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Government Affairs Home > Washington Highlights > January 10, 2003

Republicans Reach Tentative Agreement on 2003 Spending Allocations

January 10, 2003 - The 108th Congress convened Jan. 7 amid renewed efforts to finish the FY 2003 spending bills. House and Senate Republican leaders have tentatively agreed on subcommittee allocations as part of a $385 billion omnibus legislative package to complete work on the 11 appropriations bills not yet enacted.

To comply with the President's demands that overall discretionary spending be held to $750.5 billion in FY 2003, Republican appropriators had to cut more than $9 billion from the appropriations bills approved last year by the Senate Appropriations Committee. As expected, the Labor-HHS-Education subcommittee is slated for the hardest hit, a $2.7 billion cut from the $131.4 billion approved by the Senate Appropriations Committee last July. The tentative allocation for the VA-HUD subcommittee is $90.4 billion, which is $1 billion less than the previous Senate allocation and about $600 million less than the previous House allocation. At press time, no details were available regarding individual programs in the Senate proposal.

Rep. Ralph Regula (R-Ohio), chair of the House Labor-HHS-Education Appropriations Subcommittee, introduced a Labor-HHS-Education appropriations bill (H.R. 246) on Jan. 8 designed to give the House some standing in the negotiations with the Senate over the final FY 2003 bill. The bill totals $130.9 billion, which is equal to the President's budget request. The bill provides $26.6 billion for NIH, an increase of $3.357 billion (14.4 percent) over FY 2002. For health professions, the bill provides $392.6 million, which is $4.8 million (1.2 percent) over FY 2002. The bill also provides $299 million for the Agency for Healthcare Policy and Research, the same as in FY 2002.

The House has set in motion the first stage of a process designed to move the 11 bills through Congress as quickly as possible. The House Jan. 8 passed two continuing resolutions (CRs) by voice vote. The first (H.J.Res. 1) continues funding for federal programs at FY 2002 levels through Jan. 31. The Senate is expected to vote on this measure on Jan. 9. The current CR expires Jan. 11.

The plan calls for the second CR (H.J.Res. 2) to be used as a vehicle for Senate passage of the 11 appropriations bills. Incoming Senate Appropriations Chair Ted Stevens (R-Alaska) remains hopeful the issues surrounding the organization of the Senate will be resolved in time for his committee to mark up an omnibus spending package Jan. 10 that combines revised versions of the 11 unfinished appropriations bills. This package would be added to the second CR, which would go to a House-Senate conference committee.

GOP leaders are still hopeful that the FY 2003 bills can be cleared for the President by his State of the Union address Jan. 28. However, Senate debate on the spending bills may take up much of the week of Jan. 13, and neither the House nor Senate is scheduled to be in session the following week.

Information:
Dave Moore, Senior Associate Vice President
AAMC Government Relations
dbmoore@aamc.org
(202) 828-0525

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