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Senate nears passage of spending bill

Posted on: Wednesday, 3 May 2006, 16:39 CDT

By Richard Cowan

WASHINGTON (Reuters) - The Senate on Wednesday neared completion of an emergency spending bill to fund the war in Iraq and to continue hurricane recovery efforts, ignoring White House objections that it was loaded with unnecessary projects.

The Senate was expected to finish work by Thursday on the bill, which would end up costing about $109 billion, around $17 billion more than the total approved in March by the House of Representatives.

As the Senate tried to wrap up a nearly two-week debate on the bill, President George W. Bush threatened to veto it. "Congress needs to hear me loud and clear. If they spend more than the $92.2 (billion) plus pandemic flu emergency funds, I will veto the bill," Bush said.

As Bush issuing the threat, senators were adding, not subtracting funds, including $60 million for United Nations efforts in the Darfur region of Sudan. The money is aimed at stemming violence the United States has labeled genocide.

Senators also added $289 million for avian flu-related funds, beyond the $2.3 billion Bush requested.

Once the bill passes, the House and Senate will try for a compromise to head off a Bush veto.

Like the House-passed measure, the Senate's legislation would provide around $67 billion to finance the U.S. wars in Iraq and Afghanistan.

The Pentagon would get a new round of funds to replace aircraft and other equipment worn out in the wars. Nearly $500 million would be spent to recruit and retain more soldiers.

With this bill, U.S. spending on the wars in Iraq and Afghanistan would be nearly $400 billion, with more than three-quarters being spent in Iraq.

War costs and rebuilding southern states after Hurricane Katrina have contributed to rampant deficit spending. This bill would add to the $3 trillion debt the federal government has racked up over the past five years.

Senators also went on record opposing permanent U.S. military bases in Iraq or control of Iraq's oil resources.

The Senate bill would provide about $3.5 billion more in foreign aid for Iraq, Afghanistan, Jordan and other countries.

Sen. Joseph Biden, a Delaware Democrat, succeeded in targeting $250,000 for a special U.S. envoy for Sudan, who he said "could be instrumental in our efforts to bring an end to the genocide unfolding in Darfur."

Democrats criticized Republicans for shifting $1.9 billion from defense programs to strengthen border security.

But most of the Senate debate was over the addition of expensive election-year projects, many backed by leading Republicans.

Some fiscal conservatives argued these had no place in an emergency spending bill and tried bring the spending more in line with Bush's request. But the Senate ended up adding funds for projects like levee improvements in Louisiana and veterans' medical services.

Conservatives succeeded only in striking $15 million in funds for the seafood industry from the bill.

Efforts to stop a $700-million project to relocate a CSX railroad in Mississippi failed, as did an amendment to prevent at least $140 million in aid for Northrop Grumman's Gulf Coast shipbuilding operations.

Farmers, including many not hurt by last summer's hurricanes, would get nearly $4 billion in disaster aid, after the Senate rejected an attempt to trim some of those funds.

The Senate's hurricane rebuilding money, which outpaces the House's $19 billion by at least $8 billion, would help pay for community development grants, education expenses for displaced students and flood control projects.

Later this year, another emergency spending bill for war and U.S. Gulf Coast rebuilding could be needed.

Source: REUTERS

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