
However, it's a mystery to us how any of Burdick's
dollars have flowed into North Dakota as a result of
fellow senators would have caught him anyway. He
labeled the expense "facilities completion.'
Burdick's finagling that last year North Dakota
We talked to several of the Agriculture
ranked third in the amount of federal funds received
Department researchers and all of them said they
per person.
hadn't complained about the gravel road that
This is the same Burdick who tried to turn
currently links their labs-which, by the way, do
Lawrence Welk's boyhood home into a national
some award-winning research.
shrine with $500,000 in Agriculture Department
Expansion of the university means that the road
funds. You have to hand it to Burdick, chairman of
will be useful in the future, but the idea of taxpayers
the Senate Appropriations subcommittee on
around the country handing over hundreds of
agriculture. It takes some creativity to restore a
thousands of dollars to connect a few Ag labs is
band leader's house or build an access road to a
ludicrous.
football stadium and call it "agriculture."
And it proves that Burdick, 83, is willing to do
The site of the latest Burdick sleight of hand is a
anything to ingratiate himself with the folks back
stretch of gravel road through a sunflower field on
home, if it will get him reelected. He has already
the west side of the North Dakota State University
informed North Dakotans that he will run again in
campus. Along Burdick's mile are pieces of bacon
1994 and serve in the Senate until 2000 when he will
that the senator has already brought home
be 92 years old.
Photo Copy Preservation
Limiting the number of terms lawmakers can serve
is an idea whose time has come
The Best Way
to Clean Up Congress
By ROWLAND EVANS & ROBERT NOVAK
A
RECENT Gallup Poll showed
$500-billion or more debacle.
that only 24 percent of
Jack Brooks (D., Texas),
Americans approve of the
chairman of the House Judiciary
way Congress is doing its job. Here
Committee. After seeing combat
are three reasons:
as a teen-ager in World War II,
Rep. Frank Annunzio (D.,
Brooks went immediately into poli-
III.), first elected in 1964. Annunzio
tics-four years in the state legisla-
is one of the most powerful mem-
ture, then 38 years on Capitol Hill.
bers of Congress. Thanks to his
He boasts far-reaching influence
seniority in the House, he chairs the
over business, criminal justice and
Financial Institutions Subcommit-
the courts. Without family fortune
tee, which drafts the legislation
or work in the private sector, he has
regulating the nation's savings-
amassed bank and timber holdings
and-loan institutions. But rather
worth $2 million to $3.5 million.
than regulate them, Annunzio has
Rep. Jamie Whitten (D.,
received generous political contri-
Miss.), chairman of the House Ap-
butions from the S&Ls-including
propriations Subcommittee on Ag-
$3000 from indicted Lincoln Sav-
riculture for 40 years. Whitten has
ings and Loan executive Charles
dispensed hundreds of billions of
Keating and two associates.
dollars in federal largess. The nine
Through the mid-1980s and as re-
Presidents and ten Secretaries of
cently as last October, Annunzio
Agriculture who have served during
fought to delay S&L regulations,
that time have had only transitory
thus contributing to the subsequent
control. Whitten, notes Congres-
112
Photo Copy Preservation
sional Quarterly, is the "permanent
Sponsors of Congressional term
Secretary of Agriculture."
limitation view it as a return to the
Typically, all three of these legis-
values of the early American Re-
lators were re-elected last fall. Says
public, in which a citizen legislator
former President Ronald Reagan:
would serve in Washington for a
"There is less turnover in the House
spell and then return home. Abra-
than in the Supreme Soviet."
ham Lincoln, a Representative for
Indeed, Congress has stacked the
the first time in 1847, was eager for
deck so decisively in favor of in-
a second term "if it should so hap-
cumbents that only 15 House mem-
pen that nobody else wishes to be
bers and one Senator were defeated
elected." But somebody did, and
last fall. With a re-election rate of
Lincoln went back to Illinois to
96 percent, we run the risk of creat-
await his destiny.
ing a separate governing class.
Regular turnover attracted peo-
The automatic return of incum-
ple with diverse backgrounds who
bents has already created an Imperial
had no intention of spending their
Congress. Focused on winning
entire lives in Congress. "Now you
term after term, lawmakers have
have people who go to Washington,
forged intimate links with the spe-
never have another job and never
cial-interest groups that finance
come home," says Vice President
their campaigns. Fearful of offend-
Dan Quayle, who has supported
ing these crucial supporters, mem-
term limits since he was first elect-
bers of Congress have refused to
ed to the House of Representatives.
make the tough decisions required
"That's not good for the country,
to curb government spending. Presi-
and it's one of the reasons for the
dents come and go, but committee
cynicism voters express today."
chairmen stay on to control the purse
In Lincoln's time, fewer than
strings and the legislative agenda.
two percent of the House served
Incensed by the situation, the
more than I2 years. Members of
public is expressing a growing in-
Congress were visitors to Washing-
terest in term limitation-most
ton who kept their principal resi-
commonly I2 years for Senators
dences back home in their districts.
and Representatives. A Gallup sur-
Today 34 percent have spent more
vey shows 70 percent of Americans
than I2 years in office, and a major-
in favor of term limitation, with
ity are Washington-area residents,
overwhelming support in virtually
many of whose children are born,
all groups, regardless of party,
raised and educated in the nation's
ideology or income. Says Martin
capital and its suburbs.
Plissner, executive political director
A simmering issue for the past
for CBS News, "Seldom have I seen
couple of years, the move for term
an issue on which there was so little
limitation came to a boil in 1990.
demographic variation."
With the built-in powers of incum-
113
READER'S DIGEST
March
bency all but assuring them re-
2. Disrupt the way Congress
election, House members defied
works. That's precisely the point.
Photo Copy Preservation
popular opinion in 1989 by voting
"Limiting terms would limit abuse
to hike their salaries from $89,500
of the Congressional seniority sys-
to $125, Then they raised taxes!
tem by rotating power," says The
Public frustration was reflected
Wall Street Journal's John Fund. "It
last fall when three states passed
would open the political process."
initiatives to limit state legislators'
As Harry Truman once put it,
terms. A 12-year cap was set in
Congressional limits would "help
Oklahoma by 67 percent of the
cure senility and seniority-both
voters. In Colorado, an eight-year
terrible legislative diseases."
limit for all state officials, including
3. Deprive Americans of experi-
legislators, passed with 71 percent
enced legislators. To New Republic
in favor. The margin of victory in
editor Hendrik Hertzberg, this
the California vote-52 percent-
"would be a cost worth paying to be
was closer, but that was largely
rid of the much larger number of
because Willie Brown, a 26-year
time-servers who have learned
State Assembly veteran, and David
nothing from longevity in office
Roberti, his counterpart in the State
except cynicism and complacency."
Senate, hit up special-interest
Congressmen obliged to seek other
groups and corporate supporters of
employment could run for other
the state's governing establishment
political office-federal, state or
to raise over $4 million for a media
hometown. They could even try the
blitz against term limitation.
private sector. As former Sen. Bill
Opponents argue that Congres-
Armstrong (R., Colo.) said, "We
sional term limitation will:
have forgotten that, in a civic sense,
1. Restrict voter choice. But how
returning home is as important as
much choice do voters really have?
coming to Washington in the first
According to Common Cause, a
place."
nonpartisan public-interest group,
4. Shift power to lobbyists and the
of the 406 House incumbents seek-
Congressional bureaucracy. Non-
ing re-election last year, 79 had no
sense, says Fund: "It's the most
major-party opposition. Another
senior members who are most de-
168 had opponents who had raised
pendent on staff and lobbyists, not
less than $25,000 by three weeks
the freshmen. And there is noth-
before the election, and 124 others
ing to prevent a reduction in the
had opponents who had raised
growth of staffers from accompa-
more than $25,000 but less than half
nying term limits."
the amounts the incumbents had.
Indeed, Congress could use some
Only 35 races were remotely com-
pruning: last year, as it was raising
petitive. People don't vote for un-
taxes, it increased its own budget by
known candidates.
II percent. Its staff has doubled to
114
1991
THE BEST WAY TO CLEAN UP CONGRESS
Photo Copy Preservation
New Faces Needed
IMAGINE IF members of Congress knew from the first day that they
could not parlay their service into careers, no matter how they pandered
to special-interest groups or cleverly marshaled the advantages of incum-
bency. We would then see applied to the nation's problems the kind of
intellectual honesty and courage so often lacking these days.
There is something to be said about the value of long experience. But is
that experience being put to the best use? A $3-trillion national debt and
vast oceans of wasteful spending say it is not. We need a regular turnover
in Congress so that fresh ideas can be brought to bear.
-New Hampshire State Senator Gordon Humphrey, who, keeping a campaign promise made when he
was first elected to the U.S. Senate, declined last fall to seek a third term in Washington.
almost 20,000 since the late 1960s.
ing to the Boston Globe, although
Lobbyists would lose power, as
he occasionally rails against the
Maureen Anderson of the Califor-
"fat" in federal budgets, he is re-
nia Nurses Association confessed in
vered by Massachusetts state offi-
explaining why she opposed term
cials for "delivering the goods" in
limitation: "It would be a great
federal largess for Massachusetts.
burden on us to re-educate the
Some California liberals, like
entire legislature every year."
Los Angeles attorney Mickey Kan-
5. Oust veteran Democratic law-
tor, publicly favor term limits. Col-
makers as part of a Republican plot.
orado's sweeping term limitation
Many Democrats disagree. "This is
was endorsed by the often liberal
not a Republican issue," says liberal
Denver Post and Democratic Rep.
Oklahoma Democrat Cleta Mitchell,
Ben Nighthorse Campbell.
a former state legislator and leader in
the national movement. "We need to
ASKING members of Congress to
elect more idealistic newcomers and
impose term limitations on them-
fewer cynical veterans."
selves through a Constitutional
Indeed, term limitation will
amendment could be asking for a
weed out Republican as well as
political miracle. Still, the battle is
Democratic hangers-on. Rep. Silvio
being led in Washington by Rep. Bill
Conte (R., Mass.), for instance, was
McCollum (R., Fla.). To give the
elected to the Massachusetts State
amendment some chance of approv-
Senate in I950 and has been on the
al, it contains a grandfather clause
public payroll ever since. First sent
assuring all current incumbents the
to Congress in 1959, he has been re-
possibility of another I2 years on top
elected handily every two years,
of the years they have already served.
often without opposition. Accord-
President Bush has indicated he
115
READER'S DIGEST
would support such an amendment
will have to follow suit. We could
on term limitation.
have it in the Constitution by the
The conventional wisdom is that
end of the decade."
Congress will bottle up the Consti-
If so, Capitol Hill would have a
tutional amendment. But former
very different look. A much wider
House Democratic Whip Tony
variety of talent would be available
F Cooy
Coelho, who opposes term limita-
for service. With their energy and a
tion, sees the idea sweeping the
fresh approach, they could open the
nation. "Challengers will pledge to
way to fundamental changes in the
support term limits, so incumbents
way we are governed.
Reprints of this article are available. See page 218.
Calling Cards
WE RECEIVED some new flowers at our garden center, one of which no
one could identify. The man who sets up our ad for the newspaper said to
the manager, "What's the name of this little purple flower?"
"It must be a purple damn-if-I-know," the manager answered.
Sure enough, when the ad appeared, listed among the marigolds and
portulaca was a "purple damifino."
-Contributed by June Smith
Two HUSKY SWEDES, one tall and the other even taller, were participat-
ing in a wilderness-adventure trip that included participants from various
countries. Both men were named Lars, so the problem arose as to how to
distinguish between them. "I have it," said one of the group. "Let's call
them 'Lars' and 'Extra Lars.'"
Contributed by Mary Eckhart
Only in New York
Two MEN were taking a coffee break in the Federal Building in
downtown Manhattan. An acquaintance dashed in, out of breath and
agitated. "You won't believe this," the breathless man began. "I was
almost killed on the way to work this morning."
Panting, he went on: "I had just walked out of the deli where I buy an
egg sandwich every morning. A police car with its sirens and lights on
was chasing another car and stopped it. The guys in both cars tumbled
out. There was shouting, ordering, threats. Guns were drawn. For crying
out loud, shots were fired! I was right in the line of fire. I could hear the
bullets whiz right over my head. Garbage pails were knocked over, glass
shattered, cars and trucks mounted the sidewalk to get to safety. I tell you
I'm lucky to be alive!"
Obviously concerned, one man finally spoke.
"You eat an egg sandwich every morning?" he asked.
-Ben Ruggiero, quoted by Ron Alexander in New York Times
116
The Bills
$60
dollar
On the Hill
Group Keeps Track
Of Sponsors, Costs
By Eric Pianin
Washington Post Staff Writer
In its latest attempt to dis-
courage public spending, the
National Taxpayers Union
Foundation will keep track of
every time a member of Con-
gress sponsors or co-sponsors a
bill involving spending of $10
million or more and keep a run-
ning total.
After crunching the numbers
BY TRACY KEATON-THE WASHINGTON POST
from proposals this year, the
conservative watchdog group
financing, contends that his leg
said senators proposed an av-
islation would save $158.5 billion
erage of $16.7 billion in new
in national health care expend-
spending each. while House
itures over a four-year period.
members proposed an average
John Steele, a spokesman for
of $44.6 billion.
Mikulski, attacked the study as
The biggest proposed spend-
the product of "a right-wing
ers, according to the group, are
front group that's bent on stop-
Sen. Bob Kerrey (D-Neb.), a
ping any investment in Amer-
presidential candidate whose
ica's future."
support for a national health
The group's analysis sug
insurance plan helped boost his
gests that Democrats are more
total to $301.5 billion, and Rep.
inclined to support new spend-
Charles B. Rangel (D-N.Y.), an-
ing ventures than Republicans,
other national health care pro-
and are less inclined than Re-
ponent whose total was $330.9
publicans to come up with ways
billion.
to reduce spending.
Others considered big spend-
Other senators among the top
ers in the survey were Mary-
10 include Sens. Edward M.
land's two Democratic senators.
Kennedy (D-Mass,) with a run-
Barbara A. Mikulski ranked
ning total of $42. billion; Don-
12th with a $24.5 billion total,
ald W. Riegle Jr. (D-Mich.) with
and Paul S. Sarbanes ranked
$42.3 billion; John D., "Jay"
21st with $19.9 billion.
Rockefeller IV(D-W.Va. $40.9
By publicizing each member's
billion; Bob Graham (D-Fla.)
totals, the National Taxpayers
$35.2 billion; Christopher J.
Union hopes to make lawmak-
Dodd (D-Conn.) $34.6 billion;
ers think twice before signing
Claiborne Pell (D-R.I.) $31.5
on to the next big-ticket propos-
billion; Thomas A. Daschle (D-
ali that comes along.
S.D.) $31.3 billion; George J.
Politicians are in the busi-
Mitchell (D-Maine) $29.1 bil-
ness of handing out warm and
lion; and Brock Adams (D-
fuzzies without looking at the
Wash.) $28.5 billion.
price tag," said Paul S. Hewitt,
The highest ranking Repub-
vice president for research at
lican, Sen. Trent Lott (R-Miss.),
the foundation.
ranked 15th with proposals to-
Hewitt said he believes the
taling $23.3 billion.
newly unveiled Congressional
Sen. John W. Warner (R-Va.)
Budget Tracking System, a
ranked 55th with $11.2 billion
computerized compilation of any
in programs and Sen. Charles S:
00
newly introduced legislation
Robb (D-Va:) finished 81st with
$5.8 billion
that affects federal spending,
will improve public accountabil-
Along with Rangel other
ity and highlight Congress's big-
House members in the top 10
include Reps. Matthew G. Mar-
gest spenders and tightwads
But Rangel and others con-1
tinez (D-Calif.) with $319.5 bil-¹⁸
tend that the survey is one-di-
lion; Barney Frank (D-Mass.)
mensional and does not take
$318.5 billion; Edolphus Towns
(D-N.Y.) $317.8 billion; Charles
into account that many of the
bills they favor-including na-
A. Hayes (D-III.) $314.4 billion;
Major R. Owens (D-N.Y.)
tional health insurance, anti-
$313.7 billion; Mervyn M. Dy-
drug and anti-crime initiatives;
mally (D-Calif.) $312.6 billion;
and educational programs-ul-
Ted Weiss (D-N.Y.) $305 bil-
timately save the government
lion; Gerald D. Kleczka (D-Wis.)
billions of dollars by keeping
$303 billion; and Gus Savage
people out of hospitals, out of
(D-III.) $300.6 billion.
prisons and off the public dole.
Rep. Frank Horton (R-N.Y) is
"I don't have any problem with
the highest ranking Republican,
the study," Rangel said. "I only
with $281.24 billion in spon-
wish they could find some way
sored legislation.
they could project [the impact of
Bringing up the rear IS Rep.
legislation], so I would be ranked
Herbert H. Bateman (R-Va.)
number one in budget savings."
with proposals adding up to a mi-
Kerrey, chief sponsor of
nus-$463 million, and Sen. War-
Health USA, a bill to provide uni-
ren B. Rudman (R-N.H.), who
versal health care coverage and
has backed proposals estimated
reform the of
OHM E © RUNS OUR
CORPORATIONS? ?
SPURRING GROWTH IN LATIN AMERICA
DOES PRISON PAY?
GATT: BACK ON TRACK FOR NOW
WILL QUEBEC SECEDE?
w
I
1
E
42700EALIST
MJ
Carol Blymire
R
Research Assistant
Office of Communications
1600 Pennsy Lvania Avenue, NW
Washington, DC 20500
"
STEPHEN HESS
t is hard to think of another occupation of
I
comparable importance to society that exer-
cises so little formal control over itself," claim
the authors of a journalism textbook. Given
the perceived power of the press, especially
in Washington, the question of who watches
the watchdog, and how effectively, is in-
creasingly pertinent. There are various infor-
mal avenues of media criticism, of course-ombuds-
men or readers' representatives on some papers,
journalism reviews and learned journals, organized
Watching the
monitoring groups of both the political left and the
right, popular letters-to-the-editor columns. But on
Capitol Hill a unique journalistic watchdog oversees
the work of the congressional press galleries.
Reporters who wish to be members of the galleries
Watchdog
are subject to a formal policing mechanism. Four
committees of the reporters themselves, one each for
daily newspapers, periodicals, radio and television, and
photographers, are elected by their peers. To those
committees Congress gives almost absolute control
over space and facilities in the Capitol and the power
to hire and fire the staffs of the galleries. In return, the
committees determine who gets press passes and can
censure or withdraw the privileges of those who break
their rules. The legislators thus avoid becoming the ar-
biters of journalists' conduct, a responsibility that
would be both politically and constitutionally haz-
ardous.
These self-governing and virtually autonomous
committees have been the children of necessity and
pragmatic administration. Initially Congress itself de-
termined the admission or banishment of reporters
from its chambers. And there was always some tension.
The reputations of Washington reporters in the nine-
teenth century were sometimes shady and occasionally
deservedly bad. Addressing his colleagues from the
floor of the Senate in 1839, Connecticut Democrat
John M. Niles described them as "miserable slanderers,
hirelings hanging on to the skirts of literature, earning
a miserable subsistence from their vile and dirty mis-
representations of the proceedings here." Sometimes
the scribblers, guilty perhaps of misrepresentation or,
what amounted to the same thing, outrageously parti-
san bias, were expelled from the Senate or House
chambers. Sometimes congressional action was more
stern. In 1848 a New York Herald reporter was arrested
by the Senate for publishing the secret text of the
Treaty of Guadelupe Hidalgo, which ended the Mex-
ican-American War, and was confined to a committee
room in the Capitol for more than a month.
By the last quarter of the nineteenth century, over-
sight of the press had become too burdensome for
Congress. The numbers of Washington reporters had
exploded with the rise of the penny newspaper, and
case-by-case examination of credentials and com-
plaints was impractical. To address the problem,
Speaker of the House Sam Randall met with a group
L.LEVINE '9/
of reputable congressional journalists in 1877 to create
a self-policing system.
Once the reporters were given the authority to
determine who would be let in, they set about devis-
ing ways to make sure that others would be kept out.
36
THE BROOKINGS REVIEW
ILLUSTRATION BY LEVINE
Women were initially excluded by a rule requiring
From the perspective of Congress a primary pur-
accredited correspondents to file their dispatches by
pose of the Standing Committee of Correspondents
telegraph (none of the 11 women reporters in the
has been to protect the legislators from lobbyists acting
1870s qualified). Blacks were excluded by a rule re-
in the guise of reporters. For example, the committee
quiring that accredited reporters work for daily
found against Earl Voss, of the Washington Star, for
newspapers; blacks worked for weeklies. (The Senate
having "accepted payment for an article from an agent
Rules Committee forced the correspondents to re-
of the Nicaraguan Government" (1963); against Jack
vise this rule in 1947.) When radio reporters applied
Anderson for failing to report being a director of an
for membership in the 1930s, the print reporters re-
airline (1964); and against Lester Kinsolving, then of
fused them. The galleries were already too crowded,
the McNaught Syndicate; for having received corpo-
they claimed, and letting in the radio reporters would
rate stocks from a lobbyist for South Africa (1977). On
Stephen Hess, a senior
open the door for even less desirable groups. Led by
the other hand, in 1978 columnist James J. Kilpatrick
fellow in the Brookings
Fulton Lewis, Jr., the radio broadcasters won separate
was declared not to have broken the galleries' rules by
Governmental Studies
galleries of their own in 1939 (now used by television
writing for Nation's Business, a publication of the U.S.
broadcasters as well). Two years later, correspondents
Chamber of Commerce, because there was no "pro-
program, is the author
for the periodicals got their own House and Senate
motion in the articles" and, therefore, this was a legit-
of Live from Capitol
galleries; and the photographers' gallery was started
imate free-lance activity.
Hill! Studies of
in 1955.
Of 21 enforcement actions taken by the Standing
Most of the committees' time is taken up with
Committee of Correspondents between 1913 and
Congress and the
housekeeping chores such as deciding on the proper
1983, all but two have come since 1951, suggesting
Media, which is the
level of dues, reviewing problems of security in the
that reporters are taking their self-policing responsi-
Capitol, and approving designs for gallery cards. But
bilities more seriously in recent years. Indeed, the
fourth volume of his
because membership in a congressional press gallery is
most celebrated brouhaha came in 1989 when the Ex-
"newswork" series,
increasingly required by federal executive agencies as
ecutive Committee of the periodicals galleries voted
and from which this
proof of gainful employment in the news business and
4-3 to require members to file "an itemized list of
public appearances, freelance articles or consulting
article is adapted.
therefore presumably of serious and ethical intent on
the part of a reporter, the standing committees have
work, giving the precise source-but not the
been turned into credentialing bodies.
amount-of income." Roll Call, the Capitol Hill
The basic criteria for membership, slightly different
newspaper, asked editorially, "Is it in the public inter-
for each gallery, are that the applicants must be "bona
est to know that a reporter who is writing about oil
fide correspondents of repute in their profession";
companies has just taken a $1,000 speaking fee from
their principal income must come from a news orga-
an association of petroleum producers?" The answer
nization that meets the standing committees' defini-
was "You bet it is," but that such revelations should
tions of acceptability; and they must not engage in cer-
not come from the files of the press galleries. Other
tain activities, notably "paid publicity or promotion
critics of the regulation, such as Morton Kondracke of
work" or lobbying.
the New Republic, "fumed" (according to a Washington
Although it has not happened often, members of
Post story) that this was "a privacy issue" and that the
the standing committees have been called upon to
committee was "just a bunch of busybodies." The
judge the professional ethics or reputation of a col-
four committee members who had voted for the
league. In 1962, for example, they took up the matter
stricter disclosure rule were swept from office at the
of an overly aggressive colleague who "gained entry
next election, and the offensive proviso was then re-
by subterfuge" into the office of Rep. D.S. Saund of
pealed.
California, took a copy of a press release, and wrote
Making rules and regulations, the reporters have
and published a news story containing the text of the
found, can be complicated and unfair. There are ad-
press release although the release had been embargoed.
vantages to a case-by-case approach. There are also
The committee adjudged the actions "unethical" and
disadvantages: it is terribly time-consuming, because
"prejudicial to the repute and privileges of members of
adjudicators continually reinvent the wheel. The re-
the Congressional Press Galleries."
porters' committees have been attacked for failing to
A reporter's conduct was again questioned in 1979,
provide proper protections for those who run afoul of
when the Standing Committee of Correspondents
their rules.
considered charges against Gary Schuster, of the De-
Norman Isaacs, a distinguished editor, has written
troit News, of posturing as a Michigan congressman by
that "the most sacred cow in journalism's holy credo
riding a "For Congressmen Only" bus to attend the
[is] its self-proclaimed right to reject any type of exam-
March 26 Mideast peace treaty signing on the lawn of
ination of its performance." Yet journalism organiza-
the White House. This time the committee unani-
tions love to write codes of ethical conduct. They
mously went on record as "strongly disapproving the
"have a nice ring to them," journalism educator H.
conduct attributed to Mr. Schuster" and conveyed to
Eugene Goodwin has stated. He has also noted that
him its "reproof." The committee also reprimanded
they always lack enforcing machinery. Within this con-
syndicated columnist Jack Anderson in 1989 for carry-
text, then, it is only a small note, but perhaps notable
ing a gun and bullet into the Capitol. Anderson had
nonetheless, that the reporters who cover Congress
defended himself on grounds that his purpose was "to
have had a self-policing mechanism in place for more
save lives by dramatizing that the Capitol security sys-
than a century, a watchdog of sorts, and if hardly a
tem was vulnerable."
junkyard dog, one that does occasionally bark.
37
FALL 1991
T SEEMED like a smart idea to
get opinions from the boating in-
I'
Congress at the time. Soak the
dustry or talk to economists. If they
rich. Let fat cats pay more tax
had, they might have been told
because they can afford it. And
what would happen.
what better symbol of self-indul-
Perhaps it didn't occur to them
gent wealth than The Yacht? Yeah,
that somebody considering a
look at those rich swells, in their
$300,000 boat might say, "They
fancy yachting whites, lounging in
want me to pay another $20,000 in
a harbor, guzzling gin and tonic
federal taxes? Hey, forget it. I'll buy
while decent, hard-working folk
a good used boat instead, or maybe
can't afford a rowboat.
I'll just charter one."
So last year Congress enacted a
A lot of potential boat buyers
special ten-percent tax on certain
seem to have thought that way.
luxury items, including boats that
Those creative minds in Congress
cost more than $100,000. They were
wanted to show voters that they
in such a hurry to grandstand that
weren't afraid to cause some fi-
they didn't bother to hold hearings,
nancial pain. And cause pain they
Will Congress Sink
the Boat Business?
Another Capitol
plan runs aground
on the rocks
of reality
Condensed from
CHICAGO TRIBUNE
MIKE ROYKO
CHICAGO TRIBUNE (MAY 30, 91).
@ 1991 BY CHICAGO TRIBUNE CO.,
435 N. MICHIGAN AVE.,
CHICAGO, ILL. 60611
ILLUSTRATION: PETER BONO
47
WILL CONGRESS SINK THE BOAT BUSINESS?
have. But to the rich? Hardly. The
over 20 years. He sold about five
super-rich already have their yachts
boats a year, ranging in price from
or can buy them in another country.
$300,000 to $600,000, and he em-
Apparently, Congress didn't
ployed 40 people. Walters had to
know that boats are built by people.
close down. His 40 workers lost
The bigger and more luxurious the
their jobs.
boat, the more skill and time are
"Three out of seven builders in
required. When the tax took effect
my area have been wiped out," says
right on top of a recession, consum-
Walters. "And the ones remaining
ers stopped buying and the luxury-
are hanging on by their finger-
boat business sank.
nails."
Boat companies had to lay off
How much revenue has the boat
workers. The National Marine
tax brought to the federal govern-
Manufacturers Association, the
ment? Economists say it's possible
lobbying group for boat manufac-
that the cost of collecting it is wip-
turers, claims that almost 19,000
ing out what is being collected.
jobs will be lost this year because of
That means Congress came up
the tax. Without incomes, those
with a tax that loses money, has
people could be paying between
eliminated thousands of jobs and
$30 million and $60 million less in
deprives the Treasury of millions in
income tax.
income-tax dollars.
Some boat companies, especially
This country's private-boat in-
small, family-run operations, went
dustry is-or maybe was-the
out of business. For example, David
world's leader. It exported Ameri-
Walters, 49, had been building
can boats. Well, maybe the Japa-
quality yachts in the Northeast for
nese will fill that gap.
Last Laugh
My HUSBAND, Dennis, spends five months of the year traveling on
business. One day during his absence, my daughter awoke with an ear
infection. We went immediately to the doctor and then to the pharmacy,
where we had a long wait at the prescription counter.
Once home, I read the medicine bottle. Along with instructions was
typed, "Thank you, Dennis." I was livid! Dennis wasn't even in the state.
I knew how busy the pharmacy was, but I had to make my point.
When a woman answered the phone, I snapped, "I just left your
pharmacy. I took my child to the doctor, I had the prescription filled and I
wrote the check. Can you explain why your establishment sees fit to thank
my husband instead of me for my patronage?"
The woman gently interrupted my tirade. "Ma'am," she said, "our
pharmacist's name is Dennis. He was thanking you."
I'll bet they're still laughing.
-Contributed by Deborah Morrill Andrews
48
This federal agency is
ment and intermittent scandal, this
supposed to help
Washington agency survives under
the protection of a pork-minded
fledgling companies,
Congress and White House neg-
but its real business
lect. The SBA's programs-to guar-
antee commercial loans to small
is politics
businesses, promote minority-
owned companies, help victims of
natural disasters, support venture-
capital firms-reach out and touch
Small
very few. Last year, in a survey of
ex-government executives' percep-
tions of federal agencies, only one
Business
agency (the Bureau of Indian Af-
fairs) ranked lower.
In the mid-1980s, President
as Usual
Ronald Reagan tried to abolish the
"billion-dollar waste, a rat hole," as
then Budget Director David Stock-
Condensed from
man dubbed it. Although agency
COMMON CAUSE MAGAZINE
programs were slashed, the SBA
still boasts a $400-million-a-year
VIVECA NOVAK AND PETER OVERBY
budget, a staff of over 3800, a loan
portfolio of more than $17 billion
and an aggressive network of bene-
ficiaries eager to defend it.
While it's true that some SBA
A
A CHRISTMAS PRESENT from
programs help some small busi-
his staff, a recent boss of the
nesses, when the agency really gets
Small Business Adminis-
down to business, its business is
tration was given a musical statu-
politics.
ette of two mournful Bozos. If he
Today, despite spasms of image
wants to relive old times, he can
polishing and attempted reform,
watch it spin and plink out "Send
there is scant evidence that the SBA
in the Clowns."
has changed. Consider:
The tune could be the SBA's
The Small Business Invest-
theme song. Caught in a down-
ment Company program, once an
ward spiral of slipshod manage-
SBA success story, now looks as
COMMON CAUSE MAGAZINE (MAY/JUNE 91), © 1991 BY COMMON CAUSE MAGAZINE, 2030 M ST., N.W.,
129
WASHINGTON, D.C. 20036
READER'S DIGEST
October
shaky as the savings-and-loan
oppose them, and the Bush Admin-
industry.
istration has delayed final action.
SBICs are venture-capital firms,
The SBA's Minority Small
usually set up by banks or wealthy
Business and Capital Ownership De-
investors hoping to make money by
velopment Program, known as 8(a),
grubstaking new companies that
is supposed to help firms owned by
have promising products. Once an
disadvantaged persons get launched
SBIC raises $3 million on its own, it
with government contracts and aid
can borrow up to four times its
before "graduating" to the open mar-
private capital using SBA guarantees.
ket. In 1990, the program awarded
The SBA recently estimated that
nearly 3700 contracts to 1458 firms.
it could lose over $500 million as
It costs taxpayers $125,000 to
SBICs collapse into liquidation. As
$175,000 per firm per year for gov-
of this past June, the SBA was han-
ernment agencies to support the pro-
dling 169 such cases. Many of the
gram. But fundamentai questions
companies the SBICs backed are
have never been answered. How
going belly up too.
long do companies typically stay in
Take, for example, the Apex En-
8(a)? How many survive? Does 8(a)
ergy Co., an oil and gas exploration
work? The SBA doesn't know.
firm. In 1989 two SBICs founded by
When the Senate Small Business
Louis Marx, Jr., a $100,000 donor to
Committee decided to survey 8(a)
Republican causes during George
grads five years ago, the SBA sup-
Bush's 1988 election campaign,
plied an outdated, inaccurate mailing
helped launch Apex, mostly owned
list. The committee painstakingly
by the President's son Neil and a
built its own, finally concluding
friend. The two put up only $3000
that, like the SBICs, as many as 30
of their own money, but got $2.3
percent of the 8(a) firms had folded.
million from the federally backed
The lax practices, cozy relation-
firms. Bush drew a $160,000 annual
ships and political vulnerability en-
salary from Apex until he resigned
demic to 8(a) were exploited by
last April. The two SBICs are now
Wedtech. The Bronx-based defense
in liquidation and could cost tax-
contractor was awarded $250 million
payers nearly $30 million.
in 8(a) contracts from 1975 to 1986.
In Senate hearings last year on
As its fortunes plummeted, practical-
SBICs, Sen. Alan Dixon (D., III.)
ly everything it touched was revealed
said that the SBICs' "30-percent
to be fraught with fraud. It claimed
failure rate is symptomatic of a
to be Hispanic-controlled but wasn't;
process that is out of control." After
it bribed Rep. Mario Biaggi (D.,
the hearings, the SBA stopped issu-
N.Y.) and other officials; it diverted
ing SBIC licenses for 90 days and
government-contract funds for pri-
tried to push through stern new
vate use; it recruited highly placed
regulations. But SBICs vociferously
pols-including a former White
130
1991
SMALL BUSINESS AS USUAL
House aide-to push on its behalf.
Treasury to their districts," as one
The SBA has since made reforms
SBA insider puts it. The SBA feels
in 8(a), but the Wedtech bailout is
intense pressure to comply with
still costing the taxpayer-at least
Capitol Hill demands. Its files are
$30 million at last estimate.
filled with letters from members of
The first thing to know about
Congress badgering the agency on
SBA's disaster loans is that most of
behalf of constituents.
them don't benefit small businesses.
Rep. Joseph McDade (R., Pa.),
The second thing is that disasters are
formerly the ranking Republican
in the eye of the beholder-in this
on the House Committee on Small
case, Congress. At various times, law-
Business, helped arrange 8(a) con-
makers have required the loans to
tracts for United Chem Con, a local
cover "disasters" such as a military-
firm that had contributed heavily-
base closing, declining fish popula-
and illegally-to his campaign.
tions on the West Coast caused by
When the SBA took Chem Con out
El Niño currents, and the devalua-
of the 8(a) program, McDade over-
tion of the Mexican peso. Some
rode the agency with a stipulation
Congressmen even called for loans
hidden in a governmentwide
for businesses hurt by military call-
spending resolution.
ups during the Persian Gulf War.
Later, Chem Con officials ad-
The basic SBA loan program,
mitted spending government funds
called 7(a), lends money to small
on clothing, cars and private jets.
firms that can't get it elsewhere on
A company consultant, formerly
reasonable terms. Although the 7(a)
McDade's top committee aide, con-
program stopped making direct
fessed that he gave beach-house
general-business loans in 1985, in
lodging to an unnamed Congress-
1990 the agency guaranteed up to
man and aide in return for "official
go percent of nearly 17,000 7(a)
acts." The firm later went bank-
loans issued by banks.
rupt. So far, a government probe
Back in 1986, Congress asked a
has produced I2 guilty pleas.
basic question: do companies that
Republican and Democratic Pres-
get 7(a) loans grow faster than those
idents alike have used the SBA as a
that don't? The SBA was to work
patronage rest stop, giving it 17 ad-
on a study with the IRS. Five years
ministrators in its 38 years, only four
later, "we have never seen the
of whom have stayed longer than
damn thing," says a Congressional
three years. "I do not think there is a
staffer. "About every year I hear
federal agency that has a greater need
they're still working on it."
for continuity and stability than the
Small Business Administration," says
NoT SURPRISINGLY, the SBA occu-
Senate Small Business Committee
pies a special place in the heart of
chairman Dale Bumpers (D., Ark.).
Congress: "a direct line from the
Lately the SBA's helm has be-
131
READER'S DIGEST
come a kind of GOP booby prize.
ward Murnane of Chicago headed
Susan Engeleiter, Bush's first ad-
the Bush-Quayle campaign in Illi-
ministrator, was a bright young
nois. His small-business experience
Republican state legislator from
came from a public-relations con-
Wisconsin who lost a close U.S.
sulting firm that filed for bank-
Senate race in 1988. She had little
ruptcy in 1983. When appointed in
small-business experience and re-
January 1989, he still owed numer-
portedly had poor relations with
ous creditors, including the IRS.
the White House. She lasted 23
So the SBA lurches along. Even
months.
fans agree it can't go on this way.
This winter President Bush
Some critics want to bulldoze the
picked former Rep. Patricia Saiki
agency altogether; others would
(R., Hawaii) to be SBA administra-
send its better programs to other
tor-the third consecutive defeated
agencies. James Sanders-the only
GOP Senate candidate in the job.
recent administrator to win wide
Her business experience? Member-
respect-said at his 1982 confirma-
ship on two large corporate boards
tion hearing, "If the SBA remains
back home.
static amid changing times, it will
All ten regional administrators
lose its reason to exist." His judg-
are also political appointees.
ment today: "It hasn't changed
Charles Freeman of New York ran
nearly enough."
the 1980 Reagan-Bush campaign in
He adds, "Most of the small-
Manhattan. Gilbert Cisneros was a
business world does pretty well
Colorado Republican activist. Ed-
without the SBA."
Reprints of this article are available. See page 218.
City Slick
VISITING Manhattan, a companion and I ventured out on a rainy night
to go to a restaurant. After a long wait we finally got a taxi. When we
arrived at our destination, a woman waiting at the curb eagerly hailed our
cab. "Aren't I nice?" I quipped as I got out. "I came all the way here to
bring you this taxi."
And she shot right back as only a New Yorker can, "Yeah, and you're
latel"
-Contributed by Chris Tomain
A COMMUTER sitting on a subway train reading a paperback was so
sprawled out in the seat that the woman next to him had very little room.
When she asked if he could move a bit, he refused. Just then, a man
opposite them yelled, "Why don't you sit like a human being?"
"What are you going to do if I don't?" came the reply.
"Well, for one thing, I'll tell you how that book ends."
-Catherine Romano, quoted by Ron Alexander in New York Times
132
Do We Really Need
Corporate Welfare?
A COMPILATION
P
RESIDENTS have long warned
the envy of the world, Congress still
Congress against legislation
encourages corporate welfare?
that provides special favors
to business. Woodrow Wilson de-
clared they make recipients uncom-
Dialing for Dollars
petitive, "cowardly, and dependent
BACK IN 1949, when two-thirds
on government aid."
of the nation's farmers didn't have
Federal handouts to business
telephones, Congress gave the Ru-
don't always travel through the
ral Electrification Administration
front door. Sometimes business
(REA) a new mission: use subsi-
leaders persuade Congress to turn
dized loans to spread phone service
laws designed to help the less fortu-
into the hinterlands where it didn't
nate into subsidy programs to en-
pay for big companies to go.
rich their corporations. In the end,
Dell Telephone Cooperative,
some industries become trapped in
Inc., an REA borrower in remote
a system where success is achieved
West Texas, says it is still "strug-
not by ability to produce but by skill
gling" to keep 788 customers resid-
at political manipulation.
ing in 10,500 square miles of "cactus,
Isn't it ironic that, at a time when
rattlesnakes and scorpions" in touch
socialism is collapsing and America's
with the Information Age. But
free-enterprise system has become
June Barker, Dell's assistant man-
7°
THE WALL STREET JOURNAL (MAY 23, 30, OCTOBER 7, 91), c 1991 BY DOW JONES & CO.; INSIGHT (JULY 29, 91). ©
1991 BY THE WASHINGTON TIMES CORP.; THE WASHINGTON MONTHLY (JULY/AUGUST 81), © 1991 BY THE
WASHINGTON MONTHLY CO.
1992
RESCUE BY RADIO
the next hour, radio waves sped the
That evening at their reunion
voices of this family back and forth.
feast, Seth made an announcement.
Meeting in Manila. Several days
Naroth Lee, a young Cambodian
later, Seth's mother, his three
woman he had met at Site II, would
brothers and sister left for Seattle,
follow him to the Philippines and
hoping that soon the whole family
become his wife.
would be together in their new
For the next 16 months, while
home. For the next eight months
Seth waited in Morong Camp, Ned
Ned Raub in the United States and
and the Filipinos pressed their bu-
Cooter Sevilla in the Philippines
reaucratic campaigns to release
used every contact they had to
their "little frog" from his deep
bring about this reunion. Ned alone
well. Finally, on February 28, 1991,
wrote more than 160 letters and
Seth and his new bride landed in
petitions, plus endless reminders,
Seattle. In the crowded passenger
on Seth's behalf.
terminal Seth's younger brother was
Finally, in the spring of 1989,
holding up a sign hand-lettered in
Sevilla received word from the Na-
Cambodian and English: "Welcome
tional Security Council of Thailand
home!"
that Seth would be sent to a refu-
Seth hurled himself into the
gee camp in the Philippines. With
waiting arms of his brothers and
luck, he would eventually be giv-
sister. Then he saw his mother,
en clearance to join his family in
who was standing at the edge of
America.
the crowd, smiling and trying not
"Please let all friends know,"
to cry.
Seth wrote gratefully, "that I am
"I never thought I would see you
pulled from half of the deep well."
again," she said as they embraced.
On June 23, 1989, Seth landed at
Overcome with gratitude and relief,
Manila airport. That October, two
his mother began to cry. Soon the
years after his first shortwave con-
reunited family was standing in the
tact with Ned Raub, he and Sevilla
middle of the crowded airport con-
welcomed the American ham to the
course, holding one another in a
Philippines.
great, joyous hug.
"Hello, Ned," Seth said quietly.
He recognized him from the call
Seth Keo is now working as a night
letters emblazoned in gold across
maintenance man at a hotel near his
his baseball cap.
home in Seattle and studying at a
"Hello, Seth," Ned replied,
community college by day. On No-
reaching into his flight bag for a
vember 22, 1991, Edward Nora Keo
matching cap with XUISS in gold
was born to Seth and Naroth. In
letters. Grinning as Ned slipped the
choosing their son's name, the proud
cap on his head, Seth exclaimed, "I
and grateful parents honored Edward
am halfway to heaven!"
(Ned) Raub.
69
ager, has a bigger challenge: how to
Telephone Cooperative had to wait
invest the little co-op's pile of cash—
until the next fiscal year for its
$5.8 million at last report.
$428,400 loan, because the REA ran
"There weren't enough banks to
out of 1990 funds. "It's first come,
keep it local," she says. "Now I
first served," says Robert Peters, in
have two stockbrokers, good ones."
charge of the REA's telephone pro-
Result: while still paying off $11.4
gram. "If you're a company with
million in REA loans at taxpayer-
unlimited resources, you can get
subsidized interest rates of two
your requests in a lot quicker than a
and five percent, Dell Telephone is
Ma-and-Pa-type operation."
ringing up big bucks on higher-
Bush Administration efforts to
interest CDs and mutual funds.
return to a means test and to substi-
For years, the REA denied or
tute the REA-subsidized loans with
limited loans to companies that had
federally guaranteed loans at mar-
excessive "general funds." But
ket rates have failed in Congress. A
Congress changed the rules in 1985.
major reason, according to former
Today, scores of rural telephone
Agriculture Department official
companies are flush with cash, and
Robert Richards: "No one was
diversifying into such lucrative
willing to go toe to toe with Glenn
areas as cable-television and cellu-
English." Representative English
lar-phone franchises. Lured by the
(D., Okla.), a power on the House
riches, big telephone holding com-
Agriculture and Government Op-
panies have taken over more than
erations committees, has received
50 of their plump country cousins
thousands of dollars in campaign
in the past three years-and happily
contributions from telephone polit-
assumed their low-interest REA
ical-action committees.
debts while going back for more.
In May 1991, the United States
In 1990, almost half the loan
Telephone Association, the big
money was captured by just five
companies' lobby, entertained law-
companies. Telecommunications gi-
makers at the tony Virginia Gold
ant GTE Corp., for example, bor-
Cup steeplechase, pouring out
rowed $30 million at five-percent
champagne beneath a sun-dappled
interest for its Micronesian subsid-
tent. By then, big holding compa-
iary in the South Pacific-even
nies had already applied for half the
though GTE had $431 million in
money in the year's $364-million
cash after paying out $1.1 billion in
REA loan pot.
1990 dividends. Other big borrow-
-Bruce Ingersoll in The Wall Street Journal
ers: Alltel Corp., Century Telephone
Enterprises, Inc., Telephone and
Data Systems, Inc., and PacifiCorp.
Rotten Fruit
Meanwhile, small systems such
DAN GERAWAN opens a carton of
as the two-employee Flat Rock (III.)
nectarines at his large family farm
7'
READER'S DIGEST
Mara
in California's San Joaquin Valley.
other agencies from even studying
"You're in the presence of an illegal
marketing orders.
substance," he says. The fruit is not
So each year tons of choice fruits
poisoned, and retailers across the
are left to spoil or be fed to cattle.
country are clamoring for the nec-
-Carolyn Lochhead in Insight
tarines. Nonetheless, the nectarines
will be destroyed. The decision was
made by a marketing association of
Double Dip
Gerawan's chief competitors.
PANOCHE FARMS used to be a
Welcome to the world of "mar-
single operation run by a partner-
keting orders." Federal regulations,
ship between two families, the
originally meant to aid farmers dur-
Hansens and the Bakers. It covered
ing the Depression, let them form
13,000 desert acres near Mendota,
committees to control the flow of
Calif.
produce to markets. A farmer can
The acres and the families are
disobey a committee's order only
the same today. But the Hansens
upon pain of forfeiting to it some of
and the Bakers have restructured
the product.
Panoche into a maze of 15 separate
The committees are dominated
landholdings, controlled by 24
by large growers and packers.
friends and relatives through 53
Charges Rep. Dick Armey (R.,
partnerships, corporations and trusts.
Texas): "These are government-
They did this, they acknowledge, to
created and government-enforced
sidestep federal limits on taxpayer-
cartels that protect a very few pro-
subsidized irrigation water.
ducers invested with enormous
Panoche's water subsidies cost
power, in the case of citrus most
taxpayers over $550,000 in just one
notably Sunkist."
year, 1987, according to the Gov-
Each week, the navel-orange
ernment Accounting Office (GAO).
committee orders Norman Free-
And much of this water was used to
stone, who owns a 36-acre spread in
grow cotton, a crop whose price the
Orosi, Calif., to withhold a large
government subsidizes. Panoche
portion of his oranges from the
reaped $4.3 million in these subsi-
market. Sunkist Growers, Inc., a
dies between 1986 and 1988.
$1-billion company, controls five of
Panoche isn't alone. The Bureau
the II seats on the committee. "I'm
of Reclamation has spent most of
the smallest of the small," Free-
this century damming the West's
stone says. "It's grossly unfair."
rivers for irrigation. The federal
The marketing associations over-
government gave farmers long-
came substantial opposition during
term, fixed-rate water contracts
the early years of the Reagan Admin-
that often didn't cover even the
istration. Congress prohibited the
Bureau's operating costs. Congress
Federal Trade Commission and
intended that subsidized water go
72
1992
DO WE REALLY NEED CORPORATE WELFARE?
mainly to small farmers. But re-
cently, some of the biggest and
Sales Job
richest have used it to grow subsi-
THE FEDERAL Market Promotion
dized crops.
Program was created in 1985 to
The GAO contends the restruc-
boost agricultural sales in countries
turing at Panoche, and elsewhere, is
where U.S. products were hindered
inconsistent with the expectations
by unfair trade restrictions. It has
of Congress when it passed a law in
grown to become the biggest fed-
1982 to limit subsidies to 960 acres
eral foreign-market development
of a farmer's land. But the Bureau
program, with $1 billion allocated
of Reclamation, which administers
for the next five years. And, in 1990,
the water laws, has allowed the
Congress changed the rules-par-
practice. Bill McDonald, assistant
ticipants no longer have to prove
commissioner for resources man-
they face unfair trade practices.
agement for the Bureau, says, "It's
Some of the biggest corporations
up to Congress to close the loop-
and interest groups-from McDon-
holes."
ald's to the National Peanut Coun-
In the meantime, the water
cil-have benefited from the millions
pours over places like the 23,238-
spent to fund advertising abroad.
acre Boston Ranch, near Lemoore,
The Wine Institute got $15 million
Calif. In 1989 a subsidiary of the
in 1991 for, among other things,
J. G. Boswell Co. sold the Boston
"tasting shows" and store promo-
Ranch to -something called the
tions in Canada, Japan and Europe.
Westhaven Trust. Westhaven has
The biggest award went to the big-
326 beneficiaries, all of them em-
gest U.S. winery-E. & J. Gallo-
ployees or former employees of
which was allocated $5.1 million.
J. G. Boswell Co. No landholding
The Pillsbury Co. has cultivated
exceeds 960 acres.
the Japanese market since the 1970s.
J. G. Boswell is believed to pro-
But the company was allocated about
duce more cotton than anyone else
$2.8 million last year to market its
in the country; in 1989, Forbes mag-
Green Giant frozen corn there. Pills-
azine figured its net worth at $500
bury isn't even U.S.-owned-it's a
million. The GAO estimates that
subsidiary of a British conglomerate.
Westhaven's subsidized water costs
"The bottom line is that it's a
taxpayers about $2 million a year.
corporate welfare program,"
J. G. Boswell Co. has gotten crop
charges Rep. Charles Schumer (D.,
subsidies too. In 1986 the federal
N.Y.). At a budget committee task-
government wrote it a check for
force hearing in 1990, Rep. Dan
$8,392,232-one of the largest single
Glickman (D., Kan.) was one of
payments ever to a commodity
several Agriculture Committee
grower.
members to defend such programs.
-Charles McCoy in The Wall Street Journal
"I have supported food stamps,
73
READER'S DIGEST
urban programs," Glickman re-
how many vineyards they can main-
minded members of Congress who
tain. Dairymen turn to politics.
represent city populations. "I
The federal Commodity Credit
would hate to see a lot of programs
Corporation temporarily keeps
jeopardized because of an attempt
prices from dropping by buying up
to drive a train through agriculture
surplus milk. But by the first half of
programs."
1980, after the warehouses got full
-Doug Turetsky in The Washington
of spoiling cheese and everybody
Monthly
said "that's enough!" guess where
we farmers were left? With prices
Getting Down to Business
sinking to rock bottom in a flooded
marketplace, of course.
Hannah B. Lapp, her parents and
Today, some say the government
siblings farm about 200 acres and milk
should solve our problems by con-
бо cows in Cassadaga, N.Y. She writes:
trolling production with quotas.
We who milk cows rarely retail
Others say, just set prices higher.
our own product; pasteurizing and
But there's another voice arising
packaging are more suited to large
above the clamor-of those who
processing plants. Many of these, in
want government out of milk mar-
turn, deal with milk retailers. So
keting, out with all of its complicat-
there are two middlemen between
ed price supports, market orders
farmer and consumer.
and supply-control schemes. We
During the New Deal, govern-
just want to produce and sell milk.
ment intervened to protect us from
Dairy farmers are fond of noting
these middlemen, with federal and
that all they are asking for is a
state departments controlling the
"fair" price for their milk. Busi-
terms of milk transactions. This
nessmen know that the only fair
quickly became a game of privilege
price is one that convinces custom-
and politics. Competition was sti-
ers to buy.
fled, milk marketing became lazy
Personally, I feel that milk is one
and small farmers were the losers.
of the best bargains in food. I can
Once dairy farmers started de-
try to convince our customers of
pending on government to make a
this by force of law. Or I can choose
profit, we developed a dependency
the means employed by the most
hard to kick. When the economy
successful of American industries:
is slow and marketing or weather
product research and development,
conditions are adverse, grape grow-
advertising and competitive pricing.
ers, who are not subsidized, decide
-The Wall Street Journal
DON'T WORRY about the world ending today-it's already tomorrow in
Australia.
-Charles M. Schulz
74
NATIONAL AFFAIRS
BOOK EXCERPT
A
Tale
of
Piggery
Steamtown USA is a case
study in the worst kind
of pork-barrel politics
BY BRIAN KELLY
Defense Appropriations subcommittee, McDade makes sure that
the Pentagon keeps on buying that useless anthracite coal-and
much more. No wonder McDade was re-elected by a landslide in
astern Pennsylvania is a pork paradise. The region
1990, winning both the Republican and Democratic primaries.
E
has had its economic ups and downs over the years,
McDade has achieved the dream of most pork-barrel congress-
but it has always been blessed with congressmen
men, a living memorial, indeed two: the University of Scranton's
who know how to get their snouts into the congres-
new Joseph M. McDade Center for Technology and Applied
sional trough. For years, the standard was set
Research, and the county's McDade Park, with its Anthracite
by Rep. Daniel J. Flood, a former Shakespearean
Coal Museum. But the congressman's crowning achievement is a
actor who wore a cape, waxed his Snidely Whiplash
historic theme park called Steamtown. It doesn't look like much,
mustache and every year brought millions of federal dollars
more like a shut-down factory yard waiting for the scrap dealers
back to his district. It was Flood, as a powerful member of
to arrive. On rusty tracks sit some railroad cars and locomotives
the House Appropriations Committee, who required the Penta-
from the 1940s and '50s. Oddly, for what is supposed to be Ameri-
gon to buy hundreds of thousands of tons of Pennsylvania
ca's national railroad museum, the only two restored engines are
coal every year which the military did not need and never used.
labeled "Canadian Pacific" and were, in fact, made in Canada.
Flood was once re-elected by his grateful constituents despite
There is little evidence of the $40 million that American taxpayers
a 13-count federal indictment accusing him of bribery, perjury
have already spent on Steamtown. Still, at least there is a Steam-
and influence peddling.
town-and the way Joe McDade got the federal government to pay
When Flood resigned in 1980, his mantle was picked up by
for it is a small classic in the annals of pork-barrel politics.
Republican Joseph McDade, a pug-nosed back-room dealmaker
Town boosters: Steamtown is run by the National Park Service,
who has served the Scranton area since 1962. McDade, too, has a
those folks in the tan ranger hats who brought you natural
questionable ethics record. Federal investigators have spent the
wonders like Yellowstone and Yosemite and historic sites like
last four years looking into his relationship with a defense-indus-
Gettysburg and Valley Forge. But the Park Service had nothing to
try lobbyist, his acceptance of perks from coal companies and his
do with creating Steamtown, or even much say in the matter.
role in steering navy contracts to a man who pleaded guilty to
Steamtown was a failed experiment, dreamed up for overenthusi-
defrauding the government of $12 million. (McDade's lawyer,
astic Scranton town boosters, that was rescued from financial
Abbe Lowell, says his client "has done nothing wrong," adding
collapse by Joe McDade.
that after four years "the prosecution's motives must be seriously
Two principles of pork are: the bigger the bill or the later
questioned.") But no matter: McDade delivers. As a member of the
the hour, the better the chance to slide something by. McDade
24 NEWSWEEK : APRIL 13, 1992
ILLUSTRATIONS 1992 PAT OLIPHANT
working rail yard with 18 to 20 coaled-up locomotives steaming
away. To give the project respectability, its name was changed
from Steamtown USA to Steamtown National Historical Site.
Some railroad experts were skeptical. William Withun, the Smith-
sonian Institution's curator of transportation, said the project was
so large it would cause "an eventual financial hemorrhage" for the
Park Service. John White, a former transportation curator, called
Steamtown "a third-rate collection in a place to which it has no
relevance." There were already better collections in St. Louis,
Sacramento and Strasburg, Pa., noted Locomotive and Railway
Preservation magazine, which added that restoring Steamtown's
equipment would cost another $30 million to $35 million.
Meanwhile, the Park Service was so strapped for funds that
Yellowstone and Glacier were cutting hours and staff. Salaries
were so low at Yosemite that employees were applying for food
stamps. Not far from Scranton, Philadelphia's Independence Hall
was physically falling apart, according to an investigation by The
Wall Street Journal. Despite its 5 million annual visitors, the place
where the Founding Fathers signed the Declaration of Independ-
ence was 90th on the Park Service's priority list. At the top were
places like Steamtown and the Huntington, W.Va., theater that
Robert Byrd, chairman of the Senate Appropriations Committee,
was turning into a cineplex.
Railway accidents: Steamtown turned out to be-surprise!-more
costly than projected. The price tag of repairing one crumbling
bridge jumped from $2 million to $7.5 million. The rail yard was
found to be densely contaminated with PCBs. During the second
summer of Park Service operations in 1990, all eight passenger
cars in one train came uncoupled while traveling at speeds up to
50 miles an hour. "They have to learn that this is not some
Christmas-tree train," said Arnold Embleton, one of the conduc-
tors and a 42-year veteran of the Lehigh Valley Railroad, "or
they're going to get somebody killed."
Still, the money kept flowing. Not because there were any
public hearings, or expert testimony taken, or even any spending
bill authorized by the appropriate committee. The money, $40
million by last year, flowed through the back door-
"add-ons" slipped into spending bills at the last minute. "For-
used both advantages. He chose to slip
tunately Senator Robert Byrd is a person-
Steamtown-at the asking price of a mere
al friend of mine," explained McDade.
$35 million-into the gargantuan $576 bil-
Two principles of
"We've worked close to 30 years together."
lion omnibus spending bill that lurched
By last fall McDade decided to ask for a
through Congress in the final hours of the
formal authorization bill providing anoth-
1986 session. McDade accomplished this by
pork: the bigger
er $40 million to finish the project-and
doing some midnight business with a baron
$6.5 million every year thereafter to run it.
on the Senate Appropriations Committee,
the bill or the
Going through the normal legislative proc-
James McClure of Idaho. McClure needed
ess risked exposing Steamtown to scrutiny
McDade's support in the House for his own
later the hour,
and real debate. But McDade knew he had
pet projects, such as an authentic Bavarian
finally reached the point every pork-bar-
resort in the Idaho mountains. McDade
the better the
reling congressman longs for, when he can
swapped him for Steamtown. McClure
cry to his colleagues, "We've got too much
drove a hard bargain, cutting McDade's
chance to slide
money invested to kill this project now!
request to $20 million, but McDade did not
Think of all the money we'd be wasting!"
mind. He understood another enduring
It is possible that Congress will balk
principle of pork: if the camel gets his nose
something by
at throwing more money away on Steam-
under the tent, it's only a matter of time
town. But don't hold your breath. McDade
before he gets the rest of himself in, too.
is now the senior Republican on the House
The Park Service was not altogether
Appropriations Committee, which gives
happy to receive this gift from McDade. Steamtown at the
him considerable leverage over his col-
time was running an excursion line that charged $19.50 to
leagues. When they come begging, as they do every year, to the
attract very few riders. "The federal government will not be-
committee's ornate chambers in the Capitol, seeking their own
come a dumping ground for white elephants," said Park Service
dams and highways and parks, McDade will be in a position to
spokesman Duncan Morrow. "If Steamtown officials just want
trade: his vote for their projects, their votes for his. In Congress,
our money so they can continue to operate the excursion, we are
compromise usually means everyone wins, except the taxpayer.
not interested."
Two years later, the Park Service was running an excursion. Not
This and the following story are excerpted from "Adventures in
only that, they were embarked on an ambitious project to create a
Porkland," a forthcoming book by Brian Kelly, illustrated by Pat
Oliphant, to be published by Villard/Random House in September.
NEWSWEEK : APRIL 13, 1992 25
NATIONAL AFFAIRS
The Anatomy of Pork
A reader's guide to the ways lawmakers bring home the bacon
ork comes in all shapes and sizes, some well hidden, some
transportation, but in reality just goodies to be doled out to the
P
blatant, some justifiable, some of it as silly as a study of
favored few. For instance, one might reasonably ask what principle
the drinking habits of fish. The 1992 federal budget is
is demonstrated by building a four-lane highway "to eliminate
well larded with as much as $97 billion of pork, which can
traffic congestion" in a remote part of West Virginia. The answer is
be reasonably defined as everyone's money spent for the
that it demonstrates the power of Robert Byrd, senator from West
pleasure of a few. Here are some of the goodies Congress piled
Virginia, chairman of the appropriations committee, and perhaps
aboard the spending train for this year:
the most adept pork barreler in the history of Congress.
Rotten Pork: This is the really awful kind, the obvi-
Farm Pork: The biggest welfare queens wear overalls and have
ous, laugh-out-loud kind, the
kind that seems so brazen
that an ordinary person could
never imagine it being ap-
proved. Steamtown, for in-
stance. Or Lawrence Welk's
museum. Then there was the
rehab of President William Mc-
Kinley's in-laws' home, studies
of whether tequila will make
fish drunk and why the Hat-
field-McCoy feud got started,
and a couple million dollars to
build a native Hawaiian canoe.
Usually the dollars are rela-
tively small, but they can
add up. The year's best exam-
ple may have been Alaska
Sen. Ted Stevens's sty-in-the-
sky, a plan to harness the
energy of the aurora borealis in
a scheme that makes Star
Wars look like a high-school
science experiment. The proj-
ect was supposed to turn the
huge voltage of the northern
lights into electric current. But
no one, including the people
in charge of the experiment,
THAT
think it would really work.
This year's tab: $25 million for
a supercomputer for the University of Alaska in Fairbanks.
hairy arms. Last year, Congress handed out to farmers direct
subsidies worth more than $5 billion. (The budget for Head Start
Big Pork: At the deep end of the money river, these are the
programs is $2 billion.) In simple terms, and there is nothing simple
traditional sort of colossal public works projects that get built not
about "ag" subsidies, the government sets a guaranteed target
because of need or usefulness but because of power. Bills are still
price and if the market price drops below this, the taxpayer makes
coming in for the little-used $2 billion Tennessee-Tombigbee water-
up the difference. The Wonderland quality of this system is that it
way, a dig bigger than the Panama Canal which attempts to
encourages farmers to overproduce, which further drives prices
duplicate the Mississippi River a few hundred miles to the east.
down and forces the government to buy more of the crops. Which
Everyone agreed we'd never do anything like that again. But
encourages the farmers to overproduce
what's this? Snaking its way through Louisiana is the half-finished
Congress's solution: give the farmer money to not grow crops.
$2 billion Red River waterway which attempts to duplicate the
This has worked well. According to Congressman Harris Fawell,
Mississippi heading west.
by 1990 the government had paid to shut down about 60 million
Transportation provides another pot for legislators to score big-
acres, about the size of three midwestern states.
money, big-status projects. Billions of dollars are spent annually to
The result is billions of dollars in higher food prices to go along
fund suspiciously underused mass transit systems-like a train in
with the billions of tax dollars paid out directly to farmers. Take the
Buffalo that's so expensive it would be cheaper to pick up commut-
case of peanuts, which have been protected since World War II.
ers each day in a limousine. Some of the most coveted funds are for
Supply is restricted by only allowing goobers to be grown by those
so-called "demonstration projects," intended to be experiments in
who had licenses in 1941 and by sending out squads of peanut police
26 NEWSWEEK : APRIL 13, 1992
to make sure that's the way it stays. Imports are also curtailed and
of which aren't repaid. But every president since Richard Nixon
prices guaranteed. Needless to say, many peanut farmers are
has tried without success to take the piggy bank away. And al-
wealthy men. But consumers, Fawell says, pay an extra 40 cents on
though it topped Budget Director Richard Darman's hit list this
a $1.79 jar of peanut butter.
year, EDA turned out to be one of the big winners, with a hefty boost
Or consider another World War II legacy, the temporary-honey
in funding to $250 million.
program which was started to encourage production of honey as a
Another big winner was the woefully managed Small Business
sugar substitute and create a supply of beeswax to use in water-
Administration, which also traces its lineage to the New Deal and
proofing combat equipment. Now, 46 years later, honey soaks up
has been denounced by critics as diverse as David Stockman ("a
almost $200 million in annual subsidies.
billion-dollar rathole") and Common Cause magazine ("an empty
Or milk. There are twice as many dairy farmers producing twice
paean to the free enterprise system"). Despite a few notable
as much milk as the country needs. Thanks to the government,
successes-it supposedly gave Federal Express and Apple Comput-
farmers know they can make a profit milking cows, which is why
er their seed money-the agency has been a mire of scandal,
every farmer has some and why, in the mid-1980s, the government
patronage and waste with no mission other than what its congres-
had to pay farmers a billion dollars to kill the excess animals. The
sional masters decide they want doled out in a given year. SBA
cost to the consumer: up to $2 billion a year.
lends money to shaky businesses based on congressional clout and
Power Pork: Brazen political spoilsmanship that only a hand-
the default rate is an unsurprising 30 percent. The 1992 bottom line
for this agency which doesn't understand the bottom line: an 80
ful of members can get away with. The best example came from
percent budget hike to $837 million.
Daniel Patrick Moynihan, the senator from New York who treats
the grubbier business of the Senate the same way he would treat a
Presidential
Pork:
Despite
his
attacks
on
"little
carping
beetle discovered in his salade Niçoise. He even chides his col-
liberal Democrats" and their "pork barrel bonanzas," President
leagues for their pork tendencies. So it was somewhat surprising
Bush had plenty of his own in the 1992 budget. He also cut none out.
when, several months after the highway bill had passed, The Wash-
Although his budget request targeted hundreds of wasteful pro-
ington Post discovered that Moynihan had stuck his own huge piece
grams, he and Budget Director Darman made no serious effort to
of pork right in the middle of it. He felt the
eliminate any of them. As one appropria-
federal courthouse in Brooklyn was too
tions committee staffer noted, "How could
crowded and the General Services Adminis-
he try to cut anything with a straight face
tration (GSA) was dragging its feet building
The goodies
when he was putting his own in?"
a new one, SO he inserted a $450 million
The president's pork was often double-
paragraph mandating that everyone's gas
Congress piled
edged: to get his, he had to let others get
taxes be used to build his courthouse.
theirs. Consider a Bush pet: the $40 billion
Of course, one reason the GSA may not
have had the money to accommodate Moy-
aboard the
to $100 billion manned space station which
opened the floodgates to outrageous proj-
nihan was because of all the other buildings
they're told to put up, including two court-
spending train
ects throughout the HUD/VA appropria-
tions bill. The same thing happened with
houses for Bobby Byrd, and an office build-
ing named for Los Angeles congressman
could cost the
the $10 billion superconducting supercol-
lider, the atom-smashing race track near
Edward Roybal, who heads the subcommit-
Fort Worth that makes Bush's Texas cro-
tee that funds these things. There was also
what's known around Washington as the
taxpayers as
nies happy as rancheros at a pig pull, but
also cost a bundle of new water projects to
billion-dollar boondoggle, a giant federal
office complex under construction on Penn-
much as $97
buy the cooperation of Sen. J. Bennett John-
ston and Congressman Tom Bevill.
sylvania Avenue just down from the White
billion a year
The highway bill provided an interesting
House. At a time when Washington was
case study in this president's prerogative to
floating in private office space and the fed-
change his mind. Lucky for him he never
eral government was supposed to be shrink-
actually said, "Read my lips: No new pork."
ing, the government was building the big-
When the bill was first introduced, Trans-
gest structure since the Pentagon. The man behind that plan as
portation Secretary Samuel Skinner gagged at the almost 500 pork
well was none other than Daniel Patrick Moynihan.
projects-perhaps an all-time record for a single bill. They were to
Perpetual Pork: These are the programs that, once started,
be paid for by a sly increase in the federal gas tax. With White
House approval, Skinner went on the warpath and told Congress it
will never die. Many date to the New Deal and others to Lyndon
was heading for Veto City. That was, until Bush started dropping in
Johnson's Great Society. Why, for instance, does the TVA, which
the polls. Suddenly Bush started thinking like Bobby Byrd: any
makes a huge profit, still take $135 million of federal money? Or the
spending is good spending. Skinner, a pragmatist like Bush, got the
Rural Electrification Administration (REA), another well-inten-
message quick and shut up. The tax passed, the bill passed and the
tioned New Deal program that long ago completed its mission of
next time anyone heard from Skinner was when he went to Texas
bringing electricity to practically every farm in the country? But
for the signing ceremony.
since REA needs a reason for existence, it's now bringing subsidized
telephones and cable television to those same homes-at a cost this
Academic Pork: If you thought that universities were above
year of $270 million.
the grubby business of begging for federal favors, you thought
But at least these agencies can claim some accomplishments. The
wrong. Pork tied to research grants is one of the fastest growing
Johnson-era Economic Development Administration (EDA) was
types, soaring from practically nothing ten years ago to at least a
intended to help depressed rural areas, but "depressed" and "ru-
billion dollars this year. The schools who benefit tend to be small
ral" quickly got defined to include 80 percent of the congressional
colleges in strategically placed locations-the congressional dis-
districts in the country. EDA became a little piggy bank for weird
trict of somebody with clout. Wheeling College in West Virginia,
projects, including a 20-acre "water theme" amusement park in
Byrd's home, has gotten tens of millions of dollars for NASA re-
Beaumont, Texas, and grants to companies in New London, Con-
search to develop something called the "classroom of the future."
necticut. Mostly the agency gives out loans, an amazing 40 percent
And the money comes from strange places. The Pentagon, for
NEWSWEEK APRIL 13, 1992 27
NATIONAL AFFAIRS
Military construction, which has its own
Four Princes of Pork
spending bill, actually increased for the
year. And while no one's arguing that the
Robert Byrd
Alfonse D'Amato
military shouldn't keep up its facilities,
Democrat, W.Va.
Republican, N.Y.
doesn' tit seem a bit suspicious that so much
Senate Appropriations
One of the most relent
of the money goes to a few states, and not
Committee chairman has
lessly parochial lawmak
states with the most bases? The big winners
funneled almost $2 billion
ers in Congress, the wise-
in military construction were Hawaii, Alas-
to his home state in the
ka, West Virginia, Tennessee and Ala-
cracking Republican from
last two years. In the 1990
bama-each represented by powerful mem-
Long Island Is called "Sen-
budget deal, his greatest
bers of the appropriations committees.
ator Pothole" for his abili-
coup, he shook down the White House for an
ty to score everything from road funds to
Tax
Pork:
extra $100 billion in domestic spending.
favors for local banks.
This is an elusive subspecies
of the pork barrel which doesn't involve
Jamie Whitten
John Murtha
money going out, but rather money not
Democrat, Miss.
coming in. Tax pork usually comes in the
Democrat Pa
The longest-serving mem-
form of what are called targeted tax breaks
The chairman of the
ber of Congress ever
or, in the slang of the Hill, rifle-shots-so-
House Appropriations
heads House appropria-
named for the precision with which they
Subcommittee on de-
tions. A disciple of the New
find their beneficiary. Most often the break
fense is a particular
Deal, he believes that God
is a favor to an industry or even a specific
friend of the bloated Na-
intended no farmer to fail,
company or individual which gets put into
tional Guard. Over Penta-
whatever the cost-which to consumers is
the tax code because somebody made a spe-
gon protests, he saved the Philadelphia Naval
many billions a year
cial pleading to a member of Congress who
Shipyard, costing taxpayers $700 million.
had the power to change the law. And of
CLOCKWISE FROM TOP LEFT: MAIMAN-SYGMA, MAASS-SIPA, DOWNING-NEWSWEEK, NORDELL-JB PICTURES
course in each case, the beneficiary be-
lieves he has a great case for why he
instance, will have to pay more than $100 million for research of
shouldn't have to pay the tax-as does probably everyone in the
questionable value, including funds to put a submarine in an
country who pays taxes, the difference being that only a lucky few
Oregon museum and to breed fish in Hawaii. Sen. Sam Nunn, who
ever find a sympathetic ear.
sees himself as the sober guardian of the Pentagon, was outraged
But one man's tax break is another man's tax bill. Every special
when he discovered the funds. "This is not the way the process is
break means a dollar not received by the Treasury and thus a dollar
supposed to work," he hollered.
that either has to come from someone else, or has to be borrowed. So
Defense Pork: Of course the Pentagon itself is the big-
each favor has to be paid for. In "Showdown at Gucci Gulch," a
dissection of the 1986 tax reform act, authors Jeffrey Birnbaum and
gest pork bonanza of all, a virtual Iowa county full of grunting
Alan Murray write of the day Ways and Means chairman Dan
SOWS. For most of the congressmen in America, their hearts told
Rosten kowski down at a.m. and started calling key congressmen
them it was time to slash the bloated military budget, but their
with a question: "What do you need?" By theend of the day, he' dgiven
heads told them, Whoa! We're talking about jobs here! New weap-
away $5 billion in taxpayers' money. A total of $20 billion in special
ons in the budget included an air-cushion amphibious landing
breaks was given out in 1986, then thought to be an all-time record.
craft and the Osprey, a $25 million-a-copy combination helicopter-
(But the 1991 budget contained $27.4 billion in special interest
plane the Marines apparently want but the Pentagon had been
breaks, according to the Citizens Against Government Waste.)
trying to kill for three years.
Amazingly, the Pentagon,
People's Pork: There's
led by Defense Secretary Dick
Cheney, who genuinely seems
to want to cut spending, said it
CHRHATTON
one more unpleasant item to
mention here. Some would call
had enough stuff. Remember
it the biggest pork of all. The
the array of aircraft in the war
budget gurus call it entitle-
with Iraq? The U.S. used only
ments. And the average person
10 of its 57 fighter wings for the
thinks of it as his social security
whole war. The war showed the
check, or his Medicare reim-
clearest proof that we didn't
bursement, or his kid's college
need more weapons. But more
loan. We're talking hundreds of
billions of dollars here. You can
got bought because some con-
gressmen wanted them and
think of it as pork in the sense
deals were cut. The Ohio and
that it's politicians giving you
Michigan guys wanted the M-1
URP
your money back to make you
tank; the Pennsylvanians cov-
happy. The only problem is,
eted the Osprey, and so on.
they're giving you more than
"The choices we're making
you put in. Medicare, for in-
aren't about jobs back home
stance, has come to have the
in the district," Cheney com-
same free lunch quality as
plained in one speech. "It's not
all those highways and court-
about how much pork a con-
houses Bobby Byrd's handing
gressman's able to deliver on
to his West Virginia voters.
election day. It's preparation
But of course, everyone knows
for the next time we go to war."
there's no such thing as a free
lunch. Right?
NEWSWEEK APRIL 13, 1992 29
SENT BY:HERITAGE FOUNDATION-1 :12- 4-76 1:09AM ;
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Heritage Foundation
214 MASSACHUSETTS AVENUE, N.E.
WASHINGTON, D.C. 20002
Telephone: (202) 546-4400
FACSIMILE TRANSMISSION SHEET
Date: 4/2/92
Time: 9:30
To: Carol Aarhus
W.H. Sycedwriting
Facsimile #: 456.6218
voice 456-750
This cover plus
pages
Message #:
From: Dave Mason
Comments: Pete Wilson's speed on Franking, as
we discussed.
Dan
If you have any problems with this transmittal please call
at (202) 546-4400.
SENT BY:HERITAGE FOUNDATION-1 :12- 4-76 1:11AM
;
2025442260->
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Helping the War on Drugs. So, the very next day, September 6, I grasped at a rather
fortunate opportunity. On that day, our first day back in session after the August recess, the
Senate considered the bill providing funds for Congress. And an opportunity was born.
Certainly, Congress would be willing to expend some of its budget to help fund the drug
war. And certainly the carping Democrats in Congress, who trashed the President's drug
strategy as being too little, would be willing to cinch in their own belts a little to help such a
worthy cause- the war on drugs.
So I offered a simple amendment: It would prohibit members of Congress from sending
unsolicited mass mail. The money that was saved would be redirected to provide treatment
for drug-abusing pregnant and postpartum women and their children. Out of the budget
recommended by the Senate Appropriations Committee, that amounted to a transfer of
approximately $45 million.
Now, $45 million may not seem like a lot of money in a trillion dollar budget, and it is
certainly not up to the full task of meeting the problem at hand. But, believe it or not, $45
million amounts to ten times what was otherwise proposed by Congress to help drug
dependent pregnant women and drug abused children.
The limits that would have been imposed by my amendment would simply have tailored
use of the frank to what is rational and affordable: It would have allowed members of
Congress to answer their mail, but not to campaign for reelection on the public dole.
Good Assessment. While preventing the mailing of unsolicited mailings of substantially
identical material to more than 500 people, it would allow Congress to answer every
constituent, and further, to send follow-up mail on subjects previously written about. It also
would allow sending mail to public officials and material to the press without limitation.
And if the audience consisted of fewer than 500 people, there would be no limit on
unsolicited mailings.
I do not know if there are any pollsters in the audience, but if so, you know that an
unsolicited letter sent to sample the views of 500 people provides a rather good assessment
of the views of the public at large. Of course, if the purpose is something other than
soliciting views, such as raising the politician's name recognition, then 500 letters does not
really do the job. Of course, that is not why the frank was devised- it has just evolved in
that way.
As reasonable as my amendment was, it led to a spirited debate on the floor. A few
Senators strongly opposed my proposal. One said that the newsletter allowance permitted
him to inform his constituents how to protect themselves from toxic chemicals, how to
protect themselves from radon in their homes, and how to protect their children from
abduction. All are worthwhile, even critical goals; the public needs the information. But
with due respect to my colleague, was he really intent on informing them of dangers, or was
he most interested in letting them know that it was he who was giving them this critical
information? And other Senators echoed this view that mass mailings provide a means of
educating the public on a variety of issues of the day.
From the debate, one would think that, if the flow of 400 million unsolicited letters and
400 million town meeting notices from Washington were stopped, the rest of the country
outside the Washington Beltway would suddenly be struck ignorant. But is Congress the
only entity in our country that can properly inform the electorate? Certainly Congress is
well-equipped, with four-color presses, massive paper allotments, computers to address
envelopes, and machines to stuff them.
2
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to do all sorts of things, some of which may actually be agreeable, while others are just plain
petty.
The fight goes on. I face opposition on three grounds. The first is that my proposal to
abolish newsletters and other unsolicited mail is "not serious." That is what Congressman
Fazio said. Indeed, in 1986 when I started along this road, Congressman Fazio said that it
was easy for me to propose this as I was not then running for reelection- implying that I
did not need the publicity that comes from sending newsletters. Now he claims that I am
pushing my proposal because I am running for Governor of California. Apparently, he feels
that he cannot carry the argument on the merits. The fact is that he just cannot carry the
argument- period.
Then, there is the argument made by Mr. Fazio that, with the addition of $40 million for
drug dependent pregnant women in the just passed Senate drug bill, there is a total
appropriation for fiscal 1990 of $45 million, which is enough. Well, ten times that amount
would not be enough, and $45 million more would certainly not be too much.
Returning Junk Mail. Finally, Congressman Fazio makes the argument that the
American public wants to receive congressional junk mail. My response to that is that I
receive approximately 15,000 pieces of mail each week, and I do not recall receiving one
asking me to crank up the presses to send out newsletters.
Maybe a better indication of the public's support for newsletters comes from a radio
station in Congressman Fazio's district. Taking a page from the radio show campaign that
asked listeners to send tea bags to Washington to protest a congressional pay raise, this
station is urging listeners to send their junk mail to the Congressman.
It seems that, when it comes to newsletters, Congress is simply unable to go cold turkey.
And you would think it would be easy, for those who would put their personal political
interests ahead of the cries of drug-abused infants are certainly cold. And as for the second
part of the cold turkey equation, the Congress definitely has its share who qualify. It is a
Congress that is so self-indulgent that it is so far unwilling to make any self-sacrifice to deal
with our country's number one social problem - drug abuse.
With the support of the American public, and a little soul searching and self-sacrifice by
my colleagues, I am hopeful that we can reset our priorities and devote our resources
toward helping those in need, not those in office.
stry ""IH 00ES-L9H INV
CAGW
4
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The Congressional Frank: A Simple Case of Abuse
By Senator Pete Wilson
Speaking here today gives me a chance to discuss what I call the "frank-enstein" monster
that ravages millions of mailboxes across the country. It is truly hard to fathom the number
of pieces of franked mail sent out by Congress each year. First, historically, Congress spends
only about 8 percent of its mail budget to send letters in response to constituent inquiries.
The rest, around 92 percent, goes for unsolicited mail..
How much mail, you ask? In 1988, Congress sent out more than 400 million pieces of
letter-sized junk mail (newsletters and first class mail in envelopes) and an equal number of
post cards, purportedly to announce town hall meetings, but actually to raise the name
recognition numbers.
My crack staff figured that, stacked on top of one another, these 800 million pieces of
mail would create a pile 424 miles high. End to end, they would stretch around the Earth
more than 3 1/2 times (94,698 miles).
Not being one to let an opportunity to drive the point home go by, I asked my staff what
would constitute the equivalent weight of 800 million pieces of mail (that is, 20 million
pounds). I received a number of answers: 746 Greyhound buses, 171 Chieftan tanks, or one
U.S. Navy cruiser. The most colorful response was 270 sperm whales. Unfortunately, it is
the whale that is the endangered species.
Thus I discovered what it takes to send out 800 million pieces of junk mail. Recognizing
that we have to look for savings everywhere if we are to bring down federal spending to
meet revenues- rather than the other way around as preferred by the Democrats - in 1986
I offered an amendment on the floor of the Senate to prohibit unsolicited mass mail. The
amendment failed.
In subsequent years I have offered my proposal again in various forms. I did rather well in
the Senate when we had voice votes on budget resolutions, but in final form, these only
slightly binding legislative packages never included my proposal.
This past winter, at the start of the 101st Congress, the Senate Rules Committee actually
brought to the Senate a proposal to expand the ability of Senators to send junk mail. I tried
to stop it, but I lost 50 to 47.
Finding the Right Time. Politics is many things, and as someone who has been in politics
for more than twenty years and not won every race the first time, I know that timing is
critical. Of course, finding the right time can be a little tricky.
The right time came this month. On September 5, after spending a very restful and
invigorating vacation in the United Kingdom, I landed at Dulles Airport and drove to my
office on Capitol Hill just in time to hear the President presenting his National Drug
Control Policy to the nation. In his speech, he called on the whole country to pitch in, for
everyone to take an active roll in the war on drugs.
Pete Wilson represents California in the United States Senate.
He spoke at The Heritage Foundation on September 20, 1989.
ISSN 0272-1155. ©1989 by The Heritage Foundation.
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Step Toward Privatization. It has always been my understanding, however, that it is the
primary job of Congress to legislate and then to oversee the Executive's implementation of
these laws, and that it is the role of the press to inform the public. If it is news, if it is in the
public's interest- and health and safety definitely qualify - then the media will spread the
word. They are the best retailers of the news. Perhaps one way to look at a ban on
congressional newsletters is that it is another step toward privatization.
So we voted, and the Wilson Amendment carried 83 to 8. Then the bill went to a
House-Senate Conference Committee. The House of Representatives tried to wait out the
notice that my amendment received - very good notice, I might add. Vic Fazio, the
Chairman of the House Legislative Branch Appropriations Subcommittee ran the show in
the House, but he could only wait so long, and as time went by, public attention grew. So,
when the House was asked to instruct its conferees on the Wilson Amendment, it voted by a
2 to 1 margin to support the limits that I had proposed.
All of a sudden, however, the slow moving congressional funding bill picked up speed; in
fact, it accelerated so quickly that one of my staff members who knows about such things
said that it reminded him of one of those top-end speedsters that are called funny cars.
Within two hours after the House told its conferees to accept the Wilson Amendment, the
House conferees sloughed off their instructions and took the opposite tack. They moved
forcefully to delete the Wilson Amendment banning newsletters. They were so forceful,
apparently, that they were able to force their Senate counterparts to drop it.
The House conferees went even further. They insisted that the Senate drop provisions
requiring that spending on the frank by each member of Congress be publicly disclosed. So
much for helping to inform the public.
Budgetary Profligacy. The House also insisted that the Senate drop its proposal to stop
the Post Office from violating a law that applies to every other government function - the
so-called "Anti-Deficiency Act." That law states that no federal funds may be spent unless
they have been appropriated. However, this very simple and straightforward law does not
apply to transporting congressional mail. Perhaps here we have found the very epitome of
budgetary profligacy.
And in a final bit of sanctimony and contempt, the House conferees insisted that the
Senate drop its proposal requiring franked letters to carry the legend, "Prepared,
Published, and Mailed at Taxpayer Expense." The Senate conferees backed down.
It is often said on Capitol Hill that we need a United States desk at the State Department,
for that agency of our government often seems to ignore the will of the American people in
order to serve some "higher purpose." Well, Congress would appear to need a United
States desk, too, for Congress clearly feels exempt from the call to arms. We exempt
ourselves from almost every law, such as minimum wage, equal employment, and OSHA,
but when Congress exempts itself from the war on drugs, it truly sets a new low.
Yesterday, the House agreed to the Conference Report, after defeating an effort to send
it back to the House-Senate conference committee an effort that failed by a 2 to 1 margin.
Now it is on to the Senate.
When the Senate takes up the Conference Report on the congressional funding bill, as
early as next week, the Senate will be given a chance to renew its vows to eliminate monies
for mass mailings. If I am successful, the bill will go back to the House, which is threatening
3
&
and CHEME THE UNITED OFFICE
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
February 13, 1992
NOTE FOR JEANNIE BUNTON
FROM:
BERNARD H. MARTIN
Amp
Attached, as you requested, is an illustrative list of
Administration bills transmitted to the 1st Session of the
102nd Congress upon which Congressional action was delayed
or not taken.
Attachments
INDEX
Page
1. AMERICA 2000 Excellence in Education Act
1
2. Andean Trade Preference Act of 1990
1
3.
California Public Lands Wilderness Act
1-2
4. Civil Rights Act of 1991
2
5. Comprehensive Violent Crime Control Act of 1991
2-3
6. Enterprise for the Americas Initiative (EAI)
3
7. Enterprise Zone-Jobs Creation Act of 1991
3
8.
Financial Institutions Safety and Consumer
Choice Act of 1991
3-4
9.
Health Care Liability Reform and Quality of
Care Improvement Act of 1991
4
10. Higher Education Act Amendments of 1991
4-5
11. International Cooperation Act of 1991
5
12. International Monetary Fund (IMF)
6
13. National Energy Strategy (NES) Act
6
14. Resolution Trust Corporation (RTC) Funding
and Restructuring
6-7
15. Surface Transportation Assistance Act of 1991
7
1.
AMERICA 2000 Excellence in Education Act -- Supports the
National Education Goals through activities to promote
education reform and improve educational achievement.
-- Transmitted to Congress by the President on 5/21/91.
-- Introduced as HR 2460 (Michel) on 5/23/91, and as S.
1141 (Kennedy, by request) on 5/23/91. Referred to
House Education and Labor Committee on 5/23/91. No
action on Administration bills.
-- HR 3320 (Kildee) introduced on 9/12/91. Reported by
House Education and Labor Committee on 11/7/91.
Administration position: Governor Sununu sent letter to
Chairman Goodling on 10/16/91 stating that school choice
provision in the bill as introduced was acceptable, but
the Administration has concerns about other provisions.
-- S. 2 (Kennedy) introduced on 1/14/91. Passed Senate on
1/28/92. Administration position: Statement of
Administration Policy sent to the Senate on 1/21/92
stating that the President's senior advisors would
recommend that he veto S. 2 because it fails to carry
out the President's AMERICA 2000 program.
2.
Andean Trade Preference Act of 1990 - Authorizes a trade
preference program patterned after the Caribbean Basin
Initiative (CBI) for the four Andean countries of Boliva,
Colombia, Ecuador, and Peru.
-- Transmitted to Congress 10/5/90 by the President.
-- Introduced as H.R. 661 (Crane) on 1/28/91
S. 275 (Dole) on 1/29/91.
-- Administration bill included in H.R. 1724 (Gibbons),
which was signed 12/4/91 as P.L. 102-182.
3.
California Public Lands Wilderness Act - Designates as
wilderness certain California public lands managed by the
Bureau of Land Management.
-- Transmitted to Congress by the President on 7/29/91.
-- Introduced as H.R. 3066 (Rep. Lewis, et. al.) on
7/29/91.
-- Democratic alternative bills introduced as H.R. 2929
(Rep. Levine, et. al.) on 7/17/91 and S. 21 (Cranston,
et. al.) on 1/14/91.
-- Statement of Administration Policy sent to Congress
10/31/91 strongly opposed H.R. 2929, indicating the
Secretaries of Defense and the Interior would recommend
a veto if the bill were presented to the President in
its current form. of particular concern, the bill would
designate an amount of land that far exceeds what is
suitable for protection as wilderness. The bill would
also adversely affect operations at five major military
installations in southern California.
-- H.R. 2929 reported by House Interior Committee on
11/4/91 and passed by the House on 11/26/91 by a vote of
297-136.
4.
Civil Rights Act of 1991 - Strengthens laws against
employment discrimination.
-- Transmitted to Congress on 3/1/91.
-- Introduced as S. 611 (Dole et al.) and H.R. 1375 (Michel
et al.) on 3/12/91.
-- H.R. 1 was the subject of a veto threat in a 6/3/91
Statement of Administration Policy and passed the House
on 6/5/91.
-- S. 1745 was the subject of a veto threat in a 10/23/91
Statement of Administration Policy, passed the Senate
amended on 10/30/91, and passed the House on 11/7/91.
-- S. 1745 was enacted as P.L. 102-166, approved 11/21/91.
The major objectionable provisions were removed or
modified.
5.
Comprehensive Violent Crime Control Act of 1991 - Principal
provisions establish constitutional sound procedures for
applying existing death penalty laws; allow the death
penalty in other cases; limit the use of habeas corpus
petitions; and allow certain evidence found in
unconstitutional searches to be used in court.
-- Transmitted to Congress by the President on 3/11/91.
-- Introduced as H.R. 1400 (Michel et al.) on 3/12/91 and
as S. 635 (Thurmond et al.) on 3/13/91.
-- S. 1241 was the subject of a veto threat in a 6/19/91
Statement of Administration Policy and passed the Senate
on 7/11/91.
-2-
-- H.R. 3371 was the subject of a veto threat in a 10/15/91
Statement of Administration Policy and passed the House
on 10/22/91.
-- The House agreed to the conference report on H.R. 3371,
notwithstanding a Presidential veto threat, on 11/27/91.
The Senate failed to invoke cloture (49-38) on the
conference report on 11/27/91.
6.
Enterprise for the Americas Initiative (EAI) - Restructures
trade, investment, and debt to advance the economies and
environment of certain Latin American and Caribbean
countries.
-- Transmitted to Congress on 2/26/91 by the President.
-- Introduced as S. 553 (Pell) on 4/23/91
H.R. 3267, Title V (Oakar/Leach) on 8/2/91.
-- Administration bill modified by Congress and
incorporated into the International Cooperation Act of
1991 (H.R. 2508). (See above)
-- Conference report, which included EAI, was defeated in
House on 10/30/91.
7.
Enterprise Zone-Jobs Creation Act of 1991 - Authorizes tax
incentives for job creation and entrepreneurial activity in
up to 50 distressed urban and rural communities.
-- Transmitted to Congress on 2/25/91.
-- Introduced as H.R. 23 (Rangel) on 1/3/91 and as S. 1032
(Danforth et al.) on 5/9/91.
-- No action was taken in either House in 1991.
-- Resubmitted by OMB on 1/29/92 as part of the "Economic
Growth Tax Act of 1992."
8.
Financial Institutions Safety and Consumer Choice Act of
1991 - Principal provisions authorize interstate banking and
branching; authorize commercial ownership of financial
services holding companies; and recapitalize the Bank
Insurance Fund.
-- Transmitted to Congress on 3/20/91.
-- Introduced as H.R. 1505 (Gonzalez/Wylie) and S. 713
(Riegle/Garn) on 3/20/91.
-3-
-- H.R. 6 was the subject of a veto threat in a 10/31/91
Statement of Administration Policy and was defeated on
the House floor on 11/4/91.
-- H.R. 2094 was supported in a 11/13/91 Statement of
Administration Policy and was defeated on the House
floor on 11/14/91.
-- H.R. 3768 was supported in a 11/20/91 Statement of
Administration Policy and passed the House on 11/21/91.
-- S. 543 was supported in a 11/13/91 Statement of
Administration Policy and passed the Senate on 11/21/91.
-- The conference report on S. 543 was enacted as P.L. 102-
242, approved 12/19/91. The enacted version
recapitalized the Bank Insurance Fund and contained
other Administration proposals (with modifications), but
did not authorize interstate banking and branching or
commercial ownership of banks.
-- Unenacted portions of the Administration's 1991
proposals were resubmitted in draft by OMB on 1/29/92
and introduced as part of H.R. 4150 (Michel et al.) on
2/4/92.
9.
Health Care Liability Reform and Quality of Care Improvement
Act of 1991 - Provides incentives through the States to
control medical malpractice litigation and improve the
quality of health care.
-- Transmitted to Congress by the President on 5/15/91.
-- Introduced as S. 1123 (Hatch/Danforth) on 5/22/91 and as
H.R. 3037 (Archer et al.) on 7/25/91.
-- No action was taken in either House in 1991.
-- Introduced as part of H.R. 4150 (Michel at al.) on
2/4/92.
10. Higher Education Act Amendments of 1991 -- Reauthorizes the
postsecondary education student aid grant and loan programs
by changing award amounts and eligibility.
-- Transmitted to Congress by the Department of Education
(ED) on 6/5/91.
-- Introduced as S. 1246 (Pell) on 6/6/91, and as HR 2627
(Goodling) on 6/12/91. Referred to Senate Labor and
Human Resources Committee on 6/21/91, and to House
-4-
Education and Labor Committee on 6/12/91. No action on
Administration bills.
-- HR 3553 (Ford) introduced on 10/11/91. Ordered reported
by House Education and Labor Committee on 10/23/91.
Administration position: ED report sent to House
Education and Labor Committee on 10/21/91 stating the
President's senior advisors would recommend that he veto
HR 3553 because it would make Pell grants an entitlement
and establish a direct student loan program, in place of
the guaranteed student loan program.
-- S. 1150 (Pell) introduced on 5/23/91. Reported by
Senate Labor and Human Resources Committee 11/12/91.
Administration position: ED report sent to Senate Labor
and Human Resources Committee on 10/29/91 stating that
the President's senior advisors would recommend that he
veto S. 1150 because it would make Pell grants an
entitlement.
11. International Cooperation Act of 1991 - Revises the Foreign
Aid statutes to update, streamline, and provide greater
flexibility for the administration of international
development and security assistance programs. This proposal
would also authorize special assistance initiatives for
Eastern Europe and the Philippines.
-- Transmitted to Congress on 4/12/91 by Department of
State.
-- Introduced as H.R. 1792 (Fascell/Broomfield) on 4/16/91
S. 956 (Pell) on 4/25/91.
-- Administration bill significantly modified by Congress
and considered in form of H.R. 2508 (Fascell), which
passed both Houses in different form.
-- Administration strongly opposed conference report on
H.R. 2508 because of objectionable abortion-related
provisions, cargo-preference requirements, and other
restrictions which limited Presidential flexibility to
administer foreign aid programs.
-- Conference report on H.R. 2508 passed Senate on 10/8/91
but was defeated in House on 10/30/91.
-- Defeat in House attributed to: (1) member objections to
providing. foreign aid while domestic economy in
recession; and (2) Administration's strong objections.
-5-
12. International Monetary Fund (IMF) - Authorize appropriations
for U.S. participation in an IMF quota increase.
-- Transmitted to Congress on 3/26/91 by Department of the
Treasury.
-- Introduced as S. 819 (Pell) on 4/16/91, H.R. 3267,
Title I (Oakar/Leach) on 8/2/91.
--
Administration bill incorporated into the International
Cooperation Act of 1991 (H.R. 2508). (See above)
-- Conference report, which included IMF, was defeated in
House on 10/30/91.
13. National Energy Strategy (NES) Act - Encourages growth of
future energy supplies of oil, natural gas, nuclear power
and enhanced energy efficiency.
-- Transmitted to Congress by the Secretary of Energy on
3/4/91.
-- Introduced as S. 570 (Johnson/Wallop) and H.R. 1301
(Dingell/et. al.) on 3/6/91.
-- Senate Energy Committee reported S. 1220, a comparable
bill except for inclusion of Corporate Average Fuel
Economy (CAFE) provisions, on 6/2/91.
-- Senate attempt to invoke cloture on S. 1220 failed (50-
44) on 11/11/91.
--- Senate cloture achieved (90-5) on 2/4/92 on S. 2166, a
revised bill which excludes CAFE and Arctic National
Wildlife Refuge provisions.
-- Senate began consideration of S. 2166 the week of
2/3/92.
-- House Energy s/c referred its version of a NES bill,
H.R. 776, for full committee consideration on 10/31/91.
H.R. 776 contains a number of problematic provisions.
14. Resolution Trust Corporation (RTC) Funding and Restructuring
- Provides $80 billion for the RTC and restructures its
management.
-- Transmitted to Congress on 9/27/91.
-- Introduced as H.R. 3435 (Gonzalez et al.) on 9/30/91 and
as S. 1896 (Riegle/Garn) on 10/30/91.
-6-
-- H.R. 3435, as reported amended by the House Banking
Committee, was the subject of a veto threat in a
11/23/91 Statement of Administration Policy, passed the
House with further amendments on 11/27/91, and passed
the Senate on 11/27/91.
-- H.R. 3435 was enacted as P.L. 102-233, approved
12/12/91. It provided $25 billion through 4/1/92, and
restructured the RTC's management.
-- A new bill to provide the remainder of the $80 billion
was transmitted to Congress on 1/22/92.
15. Surface Transportation Assistance Act of 1991 - Provides FY
1992-1996 authorizations for highway and transit programs;
extends highway-related taxes through FY 1998; and
establishes a new Federal-State framework for highway and
transit programs.
-- Transmitted to Congress on 2/12/91.
-- Introduced as S. 610 (Chafee et al.) and H.R. 1351 (Roe
et al.) on 3/7/91.
-- S. 1204 was the subject of a veto threat in a 6/11/91
Statement of Administration Policy, and passed the
Senate on 6/19/91.
-- H.R. 2950 was the subject of a veto threat in a 10/22/91
Statement of Administration Policy and passed the House
on 10/23/91.
-- The conference report on H.R. 2950 was enacted as P.L.
102-240, approved 12/18/91. It provides program
authorizations through FY 1997, extends taxes through FY
1999, and restructures the programs, in part as
recommended by the Administration. The major
objectionable provisions were removed or modified.
-7-
Jack Anderson and Dale Van Atta
Congress's Big Spenders
There are 535 elected representatives in
hopeful Bob Kerrey (D-Neb.), who topped
Congress, all of whom carry the burden of
the list at just over $300 billion. He was
reducing the federal deficit, now estimated
the only senator to put his name on a
at close to $3 trillion. But only one has a
costly universal health-care bill, which ac-
legislative track record that would do that.
counts for most of the money that he
Herbert Bateman, a little-known Republi-
proposed spending.
can from southern Virginia, was surprised
The next in line is Edward Kennedy
to learn that it was he. If every bill of
(D-Mass.), whose total was $45 billion.
significance that Bateman introduced in this
Rounding out the top five in the Senate
session of Congress had been passed, he
were Donald Riegle (D-Mich.) Jay Rocke-
would have saved the government $463
feller (D-W.Va.) and Christopher Dodd
million. Bateman was the only member of
(D-Conn.), all of whom proposed spending
Congress whose legislative proposals re-
in excess of $37 billion.
sulted in less instead of more spending.
The union found that Democrats in the
The tally was run by the National Tax-
House were six times more likely than
payers Union and is called the Balanced
Republicans to sponsor new spending bills
Budget Tracking System. It will make more
and less than half as likely to sponsor bills
than a few members of Congress hopping
that save money. Senate Democrats were
mad. They will argue that some legislative
2.3 times as likely as their Republican
packages are inherently more expensive
peers to sponsor new spending bills.
than others, that some bills costing money
Many of the House Democrats who were
up front will save money in the long run.
high on the spending list got there because
But the bottom line is, in a time of unrelent-
they too signed on as sponsors or cospon-
ing recession and a staggering federal defi-
sors of costly health-care bills that are
cit, Congress still introduces more bills to
making their way through committees.
spend money than to save it.
Eastern Democrats in the House aver-
The National Taxpayers Union looked at
age more than $113 billion in spending
all of the legislation proposed in the 102nd
proposals. On the thrifty end of the spec-
Congress up to Sept. Il and ended up
trum are Western Republicans, whose
counting every bill that would result in
average spending proposals added up to
annual spending increases or decreases of
just over $8 billion.
at least $10 million. Major multiple pro-
During the first eight months of 1991,
grams such as highway bills and energy bills
bills introduced in Congress would have
were not counted, nor were any bills intro-
resulted in an average of $43 spent for
duced at the request of President Bush, nor
every $1 saved. In the Senate, bills that
any legislation dealing with taxes.
advocated new spending were 25 times
Heading the list as the member of the
more numerous than bills that would cut
House most eager to spend your money
expenses. In the House, eight times as
was Rep. Charles Rangel (D-N.Y.). All the
many bills were introduced to increase
bills he sponsored or cosponsored in the
spending as those that would reduce it.
last eight months would cost the taxpay-
If all of the bills proposed in the House
ers $331 billion. Rangel's defense is that
were enacted, federal spending would in-
much of the cost would be offset by future
crease by $491 billion, while all the bills
savings. For example, he sponsored a bill
introduced in the Senate add up to an
to combat drug addiction, one of his pet
increase of $429 billion.
projects, and figures it would eventually
reduce the amount of money lost to the
The figures do not distinguish between
"good" and "bad" legislation. It would be
overall economy because of drug abuse.
unrealistic for Congress to tally eight
Rangel is not the only big spender in the
months worth of legislation that resulted
House. Democrats Matthew Martinez
in a net savings to the taxpayers. The cost
(Calif.), Barney Frank, (Mass.), Edolphus
of government services that the taxpayers
Towns, (N.Y.) and Charles Hayes (III.) all
demand keeps going up. But despite the
came out with totals of more than $300
billion.
realities, the astronomical figures show
that Congress is only paying lip service to
On the Senate side, the numbers are
its obligation to reduce the federal deficit.
smaller with the exception of presidential
© 1991, United Feature Syndicate Inc.
policy
Fall 1991
Number 58
$4.50
Conservatism's Growing Pains
Edwin J. Feulner Jr.
Why Communism Failed
Adam Meyerson
Is Japan Our Enemy?
Seth Cropsey
Reclaiming the Culture
Heather S. Richardson
Canada's Patient Patients
Edmund F. Haislmaier
Food Fight on Capitol Hill
Robert Rector
The Loneliness of the Black Conservative
Clarence Thomas
13
0
74470'65831
3
PORK CHOP
Budget Questions for Your Congressman
SCOTT A. HODGE
E
Ivery $1 million reduction in federal spending would
*Number of households provided $3,000 tax relief: 3,300
provide $3,000 in tax relief to 333 households. Every
Question: Has the program failed, fulfilled its mis-
$1 billion reduction in federal spending would provide
sion, outlived its usefulness, or simply become ir-
$3,000 in tax relief to 333,000 households. An ap-
relevant?
propriate question for every line-item in the federal
The Small Business Administration is often cited as a
budget is therefore: "Is this program so important that
classic example of a program that has failed completely.
the dollars spent on it cannot be given as tax relief for
The SBA loses approximately 12 percent each year on
hundreds of families?" Congress is primarily responsible
the $3 billion of loan guarantees it issues. As many as 20
for spending decisions, and hence for rising federal
percent of SBA direct loans default. Only two-tenths of
taxes. To help your congressman evaluate whether
1 percent of all small businesses in the nation receive
programs are genuinely needed, it helps to ask him
SBA loans, yet every American taxpayer-including
some additional questions along the way.
other small business owners-are required to pitch in
Question: Does the program serve localized or special
$318 million a year to pay for it. The SBA should be
interests rather than the nation as a whole?
abolished.
Congress funded a $250,000 project through the
* Number of households provided $3,000 tax relief: 106,000
Cooperative Extension Service to assist in the expansion
Enacted in 1955, the federal wool and mohair subsidy
of the Toledo Farmers' Market. This program clearly
program was intended to insure a consistent source of
benefits solely the Toledo area although every working
wool and mohair for military clothing. Both of these
American is taxed to pay for it. This program should be
items were taken off the Pentagon's list of strategically
funded at the local level.
critical materials in 1960. Yet taxpayers continue to chip
* Number of households provided $3,000 tax relief: 83
in $175 million per year to subsidize these products. The
At a cost of well over $100 million, members of
wool and mohair subsidy program should be eliminated.
Congress each year fund dozens of "highway demonstra-
* Number of households provided $3,000 tax relief: 58,300
tion projects" that have nothing to do with demonstrat-
The Rural Electrification Administration was created
ing new construction techniques and everything to do
in 1935 to bring electricity, and later telephone service,
with showing how well they can bring home the bacon.
to rural areas of the country. The REA is one of the few
Last year, for example, members spent $10.2 million for
major federal programs to fulfill its mission. Today, 99
an off-ramp and access road to a private sports stadium
percent of rural Americans have electricity and 97 per-
in Milwaukee; $3.4 million for improvements on Fifth
cent have telephone service. Yet REA still gives out nearly
and Sixth Streets in Waterloo, Iowa; $9.35 million for an
$2 billion in loans annually at a cost to the taxpayer of
"Urban Highway Corridor and Bicycle Path" in Macomb
almost $160 million. It is time REA companies became
County, Michigan; and $3.7 million for a railroad cross-
self-sufficient.
ing in Springfield, Illinois.
*Number of households provided $3,000 tax relief: 53,500
*Number of households provided $3,000 tax relief: 33,500
Question: Does the program duplicate, contradict, or
This year, members of Congress will force the Nation-
nullify the mission of other programs?
al Park Service to spend $150,000 to study the century-old
The Trade Adjustment Assistance program is in-
Hatfield-McCoy feud in Matewan, West Virginia;
tended to provide unemployment benefits to certain
$320,000 to purchase the home of President William
workers who were displaced as a result of foreign com-
McKinley's in-laws and donate it to the state of Ohio;
petition. Determining the status of workers who became
and to give out $2 million in Urban Park Grants to such
unemployed due to foreign competition, domestic com-
needy cities as Chicago. Eliminating these and similar
parochial projects forced upon the National Park Service
SCOTT A. HODGE is Grover M. Hermann fellow in federal
would save taxpayers over $10 million.
budgetary affairs at The Heritage Foundation.
58
Policy Review
Archive Photos/Lambert; The Bettmann Archive; Photofest
Just three federal programs that could be eliminated: the federal Helium Reserves, which were started in 1929 to
insure a consistent supply of helium for blimps; the National Park Service's $150,000 study of the feud between the
Hatfields and the McCoys; and the Arkansas "Poultry Center of Excellence," which receives $3.8 million a year.
petition, or a host of other reasons has always been
with this industry. Selling the assets of this program to
difficult. Yet, once given this recognition, these workers
the private sector could generate $465 million.
are eligible for greater benefits than other workers
* Number of households provided $3,000 tax relief: 155,000
without this distinction. Eliminating TAA cash benefits
Question: Does the program benefit businesses or
would make all unemployment insurance programs
income groups with more than sufficient means to help
fairer and save taxpayers $95'million.
themselves?
* Number of households provided $3,000 tax relief: 31,600
Three federal child nutrition programs-the School
The Appalachian Regional Commission was estab-
Lunch Program, the School Breakfast Program, and the
lished in 1965 to foster economic development in the
Child Care Food Program-all provide benefits to
Appalachian region of the United States. Since its incep-
families with incomes of over $25,000 per year, or 185
tion, the federal government has spent nearly $7 billion
percent of the poverty level. Eliminating the $1 billion
in this economically distressed region, two-thirds of this
in annual subsidies to these income groups would not
on investment on roads. At a cost to taxpayers of about
adversely affect the poor. On the contrary, it would
$130 million per year, the ARC duplicates 14 federal
ensure that scarce federal resources would be targeted
rural aid programs provided by the Departments of
to those in need.
Transportation, Labor, and Agriculture.
*Number of households provided $3,000 tax relief: 333,000
* Number of households provided $3,000 tax relief: 43,300
The government spends roughly $3 million annually
The Department of Agriculture's Conservation
to support a catfish research farm in Stuttgart, Arkansas.
Reserve Program offers farmers an incentive to volun-
The findings of this research is intended to benefit the
tarily remove "highly erodible cropland and other en-
thriving $200-million-per-year catfish industry. Just down
vironmentally sensitive land from production for a
the road is the Arkansas "Poultry Center of Excellence,"
period of 10 years." At an annual cost of over $1.6 billion,
which receives $3.8 million annually from the federal
the CRP has encouraged farmers to enroll 35 million
government to the benefit of the $14.9-billion-per-year
acres of land (equivalent to the size of the state of
poultry industry.
Illinois). Most of this land was highly marginal cropland
*Number of households provided $3,000 tax relief: 2,260
to begin with and probably would not have been in
The U.S. Fruit and Vegetable Lab in the state of
production had it not been for the myriad other crop
Washington cost taxpayers over $5 million last year. Yet,
subsidy programs. This program should be canceled and
the beneficiaries of that research, the fruit and vegetable
the other subsidy programs should be reviewed for their
growers in Washington, Oregon, and Idaho, have annual
effect on encouraging wasteful farming practices.
sales of $1 billion.
* Number of households provided $3,000 tax relief: 533,000
*Number of households provided $3,000 tax relief: 1,600
Question: Does the federal program compete with
Implementing just the few recommended cuts cited
private commercial enterprises?
here could give $3,000 in tax relief to nearly every
The federal Helium Reserve program was started in
household in Austin, Texas; Buffalo, New York; Des
1929 to insure a consistent supply of helium for blimps.
Moines, Iowa; Fresno, California; Knoxville, Tennessee;
The program will incur losses of over $121 million in
and Rockford, Illinois. If your congressman voted for
fiscal 1992 and has lost over $225 million in the past two
these programs, he should be prepared to explain why
years. There is a thriving private-sector market in helium
they are so important that he wants to deny tax relief to
and there is no reason for the government to compete
hundreds of thousands of Americans.
Fall 1991
59
Photo Copy Preservation
Congress not inclined to cut federal spending
W
HEN MONEY IS
$34
million
for feud;
tight at your house,
screwworm research;
$150,000 for corn ear
you probably do
$2.7 million to study the
worm research; and
what most Americans do:
Hawaiian fruit fly;
$10 million to examine
You stop writing checks.
$500,000 to study animal
potatoes.
Unnecessary expenses fall
waste;
That's just a partial list of
by the wayside.
$200,000 to study turkey
the approved pork-barrel pro-
bone marrow infection;
jects coming out of the
You put off buying a new
$220,000 for the Christo-
House.
car, even though you really
need one.
pher Columbus Quincente-
The Senate will, no doubt,
Memberships to the local
nary Jubilee Commission;
come up with its own list of
gym or fitness center are put
$1.2 million for African
wasteful projects before the
on the back burner.
LARRY HICKS
year is out.
elephant conservation;
Doesn't it seem that pri-
Credit purchases are dras-
$500,000 for brown tree
vate industry, not the Ameri-
tically reduced.
snake research;
can taxpayer, should be
Interior remodeling is de-
spending
on
inefficient
$200,000 to study non-
footing the bill for some of
layed. There won't be any
routine decision-making be-
programs.
these projects?
new furniture until next year.
There would be no more
havior in coal mines;
The spending spree in
If things really get bad, you
doling out money to special
$253 million to the Cor-
Washington, D.C., is far from
even cut back on things such
interest groups
poration for Public Broad-
a figment of our imagination.
as haircuts, medical and
It sounded terrific, didn't
casting;
Congress seems on a feeding
dental care and new clothing
it?
$5.5 million for airport
frenzy, not a starvation diet.
for the kids.
Well, forget it.
controller chairs;
And just in case you had
There isn't much dis-
Congressional tightwads
$5 million to Amtrak for
any doubt about that at all,
cussion about it. You simply
have been outvoted by peers
a "more aggressive marketing
consider this:
The House is dissatisfied
don't spend what you don't
who think there are money
program.
trees growing in the back
$8 million for magnetic
with its staff gymnasium. It
have. Unless it's an absolute
wants a new one.
necessity, you forget about it.
yard at the White House.
levitation transportation pi-
They do things differently
Scott Hodge, a Grover M.
lot programs;
At the same time John Q.
Public made a decision to
in Washington, D.C., howev-
Hermann Fellow in Federal
$980,000 for zebra mus-
postpone his fitness club
er. The same goes for Harris-
Budgetary Affairs, has come
sel research
membership because he
burg, too, but for today we'll
up with some examples of
$320,000 to purchase
couldn't afford it, the House
concentrate on the federal
expenditures that most of us
President William McKin-
appropriated $25,000 to con-
government.
would consider a waste.
ley's in-laws' home and do-
duct a study to find a new lo-
You remember last year's
Consider, for instance,
nate it to the state of Ohio;
cation for its gym.
attempt by Congress to slow
these projects already
$150,000 to the town of
Clearly, money isn't as
down government spending?
approved by the
House
of
Matewan, W.Va., to study the
tight in Washington, D.C., as
There would be no more
Representatives:
100-year-old Hatfield-McCoy it is everywhere else.
Photo Copy Preservation
Job referrals
sylvania Avenue NW, Washington.
Defense Department employees
FEDERAL
No. 95-005 closes Oct. 29.
who lose their jobs will soon have
ROUNDUP
GS-2/3/4 clerk-typist, full time,
permanent. Contact Barbara Lind-
access to a computer-based nation-
wide referral system, DOD officials
stadt 301/443-5407. No. Adm-91-151
said yesterday.
is open until filled.
The system, known as Defense
Outplacement Referral System, or
SES listings
DORS, will electronically match ci-
gress employs 39,006 people, the
the following nominations: Carol K.
Associate commissioner to be
vilian job openings with applicants'
of skills.
judicial branch 25,580 and the ex
DiPrete to be a member of the Na-
principal adviser to the Commis-
ecutive branch 3 million
via The system will be available for
tional Commission on Libraries and
sioner on Aging, directs all activ-
The figures, released by the Of
Information Sciences
those who lose jobs because of bud-
Mark
J.
ities under Title III of the Older
fice of Personnel Management,
Arcangelo to the board of direc-
Americans Act in headquarters and
siget cuts, force reductions or base
show that compared with the 1988
tors of Federal Prison Industries
regional offices. Office of State and
golosures.
average the following agencies
Inc.
John W. Crawford to the De-
Community Programs, Adminis-
the Interested workers should see
have fewer employees: Postal Ser-1
bidepartment personnel offices or
fense Nuclear Facility Safety
tration on Aging, Washington: Terri
vice, 25,227 fewer; Navy, 20,744;
Board
John Condayan to be as-
Smith, 202/245-6413. No. EX-03-91
difamily service centers on military
Air Force, 20,640; Army, 17,704;
expires Oct. 24.
nibases for more details
sociate director for management at
Tennessee Valley Authority, 7,322
the U.S. Information Agency.
Director for information systems
Those looking for new jobs must
and Commerce Department, 5,717.
security, to serve as principal assis-
trsupply resume information. Pros-
Agencies with more workers
than their 1988 averages are: Fed-
Jobs, Jobs, Jobs
tant in the office of counterintelli-
pective employers will be able to
gence for policy aspects of DOD's
nget the information by touch tone
eral Deposit Insurance Corp
GS-11/12 telecommunications
counterimagery, operations secu-
ophone or fax machine
13,435 more; Agriculture Depart-
specialist for planning and analyz-
rity, communications security and
gris The system is a joint effort by
ment, 12,678; other defense activ-
ing technical support activities
computer security. Office of Coun-
DOD and the Office of Personnel
ities, 9,837; Veterans Affairs; 9,432
throughout the office of secretary
Management.
terintelligence, Arlington. Kay Rog-
Interior, 8,810; Health and Human
and departmental offices by mak-
ers, 202/697-3305. No.
to
Services, 6,856; and Transportation,
ing sure secure and non secure
190-91-9397-XX closes Oct. 23.
6,117.
telecommunications operate prop-
- Elizabeth A. Marchak
1200
Job snapshot
erly. Office of the Assistant Secre-
Federal Roundup appears Sun-
9(T
The government's latest employ-
On the move
tary for Management, Treasury De-
days and Wednesdays. Phone
at
ment figures in August show Con-
partment, Personnel Resources
202/636-3394 with items of interest
President Bush has announced
Room 1318, 15th Street and Penn-
to federal workers.
WTimes
10-16-91
Pg. A6
THAT'S
Spotlighting absurdities in
our society is the first step
toward eliminating them
OUTRAGEOUS!
A COMPILATION
Photo Copy Preservation
occasions is, indeed, as Schneider
DAY OF RECKONING
said, "embarrassing, unfair and
SINCE 1914, when Congress
a poor use of Congressional re-
designated Mother's Day, the Con-
sources."
-New York Times
gressional penchant for commemo-
ratives has lurched out of control.
"WE GOOFED"
National Prune Day, Tap Dance
Day and Patient Account Manage-
WHEN Kathleen Creamer caught
ment Day now compete with Dairy
a man breaking into her South Balti-
Goat Awareness Week for the na-
more storehouse, she figured it was
tional spotlight.
an open-and-shut case. The day of
An astonishing 35 percent of all
the trial, she stayed home, as instruct-
laws passed by Congress last session
ed, waiting for prosecutors to call
celebrated a day, week, month or
her to testify. The call never came.
decade. That added up to 228 com-
Instead, prosecutors settled the
memorative bills for the session.
case with a plea bargain. In addi-
Each takes time and energy: honor-
tion, an even more serious burglary
ing a constituent's request means
charge against the same man was
lining up a majority in both cham-
dismissed without the knowledge
bers. Don't lawmakers have better
of the victim of that crime, Ger-
things to do?
trude Asencio. This meant she
Last session, Rep. Dave
couldn't have the court order the
McCurdy (D., Okla.) and former
defendant to pay restitution for the
Rep. Claudine Schneider (R., R.I.)
$5300 worth of property he took,
proposed turning over the chore to
unless she filed a civil suit.
a commission such as the one that
Creamer and Asencio only
decides on commemorative stamps-
learned of the plea bargain the day
but their proposal died in committee.
after the trial, when a surprised
The current clutter of forgettable
Asencio saw the defendant on the
NEW YORK TIMES (FEBRUARY 13, '90). © 1990 BY THE NEW YORK TIMES CO.; BALTIMORE SUN (AUGUST 2, '89), © 1989
21
BY THE BALTIMORE SUN CO.; ASSOCIATED PRESS RELEASE (AUGUST 8, '89). © 1989 BY THE ASSOCIATED PRESS;
WASHINGTON POST (JANUARY 23, *91), c 1991 BY THE WASHINGTON POST CO.; LOS ANGELES TIMES (FEBRUARY 14,
'90). © 1990 BY THE LOS ANGELES TIMES CO.; TIME (DECEMBER 12, '88). © 1988 BY THE TIME INC. MAGAZINE CO.
THAT'S OUTRAGEOUS!
street, released on a suspended sen-
ful hunger and thirst. When 130 or
tence. "I pay those people to do a
so Bush Administration and Con-
job for me, not to put the criminal
gressional negotiators and their
back on the street," said a still-
staff met for ten days last Septem-
angry Creamer. "It really stinks,"
ber at Andrews Air Force Base,
agrees Asencio. "I didn't work all
they ran up a tab of nearly $60,000
my life just to have someone come
for food and drink.
in and steal my things."
In between haggling over new
"We goofed," admits state's at-
taxes and Medicare cuts, the bar-
torney Stuart O. Simms.
gainers dined on prime rib and
Photo Copy Preservation
-Roger Twigg in Baltimore Sun
chicken Oscar, munched on candy
and cookies, and slurped ice-cream
SPELLBINDING DECISION
sundaes with chocolate sauce and
nuts. According to Armed Forces
A COVEN OF WITCHES will receive
Journal International, the total cost
a tax exemption in Rhode Island as
of meals came to $34,000. The ne-
a legitimate religious group.
gotiators didn't go thirsty, either.
Tax administrator R. Gary Clark
The bill for "assorted beverages"-
said he overturned the state's initial
liquor, wine, soft drinks, coffee-
ruling because the coven proved on
amounted to $8800.
appeal that it met state guidelines
Another $14,500 went to keeping
for church groups. Under state
the main meeting room stocked with
laws, a religion must be a nonprofit
candy, pastries, fruit and cheese.
group and have a system of prayer
"They met, they ate, they con-
and specific doctrines and practices.
quered," one participant joked at
The coven, known as Our Lady
the time. Well, not exactly. They
of the Roses Wiccan Church, has
didn't go hungry, for sure, but they
about 3° to 40 members and meets
also didn't work up a budget deal.
approximately three times a month
It took later meetings back in the
for rituals, said its high priestess,
Capitol to accomplish that.
Joyce Siegrist, who is also called
-John E. Yang in Washington Post
Lady Genevieve. "With this ruling,
we witches will be able to come out
of the closet and take our place in
STAGE FRIGHT
society," Siegrist said.
FORMER San Diego municipal-
-Karen Schwartz, AP
court judge Joseph K. Davis, who
resigned from the bench at age 44
NO BELT-TIGHTENING
because of "stage fright," has been
HERE
awarded a disability pension cur-
rently worth $56,002 a year for life.
TRYING TO CUT the federal budg-
Davis claimed his "stage fright,"
et deficit must work up a power-
complicated by "depression with
22
Cut spending? Forget it.
Pork is still the main diet on Capitol Hill
at
TO
Pig Tales for
Photo Copy Preservation
dreM
Taxpayers
By RALPH KINNEY BENNETT
"
"D
IRE EMERGENCY Rep. Dan
stumbled on Section 203 some-
Burton (R., Ind.) mused on
thing to do with the Philadelphia
the title of the legislation he
Naval Shipyard To experienced
had just received. It was March 6,
pork hunters, specific geographic
1991, and the "dire emergency"
locations in a big spending bill are
supplemental appropriations bill to
warning signals Schaffner began
cover nonmilitary costs of the Gulf
making inquiries and soon found
War was moving through a House
that Section 203 was a real choice
eager to conclude its business and
cut a $1.2 billion loin of pork for
begin an Easter recess in two
Pennsylvania. It specified that
weeks
money sought by the Defense
The words dire emergency"
Department for repairs to the air-
conjured images of [some last-
craft carrier USS John F. Kennedy
chance, patriotic effort to respond
be spent on a "service life exten-
to an urgent need. Burton smiled to
sion program" (SLEP)-a virtual
himself. It was precisely the kind of
gutting and rebuilding of the car-
verbal camouflage Congress uses to
rier-at the Philadelphia Naval
cover up a spending binge.
Shipyard.
Choice Cut. "I smell pork in this
The Pentagon did not want the
bill," Burton told his staff. "It's ripe
expensive SLEP but a normal over-
for people slipping things in at the
haul of the Kennedy for an estimat-
last minute. Let's comb through it
ed $500 million. What's more, it
and see what's in there."
wanted to close the obsolete Phila-
Plowing through the bill's verbal
delphia yard. But Rep. John P.
underbrush, staffer Jeff Schaffner
Murtha (D., Pa.), the powerful
121
READER'S DIGEST
Septem
chairman of the House Appropria-
N.J.) sang the praises of previously
tions defense subcommittee, had
SLEPed carriers in the Gulf War.
accommodated his Pennsylvania
Last-Ditch Effort. After the de-
colleagues by slipping the SLEP
bate, however, the Senate voted 56
into the bill. The project had never
to 44 to knock out Section 203
been voted upon or even discussed
before passing its version of the
in open session.
bill. Coats left the floor, having
It was one of the most flagrant
won a $700-million victory for the
Photo Copy Preservation
pork ploys Burton could remem
taxpayer
ber. He went to the floor on March
Yet he knew that the Senate bill
7, determined to knock Section 203
would have to be reconciled in
out of the bill. But Congressional
conference with the House ver-
pork barrelers always outnumber
sion. He was aware of the favor
those who defend the general inter-
trading and flouted rules that
ests of the taxpayer. Burton's at-
characterize such down-to-the-
tempt was resoundingly beaten 315
wire meetings of the two appropri-
to 105.
ations committees.
The fight was not over. Another
The next day, House and Senate
Hoosier legislator, Sen: Dan Coats
conferees went into marathon ses-
(R., Ind.), also pork hunting in the
sion. Sometime that evening, as
Senate version of the bill, had de-
they met in secret, the SLEP was
termined on his own to fight the
quietly restored. "It wasn the first
SLEP issue. On March 20, two days
time a public victory got lost in
before the Easter "recess, Coats
private, said Coats. moon
walked into the chamber armed
The next morning, copies of the
with a one page amendment to
bill were produced minutes before
strike Section 203 from the bill. "I
vote on the -billion measure
commend my colleagues from
Representative Burton rose in a
Pennsylvania for their clever draft-
last-ditch effort to preser what
ing of this language," he said wryly.
Coats had earlier achieved!! De-
'But the Navy would be forced to
scribing the SLEP as pure unadul
spend money in a way they'do not
terated pork" pushed as an ad hoc
want to spend it, and in a place they
jobs program, Burton sought to
do not want it spent.
have the SLEP removed. He might
Outraged, Sen. Arlen Specter
as well have been standing in front
(R., Pa.) and pro-SLEP Senators
of an avalanche. His attempt was
from adjoining states rushed to the
defeated 295 to 91 by legislators
floor. Specter recalled the past
anxious to head home. On June 30,
achievements of the Philadelphia
a special commission on base clos-
yard. Sen. Joseph R. Biden, Jr. (D.,
ing recommended shutting down
Del.) invoked "national security."
the Philadelphia shipyard, but the
Sen. Frank R. Lautenberg (D.,
Navy will be forced to complete the
122
PIG TALES FOR TAXPAYERS
SLEP of the Kennedy at the yard, as
before one another's committees
ordered by Congress.
seeking pork, an extravagant ritual
Difficult to Digest. For Sen.
courtesy marks the occasion.
Robert C. Smith (R., N.H.), anoth-
"Doug, we have helped you in the
er serious pork fighter, the dire-
past," says Transportation Sub-
emergency vote confirmed that all
committee Chairman. William
the talk of "bare bones" budgeting
Lehman (D., Fla.) to Rep. Doug
is just that: talk. Working with
Bereuter (R., Neb.), who is seeking
Rep. Harris W. Fawell (R., III.) and
$3.6 million in special highway
a small group of other legislators,
funds. "We want you to help us
Smith has been trying to rescind the
when [the full appropriations bill]
Photo Copy Preservation
more flagrant pork projects in the
comes to the floor."
1991 budget and shoot down those
Legislators who don't cooperate
emerging in 1992. Unless they suc-
suffer the consequences. When
ceed, taxpayers will be paying for
Sen. Quentin N. Burdick (D.,
hundreds of projects like these:
N.D.), agriculture appropriations
a $94,000 study of "apple qual-
subcommittee chairman and un-
ity" by Michigan State University,
abashed pork barreler, earmarked
sponsored by Rep. Bob Traxler (D.,
$500,000 to build a museum at the
Mich.).
birthplace of band leader Lawrence
$1 million to determine why
Welk, taxpayers across the country
people don't use bicycles or walk-
expressed outrage. Rep. Jim Slat-
ing "as a means of transportation"
tery (D., Kan.) promised his con-
more often, the brainchild of Rep.
stituents he would try to overturn
Martin Olav Sabo (D., Minn.).
the Welk grant.
$37,000 to develop "compre-
Not long before the House was
hensive management technologies"
to vote on Slattery's amendment, a
for the handling of animal manure,
Burdick committee staffer tele-
engineered by Rèp. David E. Bon-
phoned a dean of Kansas State
ior (D., Mich.).
University (in Slattery's district)
The list goes on and on: $1.2
and implied that a sought-after
million for "Hawaiian homeland
$5.3-million grant might have trou-
infrastructure development; $3
ble getting past Burdick. Then Rep.
million for "neighborhood eco-
Byron L. Dorgan (D., N.D.)
nomic improvement" in New Or-
warned that other pork bound for
leans; $2.9 million to find new uses
Kansas could be detoured.
for wood; $80,000 to determine if
The Welk grant had received so
floss from milkweed pods could
much national ridicule that Slattery
replace goose down in bedding.
succeeded in having it rescinded,
Piggyback Express. Reform is
but the whole exercise was a re-
difficult; it is much easier to play
minder that the pork game is
the game. When Congressmen go
played hard and fast. "I have no
123
READER'S DIGEST
Septemb
doubt my district will take a hit
Republicans onto the committee
somewhere down the line," says
with the warning: "If you rock the
Slattery. "I'm sure some committee
boat or support a line-item veto, we
staffer is waiting to bushwhack
have a special chute that goes down
me."
to the Potomac." It was Byrd's
Cooked to Order. Many a college
version of the Porkland law: "Go
alumnus has dreamed of being able
along to get along."
to make a big donation to the old
One of Byrd's favorite vehicles
alma mater. Congressional pork-
for porcine innovation is the De-
sters get to do so often and with
partment of the Interior, whose
taxpayer funds. The same late-
Photo Copy Preservation
vast stewardship includes public
night, closed-door session that put
lands, historical sites and national
the Kennedy-carrier SLEP back
parks. Byrd chairs the Interior sub-
into the dire-emergency bill also
committee of the full appropria-
produced $8 million for a new
tions committee.
building at Chicago's Loyola Uni-
When U.S. Fish and Wildlife
versity. One of the school's most
officials found they needed a new
prominent alumni, Chairman Dan
home for a small fisheries training
Rostenkowski (D., III.) of the
center near Harpers Ferry, W.Va.,
House Ways and Means Commit-
the Senator went into full pork
tee, had the bequest dropped into
alert. The eventual result was a
the Pentagon budget in the Gulf
plan for a grandiose training acade-
War funding bill.
my cum "wildlife habitat," a kind
However, Loyola officials were
of combination Sea World, Disney-
troubled at taking dollars ear-
land and FBI Academy, which
marked for defense. No problem.
would be a "major tourist attrac-
During the House-Senate confer-
tion." According to a Fish and
ence, Rostenkowski somehow had
Wildlife official, some engineers
the Pentagon money transferred
now say the plan could cost over
to the Education Department
$200 million.
budget. "We're very proud of
National Pork Service. Thanks
him as an alum," says a university
to Byrd and other West Virginia
official.
legislators, the state is studded with
A legislator who is justly feared
obscure national parks and soon-to-
is Sen. Robert C. Byrd (D., W.Va.),
be historic sites. Shouldn't Bram-
chairman of the Senate Appro-
well be a historic site? Set aside
priations Committee and the ac-
$150,000 for a "study" on the mat-
knowledged "prince of pork." Says
ter. One of Bramwell's claims to
Newsweek correspondent Eleanor
historic status: site of the third
Clift, "Cross him and you pay;
drugstore in the United States to
praise him and you play." Earlier
sell the perfume Chanel No. 5.
this year, Byrd welcomed two new
How about Wheeling as a "na-
124
1991
PIG TALES FOR TAXPAYERS
tional heritage area"? Dole out
ther deterioration at the expense
$325,000 to look into it. What was
of" these new parks.
that Hatfield/McCoy feud about,
Pet Catfish. The pork mentality
anyway? Shovel $150,000 to some-
has profoundly changed the way
one to "interpret" the feud. While
government does business. A for-
you're at it, designate $310,000 for a
mer veteran Senate staffer says,
local hiking-trail group. And give
"Congress is no longer a legislative
the owner of that "historical" Hun-
body. It has become a bureaucracy
tington movie house $4.5 million
and a micromanager, using its
to transform it into a multiscreen
power to rearrange things at the
theater.
lowest levels."
Other legislators on both sides of
A celebrated example is the fed-
the Hill follow Byrd's well-worn
eral catfish laboratory at Stuttgart,
path to the pork barrel. Representa-
Ark. Private catfish aquaculture is
tive Murtha got $13 million to cre-
profitable and thriving all over the
ate a chain of "industrial heritage"
United States, and catfish has be-
parks at old manufacturing sites in
come a popular food without gov-
Pennsylvania. Sen. Daniel K. Aka-
ernment help. Every year the
ka (D., Hawaii) got $2 million to
House Merchant Marine and Fish-
help perpetuate "native Hawaiian
eries Committee recommends zero
culture and values," which have
funding for the Stuttgart "farm,"
survived for centuries but now pre-
which is run by the Interior De-
sumably cannot make it without
partment's Fish and Wildlife Serv-
federal funds.
ice. But every year the farm gets
While the National Park Service
ample funds through an obviously
(NPS) is struggling with scarce
reluctant National Oceanographic
funds to repair such crumbling sites
and Atmospheric Administration
as Philadelphia's Independence
(NOAA), which is a part of the
Hall, it is bound by law to redirect
Commerce Department.
millions into these pork doles.
The catfish farm is one of Sen.
"Some Congressmen see the Park
Dale Bumpers's (D., Ark.) pet pork
Service as an economic-develop-
projects. He is on both the Interior
ment agency," says a high Interior
and Commerce subcommittees of
official. NPS director James M.
the Senate Appropriations Com-
Ridenour worries about "lower-
mittee. In 1991, NOAA stated that
ing our standards, being willing to
its funds "should not support cat-
accept something that is less than
fish rearing at Stuttgart, because
nationally significant into our
these activities relate to freshwater
park system." He hopes that the
programs which are the responsi-
system's truly significant parks,
bility of the Department of the
such as the Grand Canyon and
Interior." Nonetheless, thanks to
Yellowstone, do not "suffer fur-
Bumpers, the Stuttgart catfish got
125
Photo Copy Preservation
READER'S DIGEST
$2.8 million that NOAA would like
why numerous Presidents-includ-
to have used elsewhere.
ing Franklin Roosevelt, Harry S.
Time to Squeal. After the dire-
Truman, Dwight Eisenhower and
emergency debacle, in which
Ronald Reagan-have sought the
members saw a long and complex
power to veto sections of bills,
spending bill 15 minutes before the
the so-called line-item veto. With it
vote, Representative Fawell made a
the President could pass the appro-
modest proposal to the House
priation but zero out specific items,
Rúles Committee. He suggested
trimming millions of dollars.
that on spending bills in particu-
Some Constitutional scholars be-
lar, the House should abide by its
lieve the power of the line-item
own rules-routinely waived-and
veto is implicit in the Constitution.
give members three days to read
Senators Coats and John McCain
and consider the measures before
(R., Ariz.) and Republican Minor-
a vote.
ity Leader Robert Dole of Kansas
Rules Committee members fell
have joined Senator Smith in a
all over themselves in praising
Senate resolution urging President
Fawell's idea, reflecting on how it
Bush to execute a line-item veto
would improve their oversight of
and test the issue. Coats and
public funds. Later that afternoon
McCain have also introduced S.196,
the committee killed his amend-
the Legislative Line-Item Veto Act,
ment. Last-minute votes on largely
which is now before the Senate.
unread bills have become an estab-
If you believe the President
lished procedure in the House.
should have such power, contact
Presidents may be outraged at all
your Senator or Representative,
the fat in such bills, but they are
urging passage of these measures,
reluctant to veto an entire appropri-
and write the President, encourag-
ations measure because of it. That's
ing him to execute a line-item veto.
Reprints of this article are available. See page 209.
Come Again?
My MOTHER REGULARLY marched her nine children to the local clinic for
various vaccinations. She often neglected to tell the kids where they were
going but just lined them up to wait their turn. On one occasion an older
child standing on line asked, "Are we going to get shots?"
"Of course," Mother quickly replied. "Do you think we're standing
here for our health?"
-Contributed by Patricia Carlin
A FRIEND'S HUSBAND loves to eat and is really overweight. His wife was
recounting to me all the "No-No's" he had consumed in a single day. "If
he dies," she exclaimed, "I'll kill him!"
-Contributed by Rose F. Kramer
126
Photo Copy Preservation
The
Heritage Foundation
No.
913
The Heritage Foundation .. 214 Massachusetts Avenue, N.E. Washington, D.C. 20002-4999 (202)546-4400 Telex:440235
The Thomas A. Roe Institute for Economic Policy Studies
August 28, 1992
Should We Be Paying for This?
Pork Barrel Items in the Fiscal 1993
House Appropriations Budget
Department of the Interior &
Related Agencies
$500,000 for the Chicago, Illinois, wetlands
$300,000 for a study on striped bass.
$1,201,000 for African elephant conserva-
$7,400,000 for capital improvement projects
in the Republic of Palau.
$300,000 for fencing at the Hakalau Na-
tional Wildlife Refuge in Hawall.
$925,000 for the relocation of a road at
Jackson National Fish Hatchery in
Wyoming.
$1,000,000 for the Chicago urban forestry
$370,000 for the national kick-off of the
Smokey Bear 50th Anniversary celebra-
tion in New Mexico.
Energy and Water Development
$1,000,000 to continue work on the Beaver
Lake Water Quality Project in Arkansas.
program.
$1,500,000 for repair of the breakwater at
Monterey Harbor, California.
$713,000 to replace the Carlyle Lake,
Illinois, Visitor Center.
$400,000 in additional funds to continue
dredged material management in To-
ledo Harbor, Ohio.
$1,500,000 for the repair of the north jetty at
the Yaquina Bay and Harbor in Oregon.
$700,000 to pave a new road and parking
lot, and to install a boat dock. a com-
posting tollet, and a concrete boat
launching ramp at the Tennessee-Tom-
bigbee Waterway in Alabama and Mis-
office.
sissippi.
tion.