Congress passes a budget. President warns of a veto (and more chaos)

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Mark Trahant / Indian Country Today

Congress did its job: The federal government’s budget is done. The last step was President Donald J. Trump’s signature and so now the government marches on. At least for the rest of this year, until the end of September.
But the White House said Friday that the president may veto the budget because there is not enough funding for a border wall or a solution for the so-called Dreamers. This is after the president assured House and Senate leaders that he would sign the measure into law.

 

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A veto would mean the federal government would shut down at midnight and Congress would have to start a new round of budget negotiations. This will be even more complicated because many lawmakers have left Washington for a two-week recess.
There will be intense pressure from some Republicans for the president to sign this budget into law anyway.

Budgets are a guide to priorities: What programs are more important? Where is the support from Congress and from the people? Did the president get what he wanted?
That last question is the easy one. The money for the budget wall was minimal, at best.
It’s fair to say the administration’s budget was soundly rejected by a Republican Congress. Sure, Democrats contributed a great deal to this budget (and Democrat votes were required to make it so,) but even before that occurred, majority-party lawmakers were dismissing the harsh budget program changes sought by the president.
The president’s team had all kinds of ideas: Deep spending cuts, the elimination of public broadcasting, replace Medicaid with block grants, and, yes, even deeper spending cuts. Yet Congress enacted a budget that increased federal spending both for the military and domestic programs. It’s Congress, not the president, writing the checks.
How bad was the president’s budget? The National Congress of American Indians put it this way in recent testimony: “The president’s budget would cut the Bureau of Indian Affairs by about half a billion dollars, or 15 percent. BIA Social Services would be reduced by more than a third, Indian Child Welfare by more than a quarter, and critical human services programs, law enforcement and courts programs, environmental protection, housing, and education programs would face unconscionable reductions. Infrastructure programs, such as the Indian Community Development Block Grant would be eliminated, and the Indian Housing Block Grant and road maintenance would be reduced.”
Instead, Congress added dollars and protected programs that the White House sought to eliminate.
“This bill represents real progress for Indian Country, significantly increasing our investments in Native health care, infrastructure, economies, and communities. It rejects the president’s dangerous proposed budget cuts and instead provides funding increases that will lead to healthier communities and better outcomes across Indian Country,” said Sen. Tom Udall, D-New Mexico, in a news release. Udall is vice chairman of the Senate Committee on Indian Affairs and ranking member of the Appropriations Subcommittee on Interior, Environment, and Related Agencies.
The omnibus spending bill would have increased funding for the Indian Health Service by 10 percent, and the Bureau of Indian Affairs and Bureau of Indian Education by 7 percent to $3.064 billion. The IHS budget line is $5.5 billion.
Conservatives were not happy with the additional spending in the omnibus bill. “Republicans control the government, yet Congress still follows the Democrats’ playbook,” Sen. Rand Paul, R-Kentucky said. “Time and again, spending skyrockets, and conservatives are expected to fall in line to praise the party for making the big-spending status quo worse.”
However Rep. Tom Cole, R-Oklahoma, a member of the House’s leadership team praised the legislation. “Despite divisions, both sides of the aisle have the responsibility to deliver this legislation for the American people so that the federal government runs efficiently and effectively,” Cole said. “Neither side got everything it wanted, but the end product reflects a broadly supported compromise. A majority of Republicans and Democrats voted for this bill. President Trump urged its passage and has promised to sign this legislation. As we begin to consider funding for Fiscal Year 2019, it is imperative that Congress remain committed to the return to regular order in the appropriations process.”
The president will decide in the next few hours whether or not he got enough of what he wanted.
(The National Congress of American Indians is the owner of Indian Country Today and manages its business operations. The Indian Country Today editorial team operates independently as a digital journalism enterprise.)
Mark Trahant is editor of Indian Country Today. He is a member of the Shoshone-Bannock Tribes. Follow him on Twitter @TrahantReports (Crossposted on Trahant Reports.)

Congress set to vote on $1.3 trillion spending bill; Friday deadline

Mark Trahant

Cross-posted on Indian Country Today.

UPDATE: The House of Representatives passed the $1.3 trillion fiscal 2018 omnibus appropriations bill. Thursday.  The vote was 256-167. Next up: The Senate will vote on the measure.

Congressional leaders have agreed to a massive $1.3 trillion spending bill to fund the government for the remainder of this fiscal year. The House and Senate must still vote on the measure. The text of the 2,232 page bill was released Wednesday at 8 p.m.

The spending bill, which followed an overall agreement last month, increases spending for most domestic programs, including more than $3 billion for the Bureau of Indian Affairs and $5.5 billion for the Indian Health Service. Other line items include increased funding for tribes for the research and implementation of the Violence Against Women Act and renewed funding for the Special Diabetes Program for Indians.

House Speaker Paul Ryan said the legislation also “fulfills our pledge to rebuild the nation’s military. We are delivering the biggest increase in defense funding in 15 years.”

That includes a pay raise of 2.4 percent for military personnel — and an increase of 1.9 percent for most federal civilian employees.

The legislation would significantly boost funding for programs that deal with the opioid epidemic. “With nearly $4 billion, the funding bill makes the largest federal investment to date for fighting the opioid epidemic, which the president has declared a national emergency,” Ryan reported on his House web page. “It includes funding for treatment, prevention, and law enforcement programs that help save lives and stem the spread of this scourge.”

The spending bill includes  $1.57 billion for President Donald J. Trump’s border wall as well as an increase for  immigration enforcement, including additional law enforcement.

The House could vote on the measure as soon as Thursday (waiving a requirement for members to get at least three days to review the language of the legislation).

The Senate vote could come Friday, however, one senator could slow the process down because of rules that require unanimous consent. This would result in another, short government shutdown at least over the weekend. Sen. Paul Rand, R-Kentucky, did just that last month.

He has not said what action he will take on this spending bill, but he tweeted this morning: “It’s a good thing we have Republican control of Congress or the Democrats might bust the budget caps, fund planned parenthood and Obamacare, and sneak gun control without due process into an Omni…wait, what?”

Mark Trahant is editor of Indian Country Today. He is a member of the Shoshone-Bannock Tribes. On Twitter: @TrahantReports

The federal government shutdown is a failure by Congress to govern

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Updated Sunday.

Mark Trahant / Trahant Reports

The government is in its official shut down mode. And it’s a fight that has been brewing for a long time. It’s complicated because there are several different congressional factions, think of them as mini-political parties, that have different goals.

Remember this: The Republicans are in charge. This process could have been resolved within the caucus — if the GOP leadership had the votes. Back in September. And that’s the main problem. There are not enough votes for an affirmative solution. It’s so much easier for one faction or another to say “no.” (The House did pass their latest, short-term version with the support of the so-called Freedom Caucus. But several Senators in the Republican camp are still not on board because that solution doesn’t send enough money to the military and still other senators are not happy with another Continuing Resolution for any additional spending.)

Democrats have not had much say in the government since the election of Donald J. Trump as president. Senate leaders have used budget rules designed to pass legislation with 51 votes. But this short-term spending bill does not qualify — at least for now. More on that shortly.

There are three things on the Democrats’ “must” list. They want domestic spending protected (remember, one GOP faction wants deep cuts into government spending). Party leaders have been successful doing this with every Continuing Resolution so far because the alternative is the Budget Control Act and that would require deep cuts to the military (as well as domestic programs). Because of this threat, the faction in Congress that supports more money for the military has been willing to work with Democrats.

Democrats also want funding for the Children’s Health Insurance Program or CHIP. That is a huge program for Indian Country (along with Medicaid) pays the health care costs for more than half of all American Indian and Alaska Native children in the Indian health care system.

The CHIP program is in the House Continuing Resolution. But, as the National Indian Health Board posted last week, the House bill “does contain a 6-year reauthorization for the Children’s Health Insurance Program but does not include the Special Diabetes Program for Indians. This is a huge miss. The Special Diabetes for Program for Indians expires March 31. The ideal solution would be for the Senate to include both CHIP and the diabetes program in any deal that’s made with the White House.

The bill also does not fund Community Health Centers which could lose up to 70 percent of their budget.

The final sticking point for the Democrats is protecting the people who were brought to this country by their parents or other adults unlawfully as children. This issue is interesting because nearly everyone sees the value in finding a solution to the problem because the United States is their country in all but paperwork. Yet even the rhetoric is changing. A few days ago Republicans were talking about agreement on this point. Today the language is harsh, Republicans saying Democrats are trying to “protect illegal aliens.”

But the Senate bill that the president rejected was bipartisan. Immigration hardliners did not want the deal, even though it would have increased funding for the wall, because it was too lenient on Dreamers. The White House represents the most conservative element on immigration issues.

Of course none of these issues are new. But Congress has not had the votes to pass any plan. So the solution has been short-term spending bills. This government shutdown is about ending that stalemate, resolving the debates, and moving forward.

That said:  Don’t be surprised if another “deal” is another short-term pass. But the goal is to force Congress into a real debate. Big picture stuff. (Yeah, right. I know, but I had to write it anyway.)

Rep. Tom Cole, R-Oklahoma, told National Public Radio that he doesn’t think “anybody’s going to negotiate very seriously with a gun to their head.” He said one of the problems is the Senate and the dysfunction over the “rule of 60.” Because of that, Cole said, the Senate hasn’t passed a single appropriations bill. “They didn’t do a real budget this year. The House did.”

The rule of 60 is the power of the minority to call for a filibuster. It takes 60 votes to end debate. President Trump took to Twitter Sunday to call for an end to that Senate rule. “Great to see how hard Republicans are fighting for our Military and Safety at the Border. The Dems just want illegal immigrants to pour into our nation unchecked. If stalemate continues, Republicans should go to 51% (Nuclear Option) and vote on real, long term budget, no C.R.’s!”

Of course Indian Country (and the economy) will be hit hard if this shutdown lasts very long. Lots of families, both government employees and contractors, could lose a paycheck.

The problem is we really don’t know exactly how the Trump administration will manage this particular closure.  Some agencies, such as the Environmental Protection Administration, are using year-end funds to continue operation. The White House has posted a round up of agency plans. But we will know about the direct impact next week.

During the last government shutdown, 21-days that started on December 16, 1995, and continued to January 6, 1996, all 13,500 Department of Interior Bureau of Indian Affairs  employees were furloughed; general assistance payments for basic needs to 53,000 BIA benefit recipients were delayed; and estimated 25,000 American Indians did not receive timely payment of oil and gas royalties,” according to the Congressional Research Service. The last time around furloughed employees were eventually paid. Eventually.

All told Standard & Poor’s estimated the U.S. economy lost $24 billion last time around.

The Indian Health Service and the Department of Interior posted planning memos in September about what is expected to happen. Basically: Many BIA employees will be furloughed, except for those that work in public safety or who are managers. However the Bureau of Indian Education will mostly continue working as normal.

Former Indian Health Service Director former IHS director Dr. Michael Trujillo told Congress that the government closure “caused considerable hardship within Indian communities. One result of staff furloughs was difficulty in processing funds for direct services and to contracting and compacting tribes so the delivery of health services could continue. Those staff that continued providing health services were not paid on time. Threats to shut off utilities to our health facilities and even to stop food deliveries were endured. We reached a point where some private sector providers indicated that they might not accept patients who were referred from Indian Health facilities because of the Federal shutdown.”

Mark Trahant is an independent journalist and a member of The Shoshone-Bannock Tribes. On Twitter @TrahantReports

 

 

 

 

Make 2018 the year we fight about policy (instead of tweets from Donald J. Trump)

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Correction: The chart I originally published was misleading. The CBO score for the tax bill (and most of the other measures) looks at the cost over ten years. Appropriations are made in a single year. So that made the tax bill appear more costly in visual form. I am working on a new version now, something that illustrates the downward pressure on federal spending but uses an apple-to-apple comparison. (I also added a sentence in the report below to stress that the tax cuts are measured over a decade.)

Funny thing: I was so intent on getting the area of the bubbles correct that I completely spaced the CBO’s measure of ten years as opposed to a single year for appropriations.

Damn.

Two take aways. First. I still want to illustrate, visually, the downward pressure on the budget. The balloons I used were misleading, but the point remains the same. The pressure to cut is going to grow in intensity. Second: The reconfigured bubbles (which take up too much space because of their relationship) really show the problem of entitlement spending, such as Medicaid. That’s a whole different topic … but visually, wow.

 

Elections should be fought over policy not nonsense

Mark Trahant / Trahant Reports

Elections in America are usually fought over nonsense. Trivial topics. Stuff that grabs headlines. Or issues that remind voters why they are in Political Party A or B. (And for good measure there is always contention about the personality of a So So Candidate who does (or does not) connect with voters.)

Nonsense.

This problem is particularly acute in the Trump era. The recent news cycle pits President Donald J. Trump versus Steve Bannon. The White House statement that Bannon “lost his mind” is attention grabbing. Our political minds want to know what this means for the next election and the Trump coalition (which still defies logic because it subtracts supporters, rather than reaching out and finding new ones).

But politics ought to be more about policy. What choices are being made in our name? What’s the best way to improve the lives of children, the next generation? How do we invest public resources, that means tax dollars, into making life better? These are questions that get far less attention than the latest presidential tweet.

Then the president and Congress have already set the rules for this debate when they passed tax cuts. Now, every act of Congress, every budget from the administration, will set out to justify (and pay for) that law.

This is the problem: The Congressional Budget Office predicts that the  federal deficits will increase to $1.8 trillion over the next decade. “As a result of those higher deficits, debt held by the public would increase from the 91.2 percent of gross domestic product in CBO’s June 2017 baseline to 97.5 percent,” CBO said. That means that the annual budget deficit will be nearly equal to the entire economy.

But CBO is on the conservative side of this argument. The Committee for a Responsible Federal Budget warns that after adding interest costs the tax plan would be enough to “increase debt to 111 percent of gross domestic product … That would be higher than any time in U.S. history, and no achievable amount of economic growth could finance it.”

A federal debt that’s bigger than the entire economy. And, key phrase here, “no achievable amount of economic growth could finance it.”

Already leaders of the Congress — the same bunch who did proposed this tax legislation — are now saying the country cannot afford to spend money on social programs.

Utah Sen. Orrin Hatch (who is soon to retire) said he was one the earliest sponsors of the Children’s Health Insurance Program“I invented it,” he said on the Senate floor. He says he doesn’t know anyone who doesn’t support its reauthorization. Yet. So he preaches that this country must live within its means.

Congress gave corporations a tax break worth $1.3 trillion. And another $425 billion was rewarded to small businesses that pay their taxes on individual returns (so-called pass through taxes). On top of that (for desert, perhaps) the Congress gave the very wealthiest, those few who pay estate taxes on inherited wealth, a break worth $83 billion. Even though those numbers reflect a decade of revenue, it still means that many in Congress say there is not enough money to fund the government.

That’s a rotten framework. But it’s more complicated when you add one more layer: The Budget Control Act of 2011. That law was passed to limit Congress’ power to spend freely. It sets in place budget caps for domestic and defense spending. If the caps are exceeded, then an automatic sequester (remember that?) kicks in unless Congress passes a waiver. That deal linked spending for defense and domestic programs.

Now it’s a problem because the Republicans want to spend a lot more money on the Pentagon. They want that part of the budget to go up. But because it’s linked to domestic programs — such as those that impact Indian Country — that cannot happen without an agreement with the Democrats. Wednesday the leaders of both parties in the House and Senate met to try and make that happen. House Minority Leader Nancy Pelosi described the meeting as  “positive and productive.”

Democrats, for once, have some power to bargain. More spending for defense cannot happen without their votes. (Republicans remain divided over all federal spending.) So Democrats are trying to see how much leverage they have and over what issues. It’s likely that domestic spending will be a part of any deal, and possibly the Children’s Health Insurance Program. Several Democrats, including Sen. Bernie Sanders of Vermont, have said they will not vote for any budget unless it includes a provision to protect immigrants who were brought to this country as children, the so-called Dreamers. (President Trump removed Obama-era protections for this group and it’s a moral imperative for Democrats (and many Republicans) to protect some 800,000 people from deportation. The Deferred Action for Childhood Arrivals, or DACA, began under President Obama.)

That’s a huge agenda. It’s likely that Congress will again push it forward past its deadline of Jan. 19. Even if there is a deal, say today, then the actual writing of the budget will have to go back to the Appropriations subcommittees to be put into legislative language. That will take time.

Federal spending on Indian Country ought to be in a different category, one that does not yet exist. There should be a line item for treaty obligations. Should.

So far the budget numbers are hard to know for federal Indian programs. The Trump administration’s budget was largely ignored. And the House and Senate committee numbers look lean, but fine. But the thing is until there is an actual deal, none of these numbers matter. After a deal each committee will have to go back and determine what money can actually be spent. If it’s a good deal, the numbers will stay the same or even improve. The alternative? No words.

Of course the bigger issue in Congress is about priorities. This Congress has already decided that tax cuts are the most important thing that had to be done. So every fight over the budget has to somehow go through that filter. There is not enough money because Congress is giving corporations $1.4 trillion so they can be more competitive and profitable. (Funny: thought they were both.)

As economist William G. Gale wrote for the Brookings Institute: “… tax cuts are not free; they eventually have to be financed with higher taxes or lower spending. And once those financing requirements are taken into account, most low- and middle-income households are likely to be worse off than they would have been without the tax cut in the first place.”

Worse off. Then Indian Country knew that before the tax bill ever reached the president’s desk.

Mark Trahant is the Charles R. Johnson Endowed Professor of Journalism at the University of North Dakota. He is an independent journalist and a member of The Shoshone-Bannock Tribes. On Twitter @TrahantReports

Reposting or reprinting this column? Please do so. Just credit: Mark Trahant / TrahantReports.com #IndigenousNewsWire #NativeVote18

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Here we go again: The congressional attack on health care, higher education #IndigenousNewsWire

Updated.

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Mark Trahant / Trahant Reports

Here we go again. The Congress is hell bent on wrecking the Affordable Care Act.

This time the mechanism is the so-called tax reform bill that will be voted in the U.S. Senate. The logic is rich (and, yes, “rich” is absolutely the right word and sentiment) because this tax cut will wreck the individual health insurance market so that the rich will pay less in taxes. But the problem gets at the core of insurance itself. How do you make sure there is a large enough pool to cover high cost patients? The Affordable Care Act did this by requiring everyone to buy health insurance or pay a penalty. Without that provision people who are healthy are free to skip out. But sick people always want coverage. And that creates an imbalance that does not work.

Senate Republicans added the provision because it saves money, some $338 billion according to the Congressional Budget Office. It estimates 13 million people will drop health insurance.

“We’re optimistic that inserting the individual mandate repeal would be helpful,” Senate Majority Leader Mitch McConnell said Tuesday.

The Senate bill is now being shaped into its final form. Wait. That’s funny. That’s what they say. But both the Senate and the House will change these tax bills all the way up until the final vote (unless it’s a sure thing, anyway). One of the reasons the bill will evolve is what’s called the Byrd Rule. This Senate is using the reconciliation process, like the Affordable Care Act repeal bills, so only 50 votes are required to pass. But that means the bill has limit of $1.5 trillion in new debt over 10 years and cannot add more after that. None of the bills, so far, accomplish that.

So the health care fight is back. And the Senate majority is confident this time they have the votes to pass the legislation.

There are other provisions in Senate tax bill that will impact American Indians and Alaska Natives.

One of the key ideas is to increase the size of the standard deduction so that fewer taxpayers will have to itemize. But to pay for that the simplicity the Senate bill is getting rid of some popular deductions, including the ability to deduct state and local taxes from your federal tax return. The bill also gets rid of deductions for dependents. The math works out so that families with fewer than three children will pay about the same. But if your family size is larger, then you will pay more. This is Indian Country. The average American family has 3.2 children, but in Indian Country it’s 4.2 children per family.

Update: The Joint Committee on Taxation released its findings on Thursday. Its research shows that taxes will increase for those earning less than $30,000 per year. And by a wide margin. The calculation is based, in part, on the current subsidy to purchase health insurance.

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And this is where it gets weird. The Senate bill does increase a tax credit, from $1,000 now to $1,650 per child. But, and this is huge, the additional $650 credit is only available to those who owe federal income taxes. It’s not refundable. This is important to people who are not rich because so many pay more in payroll taxes (Social Security, Medicare, etc.) than in income taxes.

Add it all up and the Senate bill would increase taxes on 13.8 million moderate income households. But, hey, at least the rich get a break, right?

The House of Representatives passed its version of tax reform Thursday by a vote of 227-205. No Democrats voted for the bill, while 13 Republicans opposed it.

The House bill is similar but takes a different tack on mortgages and the deduction of state and local taxes. The House would also eliminate the ability of families to deduct medical expenses. (Think about that when matched with the Senate’s plan to mess up health insurance.)

And the House bill really goes after university graduate students.

Many graduate students earn a small stipend for working on campus, doing research or teaching, and get a break on tuition. The stipend is already taxed. But the House would tax the tuition waiver, thousands of dollars. The average cost of graduate school is $30,000 a year at a public university and $40,000 at a private school. The Washington Post explains the problem this way: “Say you’re a married graduate student at Princeton. Your spouse has a full-time job and makes $50,000 a year; you have two school-age children. You’re filing a joint tax return. For sake of simplicity, you have no other deductions beyond the standard. According to H&R Block’s tax calculator, you would owe about $5,000 under the current law. Under the proposed Republican plan, you would owe about $15,000.”

The House bill also eliminates the deduction for interest on student loans and it eliminates tax credits for higher education.

This is terrible public policy. The digital age demands more education, not less, and the tax code should be in alignment. The House bill does the opposite. It will make higher education more expensive and less likely for too many people.

And just to make sure that higher education gets the message about what the country values, the House bill also would tax the larger university endowments, such as Harvard, Princeton, and even smaller colleges that have reserves of more than $250,000 per student.

But both the House and Senate do have one group in mind when writing this new tax code, business. The total “tax cuts” in the bill add up to $1.4 trillion over the next decade and of that amount, $1 trillion goes to businesses and corporations. It does this by reducing the corporate tax bracket from to 20 percent.

The other side of this tax debate is that it will reduce the amount of revenue that goes into the federal treasury. That means that soon after one of these measures passes, Congress will be required to look again at cutting spending.

Already the Congressional Budget Office estimates the tax bill will require $136 billion cuts from Medicare, Medicaid, and other entitlement programs. “Without enacting subsequent legislation to either offset that deficit increase, waive the recordation of the bill’s impact on the scorecard, or otherwise mitigate or eliminate the requirements of the [pay-go] law, OMB would be required to issue a sequestration order within 15 days of the end of the session of Congress to reduce spending in fiscal year 2018 by the resultant total of $136 billion,” CBO said Tuesday.

The Center for Budget and Policy Priorities pegs these coming budget cuts at $5.8 trillion. “These include $1.8 trillion in cuts in Medicaid, Medicare, and other health care entitlement programs and $800 billion in cuts below the already austere sequestration levels in ‘non-defense discretionary’ programs, the budget area that includes education and training, transportation, scientific and medical research, protection of the food and water supply, child care, low-income housing assistance, services for frail elderly people, and much more,” the center reports.

So we are just at the beginning of the debate. The conservative dream is to sharply cut taxes for corporations and the wealthy — and then to shrink government. The House and Senate tax bills do just that.

Mark Trahant is the Charles R. Johnson Endowed Professor of Journalism at the University of North Dakota. He is an independent journalist and a member of The Shoshone-Bannock Tribes. On Twitter @TrahantReports

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Congress has a spending plan for this year, saving budget fights for another day

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The White House priorities such as the border wall or the defunding of arts and public broadcasting are missing from this year’s spending plan. (Trahant file photo)

Trahant Reports

Congress has a spending plan. And it rejects most (but not all) of President Donald J. Trump’s priorities. It also includes more money for most federal Indian programs.

But remember: This is a short budget. It’s only enough money to fund government operations through the end of September.

House Appropriations Chairman Rodney Frelinghuysen (R-NJ) said: “This package of the remaining Appropriations bills is the result of over a year’s worth of careful and dedicated efforts to closely examine federal programs to make the best possible use of every tax dollar. This legislation will fund critical federal government activities, including our national defense, and enact responsible funding decisions to target U.S. investments where they are needed the most. It also maintains and enhances policies that bolster economic growth and support the core values that our nation is built upon.”

About a week ago I wrote that the best option for Congress was for “the White House to work with Democrats and spend money on their priorities. It’s the basic formula that has led to enactments of budgets for the past 8 years. The bargain would mean continued spending for domestic programs as well as add money to the military. The wall? No. Cutting support for Planned Parenthood? Get serious. And health care funding? That’s why it’s called the art of the deal.”

That’s essentially what happened. But it wasn’t the White House. It was Republican leaders in Congress that did the deal.  The military budget increased $25 billion over current levels. There was also an additional $1.5 billion for border security.

Both the Bureau of Indian Affairs and the Indian Health Service will get a slight boost from this budget.

From the House Appropriations Committee:

American Indian and Alaska Native Programs – The Bureaus of Indian Affairs and Education are funded at $2.9 billion – an increase of $69 million above fiscal year 2016. This includes necessary increases for schools, law enforcement, road maintenance, and economic development.

The Indian Health Service is funded at $5.0 billion – an increase of $232 million above the fiscal year 2016 enacted level. This includes operating costs for staffing at new facilities, and increases for rising contract support costs, medical inflation, and a growing and aging population.

But the Environmental Protection Agency takes a hit. “The bill funds the EPA at $8.06 billion, a reduction of $81.4 million below the fiscal year 2016 enacted level and $209 million below President Obama’s budget request,” the Committee said. “Within this total, the EPA’s research and regulatory programs are reduced by $52 million below the current level and over $300 million below the previous administration’s request.”

However the bill will add $75 million to speed up Superfund cleanup projects.

The fight over the National Endowments for the Arts and Humanities is saved for another day too, the bill includes $150 million for each of the endowments, $2 million above the fiscal year 2016 level. A similar story for the Corporation for Public Broadcast. The bill includes an advance appropriation of $445 million for CPB for fiscal year 2019, which is the same level of advance funding provided in the fiscal year 2016 enacted level and the previous Administration’s budget request.

Another White House budget item for next year — cutting funding for the Violence Against Women Act — is also a no go in this budget. The House committee says “funds are increased within the highest-priority grant programs, including $481.5 million for the Violence Against Women programs and $403 million for Byrne Justice Assistance Grants.”

Congress must still vote on the spending bill. But the prospects are strong because Democrats are on board so it only takes a handful of Republicans to make it law.

More on the budget here. — Mark Trahant

 

Remember the sequester? Trump budget would make those the good old days

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Mark Trahant / Trahant Reports

Remember the sequester? Ah, the good old days. The new Trump Administration budget is short on details, but clear on direction. And we do know two things. First: If enacted, this budget would shrink the federal government to a much smaller size. Except for the military and the Veterans Administration. And, second, this budget guarantees chaos ahead.

Thursday morning the White House officially released the “skinny budget.” That’s an overall statement about the president’s financial goals for the year. It lists priorities, but provides few details. And this document does even less of that than previous skinny budgets. But the agenda, the direction ahead, would create a very different federal government. There is money available to approve (and pretend to regulate) energy projects, but nothing, really nothing, for public broadcasting, the arts, and the humanities. All told some 19 federal agencies would be eliminated.

This is where I should add: Hold on! Every one of these agencies has a constituency in Congress. You’ll see 535 budget revisions coming soon with members working to restore funding, and in some cases, even increasing the total amount of appropriation. But the overall direction is less. This is the eighth year of a slowing (and perhaps shrinking) federal government.

This is also where chaos kicks in. The political tension that surfaced in Congress over the repeal and replacement of the Affordable Care Act will only magnify in this budget debate. And to pass this budget, Republican leaders will need votes from Democrats. And if there is no agreement, then there could a shutdown of the government that could last much longer than previous episodes. The best case scenario is a continuing resolution that results in cuts, but not as dramatic as those proposed by the White House.

So let’s try to make some sense of the president’s proposal as how it relates to Indian Country.

First throughout the document there is only one reference that include the phrase, “and Tribes.” The Obama administration often added that language to routine grants and programs for states and local governments to make it clear that tribes were eligible partners. No more.

The budget does not directly put a number on the Indian Health Service. It only lists IHS as part of the overall budget for the Department of Health and Human Services. That agency “requests $69.0 billion for HHS, a $15.1 billion or 17.9 percent decrease” from the Continuing Resolution level. The first mention in that request includes IHS (that must be good, right?) “The President’s 2018 Budget: Supports direct health care services, such as those delivered by community health centers, Ryan White HIV/AIDS providers, and the Indian Health Service. These safety net providers deliver critical health care services to low-income and vulnerable populations.”

The way this budget will work is that each department will figure out how to make the 18 percent cut (as I said, if it comes to that).

Many have compared this Trump budget to the Reagan-era budgets. I remember how that worked for IHS. The president would drop a number — and Congress would ignore it. Every time. That could happen again.

One interesting increase in the HHS budget is a request for $70 million to prosecute health care fraud. It claims a $5 return for every dollar spent tracking down “fraudulent or improper payments.”

The Department of Interior budget does not provide much information about the Bureau of Indian Affairs. It only says the  budget: “Supports tribal sovereignty and self-determination across Indian Country by focusing on core funding and services to support ongoing tribal government operations. The Budget reduces funding for more recent demonstration projects and initiatives that only serve a few Tribes.” The budget says it will “sustain” funding for programs that bring in revenue from natural resources, including those programs that serve Indian mineral owners.

The budget would eliminate several independent agencies that serve Indian Country, including the Corporation for Public Broadcasting, the Denali Commission, the National Endowment for the Arts, the National Endowment for the Humanities, and the Institute for Museum and Library Services. (Irony: A news release last week asked for tribal applications for next round of grants.)

Many of these agencies will show a number in the budget because that reflects the cost to close the agency. Or as OMB put it “the amount of money that’s necessary for us to unwind our involvement …”

In addition Agriculture would eliminate the Water and Waste Disposal Loan and Grant Program, Commerce would eliminate the Minority Business Development Agency and NOAA grants supporting coastal and marine management. At Energy the budget would eliminate the weatherization program. At HHS, the budget proposes to end Community Services Block Grants as well as the Low Income Home Energy Assistance Program. Homeland Security would sharply curtail or eliminate grants to states and local governments (tribes, I assume). Even Meals on Wheels programs for seniors would be eliminated. 

Another program that is slated for elimination is the Transportation Department’s Essential Air Service for rural airports — including those that serve remote reservation and 60 Alaska Native communities.

The only mention of “and Tribes” in the budget proposal is at the Environmental Protection Agency where the budget will avoid duplication by “concentrating EPA’s enforcement of environmental protection violations on programs that are not delegated to States, while providing oversight to maintain consistency and assistance across State, local, and tribal programs.”

The actual numbers of this budget mean little. They will go up and down. Some of the headlines, such as the elimination of public broadcasting, will survive because of support found in Congress. But it’s important to remember that this is the president’s agenda. This administration is hostile to every program that’s identified. So even if those programs are funded, the agencies will have a difficult task going forward.

Some of this agenda is nonsense. There are two ways to spend money on global warming: Learning about the science and trying to change behavior to lower carbon dioxide emissions. Or money for higher sea walls and community mitigation. This budget cuts the latter. That won’t work for long. When a community is severely impacted by fires or other climate catastrophe, the money will have to follow. Period.

But for now the debate is all about the president’s plan.

As OMB Director Mick Mulvaney said at the White House briefing room on Wednesday: “This is the “America First” budget.  In fact, we wrote it using the President’s own words.  We went through his speeches, we went through articles that have been written about his policies, we talked to him, and we wanted to know what his policies were, and we turned those policies into numbers. So you have an “America First” candidate, you have an “America First” budget.”

Only that’s a budget that means significantly less for the First Americans.

Mark Trahant is the Charles R. Johnson Endowed Professor of Journalism at the University of North Dakota. He is an independent journalist and a member of The Shoshone-Bannock Tribes. On Twitter @TrahantReports

Reposting or reprinting this column? Please credit: Mark Trahant / TrahantReports.com