The New York Times brings today a really interesting article on "earmarks". For those of you not familiarized with the term "earmark", following the wikidefinition, it refers to congressional provisions directing approved funds to be spent on specific projects (or directs specific exemptions from taxes or mandated fees). Earmarks can be found in both legislation (also called "Hard earmarks" or "Hardmarks") and in the text of Congressional committee reports (also called "Soft earmarks" or "Softmarks").So they are a problem because corporate interest ussually lobby politians to get an earmark on their favor. It could be a defense contract for building weapons, or a contract to build a highway, etc. Is strongly related with corruption. One of the most famous cases of earmarks related corruption was the affair of Randy "Duke" Cunningham (showing his best smile on the pic), who had received millions of dollars in gifts from a military supplier for the US government. There thousands of examples.
Check the article of the NYT:
April 7, 2008
Pork Barrel Remains Hidden in U.S. Budget
By RON NIXON
WASHINGTON — Sometimes on Capitol Hill, lawmakers find that it pays to ask nicely instead of just ordering the bureaucrats around.
With great fanfare, Congress adopted strict ethics rules last year requiring members to disclose when they steered federal money to pet projects. But it turns out lawmakers can still secretly direct billions of dollars to favored organizations by making vague requests rather than issuing explicit instructions to government agencies in committee reports and spending bills. That seeming courtesy is the difference between “soft earmarks” and the more insistent “hard earmarks.”
How much money is requested for any specific project? It is difficult to say, since price tags are not included with soft earmarks. Who is the sponsor? Unclear, unless the lawmaker later acknowledges it. Purpose of the spending? Usually not provided.
How to spot a soft earmark? Easy. The language is that of a respectful suggestion: A committee “endorses” or notes it “is aware” of deserving programs and “urges” or “recommends” that agencies finance them.
That was how taxpayer money was requested last year for a Christian broadcasting group to build a shortwave radio station in Madagascar, a program to save hawks in Haiti, efforts to fight agriculture pests in Maryland and an “international fertilizer” center in Alabama that assists farmers overseas.
After hard earmarks figured into several Congressional scandals and prompted criticism of wasteful spending from government agencies and watchdog groups, Congress cut back on their number last year and required disclosure of most of them. (There were more than 10,000, costing nearly $20 billion last year, according to the Congressional Research Service.)
But soft earmarks, while not a new phenomenon, have drawn virtually no attention and were not included in the ethics changes — and current ones under consideration — because Congress does not view them as true earmarks.
Their total cost is not known. But the research service found that they amounted to more than $3 billion in one spending bill alone in 2006, out of 13 annual appropriations bills. And the committee that handles the bill, which involves foreign operations, has increasingly converted hard earmarks to soft ones.
“This shows that even though lawmakers now have to disclose their pet projects, we’re not getting a full accounting of earmarks,” said Ryan Alexander, director of Taxpayers for Common Sense, a group in Washington that tracks earmarks. “We may just be looking at the tip of the iceberg.”
Representative Jeff Flake, Republican of Arizona, said he did not believe gentler language changed anything when it came to pork-barrel spending.
“No matter what you want to call it, an earmark is an earmark,” said Mr. Flake, a longtime foe of earmarks. “If Congressional leaders don’t believe that soft earmarks are earmarks, then I think that makes the case as to why we need tougher reforms in place.”
Soft earmarks are included in a number of spending measures, but they tend to occur more frequently in spending bills that give money to the State Department, the United States Agency for International Development and other foreign aid programs.
Federal agencies are not required to finance soft earmarks. However, officials have traditionally felt obliged to comply with such requests.
“Soft earmarks, while not legally binding, frequently come with an implicit threat: If you don’t take our suggestions, we will give you a hard earmark next,” said Andrew Natsios, former administrator of A.I.D. in the Bush administration.
In its report, the Congressional Research Service said agencies also could face budget cuts if they did not finance soft earmarks.
Mr. Natsios said two lawmakers once threatened to cut his budget if he did not pay for one of their requests. He declined to identify them.
Congressional leaders say soft earmarks are merely suggestions and not really earmarks. They argue that money is awarded at the discretion of the agency, largely through a competitive process.
“Recognizing organizations with a record of relevant work is part of Congress’s budgetary role,” Representative Nita M. Lowey, Democrat of New York, said in an e-mail message.
“It broadens the competitive grant process beyond administration priorities and encourages current recipients to maintain high performance standards,” said Ms. Lowey, who is the chairwoman of the House appropriations subcommittee on state and foreign operations.
Mr. Natsios agreed that some soft earmarks in the bill could result in a competitive bidding process. But that is not the case if the report names a specific organization, which routinely happens.
In considering lawmakers’ spending requests, some committees in recent years have switched hard earmarks to soft ones, saying it gives agencies more flexibility. Critics, including Mr. Flake, suggest it is being done to avoid scrutiny.
“With the efforts to shine more light on the earmarking process,” he said, “I am concerned that we might see increasingly creative ways to steer funding to recipients of funding that members of Congress want to see it go to.”
Financing for the shortwave radio station, called the Madagascar World Voice, for example, began as a hard earmark request by Representative Pete Sessions, Republican of Texas.
Mr. Sessions originally sought $2.5 million for World Christian Broadcasting, a group based in Nashville that broadcasts in several countries and promotes abstinence to prevent AIDS. The House Appropriations Committee converted it to a soft earmark.
A spokesman for World Christian Broadcasting said the organization had been in discussions with A.I.D. about the financing.
Another soft earmark was included for the International Fertilizer Development Center, in Muscle Shoals, Ala. The group has been criticized as wasteful by watchdog groups and Senator John McCain of Arizona, a critic of earmarks who is the presumptive Republican nominee for president.
John H. Allgood, director of finance and administration for the group, which teaches third world farmers about soil fertility management and other agricultural practices, confirmed that his organization received financing from A.I.D. but did not know whether it was through an earmark.
Mr. Allgood would not say how much money the group received, and the aid agency did not respond to requests for the information. The fertilizer center previously received a $4 million hard earmark requested by Senator Richard C. Shelby, Republican of Alabama.
A soft earmark, of course, does not guarantee financing. For example, the Sesame Workshop, home of Big Bird and the rest of the Sesame Street gang, said it did not receive any money despite such a request.
Still, organizations spend millions each year lobbying Congress for them. Lobbyists say getting a client’s organization into language in committee reports, which accompany spending bills and contain more detailed instructions to agencies, can have an impact.
“I certainly wouldn’t call them earmarks, but it does say to the agency that this is something that Congress is serious about,” said Fredrick Baird, known as Tripp, a lobbyist with J. C. Companies, a lobbying firm headed by former Representative J. C. Watts, an Oklahoma Republican.
Other than the amendment that Mr. Flake offered last year to shed more light on the process, no efforts to curb soft earmarks have been proposed.
President Bush signed an executive order in January that directed agencies to ignore all earmarks in committee reports.
But legal opinions by the Congressional Research Service and the Government Accountability Office found that Congress could get around the order by simply inserting them in the text of spending bills or including language in the bills that directed agencies to treat earmarks listed in committee reports as if they were written into the law. That frustrates groups seeking openness in government.
“Soft earmarks are even more insidious than hard earmarks,” said Keith Ashdown, vice president of Taxpayers for Common Sense. “With hard earmarks, at least you know something about the amounts and recipients. With soft earmarks, everything is done in secret.”
Tom Torok contributed reporting from New York.
Pork Barrel Remains Hidden in U.S. Budget
By RON NIXON
WASHINGTON — Sometimes on Capitol Hill, lawmakers find that it pays to ask nicely instead of just ordering the bureaucrats around.
With great fanfare, Congress adopted strict ethics rules last year requiring members to disclose when they steered federal money to pet projects. But it turns out lawmakers can still secretly direct billions of dollars to favored organizations by making vague requests rather than issuing explicit instructions to government agencies in committee reports and spending bills. That seeming courtesy is the difference between “soft earmarks” and the more insistent “hard earmarks.”
How much money is requested for any specific project? It is difficult to say, since price tags are not included with soft earmarks. Who is the sponsor? Unclear, unless the lawmaker later acknowledges it. Purpose of the spending? Usually not provided.
How to spot a soft earmark? Easy. The language is that of a respectful suggestion: A committee “endorses” or notes it “is aware” of deserving programs and “urges” or “recommends” that agencies finance them.
That was how taxpayer money was requested last year for a Christian broadcasting group to build a shortwave radio station in Madagascar, a program to save hawks in Haiti, efforts to fight agriculture pests in Maryland and an “international fertilizer” center in Alabama that assists farmers overseas.
After hard earmarks figured into several Congressional scandals and prompted criticism of wasteful spending from government agencies and watchdog groups, Congress cut back on their number last year and required disclosure of most of them. (There were more than 10,000, costing nearly $20 billion last year, according to the Congressional Research Service.)
But soft earmarks, while not a new phenomenon, have drawn virtually no attention and were not included in the ethics changes — and current ones under consideration — because Congress does not view them as true earmarks.
Their total cost is not known. But the research service found that they amounted to more than $3 billion in one spending bill alone in 2006, out of 13 annual appropriations bills. And the committee that handles the bill, which involves foreign operations, has increasingly converted hard earmarks to soft ones.
“This shows that even though lawmakers now have to disclose their pet projects, we’re not getting a full accounting of earmarks,” said Ryan Alexander, director of Taxpayers for Common Sense, a group in Washington that tracks earmarks. “We may just be looking at the tip of the iceberg.”
Representative Jeff Flake, Republican of Arizona, said he did not believe gentler language changed anything when it came to pork-barrel spending.
“No matter what you want to call it, an earmark is an earmark,” said Mr. Flake, a longtime foe of earmarks. “If Congressional leaders don’t believe that soft earmarks are earmarks, then I think that makes the case as to why we need tougher reforms in place.”
Soft earmarks are included in a number of spending measures, but they tend to occur more frequently in spending bills that give money to the State Department, the United States Agency for International Development and other foreign aid programs.
Federal agencies are not required to finance soft earmarks. However, officials have traditionally felt obliged to comply with such requests.
“Soft earmarks, while not legally binding, frequently come with an implicit threat: If you don’t take our suggestions, we will give you a hard earmark next,” said Andrew Natsios, former administrator of A.I.D. in the Bush administration.
In its report, the Congressional Research Service said agencies also could face budget cuts if they did not finance soft earmarks.
Mr. Natsios said two lawmakers once threatened to cut his budget if he did not pay for one of their requests. He declined to identify them.
Congressional leaders say soft earmarks are merely suggestions and not really earmarks. They argue that money is awarded at the discretion of the agency, largely through a competitive process.
“Recognizing organizations with a record of relevant work is part of Congress’s budgetary role,” Representative Nita M. Lowey, Democrat of New York, said in an e-mail message.
“It broadens the competitive grant process beyond administration priorities and encourages current recipients to maintain high performance standards,” said Ms. Lowey, who is the chairwoman of the House appropriations subcommittee on state and foreign operations.
Mr. Natsios agreed that some soft earmarks in the bill could result in a competitive bidding process. But that is not the case if the report names a specific organization, which routinely happens.
In considering lawmakers’ spending requests, some committees in recent years have switched hard earmarks to soft ones, saying it gives agencies more flexibility. Critics, including Mr. Flake, suggest it is being done to avoid scrutiny.
“With the efforts to shine more light on the earmarking process,” he said, “I am concerned that we might see increasingly creative ways to steer funding to recipients of funding that members of Congress want to see it go to.”
Financing for the shortwave radio station, called the Madagascar World Voice, for example, began as a hard earmark request by Representative Pete Sessions, Republican of Texas.
Mr. Sessions originally sought $2.5 million for World Christian Broadcasting, a group based in Nashville that broadcasts in several countries and promotes abstinence to prevent AIDS. The House Appropriations Committee converted it to a soft earmark.
A spokesman for World Christian Broadcasting said the organization had been in discussions with A.I.D. about the financing.
Another soft earmark was included for the International Fertilizer Development Center, in Muscle Shoals, Ala. The group has been criticized as wasteful by watchdog groups and Senator John McCain of Arizona, a critic of earmarks who is the presumptive Republican nominee for president.
John H. Allgood, director of finance and administration for the group, which teaches third world farmers about soil fertility management and other agricultural practices, confirmed that his organization received financing from A.I.D. but did not know whether it was through an earmark.
Mr. Allgood would not say how much money the group received, and the aid agency did not respond to requests for the information. The fertilizer center previously received a $4 million hard earmark requested by Senator Richard C. Shelby, Republican of Alabama.
A soft earmark, of course, does not guarantee financing. For example, the Sesame Workshop, home of Big Bird and the rest of the Sesame Street gang, said it did not receive any money despite such a request.
Still, organizations spend millions each year lobbying Congress for them. Lobbyists say getting a client’s organization into language in committee reports, which accompany spending bills and contain more detailed instructions to agencies, can have an impact.
“I certainly wouldn’t call them earmarks, but it does say to the agency that this is something that Congress is serious about,” said Fredrick Baird, known as Tripp, a lobbyist with J. C. Companies, a lobbying firm headed by former Representative J. C. Watts, an Oklahoma Republican.
Other than the amendment that Mr. Flake offered last year to shed more light on the process, no efforts to curb soft earmarks have been proposed.
President Bush signed an executive order in January that directed agencies to ignore all earmarks in committee reports.
But legal opinions by the Congressional Research Service and the Government Accountability Office found that Congress could get around the order by simply inserting them in the text of spending bills or including language in the bills that directed agencies to treat earmarks listed in committee reports as if they were written into the law. That frustrates groups seeking openness in government.
“Soft earmarks are even more insidious than hard earmarks,” said Keith Ashdown, vice president of Taxpayers for Common Sense. “With hard earmarks, at least you know something about the amounts and recipients. With soft earmarks, everything is done in secret.”
Tom Torok contributed reporting from New York.
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