Last fall, Democrats took control of Congress while calling for
fiscal responsibility, less pork, and an end to deficit
spending--without large tax increases. Rather than keep these
promises, they have done the following:[1]
- Enacted $98 billion in tax increases while also passing a
budget resolution that assumes approximately $2.7 trillion in tax
increases over the next decade;
- Increased entitlement spending by $179 billion over 10
years--barely half of which is paid for;
- Appropriated $22 billion more for discretionary programs in
fiscal year 2008 than President Bush requested, which will cost
$275 billion over 10 years;
- Added more than $300 billion to deficit spending over the next
decade; and
- Repeatedly violated their own ethics reforms, while including
11,351 pork projects in the spending bills.
Due mostly to excessive spending, President Bush has threatened
to veto nine of the 12 appropriations bills that have passed the
House and six of the seven bills that have passed the Senate.
Despite being six weeks into the new fiscal year, Congress has sent
only two spending bills--for the Department of Defense and the
Departments of Labor, Health and Human Services, Education, and
related agencies (labor-HHS-education)--to the President's desk. On
November 13, President Bush followed through on his pledge to veto
the bloated labor-HHS-education bill.
Discretionary spending has increased by an average of 9 percent
annually since 2001 (defense by 11 percent and non-defense programs
by 7 percent).[2] Rather than provide yet another large
budget increase, Congress should trim pork, waste, and excessive
budget increases from the appropriations bills.
Large Spending Increases
After President Bush offered a budget that would increase
non-war discretionary spending by 6.9 percent, Congress passed a
budget resolution providing for a 9.4 percent increase. The
difference of $22 billion for domestic programs would then become
part of the permanent baseline for discretionary spending, likely
costing approximately $275 billion over the next decade--or more
than $225 per household annually.
The labor-HHS-education appropriations bill, which funds mainly
education spending and health research, has been the main focus of
contention. This bill accounts for nearly half of the $22 billion
difference in spending between Congress and the White House.
Congressional Democrats have claimed that they are merely
replenishing health and education cuts that have occurred under
President Bush. In a recent presidential debate, Sen. Hillary
Clinton (D-NY) said, "It's just outrageous that under President
Bush, the National Institutes of Health have been basically
decreased in funding."[3]
That statement is simply incorrect. According to the Office of
Management and Budget, NIH spending has increased from $17.3
billion in 2001 (when President Bush took office) to $28.1 billion
in 2007.[4] By no standard--nominal dollars,
inflation-adjusted dollars, nor percentage of the economy--is that
a decrease.
More broadly, claims that education and health programs need
large increases to replenish past cuts are not supported by the
data. Total discretionary spending on education and health has
increased 8.4 percent annually under President Bush--a rate
significantly faster than under President Clinton.[5] Now that President
Bush has responsibly vetoed this bill, Congress should pare back
its large increases. They can start with the bill's 2,200 earmarks,
including the grant for the Thomas Daschle Center for Public
Service, named for the former Democratic Senator from South
Dakota.[6]
Pork Trumps Defense
The labor-HHS-education bill is not the only home for pork. When
they captured a majority of seats in Congress, the Democrats
pledged to cut the number of pork projects in half from the 2005
peak of 13,492 down to 6,746. According to the Office of Management
and Budget, the House spending bills have 6,651 pork projects, and
the Senate spending bills have 4,700 pork projects.[7] If Members of
Congress follow the typical practice of adding House and Senate
earmarks together in conference committee, they will easily break
their pledge.
Two other events stand out. Following the collapse of the I-35W
bridge in Minneapolis, Senator Tom Coburn (R-OK) offered an
amendment calling on the Senate to place a temporary moratorium on
transportation pork projects until all structurally deficient
bridges are repaired. Amazingly, the Senate voted 82-14 to give
pork projects a higher priority than bridge repairs in the
transportation budget.[8]
Also, the Department of Veterans Affairs has proposed selling $4
billion of valuable but vacant land in West Los Angeles. This $4
billion could have been used to provide additional medical care for
America's veterans. However, this land is also surrounded by the
Beverly Hills estates of wealthy individuals, including Sylvester
Stallone, Tom Cruise, Tim McGraw, and Barry Bonds. Reportedly, when
locals complained that, among other things, this development would
impede the views from their mansions, Senator Dianne Feinstein
(D-CA) inserted a provision to cancel the land sale. The Senate
voted 66-25 to side with the Beverly Hills millionaires.[9]
Even the defense appropriations bill signed by President Bush
was weighed down with thousands of earmarks. And despite Congress
passing (with much fanfare) reforms preventing new pork projects
from being added in conference committee, they decided to ignore
their own reforms and airdrop new pork anyway, such as $3 million
for "The First Tee" program, intended to encourage young people to
play golf. This is in a defense bill; every dollar for youth
golf means one less dollar to protect American troops and equip the
military.
While Congress has been busy diverting defense dollars into golf
subsidies, they have not yet acted on the President's request to
fund the troops serving in Iraq and Afghanistan (which are funded
separately from the regular defense budget). In fact, Senate
Democrats killed an attempt by Senator Ted Stevens (R-AK) to add
temporary "bridge" funding that would last until next spring.[10]
Funding pork instead of the troops, Congress's budget priorities
are surely out of step with those of the American people.
Conclusion
Despite reform pledges, the Democratic Congress has reverted to
traditional tax-and-spend budgets. They have repeatedly passed
legislation that hikes spending, raises taxes, and increases the
budget deficit. They have also watered down promised ethics reforms
and have brought back earmarks with a vengeance. President Bush's
veto of the labor-HHS-education bill provides Congress with the
opportunity to be more fiscally responsible. Congress should remove
the pork projects and offset the spending increases in all
appropriations bills.
Brian M. Riedl is Grover M.
Hermann Fellow in Federal Budgetary Affairs in the Thomas A. Roe
Institute for Economic Policy Studies at The Heritage
Foundation.