Line Items: March to Madness Edition

Mad, Mad World – There’s enough madness in DC to go around. Lawmakers from opposite parties seem perpetually angry at each other, yet they are moving in lockstep towards what Federal Reserve Chairman Ben Bernanke recently called a “fiscal cliff” at the end of the year. And expecting Congress to adopt a budget has become akin to picking a 16th seed to win. Unlike the big tourney, there doesn’t seem to be an end in sight to this madness. Think you can do better? Check out our newly updated online budget simulator and give it a try.

House GOP to Enter Budget Pool – House Republicans will unveil their budget resolution on Tuesday and mark it up in the House Budget Committee the following day. The blueprint reportedly will hold federal spending below the $1.047 trillion cap for FY 2013 in the Budget Control Act. It may also seek to diminish the defense cuts under sequestration by finding cuts elsewhere in the budget. The plan will have little hope of passing the Senate. Compare various fiscal plans here.

Budget Madness Spreads to States – Washington, DC isn’t the only place where lawmakers seem stymied in producing a budget. Some states, namely Virginia and New York, are also struggling to adopt budgets.

Will Budget Reform be This Year’s Cinderella Story? – The Senate Homeland Security and Governmental Affairs Committee held a hearing last week where several ideas for improving the budget process were discussed. One proposal would withhold pay for members of Congress until a budget and appropriations bills were adopted. Another bill would move from an annual budget and appropriations process to a two-year cycle. See our thoughts on biennial budgeting and check out more budget process reform ideas here.

GOP Rep. Suggests a Pairing – March is all about match-ups and one legislator has proposed an intriguing one. Last week Rep. Rick Crawford (R-AR) introduced legislation coupling a five percent surtax on income above $1 million with a balanced budget amendment. Will we see more tax increase ideas from Republicans?

Beware of the End of March – We survived the Ides of March, but the end of the month looms with yet another deadline for Congress. Legislators have until March 31st to approve of new surface transportation funding. The Senate passed a two-year, $109 billion bill last week that does not adequately address the shortfall in the Highway Trust Fund. However, Politico reports that the House won’t consider a bill until next month, meaning yet another extension or a disruption in highway funding.

Medicare Reform Ideas March On – The Medicare Payment Advisory Commission (MedPAC) last week issued its annual report with recommendations for reigning in the unsustainable cost growth of the vital program. Ideas include paying the same rate for services whether they are performed in a hospital or a doctor’s office. Currently, Medicare pays more for the same services if they are administered in a hospital. Meanwhile, a group of Republican Senators put forward a far-reaching proposal to move Medicare beneficiaries to the same health plan provided to federal employees. The House GOP budget will also likely include Medicare changes. See more health care reform ideas here.

Key Upcoming Dates (all times ET)

March 19

• House Appropriations hearing on the FY 2013 budget for the Federal Communications Commission at 3 pm.

March 20

• House Budget Committee Chair Paul Ryan (R-WI) holds a press conference at 10:30 am to unveil the House GOP FY 2013 budget. He will then give remarks at a forum at the American Enterprise Institute at 11:30 am.
• House Appropriations hearing on the FY 2013 budget for the Smithsonian Institution at 9:30 am.
• House Appropriations hearing on the FY 2013 budget for the Dept. of Commerce at 10 am.
• House Appropriations hearing on the FY 2013 budget for the U.S. Mission to the United Nations at 10 am.
• House Appropriations hearing on the FY 2013 budget for farm and foreign agricultural services at 10 am.
• House Committee on Foreign Affairs hearing on U.S. foreign assistance at 10 am.
• House Appropriations hearing on the FY 2013 budget for the National Institutes of Health at 10:30 am.
• House Ways and Means hearing on securing the future of the Social Security Disability Insurance Program at 10:30 am.
• House Appropriations hearing on the FY 2013 budget for the Office of Management and Budget at 2 pm.
• Illinois Primary

March 21

• House Budget Committee marks up the FY 2013 budget resolution beginning at 10:30 am.
• House Appropriations hearing on the FY 2013 budget for NASA at 9 am.
• House Committee on Government Oversight and Reform hearing on Europe's sovereign debt crisis, consequences for the U.S. and lessons learned at 9:30 am.
• House Appropriations hearing on the FY 2013 budget for the IRS at 10 am.
• House Appropriations hearing on the FY 2013 budget for the Dept. of Housing and Urban Development at 10 am.
• House Committee on Education and the Workforce hearing on the FY 2013 budget for the Dept. of Labor at 10 am.
• Senate Homeland Security and Governmental Affairs Committee hearing on the President's government reorganization plan and ending duplication at 10 am.
• Senate Appropriations hearing on the FY 2013 budget for the U.S. Army at 10:30 am.
• House Appropriations hearing on the FY 2013 budget for the Dept. of Veterans Affairs at 2 pm.
• House Appropriations hearing on the FY 2013 budget for the Small Business Administration at 2 pm.
• Senate Homeland Security and Governmental Affairs Committee hearing on the Dept. of Homeland Security budget at 2:30 pm.
• Senate Appropriations hearing on the FY 2013 budget for the National Nuclear Security Administration at 2:30 pm
• Senate Appropriations hearing on the FY 2013 budget for the Commodity Futures Trading Commission at 2:30 pm.
• House Armed Services Committee hearing on the FY 2013 budget for defense health programs at 3 pm.

March 22

• Senate Appropriations hearing on the FY 2013 budget for the Dept. of Commerce at 10 am.
• House Appropriations hearing on the FY 2013 budget for the Dept. of Education at 10 am.
• House Appropriations hearing on the FY 2013 budget for the Commodity Futures Trading Commission at 10:30 am.

March 24

• Louisiana Primary

March 28

• Senate Homeland Security and Governmental Affairs subcommittee hearing on combating waste and fraud in government programs at 2:30 pm.

March 29

• US Dept. of Commerce's Bureau of Economic Analysis releases its third and final estimate of 2011 fourth quarter GDP.

April 3

• Presidential contests in DC, Maryland, Wisconsin, and Texas

April 6

• Dept. of Labor's Bureau of Labor Statistics releases March 2012 employment data.

April 13

• Dept. of Labor's Bureau of Labor Statistics releases March 2012 Consumer Price Index (CPI) data. 

April 17

• Tax Day! Federal income tax returns are due.