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Government Affairs Home > Washington Highlights > February 13, 2004

House GOP Pledge to Limit Federal Spending

February 13, 2004 - House Republicans are uniting behind a renewed call to hold the line on federal spending at or below the levels proposed by President Bush in his FY 2005 budget. The push to control spending is coupled with a proposal to reform the budget process to create legally enforceable spending limits.

However, the proposed reforms and the "belt-tightening" they hope to achieve face uphill battles at the hands of the House Budget and Appropriations committees as well as the Senate. House Budget Committee Chair Jim Nussle (R-Iowa) tried unsuccessfully last year to cut 1 percent from mandatory programs for "fraud, waste, and abuse."

The current appeals for increased fiscal discipline are notable because they include moderates as well as conservatives and they seek to go beyond the president's plan to control domestic discretionary spending and also target defense and homeland security and possibly mandatory programs such as Medicare for cuts as well. House Speaker Dennis Hastert (R-Ill.) has said, "Everything is on the table."

Both during and after a mandatory caucus meeting Feb. 11, House Republicans across the political spectrum called for increased fiscal discipline. Following the session, Rep. Mike Castle (R-Del.), who co-chairs the moderate Republican Tuesday group, told reporters, "The consensus is, in my judgment, that the president's number is a maximum. And perhaps we could take it below that."

The Bush budget calls for defense spending to increase by 7.1 percent and homeland security by 9.7 percent in FY 2005. Other domestic discretionary spending is held to a 0.5 percent increase.

Members of the conservative Republican Study Committee and the moderate Republican Tuesday Group Feb. 11 unveiled a set of 12 consensus principles to reform the budget process and create enforceable spending limits on mandatory and discretionary spending. Rep. Sue Myrick (R-N.C.), Chairman of the Republican Study Committee (RSC), stated, "I believe this consensus document will provide a significant boost to the likelihood that the House will act this year to fundamentally reform the budget process and put a lid on spending."

But Republican staff for both the House Budget and Appropriations committees discounted the prospects for passing the budget reforms this year. House appropriators also are concerned about efforts to limit federal spending in an election year.

Information:

Dave Moore, Senior Director
AAMC Government Relations
dbmoore@aamc.org
(202) 828-0525

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