Clark Hill

Government & Public Affairs Update

April 15, 2009

 

Government & Public Affairs Practice Group Leader

 

(517) 318-3052

 

 

Government & Public Affairs Team

 

Daniel R. Beattie

Alan L. Canady

Delbert J. Chenault

Roderick S. Coy

Denise Ilitch

Andrew C. Richner

Donald F. Tucker

Reginald M. Turner

Chris Wagner

 

 

Offices

 

Birmingham, MI

Detroit, MI

Grand Rapids, MI

Lansing, MI

Chicago, IL

Phoenix, AZ

Washington, DC 

  

 

 

House and Senate Pass FY 2010 Budget Resolutions

On February 26, President Obama announced his Administration's budget for the federal government during Fiscal Year 2010 (FY10), which consisted of $1.1 trillion for discretionary spending,  $533.7 billion in defense spending and $599.1 billion in non-defense discretionary spending. 
 
Like the President's economic stimulus bill earlier this year, his FY10 Budget was embraced by Congressional Democrats but rejected by Republicans.  Neither the House nor the Senate Budget Resolutions garnered a single GOP vote. 
 
The House and Senate passed separate versions of the FY10 Budget Resolution on April 2, intending to conference the bill when Congress returns next week, with the goal of quickly producing one resolution that both Chambers can pass.  The differences between the two resolutions are relatively minor; however, the matter of including instructions for "budget reconciliation" for health care reform in the House version has drawn Republican ire. 
 
Pending a conference agreement on the FY10 Budget Resolution, the Appropriations Committees will begin scheduling hearings in their subcommittees to begin drafting each of the 12 spending bills.  The current fiscal year ends on September 30.
 
For a more in-depth perspective of the FY10 Budget, click
here.

 

Earmark Reform

 

Last month, Democratic Leadership announced additional safeguards for ensuring that the earmark process is more transparent.  As a part of Congress' power to control federal spending, individual members have used that authority to direct federal spending to projects in their home districts (commonly referred to as "earmarks").   However, in the wake of the Jack Abramoff and other scandals involving lavish gifts and bribes given to Members of Congress in return for favors, earmarks have gained an increasingly negative reputation nationally but, for the most part, are still appreciated locally where the money flows.
 
In addition to measures enacted by Democrats when they took control of Congress in 2007, two more reforms have been adopted in the House and one in the Senate as a part of the FY10 approrpiations process.  The House has adopted an increased Executive Branch review, which gives the appropriate Executive Branch agency 20 days to review the project to ensure that the project sponsor is eligible to receive funds and meet goals established in law.  The second measure, adopted by both the House and the Senate, requires that the Executive Branch ensures that any earmark that is to be directed to a for-profit entity will be awarded through a competitive bidding process.
 
In addition, House Members were required to publicly display their requests on their websites by April 3.  Links to each of the Michigan Congressional Delegation's disclosure pages is provided below.

Rep. John Conyers
Rep. John Dingell
Rep. Vern Ehlers
Rep. Pete Hoekstra
Rep. Dale Kildee
Rep. Carolyn Cheeks Kilpatrick
Rep. Sander Levin
Rep. Thaddeus McCotter did not submit FY10 requests.
Rep. Candice Miller
Rep. Gary Peters
Rep. Mike Rogers
Rep. Mark Schauer
Rep. Bart Stupak
Rep. Fred Upton

 

House T&I Solicits Road and Transit Projects

House Transportation and Infrastructure (T&I) Chairman Jim Oberstar (D-MN) and Ranking Member John Mica (R-FL) sent a letter to Members of the House of Representatives asking for information pertaining to any local transportation projects (also commonly called earmarks) that Members would like to have included in the upcoming surface transportation reauthorization bill.  SAFTEA-LU, the last five-year bill passed that authorized $289 billion in surface transportation spending, expires on September 30, 2009. 
 
The letter also outlines a number of principles that the T&I Committee has adopted for Member-designated projects, and notifies Members of a hearing scheduled for April 28 which will give them an opportunity to share publicly the needs of their district and the merits of their project requests. 
 
To read the Committee's reform principles, click
here.

 

 

If you have any questions concerning these issues, please contact Chris Wagner at 202.772.0924 or cwagner@clarkhill.com.

 

 

To find out more about Clark Hill and our Government & Public Affairs Practice Group, visit clarkhill.com or call 800.949.3124

 

 

Safe Unsubscribe

This email was sent to jhenderson@clarkhill.com by jhenderson@clarkhill.com.

Clark Hill PLC | 500 Woodward Ave | Suite 3500 | Detroit | MI | 48226