Statement of Administration Policy: H.R. 2631 - Authorization of Appropriations for the United States Mint

(Senate)
(Annunzio (D) Illinois and two others)

The Administration opposes enactment of H.R. 2631 for the following reasons.

First, by permitting the Mint's coinage profit fund to be used for financing the operational expenses of the Mint's numismatic program, section 2 of H.R. 2631 is contrary to sound budget and accountability principles. Ordinary expenses of this nature should be budgeted for in the customary manner and should be subject to appropriations review. Further, the Mint's appropriations account should be reimbursed from the proceeds of the Mint's sales, as appropriate.

Secorid, section 2 of the bill would also have the practical effect of exempting the Mint's numismatic program from sequestration under the Balanced Budget and Emergency Deficit Control Act ("Gramm-Rudman-Hollings"). Such an exemption would be most unwise. Attempts to exempt programs from sequestration must be strenuously resisted in order to prevent a flood of requests for similar treatment in other programs.

Third, the bill's "buy America" provision (section 4) could cause the United States to violate the Agreement on Government Procurement under the General Agreement on Tariffs and Trade. The provision would invite retaliation and would raise unnecessary questions about the willingness of the United States to honor its international commitments.

The President's senior advisors would recommend disapproval of H.R. 2631 if presented to the President in its current form.