DoD on the Hill
House passes first of two final FY2010 Appropriations bills: With the end of the current Continuing Resolution (CR) approaching, the House passed the FY2010 Transportation/HUD Appropriations bill that carried with it five other appropriations bills (Military Construction/VA, Commerce/Justice/Science, State/Foreign Operations, Financial Services, and Labor/HHS/Education). This so-called "minibus" appropriations bill (because it contains most, but not all, remaining bills) also includes $600 billion for Medicare and Medicaid benefits, as well as $3.7 billion in state and local law enforcement grants, $2.5 billion for high-speed rail projects, and $2,2 billion for community health centers. The Senate then turned from its debate on Health Care Reform to consider the bill. But, because there was opposition from some Senators to adding extraneous material to appropriations bills, Sen. Harry Reid (D-NV) called for a vote to cut off debate (cloture) and force a final vote. Final action in the Senate could some as early as Sunday. The remaining FY2010 Appropriations bill--DoD--will most likely be considered next week. However, because the bill may include an increase in the federal debt ceiling and jobs creation legislation, there is some uncertainty of its passage before the CR runs out next Friday. So, there may have to be another CR after all.
Senator proposes War Bonds to fund Afghanistan costs: This week, Sen. Ben Nelson (D-NB) proposed legislation to authorize the Treasury Department to sell war bonds to fund the war in Afghanistan. (As an historical note, the Congressional Research Service reports that the U.S. Treasury sold almost $186 billion in war bonds to fund WWII.) This proposal has generated some interest, but does not have widespread support as it competes with other congressional suggestions such as, tapping unused stimulus funds, cutting nondefense budgets, or passing a war surtax. Debate on how to pay the war costs will not begin in earnest until the President sends a supplemental request to the hill early next year.
Defense Budget and Financial Management News
OMB issues directive on open government: Federal agencies must become more open and transparent and post public data online. In a memo to federal departments and agencies, OMB Director Peter Orszag said the "Open Government Directive" (included in the memo) implements the principles of transparency, participation, and collaboration set forth by the President earlier this year. Among the steps and deadlines for the agencies in the directive are: 1) post three "high-value" data sets online within 45 days; 2) designate a senior official within 45 days to be accountable for the "quality and objectivity of and internal controls over" spending information released to the public; 3) develop and publish on its website an "Open Government Plan" that describes how it will improve transparency, public participation, and collaboration of its activities. Agencies will also have to track compliance with their plans. These efforts will ave to be consistent with privacy and security rules.
Other Issues of Interest
Congress gives Federal civilian workers a 2 percent pay raise: Federal civilian workers will get a 2 percent pay raise beginning January 1, 2010. The FY2010 Financial Services Appropriations bill (included in the "minibus" Appropriations bill passed by the House and described above) provides an across-the-board raise of 1.5 percent and an average .5 percent locality pay increase. The Senate will act on the bill this weekend or early next week. According to House Majority Leader Steny Hoyer (D-MD), the bill's 2 percent pay raise, which includes a locality pay increase, is better than the President's proposal, which had no locality pay increase. Hoyer also said that the White House told him that next year's budget request will provide civilian pay raises equal to military raises.
OPM issues guidance on payment of Reservist Differential: Eligible federal employees who are also members members of the Reserve or National Guard will receive a "reservist differential" when called to active duty. In a memo to department and agency heads, Office of Personnel Management (OPM) Director John Berry issued implementing guidance on payment policy and procedures for the differential. If an eligible federal employee is called to active duty as a member of the Reserves or National Guard, the employee's agency must pay the difference between the employee's estimated federal basic pay and the actual military pay and allowances during the pay period. The payment, authorized in the FY2009 Omnibus Appropriations Act, is effective beginning the first pay period after March 11, 2009. Eligible employees must be called up under a call or order to active duty under sections of Title 10 and must be entitled to reemployment rights. OPM provides further information in summary form or complete detail on its website.