Statement of Administration Policy: H.R. 4782 - Commerce/Justice/State Appropriations Bill, FY 1989

(House)
(Sponsors: Whitten (D) , Mississippi; Smith (D), Iowa)

The bill the Committee reported did not provide any funding or language for those programs that are not authorized. While the Administration shares the Committee's concerns about the absence of authorizations, it urges that the programs be funded at the President's request once authorizations are enacted. In anticipation of funding, we have scored the bill at the FY 1988 level to establish a reserve as was done by the Committee. The scoring of the bill, including FY 1988 funding for unauthorized items, is $819 million in budget authority and $640 million in outlays below the Administration's request.

The Committee's assumption that unauthorized programs would be funded at the FY 1988 levels would result in severe funding reductions for the Department of Justice. The Administration opposes strongly any reduction to requested Justice Department funding. Adequate funding is essential if the Federal Government is to have an impact on vital law enforcement functions.

Funding at the FY 1988 level would be a reduction of $574 million to the President's request for the Bureau of the Prisons. It would not allow the Federal Prison System to repair damage from the Mariel Cuban riots and would cut new prison construction by more than half. The cut in funding for the Drug Enforcement Administration, U.S. Attorneys, and the U.S. Marshals will have a severe impact on the Administration's efforts to effectively fight the war on drugs. Finally, the reduction of $118 million to the President's request for the Immigration and Naturalization Service would compel the agency to cut back on staffing, to the detriment of key law enforcement programs and would hamper efforts to Anforce the Immigration Reform and Control Act of 1986.

The Administration objects to the funding levels for the Department of Commerce. The increase in funding of $117 million over the President's request provides for low priority and unnecessary programs in the National Oceanic and Atmospheric Administration. At the same time, the Committee did not fully fund the NOAA satellite program, thereby jeopardizing our ability to maintain the current launch schedule. The Committee also did not fund the Global Change initiative which is an integral part of the Administration's response to this important issue, one which Congress recognized in passing the Global Climate Projection Act of 1987. The reduction to the President's request for the decennial census contingency is also objectionable. Establishing this fund is a prudent and calculated measure designed to offset unforseen cost increases to the 1990 decennial census. During the 1980 census, operations were jeopardized due to the delay of Congressional consideration of an emergency supplemental and reprogramming request.

No funding should be provided for the Trade Adjustment Assistance program for firms, the Public Telecommunications Facilities program, the Economic Development Assistance program and the Sea Grant and Coastal Zone Management programs because all have either fulfilled their mission or proven to be ineffective and should be discontinued. Instead, the funding for these five low priority programs should be provided for more essential Department of Justice and Department of Commerce- programs .

The Administration objects to an increase of $56 million over the President's request for the Legal Services Corporation. Highet funding levels are unnecessary when private attorneys and other Federal programs can provide legal aid.

The attachment details additional funding and language provisions that are objectionable to the Administration.

Attachment

FY 1989 COMMERCE/JUSTICE/STATE APPROPRIATIONS BILL OBJECTIONABLE PROVISIONS

I. FUNDING LEVELS

Department of Justice

Department of Justice. The Administration objects to the Committee's assumption for funding of all Department of Justice accounts at the FY 1988 enacted level. This level of funding,- which is $871 million below the President's request, will have an adverse impact on essential law enforcement functions including civil and criminal prosecutions and important investigative activities and severely impact programs described in more detail below:

Bureau of Prisons. The Committee's mark is $524 million below the President's request of $1.5 billion. Such a level would not allow the Federal Prison System to repair damage caused by the Mariel Cuban riots and would cut new prison construction by more than half at a time when the system is already bursting with 60 percent overcrowding. Furthermore, funding at FY 1988 levels as proposed by the Committee would not provide operational funds to allow just-completed prisons to open or staff to be hired.

DEA, U.S. Attorneys, and U.S. Marshals. The Committee's assumptions for the Drug Enforcement Administration, the U.S. Attorneys and the U.S. Marshals total $112' million below the President's request. The lack of funds for these accounts will have a severe impact on the Administration's efforts to effectively fight the war on drugs. Major portions of the U.S. Attorneys and Marshals request and all of the DEA request would fund anti-drug efforts. The President has called for a Drug Summit in which Congress will participate. Clearly a freeze level for efforts to resolve this important National problem is not prudent.

Immigration and Naturalization Service. By providing INS with the same level of funding as was provided in 1988 ($741 million or $118 million below the President's request), the Committee ignores the fact that INS had significant carryover funding in 1988 that will not be available in 1989. As a result, INS would be compelled to cut back on staffing to the detriment of key law enforcement programs and would be hampered in its efforts to enforce the Immigration Reform and Control Act of 1986.

Department of Commerce

Department of Commerce. By funding the Commerce Department at the 1988 enacted level, the Committee fails to recognize the Department's changing needs and priorities as detailed in the President's FY 1989- Budget and, as a result, funds a number of less essential activities.

National Bureau of Standards. The President's Budget requested $158 million (an 11 percent increase) for the National Bureau of Standards for research and development in areas of high priority and national significance, such as fiber optics, superconductors, and biochemical manufacturing. Holding the Bureau at the FY 1988 level would result in key priorities being postponed at the very time our Nation's economy could benefit from such undertakings.

National Oceanic and Atmospheric Administration. The Administration objects to the Committee increase in funding for NOAA by $117 million over the President's request. This excess funds unnecessary and low priority programs.

Bureau of the Census. The Administration objects to the Committee reduction to the President's request for the decennial census contingency fund, which is required to offset unforseen cost increases to the 1990 decennial census and avoid the need for future reprogrammings or urgent supplementals when these unforeseen cost increases occur.

Trade Adjustment Assistance (TAA) for Firms. The Trade Adjustment Assistance program for firms does not work, since - less than 4 percent of the firms adversely affected by import competition will experience improvement that could be attributed to TAA. The Administration opposes funding for the TAA program for firms, because this program has fulfilled its mission and should be discontinued.

National Telecommunications and Information Administration. The Administration opposes funding for the Public Telecommunications Facilities program because it has fulfilled its mission and should be discontinued. Currently, public broadcasting services are available in over 95 percent of the United States.

Economic Development Administration. The Administration opposes funding for the Economic Development Assistance program because this program has proven ineffective. EDA programs serve no national economic purpose and there is no evidence that these programs result in any new net job creation nationwide.

Legal Services Corporation. The bill reported by the Committee does not include funds for the Legal Services Corporation (LSC) because of the lack of an enacted authorization. According to report language, however, the Committee reserved $305.5 million for the LSC in the Committee's tentative section 302(b) allocation. The Administration proposed $250 million in new LSC funding, and objects to higher funding levels when private attorneys and other Federal programs can provide legal aid.

Civil Rights Commission. The Administration objects to the $7.7 million reduction to the President's request of $13.4 million for the Commission on Civil Rights. The Committee's level would prevent the Commission from resuming the full scope of its activities, as requested by the President.

Equal Employment Opportunity Commission. The Committee provides $14.8 million less than the President's request. The reduction will result in increased case backlogs in EEOC and will delay resolution of civil rights complaints. The two studies required by the 1986 amendments to the Age Discrimination in Employment Act would not be performed.

Payment to the Asia Foundation. The Administration objects to the addition of $5.7 million for the payment to The Asia Foundation. This is a 71 percent increase over the requested level of $8 million, a level that adequately funds The Asia Foundation's highest priority programs and reflects Administration priorities in allocating resources among educational and cultural grant activities.

Securities and Exchange Commission. The Administration opposes the Committee's $25 million cut to the President's $160 million request for the SEC. At a time when the Nation's financial markets are undergoing fundamental changes, it is critical that we provide adequate resources for market oversight.

II.LANGUAGE PROVISIONS

Civil Rights Commission. For the last two years, the Congress has included in the Commission's appropriations language a number of restrictions that have the effect of hindering Commission management. They include: an amount set aside for regional offices, an amount for civil rights monitoring activities, limits on the number of days for which the Commissioners may bill the government for their services, and caps on the funds that may be used for: (a) the employment of consultants, and (b) the employment of temporary personnel. The President's budget requested that all of these earmarks be deleted. The Committee has acted to delete some of these provisions but has retained others, including the provision limiting the number of billable days for which the Commissioners may be reimbursed. All of these provisions should be deleted by the House.

Securities and Exchange Commission. The language omits an allowance for official reception and representation expenses and a provision for the funding of a permanent Secretariat for the International Association of Securities Commissioners. In absence of this language, the SEC Chairman would be prohibited from a longstanding Federal practice of reciprocating on international securities conferences.