Taxpayer's Tab: H.R. 3016, the Jobs for Urban Sustainability and Training in America Act of 2013

Welcome to The Taxpayer's Tab -- the weekly newsletter for up-to-the-minute research from the National Taxpayers Union Foundation's BillTally Project. For more information, check out NTUF's BillTally Project and our partner, WashingtonWatch.com!

Most Expensive Bill of the Week

The Bill: H.R. 3016, the Jobs for Urban Sustainability and Training in America Act of 2013

Annualized Cost: $10 billion ($50 billion over five years)

It has now been five years since real estate market bubble popped and the Lehman Brothers investment bank collapsed. The effects are still rippling through the economy, and policy makers are continuing to echo many of the same proposals that have been tried since 2009. Just this week, the Federal Reserve announced it would extend its stimulus program to purchase $85 billion a month in Treasury bonds and mortgage-backed securities. And, Members of the 113th Congress are continually introducing bills that would give large amounts of tax dollars to states and municipalities to generate and sustain jobs. In the previous edition of The Taxpayer's Tab, NTUF scored a bill by Congressman George Miller (D-CA) that would spend $25.3 billion over five years to retain, hire, or rehire thousands of city employees and first responders. Similarly, Congressman Steve Cohen (D-TN) introduced a bill to cut down the national unemployment rate by providing jobs at the local level.

H.R. 3016 would authorize new spending for cities with populations of at least 600,000 people and who have had unemployment rates above the national average since January 2009. An annual $10 billion would be spent on economic development activities, such as building business incubators and supporting alternative energy development, and job training programs. Cities would be given broad authority to spend funds and many cities could receive money year-after-year because the bill does not define an end date to the spending.

The bill does include a revenue offset. Section 3 of the bill would prevent "major integrated oil companies" from being able to claim a tax deduction related to domestic production activities. In 2011, supporters argued that it would increase taxes by $32 billion over 10 years.

To learn more or discuss this bill visit WashingtonWatch.com.

Least Expensive Bill of the Week

The Bill: H.R. 2668/S. 1488, a bill to delay the application of the individual health insurance mandate, to delay the application of the employer health insurance mandate, and for other purposes.

Annualized Cost: $5.6 billion ($28 billion over five years)

Because of provisions passed in the Patient Protection and Affordable Care Act (ACA), Americans are currently required to obtain health insurance by January 1, 2014. If they fail to do so, citizens will be charged a fine that will either be a flat dollar amount or a percentage of their earnings, depending on their income level. Those who are not covered have the choice of buying private insurance, opting into government-subsidized state Exchanges, accepting Medicaid benefits (for low-income households), or being levied the fine, which is set to rise significantly in the years ahead.

Former Speaker Nancy Pelosi (D-CA) famously said we had to pass the ACA to find out what is in it. Years later, details of its costs and vast complexity are still coming to light and each week brings new reports that premiums are rising or that companies will cease offering health care coverage for their employees. This has fueled calls to postpone or scrap portions (or all) of the ACA. The CLASS long-term care program was already repealed because of its unsustainable long-term costs. The White House already plans to delay the business health care mandate (which requires companies of 50 or more full-time employees to offer insurance or else financially contribute to the Exchanges) by one year. The Administration also postponed enforcement of eligibility requirements to receive exchange subsidies and delayed a cap on out-of-pocket insurance costs that was adversely affecting consumer premiums.

In light of the issues that both the government and citizens face as ACA is implemented, Congressman Todd Young (R-IN) and Senator Daniel Coats (R-IN) introduced H.R. 2668 and S. 1488. The bills would affirm the Administration's delay of the business mandate as law and would also delay the individual health care mandate by one year. In a press release, Senator Coats reasoned that only delaying the requirements for businesses was unfair for individuals on their own health care plans.

The Congressional Budget Office scored the delay of the individual mandate as a $28 billion savings over the 2014-2018 period. Savings occur because the government would not spend tax dollars on Medicaid funding, Exchange subsidies, and government administrative duties as is currently budgeted.

A similar bill, H.R. 2667, the Authority for Mandate Delay Act, by Congressman Tim Griffin (R-AR) would only codify the business mandate delay. Since the BillTally project only tracks spending and not revenues, which the business mandate would only be, H.R. 2667 would not result in any budgetary changes.

To learn more or discuss this bill visit WashingtonWatch.com.

Most Friended

The Bill: S. 1404, the Enumerated Powers Act

Annualized Cost: "No Cost" -- Legislative Procedure

Number of Cosponsors: 35 Senators

On September 17th, 1787, the Founding Fathers assembled in Philadelphia, Pennsylvania and officially adopted the Constitution. Over 226 years later, the Constitution remains the supreme law of the land, and on a more symbolic level, offer perhaps one of the clearest and most influential legal models for democratic government.

Since 2004, September 17th has been officially recognized as Constitution Day. On this past Tuesday, legislators, scholars, and citizens alike gathered in Washington, D.C. and across the country to commemorate the occasion through reflection and discussion:

• The Cato Institute hosted its 12th annual Constitution Day Symposium.
• The National Archives hosted a variety of Constitution-themed activities and lectures.
• Congressman Darrell Issa (R-CA) tweeted the entire Constitution on his official Twitter account, 140 characters at a time.

In a similar spirit of reverence for the Constitution, Senator Tom Coburn (R-OK) introduced S. 1404 earlier this year. The Enumerated Powers Act would require any act, bill, report, resolution, or amendment to carry with it a "concise explanation of the specific authority in the Constitution of the United States relied upon as the basis for enacting each portion of the measure" before it is considered in Congress.

Senator Coburn's office released a statement explaining that "[m]any of our nation's fiscal woes can be linked to Congress's ignorance of, and refusal to follow, the clear Constitutional limitations on our power to legislate. ... Our founders recognized the need for the federal government's powers to be strictly limited -- not only to ensure effective governance but to prevent unrestrained federal overreach." Senator Rand Paul (R-KY), the bill's lead cosponsor, said "[p]oliticians in Washington should abide by their oath to uphold the Constitution by only legislating within the powers it gives to the federal government."

The bill's text would not affect federal outlays nor authorize any new spending to implement its provisions.

All 35 cosponsors of S. 1404 are members of the Republican Party.

To learn more or discuss this bill visit WashingtonWatch.com.

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