Wednesday, November 17, 2010

Laforge: Earmark Moratorium will have NO impact on the federal budget.

BY: Bill Laforge

Yesterday the Senate Republican conference agreed on a two-year moratorium on earmarks. Republican Leader Mitch McConnell reluctantly changed his position of supporting earmarks, went along with the party’s conservative wing, and embraced the idea of a moratorium, thus ensuring the endorsement of the Republican caucus, and avoiding a bitter and devisive intra-party battle. This is all in reaction to the election and to voter interests in the government, especially the Congress, doing everything possible to reduce spending and get the financial house in order. Congressional Republican leaders feel it is necessary to restore trust in government by the American people.

However, in reality, it is a mere symbolic gesture…a political reaction and a “feel-good” outcome for politicians who believe that they must listen to the American people and do their will on this issue. It will have NO impact on the federal budget. Earmarks are not “new” money. They only direct where the money will be spent. Essentially, they are directives from Congress on how taxpayers’ dollars should be spent, rather than allowing executive branch agencies to make all the decisions. The same amount of dollars will still be on the table and will be spent. The sad difference now is that Congress is abdicating its constitutional responsibility and privilege regarding the power of the purse, and turning over all the decisions to the executive branch. To me, this is very short-sighted. But it is an issue rife with demagoguery and political messaging. Politicians are falling all over themselves trying to outdo their rivals on this issue, so you will note that an unlikely coalition involving the President and congressional Republicans is having a field day with this issue. For many, perception has become reality, and it appears that the moratorium is real, at least for now.

The Senate action by Republicans comes on the heels of similar action by House Republicans earlier this year. It remains to be seen how congressional Democrats in both houses will respond and what they will do next. It is possible that all or some Democrats, and possibly even some Republicans, will continue to request earmarks. Politically I would envision Republicans making any Democratic earmarks a big issue during the next campaign. Hell hath no fury like a reformed earmarker! Only time will tell.

Bill LaForge is an attorney, Washington, D.C. office managing shareholder and Government Relations Practice Group leader with Winstead PC. A Cleveland, Mississippi native, Laforge was chief counsel of the U.S. Senate Appropriations Subcommittee on Agriculture, and culminated his government career as Chief Legislative Counsel and Chief of Staff to United States Senator Thad Cochran of Mississippi.

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