Some Hate, But Most Love the FY 2018 Spending Spree

 Overriding fiscal hawks and rebuking President Trump, the bipartisan congressional FY 2018 spending package sweetens a lot of federal funding pots and will set up a shopping spree to get the money spent before the fiscal year ends this fall.

Overriding fiscal hawks and rebuking President Trump, the bipartisan congressional FY 2018 spending package sweetens a lot of federal funding pots and will set up a shopping spree to get the money spent before the fiscal year ends this fall.

Fiscal hawks hated it. President Trump said he would never sign another bill like it. Pundits said it was a rebuke to President Trump’s priorities and reflected poorly on his reputed negotiating prowess. Just about everyone else thought it was great.

The $1.3 trillion Fiscal Year 2018 spending bill gave new meaning to the word “omnibus.” Not only did it cover the waterfront of federal activity, it sweetened most of the federal spending pots, which is expected to energize efforts to get the money out the door by September 30, the end of the fiscal year, with the eager assistance of Members of Congress facing tougher-than-usual re-election battles.

Defense spending went up sharply, but there also were significant spending bumps for a variety of programs from community development block grants to funding for buses, a priority for The Bus Coalition. Rural areas will benefit from a tripling of grant money for rural TIGER projects, nearly $1 billion for rural water and sanitary waste projects and $685 million for rural broadband. The Secure Rural Schools program, almost given up for dead, was extended for another two years, benefiting Pacific Northwest interests.

Despite giddiness over the spending spree anticipated by passage of the spending package, there is a sober recognition this could be the last significant action by Congress until after the mid-term election in November. Results from special elections and President Trump’s lagging popularity have excited Democrats while alarming Republicans that control of one or both houses of Congress could flip, creating even more roadblocks to Trump’s agenda.

The combined fiscal effects of the GOP tax cut and the FY2018 spending measure may pour cold water on what will likely be equally generous FY2019 appropriations. In February, Congress agreed to similarly large topline spending levels for both defense and domestic discretionary spending for FY2019. A budget in hand this early typically greases the wheels of the appropriations process, but some congressional observers predict Congress will punt major spending decisions until after the November election to avoid defending an unpopular vote on the campaign trail.

The President complained the omnibus spending package contained a lot of “giveaways” to gain Democratic votes. In addition, the measure didn’t include a lot of Trump priorities, from his border wall to steep cuts in the Environmental Protection Agency, State Department and National Institutes for Health. It did include provisions blocking private school vouchers and increasing the budget for after-school programs and student mental health services and violence-prevention initiatives. And several regional projects were salvaged, such as $300 million to remove toxic sediment from the Great Lakes and $73 million to restore Chesapeake Bay, both of which were Target administration targets.

Major policy issues, including action on the tenuous situation for so-called “Dreamers,” were notably absent. The package managed to sneak in two provisions related to gun violence, presumably to forestall a more public discussion of the issue. One provision will increase incentives for federal agencies and the military to upload records into the background-checking system used for gun purchases. The second lifts the ban on Centers for Disease Control conducting research on gun violence, but provides no funding for it. Such research has been blocked by the Dickey Amendment, named after a GOP congressman who sponsored it, but later changed his mind.

The negotiations that led to the spending package became a focal point for criticism. Conservative commentator Ann Coulter ripped Trump for failing to achieve his primary priorities even though he touted his negotiating skill in his presidential campaign. Coulter’s criticism was echoed by Senate Democratic Leader Chuck Schumer who clucked that Trump had been out-negotiated. Earlier, he compared negotiating with Trump to Jell-O.

In an odd postscript to the spending deal, Trump has privately pressured the Pentagon to divert some of its enlarged budget to build his border wall.