January 17, 2003

The Senate approved its reorganization resolution, which turned control of the committee chairmanships over to the Republicans. It also allowed Senators to be formally assigned to committees. Partisan squabbles about how to divide the committee budgets had prevented the reorganization. After approving its reorganization, the Senate turned its attention to the 2003 omnibus spending bill (H J Res. 2). A substitute amendment offered by Senator Stevens includes the 11 unpassed appropriations bills. As introduced, total spending on these bills was about $ 385 billion-a $10 billion cut below what the Senate appropriators (under Democratic control) had approved in the original committee bills last summer. In a floor speech, the new Appropriations Committee Chairman, Ted Stevens explained the cuts were necessary at the White House’s insistence. He pleaded with his colleagues to approve the bills and move the process forward to conference with the House. According to the Republican Policy Committee’s summary of the new VA-HUD bill, the Stevens amendment provides:

1. $16.9 billion for the Section 8 certificate program–$600 million less than the President’s budget request, but $1.3 billion above FY 02 levels
   • The Committee believes this will fund all expiring Section 8 vouchers
2. No funding for incremental vouchers
3. A new funding structure for Section 8
   • “The Committee included a reformed funding structure for Section 8 based on a proposal included in the House Committee-passed VA/HUD Appropriations bill. This proposal funds all vouchers in use with a reserve for any vouchers that can be used by a PHA. The Senate bill builds on the House proposal by building in a legislative guarantee that all vouchers that can be used up to the current authorized level will be funded.”
   • NAHMA opposed the House proposal. We have not yet reviewed the Stevens language.
4. $1.03 billion for 202 / 811 housing–$10 million above the budget request and the FY 02 level
   • included $50 million for assisted living conversion and $53 million for service coordinators
   • the amendment does not appear to include questionable House language to break 202 funding into 3 separate grant applications

However, as is often the case, bills change once they are brought to the floor. The Senate approved a 2.9% across the board reduction for all agencies and all programs to pay for increased education spending, drought assistance to farmers, election reform measures, and a Medicare “fix.” Reporters Bill Ghent and Brody Mullins of National Journal’s Congress Daily wrote in today’s edition, “The 2.9 percent across-the-board reduction, Democrats said, translates into cutting health programs by $718 million, veterans programs by $692 million, and housing programs by $490 million.” An amendment offered by Sen. Robert Byrd to strip the across the board cut was rejected. Consideration of this bill will continue next week.