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Government Affairs Home > Washington Highlights > May 28, 2004

House Panel to Start Work on FY 2005 Spending Bills

May 28, 2004 - Despite continued uncertainty about the fate of the FY 2005 budget resolution, the House Appropriations Committee plans to begin work on next year's spending bills by scheduling as many as three subcommittee markups when Congress returns from its Memorial Day recess. The Defense, Interior and Homeland Security appropriations subcommittees are reportedly slated to mark up draft versions of their FY 2005 spending bills during the first week that Congress is back in session.

Senate Majority Leader Bill Frist (R-Tenn.) was forced to postpone a Senate vote on the conference report on the FY 2005 budget resolution (S.Con.Res. 95 - H.Rept. 108-498) before Memorial Day when it became clear that he did not have the votes to secure passage of the budget plan [see Washington Highlights, May 21]. Despite the Senate's failure to pass the budget agreement, the House can move forward with its appropriations bills because under its rules, when the House passed the budget conference report May 19, it approved or "deemed" the FY 2005 discretionary spending ceiling specified in the conference agreement.

As a result, total spending for the 13 FY 2005 spending bills to be considered by the House Appropriations Committee is capped at $821 billion, about $2 billion less than President Bush's FY 2005 budget request. In addition, once increases for defense and homeland security are factored out, the total for all other domestic is frozen at the current year's levels.

The GOP leadership has set a goal of reporting as many bills out of committee and onto the House floor as possible before Congress begins a six-week summer recess July 23. However, the combination of a tight budget that will freeze or cut many popular domestic programs and election year pressures from voters back home means the leadership faces an uphill fight getting the spending bills out of committee, and even greater challenges securing House approval. This has led to speculation that the leadership may try to package some of the less attractive bills with "must pass" bills such as defense and homeland security to get them through the House floor.

The schedule for the Labor-HHS-Education and VA-HUD-Independent Agencies bills is uncertain, although some staff are reporting the VA-HUD subcommittee may not take up its bill until the week of July 19.

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

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