–White House Budget Chief: Admin To Request New Recission Powers
–Mechanism Would Help Trim Unnecessary Spending
–New Power Part Of Larger Effort To Cut Spending
By John Shaw
WASHINGTON (MNI) – White House budget director Peter Orszag Monday
said the administration is submitting to Congress legislation that would
give it the power to cut spending by assembling a spending cut package
that would be considered by Congress on a fast-track basis.
In a conference call with reporters, Orszag said the administration
is proposing a bill which would allow it to offer a package of spending
cuts after Congress passes a spending bill.
This package would be considered by Congress as a single package on
an up or down vote within a limited period of time.
Orszag said this power would “add to the arsenal” of tools the
administration has to cut spending.
“We thing this is a significant step forward,” Orszag said, adding
that he thought it would yield spending savings in “the billions.”
“We are hopeful Congress will enact this legislation,” he said.
Orszag said the administration believes it is “fully consistent
with constitutional prerogatives.”
The White House budget chief said this recission power should be
considered in the context of the administration’s proposals to cut back
on earmarks, restore pay-as-you-go budget enforcement rules, and freeze
non discretionary security spending for three years.
Orszag said the administration is interested in “exploring” if this
tool could eventually be expanded to cut entitlement spending or reduce
tax expenditures.
Critics charge this power would do little to control annual federal
spending which now exceeds $3.8 trillion or reduce the budget deficit
which is expected to be about $1.4 trillion this year.
** Market News International Washington Bureau: 202-371-2121 **
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