April 27, 2024

White House Memo: A Budget Delayed, to Little G.O.P. Sympathy

President Obama? Yes, and Republicans are not happy about it. But before him there was President Ronald Reagan, who exactly a quarter-century ago sent his budget to Congress 45 days late, citing the disruptions and data changes forced by the late-1987 deficit reduction deal that he had negotiated with Democrats, who controlled Congress.

As of Friday, Mr. Obama is 32 days late in delivering his budget for the 2014 fiscal year, which starts Oct. 1. Even now, White House officials will not say when it will surface, but some privately suggest early April.

That time frame would cause Mr. Obama to break Mr. Reagan’s record for tardiness by a president who is not new to the office. The blueprint’s arrival would follow House and Senate action over the next two weeks on their respective budgets, reversing the usual order; the president has gone first since 1921. And the delay would lend new meaning to the abbreviation for the White House Office of Management and Budget, O.M.B. — Obama’s Missing Budget.

Unlike Congressional Democrats in 1988, who expressed understanding for the lateness of Mr. Reagan’s budget, Republican leaders now are not as sympathetic toward Mr. Obama, in another sign of the current heightened partisanship.

On Thursday, Speaker John A. Boehner, Republican of Ohio, challenged the White House, saying, “Where is their plan to balance the budget?” And earlier this week, the Republican minority leader in the Senate, Mitch McConnell of Kentucky, took note of the rumors of an April budget submission and scolded Mr. Obama from the Senate floor, saying, “That goes far beyond the pale of just missing deadlines.”

“It’s time for the president to get his budget plan over to us — not next week or next month, but now,” Mr. McConnell said.

Mr. Obama’s budget office might have had his budget ready by late March, some Democrats say, if the only delaying factor was the four months of wrangling since the November election over fiscal crises of Congress’s and the White House’s own making. But now Senate Democrats want Mr. Obama to hold off on releasing his budget until they finish work on their own this month, lest Republicans seize on inconsistencies between the two to score political points.

But the serial fiscal crises are the main culprit. First, the two parties contended over the so-called fiscal cliff late last year, which threatened broad tax increases; they ultimately agreed to limit those to the richest taxpayers. Then Mr. Obama and Republicans tussled to an impasse over spending and taxes. Absent their agreement on a deficit-reduction alternative, the standoff forced indiscriminate across-the-board spending cuts, known as sequestration, for military and domestic programs, starting last weekend.

And now Congress and the White House are preoccupied with the March 27 expiration of the law setting current spending levels for federal programs and agencies, seeking a mutually agreeable extension that will prevent a government shutdown.

For the administration’s number crunchers, all this has meant that the usual work of preparing the president’s budget has had to take a back seat as the bureaucrats help the negotiators and advise federal agencies left in the lurch. Each outcome of the high-level talks changes the spending and revenue data underlying the next budget. On New Year’s Day, as on most days, work went on at the budget office.

Just after the year began, Representative Paul D. Ryan, Republican of Wisconsin and chairman of the House Budget Committee, wrote to the acting director of Mr. Obama’s budget office, Jeffrey D. Zients, asking when the president’s proposal would reach Congress. Mr. Zients did not give a date in his response two days later, only confirming that the budget would be delayed because of “the protracted ‘fiscal cliff’ negotiations,” which consumed the final two months of 2012.

This week, after another two months of fighting over the budget cuts from sequestration, the White House press secretary, Jay Carney, still did not have a date for reporters. “There is no question that the series of crises, largely manufactured, that we and Congress have been having to deal with over the past several months have had an impact on that process.”

The postponement of Mr. Obama’s budget “is only to be expected, given what we’ve been through,” said Robert D. Reischauer, a former Congressional Budget Office director. But, he added, “lots of trees are going to be killed for no significant purpose if it’s not meaningful.” 

He and other fiscal analysts say it should be no wonder that the House and Senate budget committees will be able to produce their own budget proposals before the administration does. Congressional budget resolutions are significantly less detailed, filling pages while administration budgets fill volumes. A president’s budget, with tens of thousands of line items for expenditures and revenues projected years ahead, must stand as something of a historical record of the fiscal moment, regardless of what Congress does with many of the particulars.

“The president’s budget might be dead on arrival in Congress for political reasons, but it shouldn’t be irrelevant for numbers reasons,” Mr. Reischauer said. “And given the fiscal cliff uncertainty, there was no knowing what the numbers would be, what the base was off of which the policies would be proposed. And then, of course, we had the question of what was going to happen with the sequester.”

Typically, only new presidents are notably late in submitting budgets because they take office shortly before the due date, currently the first Monday in February. President Bill Clinton was 66 days late in 1993, and President George W. Bush was 63 days late in 2001.

But Mr. Obama holds the record. As he took office at the height of a recession and a financial crisis, his bigger priorities in early 2009 were passing an economic stimulus and rescuing the auto and financial industries. His first budget was 98 days late.

Article source: http://www.nytimes.com/2013/03/08/us/politics/a-budget-delayed-to-little-gop-sympathy.html?partner=rss&emc=rss

Economix Blog: A New Scribble on Your Dollar Bill

CATHERINE RAMPELL

CATHERINE RAMPELL

Dollars to doughnuts.

Jacob J. Lew, President Obama’s reported pick for Treasury secretary, has a ridiculous signature, as the blogosphere learned from a widely circulated White House memo he signed in 2011.

The White House

Mr. Lew is currently White House chief of staff and previously served as the director of the Office of Management and Budget. If he is confirmed as Treasury secretary, that ringleted, roller-coastering, Slinky-like signature could soon shine from newly printed dollar bills nationwide.

Bloggers are taking note, with New York magazine’s Kevin Roose likening the autograph to “one of those Crazy Straws you get at Six Flags” and “a slip of paper in Office Max that people use to try out new pens.” In 2011 The Daily Mail even consulted a forensic handwriting analyst, Sheila Lowe, who looked deep into Mr. Lew’s calligraphic soul and determined:

‘He doesn’t want us to see a lot about him.

‘The soft roundedness of the letters show he can adapt quickly and make rapid changes, but he’s also self-protective. He doesn’t want people to see his private side.’

Ms Lowe added that the darker dot under the last loop either signifies Lew has a problem with his ankle – or it may just be the pen.

Before he goes up for Senate confirmation, lawmakers must know: Would Mr. Lew clean up his penmanship for the greenback, as current Treasury Secretary Timothy F. Geithner did?

He seems to have a couple versions of his John Hancock, for what it’s worth. I pulled some other White House memos that bear his curlicues:

The White House

Amazingly, while this looks like an arbitrary series of loop-the-loops, he’s actually mostly consistent about having seven full loops each time. Maybe they stand for the seven letters of “Jack Lew” (as he is known); maybe seven is his lucky number. Clearly we need to consult another graphologist.

And then there is this alternate version, which is more swirly than curly (those are technical terms). They could very well be initials rather than a full signature — but since both versions are illegible, it’s honestly hard to say.

The White House

Article source: http://economix.blogs.nytimes.com/2013/01/09/a-new-scribble-on-your-dollar-bill/?partner=rss&emc=rss

Republicans Suggest White House Rushed Solar Loan

In the e-mails, officials at the Office of Management and Budget expressed frustration that they were being put under time pressure to sign off on the loan to the company, Solyndra, two years ago so that Vice President Joseph R. Biden Jr. could announce its approval at a groundbreaking for a factory. The White House wanted an announcement that would show progress on job creation.

The disclosure became a focus of a House Energy and Commerce subcommittee hearing on Wednesday about the loan to Solyndra, which has developed into a political headache for the Obama administration. The administration used the company as a prime example of stimulus bill dollars creating “green jobs.” But Solyndra recently filed for bankruptcy protection and closed its factory, and its headquarters was raided by the Federal Bureau of Investigation, apparently in connection with the loan.

The bankruptcy filing and the raid “clearly show that the committee was more than justified in its scrutiny of the deal,” said the panel’s chairman, Representative Fred Upton, Republican of Michigan. “Why did the administration think Solyndra was such a good bet?”

Critics of the loan have focused on whether political considerations played a role in awarding the loan to Solyndra, which the Obama administration denies. But the hearing also cast doubt on the government’s competence to assess how sure a bet it is making, regardless of politics.

Officials of the Energy Department’s loan office and the White House budget office defended their decisions, which they said were carefully reviewed and not politically inspired. The administration said that the e-mails showed only that the White House wanted to know when a decision would be made for its planning.

“As the e-mails indicate, there was interest in when a decision would be made because of its impact on whether an event involving the vice president could be scheduled for a particular date or not,” said Eric Schultz, a White House spokesman. “But the loan guarantee decision was merit-based and made by career staffers at the Department of Energy, and the process for this particular loan guarantee began under President George W. Bush.”

Suspicions that the administration might have pushed the loan for political reasons have centered on the fact that a major investor in the company is a charitable foundation associated with George B. Kaiser, a billionaire from Tulsa, Okla., who raised $50,000 to $100,000 as a “bundler” for President Obama’s 2008 presidential campaign.

Logs show that Mr. Kaiser visited the White House on several occasions during the spring and summer of 2009, while the loan to Solyndra was being considered. Among the officials he met with were the chief of staff, Rahm Emanuel, and Pete Rouse and Valerie Jarrett, both senior advisers to Mr. Obama.

“It seems like crony capitalism was trumping the smart decision-making,” Representative Steve Scalise, Republican of Louisiana, said at the hearing.

Campaign finance records analyzed by OpenSecrets.org show that there were about 235 other bundlers for the Obama campaign in Mr. Kaiser’s range, while about 326 bundlers raised significantly larger sums.

Administration officials said the White House meetings were not about Solyndra but rather were related to Mr. Kaiser’s charitable interest in policy matters like early childhood education. Mr. Kaiser has declined to comment directly about the meetings. But the George Kaiser Family Foundation has said that “he did not participate in any discussions with the U.S. government regarding the loan.”

While Mr. Kaiser’s connection to the Obama campaign and to Solyndra, based in Fremont, Calif., have helped draw attention to the loan, he was not a major topic of discussion at the hearing on Wednesday. Republicans did, however, press those testifying on whether the Solyndra bankruptcy offered proof that the government should not be lending to companies that have trouble raising money from private investors.

“In this time of record debt, I question whether the government is qualified to act as a venture capitalist, picking winners and losers in speculative ventures and shelling out billions of taxpayer dollars to keep them afloat,” Mr. Upton said.

Article source: http://feeds.nytimes.com/click.phdo?i=f54511982feeb3d2963122882be134f6