April 26, 2024

Obama to Ask Congress for Power to Merge Agencies

Mr. Obama called on lawmakers to grant him broad new authority to propose mergers of government agencies, which the Congress would have to approve or reject in an up-or-down vote.

The president, announcing the plan at the White House, said he would begin his pruning exercise by folding the Small Business Administration and five other agencies involved in trade and business, into a single agency that would replace the Commerce Department.

The White House said the consolidation would save $3 billion over 10 years and result in the elimination of 1,000 to 2,000 jobs, though he said those reductions would occur through attrition rather than layoffs.

“From the moment I got here, I saw up close what many of you know to be true: the government we have is not the government we need,” Mr. Obama told an audience of small business owners.

It is not clear whether Congress, which has blocked the bulk of Mr. Obama’s legislative agenda, will go along with the initiative. White House officials said that no president since Ronald Reagan has had the so-called “consolidation authority” Mr. Obama is seeking.

Republicans were immediately skeptical. They suggested that the White House was more interested in honing its re-election message than in reducing the size of government.

“Yesterday, President Obama asked for a $1.2 trillion increase in the debt limit, today he is proposing to shrink the federal government,” said Senator John Cornyn, Republican of Texas. “Unfortunately, President Obama does not have much of a record to back up his newfound, election-year enthusiasm for limited government.”

A spokesman for House Speaker John A. Boehner said that Republicans would take a look at the plan.

“We hope the president isn’t simply proposing new packaging for the same burdensome approach,” said the spokesman, Brendan Buck. “However, eliminating duplicative programs and making the federal government more simple, streamlined, and business-friendly is always an idea worth exploring. We look forward to hearing more about his proposal.”

By putting the onus for streamlining government on Congress, however, Mr. Obama was seizing a core issue of Republican presidential candidates like Mitt Romney — the inexorable growth of the federal government — and trying to turn it to his own political advantage.

It was the latest sally by the president, who has gone on the offensive against Congress as he embarks on his re-election bid. He appointed a new head of the Consumer Financial Protection Bureau, Richard Cordray, as well as other appointees to regulatory agencies, during a Congressional recess, to get around the opposition of lawmakers.

Under the terms of the reorganization proposed Friday, six relatively small agencies — the Small Business Administration, the Office of the United States Trade Representative, the Export-Import Bank, the Overseas Private Investment Corporation, and the Trade and Development Agency — would be consolidated into a single agency focused on opportunities for the private sector.

The administrator of the Small Business Administration, currently Karen G. Mills, would be elevated to the cabinet.

To illustrate the tangled maze of government services for businesses, the president gestured toward a screen behind him that showed the dozens of Web sites, offices, and customer service centers that a company must contend with, many with overlapping functions.

Mr. Obama championed the goal of streamlining government during his State of the Union address last year. On Friday, he cited an example of duplication from that speech: the Interior Department oversees salmon in fresh water, while the Commerce Department has jurisdiction over them in salt water.

The president said he would use the “consolidating authority” only for bureaucratic reorganizations that cut costs and made the government more efficient. And he challenged Republican lawmakers to support an idea that they themselves have embraced.

“With or without Congress, I’m going to keep at it, but it would be easier if Congress helped,” Mr. Obama said. “This is an area where we should receive bipartisan support because making our government more responsive and strategic and leaner should not be a partisan issue.”

Article source: http://feeds.nytimes.com/click.phdo?i=eced0236a208cbe3ceaf90db991f9bdc

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