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January 31, 2018

Domestic spending??

GOP floats big boost in domestic spending, with a catch

A Democratic leadership aide said Republicans made the pitch over the weekend but that it is 'not a good-faith offer.'

By SARAH FERRIS, JENNIFER SCHOLTES and HEATHER CAYGLE

Key Republicans are warming to the idea of a large increase in nondefense spending limits, but with a major caveat Democrats are likely to reject.

GOP leaders have floated a proposal that would significantly raise caps on domestic spending during the next two years. Most of that boost would be set aside for funding President Donald Trump's infrastructure promise, according to lawmakers and sources familiar with the budget talks.

A Democratic leadership aide said Republicans made the pitch over the weekend but that it is “not a good-faith offer.”

“It was a step backward in the negotiations,” the aide said.

House Freedom Caucus Chairman Mark Meadows (R-N.C.) told reporters Tuesday that the infrastructure proposal is among “three or four” options Republicans are currently weighing.

“One of the options is that, if we’re going to plus-up nondefense discretionary, is maybe putting most of that towards infrastructure so that actually goes to everybody’s district, it provides roads and bridges, it doesn’t grow the size of government,” Meadows said.

“And that would be in keeping with not only the president’s agenda but with what we know is going to be spent over the next 10 years, which is at least an additional $200 billion on infrastructure.”

Democrats are unlikely to embrace the plan, however, if Republicans also insist the transportation cash must be specifically authorized and directed to particular projects, or it would be sent back to the Treasury Department.

"It doesn't make sense to me," Rep. Nita Lowey (D-N.Y.), ranking member on the House Appropriations Committee, said Tuesday.

Lowey argued that infrastructure money should be allocated through the regular appropriations process.

Republicans are "exploring" the idea of adding money devoted to infrastructure, Meadows said, adding that it hasn't "been socialized with everybody” yet.

"Ultimately what it does is acknowledges the fact that we have to have a bipartisan deal on the caps deal," he said.

Senate Commerce Chairman John Thune (R-S.D.), as well as Pennsylvania Republican Reps. Scott Perry and Charlie Dent, also acknowledged that the idea is under discussion.

“There was discussion: If we’re going to raise the caps on the nondefense side of the budget, could some of that be allocated to infrastructure?” Thune said.

Republican and Democratic leaders have locked horns for months on spending limits for domestic and defense programs. Multiple senior Republicans have said negotiators have largely agreed on defense funding levels but they can’t reach a final deal because talks on nondefense spending have stalled.

The latest consequence of that stalemate: Government funding will expire again Feb. 8, likely requiring Congress to pass another short-term spending patch in the absence of a grand compromise on defense and nondefense budget caps.

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