Statement of Administration Policy: S. 3026 - Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Bill, FY 1993

(Senate Floor)
(Sponsors: Byrd (D), West Virginia; Hollings (D), South Carolina)

This Statement of Administration Policy expresses the Administration's views on the Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Bill, as reported by the Senate Committee.

Legal Services Corporation

The Administration strongly opposes language in Title IV and the General Provisions of the bill requiring that funds appropriated for the Legal Services Corporation (LSC) shall be subject to the provisions of S. 2870, the LSC reauthorization bill, as reported by the Labor and Human Resources Committee. The re-authorization bill is the subject of a senior advisers veto threat.

This appropriations bill attempts to address concerns about abortion-related activities. Although it does so by inserting current appropriations rider language restricting the use of LSC funds in litigation related to abortion, it represents a substantial step backwards from restrictions on abortion-related activity contained in current authorizing law. In effect, S. 3026, by incorporating S. 2870, would allow LSC recipients to engage in abortion-related activity which is currently prohibited. The Administration believes this approach is fundamentally flawed.

Funding for LSC from non-Federal sources is growing rapidly, to the point that it could easily surpass Federal support. By not applying restrictions to these other sources of funding, current appropriations language is inadequate. It is virtually impossible to overcome the obstacles of cross-subsidization of abortion-related activities by non-appropriated LSC funds and the reality that these activities are being carried out under the imprimatur of a Federal Program.

S. 2870 currently fails to address the very serious concerns of the Administration with respect to: (1) the constitutionality of the Corporation's structure; (2) inadequate restrictions on lobbying; (3) lack of competitive bidding for grants; and (4) undue restrictions on the Corporation's ability to monitor grantees' use of funds.

Federal Communications Commission (FCC)

The Administration strongly opposes section 611, which would restrict the Federal Communications Commission's discretion in awarding licenses for use of the radio spectrum. This restriction would be an unwarranted intrusion into the FCC's responsibility for spectrum allocation, and would simply protect the interests of one user of the radio spectrum over the broader interests of spectrum users in general. The telecommunications industry is rapidly developing new products and uses. The Committee's action would impede the ability of the FCC to accommodate these developments and cost the economy billions of dollars.

If this appropriations bill were presented to the President without addressing the LSC and FCC concerns discussed above, the President's senior advisers would recommend that he veto the bill.

Budget Enforcement Act Issues

OMB has preliminarily classified as domestic spending several of the programs in the bill that the Committee has assumed to be defense spending. These include programs in the National Institute of Standards and Technology ($109 million), the Economic Development Administration ($80 million), and the Small Business Administration ($40 million).

In addition, OMB is reviewing the Committee's classification of $162 million for FBI special programs as entirely defense. Until our review is complete, OMB has preliminarily classified as defense only the $80 million that was requested for these special programs.

Budget Priorities

The overall funding levels and mix provided by the Committee are a substantial improvement over the House Committee bill, especially given the constraints of the 602(b) allocation. The Administration is particularly pleased, notwithstanding several exceptions, with the funding levels for the Department of Justice. The Administration also supports the increases provided for the International Trade Administration.

The Administration is concerned, however, that funding is provided for several programs whose missions have been completed, or whose objectives are no longer critical, while funding is reduced for programs that are especially pertinent to the problems of today. Funding levels that the Administration believes could be reduced include those for the Economic Development Administration. Public Telecommunications facilities grants, unnecessary weather programs, some Small Business Administration programs, and the Ready Reserve Force.

At the same time that the programs noted above are funded at levels in excess of the request, other important programs are under-funded, including the following:

• Economics Statistics Initiative. The Committee has provided $67 million less than the request. This reduction would undermine the quality of the nation's most vital measures of domestic and international economic performance, including advance preparation for the next decennial census.
  
  
• United States Trade Representative. The Committee has reduced funding for the Office of the United States Trade Representative below the FY 1992 enacted level. This reduction would be made at a time when the workload of the Office is increasing.
  
  
• Department of Justice. The committee has provided limited resources for the Department of Justice to handle a substantial growth in the number of Federal detainees. In addition, the request for the high priority Organized Crime Drug Enforcement Task Force program has been reduced by almost $30 million.

The Administration objects to the provision that would allow the transfer of up to $32 million from the Justice Department's General Administration account to the Equal Employment Opportunity Commission (EEOC). The Administration appreciates the Committee's effort to provide full funding for the EEOC. Full funding is necessary for the EEOC to carry out its new mission of enforcing the Americans with Disabilities Act and the new Civil Rights Act. However, any transfer to EEOC would require Justice to reduce its FY 1993 activity below current levels. Transferring the full $32 million to the EEOC would result in a 27-percent reduction below the President's request for General Administration.

International Programs

The Administration commends the Committee for continuing to fund fully the United States contribution to the United Nations, including peacekeeping activities and other international organizations. However, the Administration objects to the Committee's $30 million reduction from the President's request for Salaries and expenses for the Department of State. This reduction, combined with specified earmarks, including $30 million for international environmental cooperation, would hamper the Department's ability to cover growing operational demands.

The Administration also objects to section 608 which would prevent the Department of State from withholding services (e.g., communications) from the Departments of Justice and Commerce for lack of reimbursement. This action would undermine the Department's cost-sharing system and would risk major disruptions in operations overseas.

Finally, the Administration opposes several "Buy American" provisions in the bill. For example, the bill would preclude the purchase or lease from a foreign source of a super-computer for the National Meteorological Center. Similarly, the bill would restrict the purchase of ships for the Ready Reserve Force to United States-registered ships. These provisions could undermine international negotiations in which the U.S. is seeking to increase procurement opportunities for U.S. firms in foreign markets.