Please see the following article from Politico which touches on the uncertain future of the Democrats $23 billion state bailout for education. It references a letter from the White House that was leaked on Saturday night asking Congress to pass the tax extenders bill the Senate is currently considering. While the President does not cite a dollar figure he encourages Congress to support the “Teacher Firing Prevention Fund” in order to avoid “massive layoffs of teachers…” The Politico article also mentions that Cong. Obey and Speaker Pelosi both seem comfortable with trying to divert un-used stimulus funds to cover the $23 billion, although there is no reference to this in the President’s letter to Congress.
From Politico:
Obama moved over the weekend to try to reassure doubtful Democrats that he also supports new state aid to avert teacher layoffs and cuts in medical services. But the White House has yet to back up its words with formal budget requests, and Saturday night’s letter to House and Senate leaders — leaked in advance to maximize coverage in the Sunday newspapers — was greeted as more of a public relations ploy.
“I’m asking myself, ‘Why is this coming up on a Saturday night?’” said House Minority Leader John Boehner (R-Ohio) on ABC News’s “This Week.” Privately, congressional Democrats agreed.
Senior House and Senate aides said they got no warning before Saturday evening. And the letter follows a week of increased tension with the White House over aid to education and complaints of double dealing in an effort to roll the House on the war funding.
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The most pointed case is a proposed $23 billion aid package for state and local school boards to avert the threat of layoffs because of budget cuts for the coming fiscal year.
Education Secretary Arne Duncan has championed this so-called Teacher Firing Prevention Fund, urging that the money be added to the war funding bill. Obama himself says “the urgency is high” in his Saturday letter, but the White House has yet to submit a formal budget request and was conspicuously silent on the issue when the war funds were before the Senate last month.
Now that the war bill has moved to the House, Appropriations Committee Chairman Dave Obey (D-Wis.) is threatening to go back into last year’s Recovery Act and cut from White House priorities to pay for the teachers. The Wisconsin Democrat appears to have the tacit support of Speaker Nancy Pelosi (D-Calif.), and their combined force may explain the sudden Saturday night letter.
Appearing on ABC, House Majority Leader Steny Hoyer (D-Md.) seemed to suggest that the administration was open to this approach. But Obama’s letter doesn’t appear to address it directly, offering no offsets and speaking of the teachers’ aid as an “emergency.”
RPC Analyst Amanda Farris