Statement of Administration Policy: S. 1594 - Omnibus Consolidated Rescissions and Appropriations Bill, FY 1996 (10th Continuing Resolution)

(Senate Floor)
(Sponsor: Hatfield (R), Oregon)

This Statement of Administration Policy provides the Administration's views on S. 1594, the Omnibus Consolidated Rescissions and Appropriations Bill, FY 1996, as reported by the Senate Appropriations Committee.

Five appropriations bills for the current fiscal year have not been completed. We are now nearly half way through the fiscal year and we have operated under nine continuing resolutions. Thirteen of the 14 departments receive some or all of their funding under the continuing resolution. The resulting uncertainty has impaired the ability of our Federal agencies and State and local governments to provide critical services to the public. Congress must not continue to govern by continuing resolution.

The Administration is committed to working with the Congress to produce a bill that the President can sign. We recognize and appreciate the Committee's work to improve the bill. Clearly, however, many complicated and difficult issues remain to be resolved. The Administration hopes that the congressional leadership will work with us to resolve them. Regrettably, however, we must advise you that if the bill were presented to the President in its current form, he would veto it.

While the Administration notes the. Senate's improvements to the funding levels of programs covered by the five remaining appropriations bills, the bill still falls short --by nearly $7 billion -- of funding Administration priorities. The Administration continues to support investments in critical programs for education, children and training; the environment; crime, including the COPS program; veterans; funding to meet our international commitments; vital services to people with AIDS; and research and technology. Funding for these critical areas in the Senate bill is unacceptable.

The Administration believes that Congress should provide funding for these priority programs directly and not make it contingent upon a set of conditions being met in the future. Contingent funding can not be treated as an appropriation unless and until the contingency is fulfilled. Further, the Administration has proposed that the additional funding for these programs be offset and thereby not add to the deficit. Toward that end, the Administration has made available to the Committee a list of potential offsets. The Administration is committed to working with Congress to identify acceptable offsets for this spending.

The Senate Committee took another course. The Senate bill contains $4.6 billion for programs that the Administration has identified as priorities, but made the availability of those funds contingent upon enactment of an agreement between Congress and the President on Federal expenditures. Nearly six months into the fiscal year, this contingency would only further impair the ability of Federal, State and local governments to restore responsible fiscal policies.

The Administration understands that several amendments will be offered to provide additional funding for education and training, the environment, research and technology and for other priorities such as National Service and the Office of National Drug Control Policy. It is our understanding that each of these amendments will include sufficient offsets to ensure that- they are deficit neutral over seven years. The Administration strongly supports these amendments.

The Administration commends the Senate for eliminating many of the language provisions that the Administration previously noted as objectionable. However, if the Administration is to reach agreement on this bill, the remaining objectionable issues, discussed more fully in previous written and other communications to the Congress, must be dropped or modified in an acceptable manner.

In a few cases, the Senate bill contains marginal changes in language issues. The Administration notes that, in particular, the Committee has made changes to riders in the Interior section of the bill, but the language continues to contain unacceptable policy on environmentally sensitive issues, as in the case of the Tongass National Forest provision.

The Administration understands that an amendment may be offered that would repeal the timber provisions contained in P.L. 104-19 and substitute an environmentally sound timber salvage program. The Administration strongly supports this effort.

The Administration appreciates the prompt action of the House and Senate on the supplemental requests for the Bosnia peace implementation plan, the Jordan aircraft sale, and recent natural disasters.

We have a responsibility to the American people to act together to resolve our differences. We are committed to doing so.