March 13, 2006

THIS WEEK ON THE HILL (MARCH 13-17)

It's a busy week on the Hill as the House and Senate will attempt to wrap up important matters before adjourning for a week-long recess.

SENATE. The chamber will consider its FY 2007 budget resolution approved by the Senate Budget Committee last week. They will also consider a measure to increase the federal debt limit to $8.965 trillion. The House has already approved a debt limit increase through a parliamentary procedure that did not require a roll call vote. On Wednesday, both the House and Senate will meet in a joint session to hear an address by the President of Liberia.

HOUSE. The chamber will reconvene tomorrow to consider an emergency spending bill providing a total of $91 billion in supplemental appropriations for military operations in Iraq and Afghanistan as well as for Gulf Coast hurricane relief. The measure also contains a provision blocking the Dubai ports deal. The chamber is also scheduled to consider 11 measures under suspension including the "Higher Education Extension Act of 2006".

BUDGET

The Senate is scheduled to consider its FY 2007 budget resolution throughout the week. The proposal was narrowly approved last week by the Budget Committee (11-10). Chairman of the Budget Committee, Judd Gregg (R-NH), did not include the Administration's proposal to find an additional $65 billion in cuts/savings from entitlement programs over the next five years. The proposal did however, include budget enforcement tools that would trigger a budget-point-of-order (requiring 60 votes to overturn) against any emergency spending that exceeds $90 billion and any mandatory spending proposals if government revenue other than Medicare taxes and fees subsidize more than 45 percent of the program's cost.

The proposal calls for $2.787 trillion in outlays, caps discretionary spending at $873 billion, and includes $90 billion in emergency spending for overseas military operations. Chairman Gregg would have preferred a more aggressive proposal tackling the explosive growth in federal programs, but due to an election year there was little appetite to do so. The proposal does not contain any reconciliation instructions for tax and spending but does include a $3 billion reconciliation provision to allow drilling in Alaska's Arctic National Wildlife Refuge (ANWR). A total of 50 hours of debate is permitted, and potential floor amendments will be offered.

The House Budget Committee has not yet scheduled a markup of its resolution. A key issue is whether a reconciliation savings package will be proposed as part of the House version.

Congress' annual budget resolution is a non-binding blueprint that sets the limits of subsequent bills, including special so-called reconciliation bills.

For more information on the proposal, please visit the Committee's website: http://budget.senate.gov/

SENATE PASSES LOW-INCOME HOME ASSISTANCE PROGRAM FUNDING LEGISLATION

Last week, by voice vote, the Senate passed legislation (S. 2320) that would provide an additional $1 billion for the Low-Income Home Energy Assistance Program (LIHEAP) by shifting funds from the recently passed Deficit Reduction Act from FY 2007 to FY 2006. The chamber voted 75-25 to invoke cloture on the measure earlier that day.

The legislation had originally called for $250 million in formula funding and $750 million in emergency/contingency funding. Southern and western lawmakers however, were successful in amending the bill by dividing the money 50-50 between formula and contingency so that all states would see a more equitable distribution. According to a recent chart of state allotments, Nevada will see a $4 million increase in LIHEAP funds. The state would not have seen much of an increase under the original proposal.

The Low-Income Home Energy Assistance Program was created by Congress in 1981 and provides funds to states in the form of a block grant that can be used for many types of energy assistance for low-income families.

It is unclear when the House will consider the bill.

HOUSE PASSES NATIONAL UNIFORMITY FOR FOOD ACT

Last week, the House passed the "National Uniformity for Food Act of 2005" (H.R. 4167) by a vote of 283-189. The legislation, long sought by manufacturers, would vest final authority for food labeling with the Food and Drug Administration. States would be prevented from enforcing requirements related to food safety warnings that are not identical to federal requirements. Any current state requirements shall remain in effect for 180 days after the date of enactment.

The House adopted a manager's amendment, clarifying when states may act to implement food adulteration standards in absence of federal adulteration standards for a particular food. Another amendment was adopted that stated that the law will not take effect until after the U.S. Secretary of Health and Human Services certifies to Congress, after consultation with the U.S. Secretary of Homeland Security, that the legislation will pose no additional risk to the public health or the safety from terrorist attacks relating to food supply.

The legislation moves over to the Senate, although it is unclear when they will consider the bill.

IMMIGRATION LEGISLATION

Last week, the Senate Judiciary Committee began debate on an immigration proposal that would double the number of border patrol agents. During the markup, the Committee accepted a handful of amendments including replacing and extending fencing along parts of the Arizona-Mexico border; prohibiting state and local governments from requiring businesses to build shelters for day laborers; expediting the deportation of illegal immigrants in U.S. jails; preventing felons from sponsoring spouses for legal residence, increasing the number of authorized border patrol agents from 2,000 to 2,400 a year; and easing immigration restrictions for foreign doctors planning to work in areas of the U.S. struggling with shortages of medical professionals.

The full House passed a bill that would create a 700 mile fence along the southern border, but the fate of the fence is still undecided in the Senate. The Committee rejected the idea, but Sen. Sessions is determined to bring the issue to the floor during debate.

The Committee will continue the mark-up this week and is planning to focus on the creation of a possible guest worker program.

BUNDLE OF ANTI-CRIME BILLS PASS HOUSE

Last week, the House passed the "Children's Safety and Violence Crime Reduction Act of 2005" (H.R. 4472) which combined three anti-crime bills previously passed by the House. H.R, 4472 would require states to notify law enforcement agencies if a sex offender fails to register or provides false information (considered a felony under the measure). States that do not comply within two years would lose 10 percent of their Byrne Justice Assistance funding. In addition, all states would be required to create sex offender registries subject to guidelines delineated by the office of the U.S. Attorney General, which would maintain a national sex offender registry. States must define sex offenders based on a three-tier process to include the seriousness of the crime and whether the victim is a child and the offenders criminal history. The bill would would authorize $10 million for FY 2006 through FY 2009 for civil commitment programs for sexually dangerous persons; and $20 million for FY 2006 through FY 2010 to states to create and expand witness protection programs.

Nevada is taking part in the National Sex Offender Public Registry (NSOPR), a program developed by the U.S. Justice Department to allow for the secure and reliable organization and transmission of public sex offender data from across the nation by creating a link to each participating state’s public safety web site. Nevada was one of the first states to take part in this important program.

HOUSE PASSES ONDCP REAUTHORIZATION LEGISLATION

The House recently passed legislation (H.R. 2829) reauthorizing the Office of National Drug Control Policy (ONDCP) through FY 2011. The primary purpose of the ONDCP is to establish policies, priorities, and objectives for the nation's drug control program. The goals of the program are to reduce illicit drug use, manufacturing, and trafficking, drug-related crime and violence, and drug-related health consequences.

The bill would:

Reauthorize the High Intensity Drug Trafficking Areas (HIDTA) Program at $280 million in FY 2006, $290 million for FY 2007 and FY 2008, $300 million for FY 2009 and $300 million for FY 2010.
Reauthorize the Counter-Drug Technology Assessment and the National Youth Anti-drug Media Campaign.
Commission a study of State Drug Endangered Children programs focusing on meth that will report recommendations to Congress within six months for a National Drug Endangered Children policy.
Require ONDCP to submit to Congress a compressive strategy to address the increased threat from meth, including efforts to interdict and control precursor chemicals, demand reduction, and treatment.

SENATE HEALTH, EDUCATION, LABOR & PENSIONS (HELP) COMMITTEE BEGINS MARKUP OF HEALTH INSURANCE REFORM PROPOSAL

Last Wednesday, the Senate Help, Education, Labor, and Pensions (HELP) Committee began marking up a proposal that would restructure the nation's health insurance market in order to provide lower-cost alternatives for small businesses that are currently struggling to provide health insurance to their workers. "The Health Insurance Marketplace Modernization and Affordability Act of 2006" (S. 1955) will continue to be marked up this week due to the large number of proposed amendments. S.1955 is sponsored by Committee Chairman, Mike Enzi (R-WY) and Senator Ben Nelson (D-NE).

The bill would permit small businesses to offer coverage to their employees that varies from current state insurance requirements, as long as the coverage would meet the requirements in any of the five most populous states (CA, NY, IL, FL and TX). The legislation is intended as an alternative to the creation of Association Health Plans (AHPs) long opposed by most governors, attorneys generals and state insurance commissioners. The new small business health plans, as proposed in the Enzi bill, would remain under state regulatory authority, however, the bill would establish a process to harmonize the insurance regulations that currently vary from state to state. Chairman Enzi stressed state benefit mandates as a major contributor to the high costs of health insurance as the committee rejected a series of Democratic amendments designed to include coverage of services ranging from mental health to cancer screenings.

A variety of business groups have endorsed the proposal while many organizations have chosen not to take a position. They realize the Chairman's progress in moving away from the AHP model in an attempt to accommodate all entities. Many associations, however, still caution that by superseding state small insurance rules, the bill could potentially do unintended harm and have a negative effect in some states.

The panel rejected, by a vote of 11-9, a Democratic substitute amendment (sponsored by Sen. Jeff Bingaman, D - N.M) that would have put employees of small businesses into the same insurance pool with federal employees. Chairman Enzi said the Democratic plan would cost too much and would give employees fewer choices. Sen. Bingaman said Enzi was using an old cost estimate, and said his plan was broader, not more limited. The Committee also rejected three other Democratic amendments that would make newborns, newly adopted babies, and those with cancer and diabetes immediately eligible for insurance under the bill. The committee rejected the amendment on a 10-10 vote. Another amendment was defeated 11-9 that would have removed a provision from the bill that allows insurance companies to sue states. Sen. Edward Kennedy (D-MA), ranking member on the committee, also introduced an amendment to put mental illness on a par with physical illness for insurance purposes. It was turned back on a tie 10-10 vote.*

*Last paragraph taken from National Journal article, 3/08/06.

PATRIOT ACT SIGNED INTO LAW

The House passed under suspension, legislation that would modify several controversial provisions to the USA Patriot Act which the chamber adopted last December. The bill, S. 2271 makes three changes to the conference report. The Senate passed the measure, as well as the conference report two weeks ago and the President signed it into law a day before sixteen provisions of the Act were set to expire. A battle over the legislation forced Congress to extend the expiration date twice.

Also included in the Act are provisions that would restrict over-the-counter medicines that contain ephedrine, pseudoephedrine or phenylpropanolamine, the active ingredient in methamphetamine. Customers will be limited to buying 300 30-milligram pills in a month or 120 such pills in a day. The measure would make an exception however, for "single-use" sales individually packaged pseudoephedrine products. By September 30, retailers will be required to sell such medicines from behind the counter and purchasers would have to show ID and sign log books, something that is currently being done some states. Also included in the bill are stiff penalties for possession and distribution of meth and the authorization of some funds geared at assisting children and families affected by meth.