AFSCME Legislative Highlights
AFSCME LEGISLATIVE
REPORT
September 29, 2006
In this issue:
Congress Leaves Town with Most Program Spending Levels
for Coming Year in Doubt
As FY 2006 ends, Congress has
approved only 2 of the 13 spending bills necessary to keep the
federal government running (homeland security and defense). Choosing
instead to spend September pursuing an election-based agenda of
terrorism, wiretapping and homeland security, Republican leaders
moved a short term "Continuing Resolution" continuing most domestic
programs until November 17.
While such continuing resolutions are not unusual, it was clear
that this year, congressional leaders wanted to avoid hard votes on
inadequate funding levels until after the November elections.
This is especially true of the annual Labor, Health and Human
Services (HHS), and Education spending bill, which is a critical
source of funding for state and local government services. During
the year Democrats and some Republican moderates have tried to
increase overall spending by $7 billion over the amount requested by
President Bush. Despite their efforts, only a $4 billion increase is
certain at this time, leaving many important child care, education,
job training, health and social service programs facing the
likelihood of inadequate funding to maintain current service levels
to meet growing needs.
The failure to secure the full $7 billion for the Labor, HHS, and
Education bill is a defeat for House Republican moderates by their
own leadership. Despite promises to the contrary earlier in the
year, the Republican leadership bowed to pressure from the Bush
Administration to keep the additional money for defense programs.
For the moment, all labor, health, and human services and education
programs will continue at current funding levels. Between now and
November 17, we will continue to lobby for the additional funding
when a final spending level is determined after the election.
(Nanine Meiklejohn- nmeiklejohn@afscme.org)
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House Democrats Press GOP to Vote for a Minimum Wage
Increase
The Congress is set to adjourn without taking a
vote on a "clean" minimum wage bill, i.e. a minimum wage bill that
is not attached to other provisions such as the repeal of the estate
tax. Under House rules, the leadership has no option but to schedule
a vote if a majority of members, 218, sign a "discharge
petition." In the case of minimum wage, the GOP leadership has
refused to schedule a floor vote even though 48 Republican lawmakers
signed and sent a letter in July to Majority Leader John Boehner
(OH) urging a floor vote. Now a group of House Democrats, headed by
Minority Leader Steny Hoyer (MD), are urging these same 48
Republicans to sign a discharge petition to force a vote on the
minimum wage bill (H.R. 2429). H.R. 2429 would raise the minimum
wage from $5.15 per hour to $7.25 per hour over two years. The
discharge petition currently has 192 signatures but needs 26 more to
reach the magic number of "218". The Hoyer letter urges those
Republican members to "stop this charade" on minimum wage and asks
them to "please back up your words with action."
In the Senate, Sens. Edward M. Kennedy (D-MA), Dick Durbin (D-IL)
and Hillary Clinton (D-NY) held a press conference to bring
additional attention to the failure of this Congress to raise the
minimum wage. The Congress has blocked a vote on a minimum wage
increase for more than nine years. The last minimum wage increase
took effect in 1997.
(Marge Allen- mallen@afscme.org)
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2007 Funding for First Responders is
Trimmed
House and Senate negotiators reached a final
agreement on spending levels for the Homeland Security Department
spending bill for the fiscal year that begins October 1, 2006.
Overall, the agreement trims grants to state and local first
responders by a total of $32 million, compared with funding in the
year that ends September 30. The bill provides for modest increases
in grants for rail and transit security ($26 million) and port
security ($35 million).
(Barbara Coufal- bcoufal@afscme.org)
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House Panel Approves Legislation to Expand Health Savings
Accounts
On Wednesday, the House Ways and Means
Committee approved a controversial bill (H.R. 6134) that would
deliver a double whammy to working families. The bill would drive up
the cost of health coverage for average families and would also
expand a tax break used by wealthier individuals that would lead to
a significant loss of federal revenue. The bill was approved along
party lines with no Democrats voting in favor of it.
H.R. 6134 would expand the tax preferred treatment of health
savings accounts (HSAs) in order to encourage greater adoption of
their use. HSAs are paired with high deductible health plans with
annual deductibles as high as $2,700 for single and $5,450 for
family coverage. The lower premium and tax breaks on high deductible
health plans/HSAs attract younger, healthier and wealthier
individuals. As they migrate to HSAs, health plans with lower
deductibles will become dominated by older and sicker workers and
those who need more comprehensive coverage. As a consequence, the
cost of traditional plans will go up if HSAs become more widely
used. A recent report by the Government Accountability Office found
that HSA participants tend to be wealthier and that they are using
HSAs in order to shelter income from federal taxes.
(Barbara
Coufal- bcoufal@afscme.org)
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Congress Passes Bill Renewing Child Welfare
Programs
The House and Senate passed identical
legislation to reauthorize federal funding for states to provide
child welfare services. In addition to continuing current funding
levels, the legislation includes an additional $40 million per year
for two purposes: 1) a new program to alleviate the effects of
substance abuse within the child welfare system, and 2) to support
child protection agencies to increase caseworker home visits to
children in foster care. While this additional funding is welcome,
it falls far short of what states need to handle two significant but
largely distinct challenges. The legislation now awaits President
Bush's signature.
(Fran Bernstein- fbernstein@afscme.org)
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House Passes Ryan White Act
Reauthorization
On Thursday, the House passed a
reauthorization of the Ryan White CARE Act (H.R. 6143), the program
which provides a safety net for low-income Americans living with
HIV/AIDS. Democrats criticized the bill for pitting rural regions
against urban ones and HIV patients against those with full-blown
AIDS. The bill changes the formula used to allocate Ryan White money
so that rural areas with increasing numbers of AIDS and HIV cases
will receive more relative to urban areas because the bill would
authorize only 3.7 percent annual increases in spending for these
programs from 2008 to 2011. The bill passed 325-98. The Senate
Health, Education, Labor and Pension (HELP) Committee-approved Ryan
White reauthorization bill (S. 2823) would also shift funds from
urban to rural areas. All four senators from NY and NJ have proposed
legislation for a one-year extension of the current funding formula.
(Fran Bernstein- fbernstein@afscme.org)
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New Study Highlights the Need for Respirators to Protect
Against Pandemic Flu
A new study published by Emerging
Infectious Diseases, a journal published by the Centers for Disease
Control and Prevention, reviews previous research on the
transmission of flu viruses. The article provides more evidence that
the Bush Administration's recommendation to use surgical masks will
not protect health care workers and first responders from the deadly
avian flu. The article confirms that previous research demonstrates
that flu particles become airborne when patients sneeze and cough
and that these airborne particles are a significant source in the
spread of infection to others. The surgical masks recommended by the
Administration do not prevent the inhalation of the flu virus.
AFSCME and the AFL-CIO have been working to pressure the
Administration to revise its recommendations and to call for the use
of respirators that, when properly fitted on a worker, will filter
out the flu virus.
(Barbara Coufal- bcoufal@afscme.org)
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Private Property Rights Legislation Fails in the
House
"The Private Property Rights Implementation Act of
2006" (H.R. 4772) was defeated on the floor of the House by a vote
of 234-174 on September 26. H.R. 4772 would allow challengers to the
government's use of "eminent domain" to quickly take their lawsuits
to federal court, thereby bypassing the state court system in
challenging the government's right to take their property. The
legislation would undercut traditional local authority over land use
disputes by allowing developers and other landowners to bypass
important local procedures, sidestep state courts, and sue local
communities in federal court far earlier in the land use planning
process. The bill would impose greater legal costs on local
governments, increase the threat of municipal liability, and
ultimately undermine the ability of local officials and employees to
safeguard the interests of the citizens they represent.
(Cynthia
Bradley- cbradley@afscme.org)
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Health Insurance Premiums Increase Twice As Fast as Wages
and Inflation
Premiums for employer-sponsored health
coverage rose an average 7.7 percent in 2006, an increase of more
than twice as much as workers' wages (3.8 percent) and overall
inflation (3.5 percent), according to the 2006 Employer Health
Benefits Survey released this week by the Kaiser Family Foundation
(KFF) and the Health Research and Educational Trust. While the 2006
increase was less than the 9.2 percent increase recorded in 2005,
"nobody should be celebrating too wildly," said Drew Altman,
President and Chief Executive Officer of KFF, adding that families
"are still feeling the pain" of premiums that have skyrocketed 87
percent over the past six years while workers' earnings have risen
by 20 percent over the same time period. Family health coverage now
costs an average of $11,480 annually, with workers paying an average
of $2,973 toward those premiums, about $1,354 more than in 2000.
Almost half of employers who offer health benefits reported that it
is "very" or "somewhat likely" they will increase the amount that
employees pay for health insurance in 2007. At the same time, the
survey found that a smaller percentage of workers are receiving
health benefits from their employers, down from 65 percent in 2001
to 59 percent in 2006.
(Fran Bernstein- fbernstein@afscme.org)
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Senate Moves to Pass the Border Fence Bill
The Senate voted, 71-28, to cut off debate over legislation that
would authorize 700 miles of reinforced fencing along the Mexican
border. The measure had previously passed the House and is the only
proposal on immigration that was passed by both houses of Congress
in this session. The Senate had passed a comprehensive immigration
reform package earlier in the year that included a
path-to-legalization for undocumented workers who have been working
in the U.S. for more than five years. That legislation had also
included a guestworker program that employers were demanding.
Passage of the fence bill will be mostly symbolic as spending for
the measure will fall far short of what the cost would be to
complete the designated 700 miles. For example, the Homeland
Security funding bill includes $1.2 billion for fencing and vehicle
barriers. But that amount is $600 million less than what had been
estimated to be the cost of building 370 miles of triple-layer
fencing.
(Marge Allen- mallen@afscme.org)
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Federal Employees Likely to Get 2.2 %
Raise
Congress has set the January 1 military pay raise
at 2.2 percent. While the full House and the Senate Appropriations
panels both back a 2.7 percent pay hike for civilian workers, it is
highly unlikely Congress would approve a higher raise for federal
workers than for military service members. A 2.2 percent average
increase would be the smallest raise for civilian employees since
1988 and the smallest military pay increase since 1994.
(Jayne
Clancy- jclancy@afscme.org)
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"No Shelter from the Storm: America's Uninsured
Children"
A new report issued this week finds that a
large number of children in the United States remain uninsured, and
these children are paying a steep price – they are going without the
health care they need. In "No Shelter from the Storm: America's
Uninsured Children," the Campaign for Children's Health Care found
that one out of every nine children is uninsured, totaling more than
nine million uninsured children in the U.S. And, having employed
parents often does take children out of the ranks of the uninsured.
The vast majority of uninsured children – 88 percent – come from
families where at least one parent works; in more than half of all
two-parent families with uninsured children, both parents work. The
report found that lack of insurance leads to less medically
necessary care: The likelihood of not having seen a doctor in
the past year is more than three times greater for uninsured
children than it is for insured children, and uninsured children are
more than 13 times as likely to lack a usual source of care. And,
while Medicaid and the State Children's Health Insurance Program
(SCHIP) provide affordable coverage with benefits that meet the
needs of low-income children, ensuring that these programs cover all
eligible uninsured children for all their medical needs will require
additional financial support for outreach and enrollment efforts and
for the coverage itself.
(Fran Bernstein- fbernstein@afscme.org)
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