Sunlight Foundation

Still No Earmark Moratorium

I've been over this before: there is no earmark moratorium. USA Today just proves that even more with this report today:

House Republicans who crafted two short-term spending bills made $5.3 billion in cuts by going after some of Washington's least popular spending: those congressional pet projects known as "earmarks."

Even so, a congressional report shows they left $4.8 billion in earmarks untouched — and critics of congressional pork say they should go after it.

"Many in Congress promised taxpayers a full earmark moratorium, not a half moratorium," says Sen. Tom Coburn, R-Okla., an earmark opponent who requested the report from the non-partisan Congressional Research Service. "Protecting nearly $5 billion in earmarks from cuts sends the wrong message to taxpayers."

Most of the remaining funds that congressmen set aside for pet projects are in defense, military construction and veterans affairs, according to the report last week. They account for $4.1 billion of the $4.8 billion that could be cut.

Defense earmarks have not ended. These include some of the biggest contracts created by earmarks. So much for the earmark moratorium. All we have to show for it is less transparency.

There Is No Earmark Moratorium (Cont'd)

As previously stated, there is no earmark moratorium. Politico reports on the joint work of Sen. Jim Inhofe, earmark fan, and Sen. John McCain, earmark foe, in finding a work around for approving earmarks:

But in an unexpected twist, longtime earmark apologist Inhofe has quietly scored McCain’s endorsement on a proposal that would allow home-state projects if they are first authorized by Senate committees. It’s a major coup for Inhofe, who has emerged as the most aggressive Republican battling to save earmarks in a year when Congress has effectively banned them.

...

Under the Inhofe-McCain proposal, the definition of earmarks would exempt projects specifically authorized by Senate committees, that meet “funding eligibility criteria” established by the relevant committees or that are created through a competitive-bidding and formula-based process. Earmarks could also be enacted with the support of 75 senators.

I also suggest reading my colleague John Wonderlich's post about a mostly unknown earmark transparency executive order issued by President George W. Bush that is apparently going unenforced.

There Is No Earmark Moratorium

Eliza Newlin Carney has an interesting article in today's National Journal about the fall of earmarks and how that will affect the internal bargaining involved in passing appropriations bills this year. In the past, earmarks were used as bargaining chips by the majority to secure needed votes from straying members and as local prizes to tout to constituents back home. In a post-Tea Party environment the notion of bargaining chips for lawmakers or constituents is toxic and earmarks have gone underground.

While I found that section of Carney's article to be interesting, I have to point out that her article also helps to disprove the notion of an earmark moratorium.

Here's some relevant text from Carney:

Lawmakers who want to steer money toward their states and districts can still put in requests to federal agencies, a process called “phone-marking” or “letter-marking.”

They also can write bills that fail to name a pet project but that apply narrowly to only one funding recipient. Some lawmakers will also fight to preserve money for highways, water resources projects, and controversial weapons systems such as the F-35 Joint Strike Fighter alternate engine—battles that will now move to the fore.
Let's start with the second paragraph. This is just describing earmarks. These could easily be viewed as earmarks by definition, so I don't see how this circumvents the supposed earmark moratorium. If they do not qualify as earmarks--particularly, "bills that fail to name a pet project but that apply narrowly to only one funding recipient"--then there is no real moratorium.

The first paragraph describes the attempts of a lawmaker to try to influence the appropriations process once an agency has received the money from Congress and is deciding where to spend it. Now the lawmakers may be doing this at the behest of a lobbyist or a local company, but it is also possible that the lawmaker believes that the company in their district could do the best job or that their district deserves the money. Isn't this the job of a lawmaker? Aren't they supposed to represent their district?

People may want an appropriations process that exists in a vacuum, but none exists. Lawmakers can and do try to influence agency decisions on spending. There may even be lobbyists pushing lawmakers to do this. What is needed is not the elimination of one form of directed spending, but disclosure of all forms of directed spending.

The truth is that Congress chose the easy route on dealing with earmarks. The moratorium is temporary and cosmetic. Lawmakers will still direct spending as it is their prerogative to do so. Only now they won't disclose how they are doing it.

The real route of reform would start with the creation of a permanent, centralized earmark database, including both earmarks approved and earmarks requested. They could follow this by approving the disclosure of lobbying contacts. This would allow the public to see the contacts between lawmakers and earmark lobbyists to discourage bad behavior.

Even further, the House Ethics Committee could have ceased shielding lawmakers from ethical complaints by having properly reviewed and taken action in the PMA Group earmark investigation. The committee received numerous e-mails showing lobbyists tying the receipt of earmarks directly to their campaign contributions to lawmakers, but decided to take no action. An honest reading of the documents in this case could have led Congress to real earmark reform before the enactment of a pandering earmark moratorium that appears to be riddled with loopholes.

Earmark transparency unwound the omnibus

Slate's Dave Weigel has a really interesting take on why the omnibus spending bill just stalled in the Senate:

The omnibus spending bill died in the Senate last night, and the death was a long time coming. It started to bleed in 2006, when a series of rule changes and the Federal Funding Accountability and Transparency Act were passed, opening up the process by which bills were marked up to public scrutiny.

...

The increasing transparency of the earmark process was going to make it tougher for Republicans to support this bill and get away with it. There is nothing -- literally, nothing -- that currently motivates most Republicans to send money back home.

The more transparent the process became the more difficult it has become for critics of government to lob their bombs at spending while simultaneously bringing home the bacon for their state. It becomes a whole lot more clear as to why Sens. Ted Stevens and Robert Byrd put a secret hold on the Federal Funding Accountability and Transparency Act after seeing what transparency hath wrought.

Weigel also gives a good explanation as to why transparency is important in this instance:

It's extremely important that earmarking has become a more transparent process, and that it's now easy to call out members for their requests before bills are voted on. Look at the context, though. Earmarks are only the easiest way to nail members for doing what has never really been controversial -- appropriating.

Of course, the irony in this whole story is that the Obama administration is now in a pickle over funding the government--Secretary Gates went so far as to state that a defeat of the omnibus would harm national security--brought about by a federal spending transparency bill that was one of the chief accomplishments of Obama's short Senate career. The Federal Funding Accountability and Transparency Act is also popularly known as the Coburn-Obama bill.

Loopholes already being sought for earmark ban

Some House Republicans are already looking for a way around the ban on earmarks imposed on the next Congress. These members are rapidly trying to come up with a new definition for earmarks, or directed spending, to skirt the ban.

Politico reports, "[S]ome Republicans are discussing exemptions to the earmark ban, allowing transportation, U.S. Army Corps of Engineers and water projects. While transportation earmarks are probably the most notorious — think “Bridge to Nowhere” — there is talk about tweaking the very definition of “earmark.”

Read more

Post-Congress Careers: Bob Bennett

The Washington Examiner's Tim Carney had an amusing and mostly accurate run-down on where the retiring and defeated senators of 2010 will wind up in the future. One of his predictions was that Sen. Bob Bennett, defeated in a Republican primary, will end up as an earmark lobbyist. This one is coming close to being true:

Outgoing Sen. Bob Bennett will launch the Bennett Consulting Group on Jan. 6, the day after the Senators of the 112th Congress will be sworn in, according to Tim Stewart, a former staffer who will join the venture.
While Bennett will be barred from lobbying for two years, his partner Stewart will not. Stewart is already a lobbyist for firms seeking earmarks in Congress.

Some of Stewart's clients receiving earmarks include the Cache Valley Transit District, City of Logan, UT, Kaysville City, Syracuse City, UT and the University of Utah. Many of these earmarks were provided by Sen. Bennett.

Stewart also helped Bennett raise money for his final reelection bid. Party Time shows two fundraisers for Bennett that were hosted by Stewart. You can view them here.

Bennett just voted today against a ban on earmarks.

It's Time For Earmark Transparency

As Paul just noted, the Senate just rejected a ban on earmarks.

In the absence of an outright, Congress-wide ban on earmarks, tracking earmarks and earmark requests becomes far more important. Regardless of who else abstains from earmarks, we're still going to see earmarking in the Senate, and without effective disclosure of earmark information, new leadership-driven earmark policies in the House will be very difficult to evaluate.

Will House members ply Senators for earmarks? Will the total amounts requested stay the same, even in the House bans earmarks? Will House members request by proxy through Senators?

Even if the House and Senate had both changed their rules to ban earmarks, we would have seen Members of Congress influencing spending decisions on behalf of their interests. Now that a broad ban has failed, we can be sure that the influence brokering that earmarks create is still going to flourish.

There is broad consensus about only one aspect of earmark policy. They should be more transparent. The best way to achieve earmark transparency is through online disclosure.

It's time for the House and Senate to act, and to create a single, searchable database of earmarks and earmark requests, as described in the Earmark Transparency Act, or H.R. 5258 and S. 3335.

Update: We’ll be hosting a Twitter chat tomorrow at 3 PM to discuss issues around earmarks, the earmark ban and earmark transparency. Just follow @SunFoundation or track the #sunchat hastag.

Senate rejects earmark ban 39-56

In a fairly unsurprising vote, the Senate just rejected a two year ban on earmarks by a 39-56 vote. While the vote largely went down party lines, eightseven Republicans voted against the ban and seven Democrats voted for it.

Here are the Republicans voting no:

Bob Bennett (R-UT) - defeated for reelection, Appropriations Committee Thad Cochran (R-MS) - Ranking Member, Appropriations Committee Susan Collins (R-ME) - Appropriations Committee James Inhofe (R-OK) Richard Lugar (R-IN) Lisa Murkowski (R-AK) - Appropriations Committee Richard Shelby (R-AL) - Appropriations Committee George Voinovich (R-OH) - retiring, Appropriations Committee

Here are the Democrats voting yes:

Evan Bayh (D-IN) - retiring Michael Bennet (D-CO) - freshman Russ Feingold (D-WI) - defeated for reelection Claire McCaskill (D-MO) - freshman, up for reelection in 2012 Bill Nelson (D-FL) - up for reelection in 2012 Mark Udall (D-CO) - freshman Mark Warner (D-VA) - freshman

The trends here for those not voting the party line are clear. Republicans voting no are largely Appropriations Committee members and Democrats voting yes are largely first term members.

Update: We'll be hosting a Twitter chat tomorrow at 3 PM to discuss issues around earmarks, the earmark ban and earmark transparency. Just follow @SunFoundation or track the #sunchat hashtag.

The face of earmark lobbying to come

With the House of Representatives and the Senate Republicans imposing an earmark moratorium and President Barack Obama jumping on the bandwagon, earmarkers are left with only one outlet. The Senate Democratic caucus does not appear willing to stop earmark spending among their members. Michael Crowley at Time's Swampland flags some comments from Democratic senators:

From the New York Times:

Senator Tom Harkin, an Iowa Democrat and a veteran member of the Appropriations Committee, said “the president is dead wrong on this issue.” “I think there's a valid and good reason why senators and congressmen should be able to direct certain monies,” Mr. Harkin said. A spokesman for Senator Harry Reid of Nevada, the majority leader, said individual senators should decide if they favor earmarks. Because Democrats will retain control of the Senate in the next Congress, a decision by them to continue allowing earmarks could keep the practice alive, at least in spending bills passed by the upper chamber.
From Bloomberg:
"I don't think the earmark process will disappear,” said Democratic Senator Jay Rockefeller of West Virginia.

And so we are left with the obvious path for all earmarks: through the Democrats on the Senate Appropriations Committee. If you are a firm that makes a living off of earmarks there is only one thing to do start contributing money to Senate Democrats and hire a lobbying firm boasting former Democratic senators and former Senate Democratic staffers.

According to data obtained from the Center for Responsive Politics, sixty-three lobbyists previously worked for Senate Appropriations Democrats. Not all of these lobbyists currently work on appropriations issues, but quite a few do and they could see a big increase in business. Also, in the current down market for former Democratic staffers seeking to be lobbyists this is one bright spot for Democrats looking for a way to sell their skill set to K Street firms.

Future of Earmark Transparency Video

Yesterday, the Advisory Committee on Transparency hosted "the Future of Earmark Transparency" on Capitol Hill.

Speaking at the event were Steve Ellis, Vice President of Taxpayers for Common Sense; Jim Harper, Director of Information Policy Studies at the Cato Institute and founder of WashingtonWatch.com; and Daniel Schuman, Policy Counsel at the Sunlight Foundation and Director of the Advisory Committee on Transparency.

The Advisory Committee on Transparency is a project of the Sunlight Foundation, and has 18 member organizations. Background materials on earmark transparency are available after the jump.

Resources

To join the Advisory Committee on Transparency's email list, please contact Daniel Schuman at ACT(at)sunlightfoundation.com with your name, email, phone, title, and office.

The Advisory Committee on Transparency's purpose is to support the Congressional Transparency Caucus's mission of promoting government transparency by:
  • Providing members of Congress with expert advice and resources on transparency issues, and
  • Connecting them with potential partners to advance a transparency agenda.

More information about the Advisory Committee is available here

Additional Resources

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