Policy Luncheon, April 23, 1991
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- Title (Dublin Core)
- Policy Luncheon, April 23, 1991
- Date (Dublin Core)
- 1991-04-23
- Date Created (Dublin Core)
- 1991-04-23
- Congress (Dublin Core)
- 102nd (1991-1993)
- Policy Area (Curation)
- Congress
- Record Type (Dublin Core)
- memorandums
- Rights (Dublin Core)
- http://rightsstatements.org/vocab/CNE/1.0/
- Language (Dublin Core)
- eng
- Collection Finding Aid (Dublin Core)
- https://dolearchivecollections.ku.edu/index.php?p=collections/findingaid&id=26&q=
- Physical Location (Dublin Core)
- Collection 007, Box 400, Folder 33
- Institution (Dublin Core)
- Robert J. Dole Institute of Politics, University of Kansas, Lawrence, KS
- Archival Collection (Dublin Core)
- Robert J. Dole Republican Leadership Collection, 1985-1996
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(Page 1)
POLICY LUNCHEON AGENDA Tuesday, April 23, 1991
(Guest: Dick Darman)
1. Schedule.
· Budget Resolution -- Hope to complete quickly and be able to adjourn by Thursday.
· Big Issue -- Moynihan Social Security Amendment -- President's letter (to be distributed) .
2. Post Recess Schedule. (Copies to distribute)
· Campaign Finance
· S. 2, Democrat's Education Bill
· Fast Track Authority
· GRH Recession Waiver
· Kurds Supplemental (if requested)
· S. 5, Baby Bell R & D
· S. 429, Vertical Pricing
3. Codel to Middle East.
Scheduled to depart Thursday and return next Tuesday. Extra day will be spent in Turkey with the refugees. Any interest?
(Page 2)
U.S. Senate Republican Policy Committee
Don Nickles, Chairman Rick Lawson, Staff Director
No. 10
Legislative Notice
Editor. Judy Gorman Prinkey April 23, 1991
S. Con. Res. 29 -- FISCAL YEAR 1992 CONCURRENT BUDGET RESOLUTION
Calendar No. 66
Reported: From the Senate Budget Committee on April 18, 1991 on a near party-line vote of 11-10 (with Sen. Conrad, D-N.D. joining Republicans), S. Rept. 102-40.
NOTEWORTHY
· UNANIMOUS CONSENT AGREEMENT: That at 10:00 a.m. on April 23, the Senate proceed to the consideration of S. Con. Res. 29 and that there be 40 hours of debate remaining.
· Within the 40 hours, debate on first-degree amendments is limited to 2 hours and debate on second-degree amendments, debatable motions or appeals, is limited to 1 hour. Non-germane and "extraneous" amendments to the budget resolution are subject to 60-vote points of order. Floor action is governed by other points of order as well.
· Expect the issue of the Social Security payroll tax cut to be a key area of dispute. Last fall's budget agreement was supposed to create a "firewall" to protect the Social Security trust fund with a 60-vote point of order. But the firewall does not extend to amendments on the floor. Thus, Senator Moynihan's proposal to reduce payroll tax rates over several years, expand the wage base, and raise payroll tax rates after 2010, needs only a majority to be adopted.
· The Senate budget resolution calls for $1.45 trillion in outlays for FY92 (including Social Security outlays). The total is about $3 billion more than the President's budget submission, and about $10 billion less than the House budget resolution.
· The Senate budget resolution rejects President Bush's spending reform requests as well as his economic growth package. It also "outbids" the President's increased spending requests for education, transportation, and health programs.
(Page 3)
HIGHLIGHTS
S. Con. Res. 29 more or less complies with the terms of last fall's budget agreement, which placed a cap on discretionary spending and placed a pay-as-you-go requirement on entitlement spending.
The budget resolution allows for the creation or expansion of programs by providing five "reserve funds."
These devices would be used for initiatives on:
1) health and nutrition for children;
2) general health care;
3) economic recovery;
4) surface transportation; and
5) the Head Start program.
According to the resolution, taxes cannot be increased for any entitlement programs in the reserve funds. That means increased spending in any of these areas would have to be offset by decreases in other discretionary and entitlement spending.
BACKGROUND
Last year's budget agreement, the Budget Enforcement Act, sets the stage for budget action through FY95. Overall spending from FY91 levels will increase by about $36 billion, or 3 percent, with defense, international, and domestic discretionary spending subject to "caps." Changes in entitlement programs are subject to pay-as-you-go rules that stipulate that any entitlement increases must be offset by higher taxes or reductions in other entitlement programs. Revenues, according to the Office of Management and Budget (OMB), are expected to grow by 7 percent, or $74 billion, to $1.165 trillion.
Strict budget deficit levels, which were the heart of the Gramm-Rudman-Hollings deficit reduction plans, are no longer the target of deficit reduction efforts. Rather, the Budget Enforcement Act seeks to limit the growth of spending. The deficit decreases as revenue growth outpaces spending growth. If the spending restraint strategy holds, the deficit will shrink from $318.5 billion in FY91 to $280.9 billion in FY92, according to OMB. The FY90 deficit was $220.4 billion.
Because of the restrictions put in place last year, the House and Senate Budget Committee have put forth resolutions that do not vary as significantly from the President's submission as they have in the past in most program areas. The President had asked for more funding for space exploration, scientific research, and the war on crime and drugs. In other areas such as education, transportation, and the environment, the President had proposed substantial increases, and the Congressional proposals call for even higher spending levels.
2
(Page 4)
Senate Committee Action
The Senate Budget Committee reported out S. Con. Res. 29 on April 18. Several proposals were considered. Senator Domenici offered an amendment to reinstate the Social Security "firewall" requiring 60 votes to alter the trust fund balances. The amendment failed.
The Wirth "Homefront" amendment was adopted with bipartisan support. It would allocate an additional $4.4 billion to education, health and social services programs aimed at helping children. Homefront provides $700 million more for children's health programs; $2 billion more for education for the disadvantaged; an additional $600 million for literacy programs, job retraining, adult education, and math and science grants; and $1.1 billion more for student aid and opportunity. Other programs would be decreased to offset Homefront's spending increases.
Amendments to freeze spending (Grassley), to cut defense (Simon), and to endorse block grants (Domenici) failed. Several Sense of the Congress amendments prevailed, dealing with supporting children and families (Grassley), safeguarding the revenue levels of the Social Security trust funds (Brown), distributing Federal program benefits equitably (Domenici), and supporting veterans (Exon-Domenici).
Republicans expressed concerns that the reserve funds could become vehicles to raise taxes. To prevent that occurrence, Senators Brown and Domenici proposed an amendment barring tax increases to be used to offset entitlement increases contained in the reserve funds. The amendment passed, meaning that all reserve fund spending increases must be offset by spending decreases in other discretionary and entitlement programs.
Republican opposition to the resolution centers around the absence of any effort to control the growth of entitlement and mandatory spending, the exposure of the Social Security trust funds, and the increase in certain domestic discretionary spending, which must occur at the expense of reducing programs that were excluded from the list of favored programs. The President's budget had called for a 10 percent increase for programs involving children, an increase that was exceeded by the resolution. The President's budget also called for terminating or revising inefficient, ineffective, and duplicative programs and for giving State and local governments more flexibility through block grants. Both of these initiatives were ignored in the resolution.
House Action
The House passed its $1.46 trillion budget resolution on April 17 by a vote of 261-163 with about $13 billion worth of changes in the Administration request. The proposal would spend nearly $7 billion more on such programs as education, Head Start, nutrition assistance, job training and veterans medical care than the Administration requested, (with offsets coming in part from space and science programs) but it did not recommend changes in entitlements, taxes or defense spending. The Bush budget was offered as a substitute by Rep. Gradison (R-OH), and failed 89-335. Attempts to freeze domestic discretionary spending were soundly beaten, but an amendment by Rep. Ford (D-MI) to increase education spending by $400 million was approved, 261-158.
3
(Page 5)
The table on page 5 provides budget comparisons by function for the President's proposal, the House-passed resolution and the Senate Budget Committee resolution.
COSTS
The budget resolution will increase Federal spending by about $36 billion over FY91 levels.
ADMINISTRATION POSITION
There is no official statement from the Administration regarding the budget resolution or the Moynihan proposal, but on January 31, 1990, President Bush stated, "The last thing we need to do is mess around with Social Security." And on March 26, 1991, Treasury Secretary Brady said that if Congress passes legislation to cut Social Security, he will advise President Bush to veto it. And, in an April 23, 1991 letter to Senator Dole, President Bush expressed his support for Senate adoption of Senator Domenici's "firewall" amendment. (The full text of the letter, which includes comments on the Moynihan proposal, is available in the cloakroom.)
POSSIBLE AMENDMENTS
Moynihan. Social Security payroll tax cut.
Domenici. Social Security firewall.
Simon. One percent or two percent defense cut.
Grassley. Freeze spending.
Riegle. Housing.
McConnell. Presidential Election Campaign Fund.
Sanford. Social Security "notch babies."
Wallop. Sense of the Congress regarding economic recovery.
Hollings. Social Security.
Conrad. Freeze.
Staff Contact: Dale Jahr, 224-2946
4
(Page 6)
BUDGET PROPOSALS FOR FISCAL YEAR 1991 FUNCTION SUMMARY ($ billions)
FUNCTION
1991 level
President's request
Senate Reported Budget
House Passed Budget
050:
National Defense
BA
288.4
290.8
290.8
29.8
OT
299.5
295.3
295.3
295.3
150:
International Affairs
BA
19.8
21.9
22.3
21.9
OT
16.8
17.8
17.9
17.9
250:
Science, Space & Technology
BA
16.5
18.9
16.5
17.7
OT
15.8
17.5
16.2
16.8
270:
Energy
BA
5.2
4.9
5.4
6.2
OT
2.7
4.3
4.4
4.5
300:
Natural Resources & Environment
BA
18.8
19.8
19.5
19.4
OT
18.8
20.0
19.7
19.4
350:
Agriculture
BA
20.7
21.9
22.6
22.3
OT
15.8
16.6
17.1
17.0
370:
Commerce & Housing Credit
BA
122.1
107.2
107.7
107.5
OT
119.5
103.4
104.7
104.3
400:
Transportation
BA
31.2
34.3
32.2
34.6
OT
31.5
33.4
33.5
33.7
450:
Community & Regional Development
BA
7.8
5.5
6.1
6.1
OT
7.8
6.7
6.7
6.7
500:
Education, Training, Employment & Social Services
BA
45.3
46.8
54.2
51.0
OT
42.8
45.0
48.2
47.4
550:
Health
BA
73.6
81.7
82.9
83.1
OT
71.2
82.6
83.3
83.4
570:
Medicare
BA
104.5
117.4
120.0
120.1
OT
104.4
113.9
116.8
116.9
600:
Income Security
BA
210.7
220.2
221.3
221.9
OT
173.0
179.8
180.9
180.1
650:
Social Security
BA
329.5
356.4
356.6
356.6
OT
269.0
287.1
286.7
286.9
700:
Veterans Benefits & Services
BA
32.2
32.9
33.4
34.4
OT
31.5
32.6
33.5
34.0
750:
Administration of Justice
BA
12.7
14.8
12.9
14.2
OT
12.5
14.8
13.2
14.2
(Page 7)
BUDGET PROPOSALS FOR FISCAL YEAR 1992 FUNCTION SUMMARY ($ billions)
FUNCTION
1991 level
President's Request
Senate Reported Budget
House Passed Budget
800:
General Government
BA
12.3
12.5
13.3
11.6
OT
11.2
13.1
12.5
12.2
900:
Net Interest
BA
196.3
210.2
209.9
209.8
OT
196.3
210.2
209.9
209.8
920:
Allowances
BA
---
-4.3
-4.4
-4.4
OT
---
-14.1
-14.2
-14.2
950:
Undistributed Offsetting Receipts
BA
-39.1
-40.1
-39.0
-39.1
OT
-39.1
-40.1
-39.0
-39.1
Total Spending
BA
1,508.3
1,573.9
1,584.2
1,585.7
OT
1,401.4
1,443.0
1,447.4
1,444.6
(On-budget)
BA
(1,207.3)
(1,257.7)
(1,268.0)
(1.269.5)
OT
(1,163.5)
(1,194.0)
(1,198.3)
(1,195.7)
(Off-budget)
BA
(301.1)
(316.2)
(316.2)
(316.2)
OT
(237.9)
(249.0)
(248.9)
(248.9)
Revenues
1,091.1
1,165.0
1,162.4
1,162.4
(On-budget)
(792.8)
(849.8)
(847.1)
(847.1)
(Off-Budget)
(298.3)
(315.3)
(315.3)
(315.3)
Deficit/Surplus
-310.3
-278.0
-285.0
-282.2
(On-budget)
(-370.7)
(-344.2)
(-351.2)
(-348.6)
(Off-budget)
(60.4)
(66.3)
(66.4)
(66.4)
NOTES
1991 Level does not include estimates for credit subsidies, or impact of 1992 Supplementals
All 1992 figures adjusted for economic and technical consistency.
Details may not add to totals due to rounding.
Prepared by SBC Minority Staff, 24-Apr-91.
(Page 8)
BOB DOLE KANSAS
United States Senate
OFFICE OF THE REPUBLICAN LEADER
WASHINGTON, DC 20510
MEMORANDUM
TO: ALL REPUBLICAN SENATORS
FROM: BOB DOLE
RE: LEGISLATIVE SCHEDULE
DATE: APRIL 23, 1991
THE FOLLOWING IS A LIST OF ITEMS THE MAJORITY LEADER WOULD LIKE THE SENATE TO CONSIDER PRIOR TO THE MEMORIAL DAY RECESS:
CAMPAIGN FINANCE REFORM
S.2, THE EDUCATION BILL
FAST TRACK LEGISLATION (UNDER A 20 HOUR STATUTORY T/A)
S.173, BABY BELL LEGISLATION
RETAIL PRICE MAINTENANCE
G/R/H WAIVER (UNDER A 5 HOUR STATUTORY T/A)
SUPPLEMENTAL APPROPS. BILL FOR THE KURDS (IF REQUESTED)
PARENTAL LEAVE BILL (IF AVAILABLE)
(Page 9)
SCHEDULE FOR THE WEEK OF APRIL 22, 1991
TODAY, TUESDAY, APRIL 23
THE SENATE WILL RECONVENE AT 2:15 P.M. AND RESUME CONSIDERATION OF THE BUDGET RESOLUTION. IT IS ANTICIPATED THAT SEN. MOYNIHAN WILL OFFER HIS AMENDMENT REGARDING SOCIAL SECURITY. THEREFORE, VOTES ARE ANTICIPATED DURING TODAY'S SESSION.
WEDNESDAY APRIL 24
THE SENATE WILL RESUME CONSIDERATON OF THE BUDGET RESOLUTION. AMENDMENTS ARE EXPECTED TO BE OFFERED, THEREFORE, AND VOTES WILL OCCUR, AND THE SENATE COULD BE ASKED TO REMAIN IN SESSION INTO THE EVENING, IN ORDER TO MAKE PROGRESS ON THE BUDGET RESOLUTION.
THURSDAY, APRIL 25
THE MAJORITY LEADER HAS INDICATED TO ME THAT AS SOON AS THE SENATE CAN COMPLETE ACTION ON THE BUDGET RESOLUTION, IT WILL BE HIS INTENTION TO BEGIN THE RECESS. THEREFORE, VOTES CAN BE EXPECTED TO OCCUR, AND THE SENATE MAY BE ASKED TO BE IN SESSION LATE, IN ORDER TO COMPLETE ACTION ON THE BUDGET.
NOTE:
ALL SENATORS WILL FIND A COPY OF THE MAJORITY LEADER'S PROPOED LEGISLATIVE SCHEDULE FOR WHEN THE SENATE RECONVENES FOLLOWING THE RECESS. IT IS EXPECTED THAT THE FIRST ORDER OF BUSINESS WILL BE THE CAMPAIGN FINANCE REFORM BILL.
(Page 10)
BOB DOLE KANSAS
United States Senate
OFFICE OF THE REPUBLICAN LEADER WASHINGTON, DC 20510
MEMORANDUM
TO: ALL REPUBLICAN SENATORS
FROM: BOB DOLE
RE: LEGISLTIVE SCHEDULE
DATE: APRIL 23, 1991
THE FOLOWING IS A LIST OF ITEMS THE MAJORITY LEADER WOULD LIKE THE SENATE TO CONSIDER PRIOR TO THE MEMORIAL DAY RECESS:
CAMPAIGN FINANCE REFORM
S.2, THE EDUCATION BILL
FAST TRACK LEGISLATION (UNDER A 20 HOUR STATUTORY T/A)
2.173, BABY BELL LEGISLATION
RETAIL PRICE MAINTENANCE
G/R/H WAIVER (UNDER A 5 HOUR STATUTORY T/A)
SUPPLEMENTAL APPROPS. BILL FOR THE KURDS (IF REQUESTED)
PARENTAL LEAVE BILL (IF AVAILABLE)
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