WASHINGTON – The U. S. Senate on Wednesday rejected efforts to roll back Treasury Department rules on how state and local governments can spend the budget approved by Congress during the COVID-19 pandemic.
The 46-49 vote on the Congressional Review Act solution ended an attempt by several Republican senators to prevent the Biden administration from turning the definition of “obligation” with respect to the state and local budget stimulus budget and the timing of spending some of that money. .
Missouri Republican Sen. Eric Schmitt said the floor debate on replacing the Treasury Department’s leadership, released in November, was aimed at “forcing a quick decision” on Congress.
“Treasury’s attempt to keep COVID-related spending in check is an insult to Congress and those in our Constitution, as well as a general misuse of taxpayer money,” Schmitt said.
The fund for state and local governments, Schmitt said, was intended to help fill “revenue gaps similar to the COVID-19 pandemic” and the law made it transparent that “all prices incurred with cash in this fund will have to be incurred through December. “31. “2024. »
The interim final rule issued through the Treasury Department around Thanksgiving extended that deadline to two years for “administrative and statutory pricing, such as compliance pricing and internal requirements,” he said.
“This rule ensures that investment doesn’t go to bridges or broadband, but to bureaucrats,” Schmitt said.
Oregon Democratic Sen. Ron Wyden opposed the ARC’s solution to the internal debate, saying it could have affected only 17 projects in Georgia, 160 in Michigan, 342 in Ohio, 50 in Arizona, 404 in Montana and 73 in W. V.
“Across the country, thousands of projects may be shut down. Dozens, if not hundreds, of jobs have been lost,” Wyden said. “This is one of the top votes I’ve noticed lately, a real headache. “
Wyden said he “doesn’t see an intelligent explanation for why the United States Senate seeks strong bipartisan progress and this chamber acts in a way that leaves more of our nation’s infrastructure in disrepair. “
Schmitt said at a news conference before the vote that the claim that the ARC solution would have impacted projects already underway was a lie.
“For the most part, obligations incurred before the end of 2024, in accordance with current law, will be met,” Schmitt said. “What that means is you can’t extend this to years 25 and 26. That’s never the goal. “
Kansas Republican Sen. Roger Marshall, also speaking at the GOP press conference, said the ARC solution would cost about $13 billion and went so far as to call it “illegal spending. “
“Time will be of the essence, but Joe Biden is again trying to circumvent the law,” Marshall said, adding that the COVID-19 pandemic is over and spending on that legislation will need to be reduced.
Schmitt introduced the two-page CRA solution in February with Marsha Blackburn of Tennessee, Mike Braun of Indiana, Tom Cotton of Arkansas, Joni Ernst of Iowa, Bill Hagerty of Tennessee, Ron Johnson of Wisconsin, Cynthia Lummis of Wyoming, Marshall and Rick. . Scott from Florida.
The National Association of Counties, the National League of Cities and the Association of Government Finance Officials suggested lawmakers vote against the CRA in a brief issued Wednesday before the vote.
“The $350 billion SLFRF has provided $65. 1 billion to each and every city and county in America, and since 2021, localities have used those very important resources to meet the unique desires of citizens and aid long-term economic prosperity,” Said.
The three organizations wrote that the Treasury Department’s interim final rule “recognizes the importance of flexibility to facilitate the effective deployment of the stimulus budget, adding our ability to use the budget for certain personnel costs and recommit the budget if necessary. “
The White House issued an administrative policy on Wednesday, saying President Joe Biden will veto the ARC if it comes to his office.
The ARC’s resolution, it says, “could lead to the cancellation of allocations along the way, less control and oversight of allocations, as well as higher prices as state and local governments are forced to outsource programs. “
“Nearly the entire SLFRF budget has been committed to projects, adding infrastructure and eligible crisis relief projects through bipartisan legislation,” the SAP says. inappropriately restricting Treasury’s ability to address ongoing implementation issues.
by Jennifer Shutt, Florida Phoenix May 16, 2024
WASHINGTON – The U. S. Senate on Wednesday rejected efforts to roll back Treasury Department rules on how state and local governments can spend the budget approved by Congress during the COVID-19 pandemic.
The 46-49 vote on the Congressional Review Act solution ended an attempt by several Republican senators to prevent the Biden administration from turning the definition of “obligation” with respect to the state and local budget stimulus budget and the timing of spending some of that money. .
Missouri Republican Sen. Eric Schmitt said the floor debate on replacing the Treasury Department’s leadership, released in November, was aimed at “forcing a quick decision” on Congress.
“Treasury’s attempt to keep COVID-related spending in check is an insult to Congress and those in our Constitution, as well as a general misuse of taxpayer money,” Schmitt said.
The fund for state and local governments, Schmitt said, was intended to help fill “revenue gaps similar to the COVID-19 pandemic” and the law made it transparent that “all prices incurred with cash in this fund will have to be incurred through December 31. ” 2024. »
The interim final rule issued through the Treasury Department around Thanksgiving extended that deadline to two years for “administrative and statutory pricing, such as compliance pricing and internal requirements,” he said.
“This rule ensures that investment doesn’t go to bridges or broadband, but to bureaucrats,” Schmitt said.
Oregon Democratic Sen. Ron Wyden opposed the ARC’s solution to the internal debate, saying it could have affected only 17 projects in Georgia, 160 in Michigan, 342 in Ohio, 50 in Arizona, 404 in Montana and 73 in West Virginia.
“Across the country, thousands of projects may be shut down. Dozens, if not hundreds, of jobs have been lost,” Wyden said. “This is one of the top votes I’ve noticed lately, a real headache. “
Wyden said he “doesn’t see an intelligent explanation for why the United States Senate seeks strong bipartisan progress and this chamber acts in a way that leaves more of our nation’s infrastructure in disrepair. “
Schmitt said at a news conference before the vote that the claim that the ARC solution would have impacted projects already underway was a lie.
“For the most part, obligations incurred before the end of 2024, in accordance with current law, will be met,” Schmitt said. “What that means is you can’t extend this to years 25 and 26. That’s never the goal. “
Kansas Republican Sen. Roger Marshall, also speaking at the GOP press conference, said the ARC solution would cost about $13 billion and went so far as to call it “illegal spending. “
“Time will be of the essence, but Joe Biden is again trying to circumvent the law,” Marshall said, adding that the COVID-19 pandemic is over and spending on that legislation will need to be reduced.
Schmitt introduced the two-page CRA solution in February with Marsha Blackburn of Tennessee, Mike Braun of Indiana, Tom Cotton of Arkansas, Joni Ernst of Iowa, Bill Hagerty of Tennessee, Ron Johnson of Wisconsin, Cynthia Lummis of Wyoming, Marshall and Rick. . Scott from Florida.
The National Association of Counties, the National League of Cities and the Association of Government Finance Officials suggested lawmakers vote against the CRA in a brief issued Wednesday before the vote.
“The $350 billion SLFRF has provided $65. 1 billion to each and every city and county in America, and since 2021, localities have used those very important resources to meet the unique desires of citizens and aid long-term economic prosperity,” Said.
The three organizations wrote that the Treasury Department’s interim final rule “recognizes the importance of flexibility to facilitate the effective deployment of the stimulus budget, adding our ability to use the budget for certain personnel costs and recommit the budget if necessary. “
The White House issued an administrative policy on Wednesday, saying President Joe Biden will veto the ARC if it comes to his office.
The ARC’s resolution, it says, “could lead to the cancellation of allocations along the way, less control and oversight of allocations, as well as higher prices as state and local governments are forced to outsource programs. “
“Nearly the entire SLFRF budget has been committed to projects, adding infrastructure and eligible crisis relief projects through bipartisan legislation,” the SAP says. inappropriately restricting Treasury’s ability to address ongoing implementation issues.
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Jennifer covers the nation’s capital as a senior reporter for States Newsroom. Their policy spaces come with congressional policies, political and legal challenges, with health care, unemployment, housing, and assistance to families.
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