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### Office of Congressman Jeff Flake

***News Release***

**FOR IMMEDIATE RELEASE:** Thursday, September 15, 2005

**CONTACT :** Matthew Specht (202) 225-2635

# **Congressmen Flake and Hensarling Send Letter to House Leadership Suggesting Possible Spending Cuts to Offset Hurricane Relief**

## *Flake Encourages President Bush to Cut Spending In Other Areas to Pay for Relief Effort*

**Washington, D.C**. - Arizona Congressman Jeff Flake, who represents
the state's Sixth District, today sent a letter to House Speaker Dennis
Hastert and House Majority Leader Tom DeLay suggesting several programs
to cut in order to help offset the Hurricane Katrina relief effort.

The letter was also signed by Congressman Jeb Hensarling of Texas.

**"There's no shortage of federal spending programs that could be cut in
order to help offset the cost of the hurricane relief,"** said Flake.
**"It's simply irresponsible for Congress and President Bush not to look
for areas where we can reduce spending to help offset the cost of the
hurricane relief."**

Congressmen Flake and Hensarling offered several suggestions of places
where Congress could reduce spending in order to pay for the hurricane
relief effort. Among them is delaying implementation of the Medicare
prescription drug benefit, rescinding wasteful earmarks from the
recently passed transportation bill, reducing funding for Amtrak, and
eliminating funding for the National Endowment for the Arts. A copy of
the letter is attached.

Fiscal conservatives attempted to offer an amendment to the \$52 billion
supplemental spending bill last week that would have insisted on
offsets, but they were prevented from doing so because the bill was
considered under special rules.

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September 15, 2005

The Honorable J. Dennis Hastert The Honorable Tom DeLay

H-232 U.S. Capitol H-107 U.S. Capitol

House of Representatives House of Representatives

Washington, D.C. 20515 Washington, D.C. 20515

Dear Speaker Hastert and Majority Leader DeLay:

When the United States has been faced with national emergencies,
especially during times of war, the federal government has historically
and significantly reduced spending in areas that do not contribute
directly to critical federal priorities. We believe there are many
reasonable opportunities to offset relief spending at this time of
emergency. Although we highlight only a few, we welcome the opportunity
to discuss ways that it can be done.

One possible solution could be that Congress could delay the January 1,
2006 implementation of the Medicare prescription drug benefit, until it
finds a means to contain costs that are estimated to grow to
unsustainable levels. The ten-year cost of the Medicare drug benefit is
now \$724 billion between 2006 and 2015. Delaying the implementation of
this new entitlement will give Congress a chance to study ways to
control the cost.

Congress could also find offsets in the recently approved surface
transportation bill that authorized about \$24 billion for 6,400
earmarks. Earmarks funded "off the top," including \$2.5 billion of
Transportation Improvement Projects, could be rescinded without
affecting states' guaranteed transportation funding. Several earmarks in
the law are for projects that do not improve capacity or safety on U.S.
highways. Saturday's *Bozeman Daily Chronicle* reports a good example: a
bipartisan citizens group in Bozeman, Montana, has petitioned the city
council to return to the federal government a \$4 million earmark for a
parking garage in their city to help with Hurricane Katrina relief.

The list below is a small sample of other programs that, taken together,
could add up to significant offsets for Hurricane Katrina relief
funding.

> • Millennium Challenge Account: \$8.75 billion could be saved over
> five years by eliminating the program, which could be replaced by open
> and free trade.
>
> • Federal Support for Amtrak: By reducing Amtrak spending to the FY06
> amount requested by the President, \$190 million could be saved.
> Eliminating the funding all together could save \$2.75 billion over
> the next five years.
>
> • National Endowment for the Arts (NEA): Eliminating FY06 funding for
> the NEA would save \$126 million.
>
> • Land and Water Acquisition Fund: Bringing the FY06 federal land
> acquisition budget down to the House passed level of \$48 million
> would save \$66 million.

Although these proposals only scratch the surface of potential savings,
we appreciate your attention to the possibility that the entire \$62
billion already appropriated to the hurricane relief effort could be
offset. We look forward to working with you to rescind federal spending
that is not critical in order to offset federal aid that is critical.

Sincerely,

\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_
\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

JEFF FLAKE JEB HENSARLING

Member of Congress Member of Congress