Publications :  The Watcher :  OMB Watcher Vol. 8: 2007 :  May 1, 2007 Vol. 8, No. 9 : 

In This Issue

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OMB Watch Executive Director Gary D. Bass Comments on USDA's Private Information Breach (05/01/2007)
On April 20, the New York Times broke a story about the U.S. Department of Agriculture (USDA) disclosing personally identifiable information (Social Security numbers and taxpayer ID numbers) of some people who have received financial assistance from the department. The practice, which, according to USDA, affected 38,700 people, has been going on for roughly a decade. The problem was discovered a week earlier by a user of OMB Watch's FedSpending.org, a website providing easy access to information about government spending.

Mapping out the Post-Veto Supplemental Landscape (05/01/2007)
President George W. Bush and Congress are continuing their power struggle over policies related to the war in Iraq and a war funding bill containing a "goal" timeline for withdrawal of soldiers. Congress sent the funding bill to the president on May 1, the fourth anniversary of Bush's "mission accomplished" visit aboard an aircraft carrier, and he promptly vetoed it shortly thereafter. With the House unlikely to override a veto, Democrats in Congress are faced with the difficult task of finding a compromise in the next month.

Senate Still Without Strong Earmark Disclosure Provisions (05/01/2007)
While the House passed earmark disclosure provisions in its initial rules package in January, a stronger proposal for earmark disclosure passed by the Senate as part of a larger lobbying and ethics reform bill has languished for months. Despite the delay, recent rumors of possible action on the companion House ethics and lobbying reform bill have renewed hope the stronger Senate language on earmarks will eventually be adopted in both chambers.

The Entitlement Crisis That Isn't (05/01/2007)
On April 23, the Social Security and Medicare Board of Trustees released its annual reports on the two programs. These reports reveal there is not, in fact, an "entitlement" crisis, and that the alarmist language often placing blame on entitlements is generally a pernicious shorthand that glosses over the complicated fiscal challenges facing an aging society with rapidly rising health care costs.

OSHA's Lack of Standard Setting under Fire (05/01/2007)
This year's Workers Memorial Day, April 28, included criticism of the Occupational Safety and Health Administration (OSHA) — the federal regulatory body charged with ensuring worker and workplace safety. On Capitol Hill and in the media, critics chided OSHA for not fulfilling its mission and falling behind in promulgating new standards to protect the American workforce.

White House Tightens Grip on Regulatory Power Grab (05/01/2007)
The White House has released a memo instructing agencies on how to implement President George W. Bush's recent changes to the regulatory process. OMB Watch had anticipated the release of such a memo due to the need for clarification of certain controversial provisions within Bush's executive order. However, the memo offers little new information and further confounds issues in some areas.

House Subcommittee Steps Up Oversight on Regulatory Changes (05/01/2007)
A House subcommittee held a second hearing April 26 on the regulatory changes President George W. Bush issued in January. Subcommittee Chairman Brad Miller (D-NC) hoped to discover the reasons that the White House issued the changes, but the hearing turned stormy as Miller's inquiries were repeatedly rebuffed by an administration official. After tense exchanges with the official, Miller promised to seek additional documents from the Office of Management and Budget (OMB) and to hold additional hearings on regulatory changes "that affect the lives of millions of Americans."

Court Picks Illusion of Safety over Protecting Public (05/01/2007)
The Second Circuit U.S. Court of Appeals recently ruled that the U.S. Environmental Protection Agency (EPA) is not liable for any harm resulting from their intentional misinformation about air quality around the World Trade Center (WTC) site following the September 11 attacks. The lawsuit, Lombardi v. Whitman, was filed by five emergency responders who worked at the WTC site without adequate safeguards, in part because of the misguided assurances of safe air quality. The April 19 court decision favors protecting government liability over the public's right to know about environmental risks that could compromise their safety.

Intelligence Agencies' Contracting Practices Remain a Secret (05/01/2007)
The government refuses to release the findings of a comprehensive study on contracting at the Central Intelligence Agency (CIA), National Security Agency, and other federal intelligence agencies on the grounds that it is classified information and is sensitive to national security. The amount spent on federal contracts government-wide has doubled, from $209 billion in FY 2000 to $384 billion in FY 2005, but this does not include money spent on intelligence contractors, the figures for which are unknown to the public.

Supreme Court Hears Oral Argument in Grassroots Lobbying Case (05/01/2007)
The U.S. Supreme Court heard oral argument on April 25 in Wisconsin Right to Life's (WRTL) challenge to the constitutionality of a campaign finance law that limits certain broadcasts, including grassroots lobbying messages, during federal campaigns. The issue before the Court is whether the law is unconstitutional as applied to the facts of WRTL's 2004 grassroots lobbying radio ads. Much of the argument addressed what standard should be used to define "genuine issue ads" entitled to constitutional protection. For nonprofits, much depends on whether the Court sets a clear standard for the 2008 election year. A decision is expected during the summer, which allows enough time for Congress or the Federal Election Commission (FEC) to establish rules that comply with the Court's decision.

House Bill Seeks Accountability for Anti-Terrorist Financing Programs (05/01/2007)
Legislation was recently introduced in the House that would require the Departments of State and Treasury to adopt recommendations of an October 2005 Government Accountability Office (GAO) report, which addressed the effectiveness of the U.S. government's efforts to assist other countries in the war on terrorism. Among other things, the bill would require the Treasury Department to submit in an annual report to Congress more complete information on how the agency tracks and blocks terrorist assets. Although the bill does not include all the GAO recommendations, it opens the door to discussions on the effectiveness of Treasury's strategy, including how it deals with charities, especially since the strategy is inconsistent with the State Department's December 2006 "Guiding Principles on Non-Governmental Organizations".

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