Obama to refocus attention on immigration, gun control

President Obama signaled Friday a desire to refocus his attention on second-term priorities, such as immigration and gun control, after weeks of fruitless wrangling with Republicans over his fiscal agenda.

“What I want to try to do is make sure that we’re constantly focused . . . on how are we helping American families succeed,” Obama said at a news conference after failing to strike a deal with congressional leaders to avert $85 billion in mandatory budget cuts.

“Deficit reduction is part of that agenda, and an important part, but it’s not the only part,” he said. “And I don’t want us to be paralyzed on everything just because we disagree on this one thing.”

For a president who has bemoaned Washington’s penchant for lurching between self-manufactured political crises over the past two years, the inability to compromise with Republicans appeared to leave him simultaneously exasperated and emboldened.

Though he had run out of ideas on how to get Congress to support his plan on taxes and spending — “What more do you think I should do?” he asked a reporter — Obama sounded an upbeat note on other initiatives, including raising the minimum wage, expanding preschool programs and changing voting laws.

“There are other areas where we can make progress,” he said. “This is the agenda that the American people voted for. These are America’s priorities. They’re too important to go unaddressed.”

The president’s tone came as a relief to advocates who have fretted that the ongoing fight over the deficit would drain attention and critical momentum from Obama’s promise to champion reforms to gun control and immigration laws.

Though Obama touched on both during his State of the Union address Feb. 12, the last event he dedicated solely to gun control was a Feb. 4 appearance at a Minneapolis police station, and on immigration it was a Jan. 29 speech at a Las Vegas high school.

In the meantime, the administration has tried to remain engaged via less high-profile means. Vice President Biden made policy speeches and met with advocates on gun control, and Obama used phone calls to Capitol Hill and a private Oval Office meeting with two Republican senators to push quietly on immigration.

“There are plenty of issues Congress needs to be getting to,” said David Leopold, an executive committee member of the American Immigration Lawyers Association. “Manufactured crises like the ‘fiscal cliff’ or sequester do not advance anyone’s agenda, least of all the American people’s agenda.”

Advocates acknowledged that the White House’s decision to focus on the economy made sense in light of polls showing Americans overwhelmingly believe that jobs and growth should be Obama’s top priority. But they have learned from experience that momentum for their causes can disappear quickly.

Obama promised comprehensive immigration reform in his first term but pursued a major health-care overhaul that ate up his political capital and the administration’s attention. He gave a much-heralded speech about gun violence after the mass shooting in Tucson, Ariz., in January 2011 that wounded former representative Gabby Giffords (D), but no changes to gun laws followed.

Obama has “got to be an effective spokesperson on [gun violence] to do a good job, but the minute he changes focus from the economy, everybody goes bananas,” said Matt Bennett, a senior vice president at Third Way, a think tank that supports stricter gun control. “That puts him in a bit of a bind.”

On Capitol Hill, a bipartisan coalition of senators is working on legislation that would require mandatory background checks for all private gun sales, closing a long-standing loophole. The bill hit a snag after Sen. Tom Coburn (R-Okla.) opposed adding language to the bill that would require gun owners to keep transactional records of private firearms sales.

Another bipartisan Senate group is drafting a comprehensive immigration bill that would likely include a path to citizenship for the nation’s 11 million illegal immigrants. Senators said they hope to produce a draft in March, but the bill could be delayed until after the Easter recess, which runs through April 5, several sources said.

In a pointed reminder of the difficulty of engaging on more than one issue at a time, Sens. John McCain (R-Ariz.) and Lindsey O. Graham (R-S.C.) were late to a meeting with the bipartisan immigration group last week because they were on the Senate floor blasting Democrats over the mandatory budget cuts. Only after their floor speeches ended did the pair join their colleagues for more cordial discussions.

On Friday, even as he bemoaned the lack of GOP cooperation on the spending cuts, Obama made a point to praise the Republican-led House for approving a renewed Violence Against Women Act this week.

“What I’m going to keep on trying to do is to make sure that we push on those things that are important to families,” Obama said. “We won’t get everything done all at once, but we can get a lot done.”

Rosalind S. Helderman contributed to this report.

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Deadline for benefits e-payments is here

It took 17 years, but Friday marks the deadline to switch federal benefit checks to electronic payments, an initiative Treasury Department officials say will save up to $1 billion over a decade.

In 1996, Congress enacted a law that required all federal payments except tax refunds to be issued electronically by 1999. By December 1998, 75 percent of Social Security payments were being made through direct deposit. Today, 94 percent of Social Security and Supplemental Security Income recipients use direct deposit, said Walt Henderson, director of the Treasury’s electronic fund transfer strategy.

As of May 2011, all new applicants for federal benefits are required to choose an electronic payment method. Those receiving Social Security payments, supplemental security income and veterans benefits have the option of receiving funds by direct deposit to a bank or credit union or on a pre-loaded debit card.

But those who haven’t gone digital won’t be kicked off the rolls, Henderson said, noting they will continue to receive paper checks in the mail. There’s also a chance to apply for a waiver to the paperless requirement if circumstances require it, he said.

The Treasury has not set a date for the permanent termination of paper checks, he said.

The agency didn’t reach its near 100 percent compliance without resistance from members of the check-cashing industry.

People without bank accounts who use check-cashing services may also be hesitant to make the switch, said Edward D’Alessio, general counsel for the Financial Service Centers of America, a trade organization that represents financial-service-center providers.

“The population in this country that is un-banked has concentrations in racial and ethnic minorities and the elderly,” he said. “These are people who may have never been into a bank before. We’re in the neighborhoods, we speak the languages and we’re open extended hours.”

The industry will take a financial hit as paper checks disappear.

“There’s not much that can be done,” said Robert Frimet, the president of a money-service business-consulting firm in Las Vegas. “We’re slowly working our way to a check-free society.”

A check-free society might pose problems for seniors uncomfortable with technology, D’Alessio said, though there has not been much outcry from seniors.

Cristina Martin Firvida, the director of financial security and consumer affairs at AARP, said, “To date, we have not yet heard from a lot of our members that this is a big area of concern or that they want more information or guidance.”

The National Committee to Preserve Social Security and Medicare agreed.

“Irrespective of age, it’s so much more secure than delivery of a paper check,” said Web Phillips, the senior legislative representative for the advocacy group. “If a problem comes up . . . it’s much easier to fix than if a check is lost in the mail.”

Beneficiaries are 125 times as likely to have a problem with a paper check as with an electronic payment, according to written testimony from the Treasury at a Ways and Means Committee hearing in September.

Some exemptions are automatic, Henderson said. People over 90 will automatically continue to receive paper checks without requesting a waiver.

Others eligible for waivers include the mentally incapacitated, people in remote locations without access to banks or ATMs and people who cannot receive electronic payments for religious reasons.

Check recipients can sign up for direct deposit or the Direct Express debit card by calling 800-333-1795.

The Direct Express card was specifically designed for un-banked federal benefit recipients, Henderson said. There is no application or monthly fee. The card can be used to pay bills, make purchases and receive cash back. It is accepted anywhere MasterCard is taken.

“These are benefit payments people depend on, and we want to make sure we deliver them in the safest manner possible,” Henderson said. “Now it’s all about compliance and getting people switched over. It’s about getting them to take the action.”

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House to vote on Violence Against Women Act measures

Seeking to avoid a protracted and politically damaging fight over reauthorization of the Violence Against Women Act, Republican leaders are prepared to allow the House to vote Thursday on a version of the bill favored by Democrats, an unusual move that acknowledges GOP divisions on the touchy issue.

The House will vote first on a Republican version of the bill, which authorizes funding for programs to aid prosecution of domestic violence and sexual assault cases and assist victims.

But with Democrats unified in opposition and Republicans divided, the GOP’s alternative appears likely to fail.

The House would then move to a vote on a version adopted by the Senate this month on a broadly bipartisan 78 to 22 vote. It broadens the bill’s protections to gays and lesbians and expands the authority of tribal courts to prosecute non-native Americans accused in domestic violence cases on Indian reservations. It is supported by the White House and domestic violence advocates.

That bill is expected to pass on the strength of votes from Democrats and some Republicans — and over objections from a bloc of conservatives, an increasingly common pathway for successful legislation in a House roiled by divisions inside the GOP majority.

The outcome would send the Senate bill to President Obama for his signature, reauthorizing the landmark measure which has been credited with raising awareness of the problems of violence against women since it was first enacted in 1994.

“The majority of the country feels strongly this is something we ought to do,” said Rep. Tom Cole (R-Okla.), a Native American. He prefers the Senate bill because of how it would deal with crimes committed on Indian reservations. “It’s better to resolve this and move on, rather than be hung up on the issue.”

VAWA has been reauthorized on noncontroversial and bipartisan votes twice.

But a third reauthorization stumbled on a partisan dispute last year after the House adopted a Republican bill in response to opposition expansions in VAWA’s protections that had been adopted by the Senate.

The two chambers could not work out differences in their bill before it expired with the end of the last Congress.

But after a campaign season marred by GOP missteps on the sensitive issue of rape and an election won by Democrats in part because of women’s support, Republican leaders are now eager to find a resolution on the issue.

When the Senate took up a bill similar to one that passed last year with 15 Republican Senate votes, its GOP support grew to 23 senators. A bloc of House Republicans then began urging their leaders to allow the bipartisan version to receive a vote.

“Elections have consequences,” said Terri O’Neal, president of the National Organization for Women, which is part of a broad coalition pushing the Senate version, explaining the shift.

“House Republicans look increasingly out of touch with the American public if they’re the place where these bipartisan bills come to die. I think wiser heads among their leadership recognize that,” said Rep. Chris Van Hollen (D-Md.).

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Michelle Obama to visit three states on ‘Let’s Move’ tour, highlight successes

The campaign against childhood obesity that has become Michelle Obama’s signature program will ramp up again this week as she begins a three-state tour focused on boosting physical activity and healthy eating.

The Let’s Move initiative, which Obama has made nearly ubiquitous, has served to elevate the issue of children’s health and fitness. As the program enters its third year, questions remain about whether the efforts the first lady has backed will be long-lasting.

Still, Obama plans to continue to energetically push and expand the initiative. Doing that means spotlighting places she sees as gaining ground, something the first lady intends to do Wednesday in Clinton, Miss., at the start of her Let’s Move tour.

Mississippi’s childhood obesity rate is down 13 percent to 38 percent. The state remains among the most obese in the nation, according to the Centers for Disease Control and Prevention, but a new report shows that its rate of childhood obesity has dipped below that of California. Mississippi officials attribute the drop to a local focus on the issue, a 2007 law that mandated more physical education and a decision by the state school board to put more fruits, vegetables and whole grain on menus.

“There is no reason why this success can’t happen in cities and states all across this country, if we’re willing to work for it,” Obama plans to say, according to excerpts of her remarks released by her office. “Now is truly the time to double down on our efforts. We know what works. We know how to get results.”

Obama, who pushed for the passage of federal legislation requiring healthier school lunches, also plans to applaud the changes made by cafeteria workers, who will be on hand.

The revamped school meals have not been without controversy. A few videos of students protesting the lower-calorie menus gained traction online last year. Recently, the Agriculture Department decided to extend a window of flexibility to schools that were having trouble meeting the strictest nutritional standards.

The White House remains undaunted.

“Most simply put, there are two basic things we need to do: We need to help make the healthiest choice the easiest choice for families,” said White House assistant chef Sam Kass, and give them “real, actionable information to help them make better choices.”

To that end, Obama has been asking corporations to open stores that sell fresh food in areas where grocers aren’t easily accessible, and she has pledged to eliminate such “food deserts” — the USDA has identified more than 6,000 of them — by 2017. However, studies of whether access to healthy foods improves nutrition have been inconclusive.

Still, many who have been pushing for a focus on these issues see Obama as an amplifier. Chef and TV host Rachael Ray will film her talk show at the first lady’s event in Mississippi.

“No matter which side of the aisle you’re on, every adult American should be thinking about child nutrition,” Ray said. “Our kids are suffering in a very real and alarming way from adult disease at alarming rates.”

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Sequestration doesn’t fly

Forget threats of furloughed workers or reduced security at embassies.

Here’s what might be the most powerful incentive yet for members of Congress to come up with a deal to avert the sequester: The head of the Air Force warned Monday that the spending cuts that will go into effect March 1 could cause the military to eliminate those lovely miljet flights that lawmakers enjoy.

Members of Congress adore flying on Air Force jets, particularly for overseas trips — there are no security lines, check-in is a breeze, the service couldn’t be better, and all seats are business-class.

But if the government-wide cuts aren’t thwarted and the military has to pinch pennies, lawmakers might have to kiss those perks goodbye, Air Force Secretary Michael Donley told the crowd at the Air Force Association’s winter conference in Orlando, according to a transcript. They might have to nix “interagency and congressional senior leader travel,” he warned.

Lawmakers flying commercial? The horror.

And if members of Congress are forced into such dire circumstances, they’re in for even more delays. Transportation Secretary Ray LaHood
cautioned Friday that the sequester could cause major backups in airports around the country.

So much for all those fact-finding trips.

The House divided?

It may not have snagged the Oscar for best picture, but the movie “Lincoln” is still a smash hit in official Washington.

LaHood suggested last week that the flick about the 16th president could offer a template for averting the sequester.

“Go and see ‘Lincoln,’ ” the transportation secretary advised Republicans during an appearance at a White House press briefing during which he outlined the impact of the budget cuts (think airport delays, angry passengers calling lawmakers, etc.).

He indicated that congressional negotiators should learn from Honest Abe, who “gathered people around him” to negotiate and solve tough problems.

Not that the sequester can be equated with, you know, the potential dissolution of the Union, but still . . .

Maybe if the White House offered to buy the popcorn?

Something in the airwaves

Speculation has long been swirling around who might replace Federal Communications Commission Chairman
Julius Genachowski
. But hold the phone — all that sturm and drang may be for naught.

It appears he’s staying put for a bit.

Yes, technically, Genachowski’s term expires June 30. But by law, he can remain until Congress leaves town at the end of 2014. Other signs that he’s sticking around include a planned appearance at the National Association of Broadcasters conference in April, and his continued interest in the FCC’s plan to buy back television licenses and auction the spectrum to wireless providers, something we’re told Genachowski feels ownership of.

The White House is plenty busy filling all the actual vacancies that have cropped up in President Obama’s second term (starting with seven Cabinet or Cabinet-rank jobs), so finding a replacement for Genachowski apparently isn’t high on the to-do list.

For his part, Genachowski has deflected questions about when he might step down.

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Legislative branch prepares for spending cuts

Lawmakers will return to work Monday after a week-long break, with $85 billion in automatic spending cuts set to take effect in four days.

Congressional offices and agencies have remained largely quiet on the issue compared with the executive branch, where top officials — from President Obama to Cabinet members such as Transportation Secretary Ray LaHood and Defense Secretary Leon E. Panetta — have warned against the budget cuts known as sequestration, in speeches and with testimonies before congressional committees.

But that doesn’t mean the legislative branch would escape cuts.

The sequester would not affect lawmaker salaries, since their pay does not come from discretionary spending. But the reductions would hit their individual offices, as well as all legislative-branch agencies such as the Library of Congress, the Congressional Budget Office and U.S. Capitol Police.

Agencies that have sent letters to employees have noted similar strategies: imposing hiring freezes, reducing travel expenses, trimming funding for technology upgrades and reworking some contracts.

Furloughs stand out as one of the greatest concerns among federal workers, because they mean less pay for the year and fewer days for employees to do their jobs.

Some congressional agencies have said they expect to avoid unpaid leave if the sequester happens, while others have said they may resort to the measure for a few days.

The Government Accountability Office told employees in a memo last week that furloughs probably wouldn’t be necessary for the agency, based on the latest estimates for a reduction target.

“We have been allocating our funds since the start of the fiscal year in a very conservative manner, recognizing that sequestration might go into effect,” Comptroller General Gene L. Dodaro said in the memo.

“We project that we would no longer require furloughs at GAO this year to absorb the potential reduction associated with sequestration,” Dodaro added.

Likewise, a spokesman for the Architect of the Capitol said in an e-mail last week that the organization doesn’t think furloughs will be necessary to meet the reduction target.

What remains to be seen is just what the reduction targets would be. The latest estimate from the White House budget office said the sequester would require across-the-board cuts of “roughly 5 percent for non-Defense programs.”

The Congressional Budget Office calculated 5.3 percent for the same category.

Even based on those estimates, some legislative agencies don’t think they can avoid furloughs under the sequester.

The Library of Congress last week warned its employees that the cuts would probably require four days of unpaid leave, with individual workers scheduling one of those days in coordination with supervisors, while the other three would come during library closings at times when the facilities would normally be open.

The Government Printing Office wasn’t so specific, saying by e-mail that “furloughs may also have to be implemented” in addition to plans for a hiring freeze, limits on overtime and reductions in travel and training.

Although the sequester could have an impact on lawmakers’ local and Capitol Hill offices, it remains unclear how many members of Congress would impose layoffs, furloughs or pay cuts to meet the reduction targets. Only those who expect to avoid such measures commented for this report.

Rep. Tom Cole (R-Okla.) said his office prepared for the sequester during the past year by stopping pay raises, reducing travel, eliminating its staff retreat and cutting back on mailings — resorting to more cost-effective digital communications instead.

“We’ve kept awfully lean this year just on the assumption that this might happen,” Cole said. “We’ll make the adjustments, but we won’t have to furlough and we won’t reduce services in terms of case work or answering constituent questions.”

The automatic cuts were established with the intent that they would be so undesirable that lawmakers would be motivated to reach a budget compromise. But with the cuts days away and Democrats and Republicans as far apart as ever, observers say the reductions appear to be inevitable.

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Supreme Court considers South’s legacy and progress on voting rights

MONTGOMERY, Ala. — At the top of the steps of Alabama’s elegant old Capitol, there’s a six-pointed bronze star marking the spot where Jefferson Davis was sworn in as president of the Confederacy.

At the foot of the steps is a historical marker dedicated to black citizens who in the 1960s dared to register to vote — “a constitutional right impeded by Gov. George Wallace” — and who were met “with state-sponsored terrorism.”

And somewhere beyond those two frank reminders of the past is modern-day Alabama, which may or may not be just like the rest of America.

That is a question the Supreme Court will consider Wednesday. At issue is whether the guarantee of equality in Alabama, and elsewhere in the South, is the same as in the rest of the nation.

The court will review — for the sixth time since passage in 1965 — Section 5 of the Voting Rights Act, which mandates that federal authorities pre-approve any changes in voting laws here and in eight other states and numerous jurisdictions with a history of discrimination. It has survived each previous time.

The section is the hammer in what supporters say is the most effective civil rights legislation Congress has ever passed. They draw a straight line between the law and the election of the nation’s first African American president.

Those seeking to overturn Section 5 say it was once vitally needed and is now hopelessly outdated. “The violence, intimidation, and subterfuge that led Congress to pass Section 5 and this court to uphold it no longer remains,” says the challenge filed by Shelby County, Ala., a fast-growing, mostly white suburb south of Birmingham.

It is fitting the test case comes from Alabama, where bloody resistance to African Americans’ voting rights was “particularly responsible” for making Section 5 necessary, the state concedes in its supporting brief to the Supreme Court.

Attorney General Luther Strange, who is white, like every statewide elected official in Alabama, filed a particularly frank brief that said the state had a well-earned place among the covered jurisdictions when the act was passed in 1965 and reauthorized in 1970, 1975 and 1982. But a 2006 reauthorization, which extended federal control for an additional 25 years, goes too far, he says.

“It is time for Alabama and the other covered jurisdictions to resume their roles as equal and sovereign parts of these United States,” Strange writes in the state’s brief.

In an interview, Strange said: “I’ve never tried to run away from the civil rights history of the state. Alabama was the epicenter of it — Montgomery, Selma, Birmingham. There’s no use trying to deny it. I choose to focus on the progress we’ve made, and I like to tell that story.”

Part of the Alabama success story Strange cites is the state legislature, one of the few in the country where the number of black lawmakers is roughly proportional to the state’s African American population.

But state Rep. John Knight (D), along with other black legislators, has filed a brief that urges the court to retain Section 5 and argues that the law’s work is not finished.

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White House warns of flight delays if sequester is not averted

Hundreds of air traffic control towers could be closed and travelers could expect lengthy flight delays beginning in April, the White House warned Friday in its latest bid to raise public alarm over the mandatory spending cuts set to kick in next week.

Transportation Secretary Ray LaHood vowed that airline security would not be compromised, but he emphasized that the Federal Aviation Administration would have no alternative but to furlough thousands of employees as it seeks to slash $600 million.

LaHood’s surprise appearance in the White House briefing room aimed to put a spotlight on the real-world consequences of the political standoff over the across-the-board spending cuts, known as the sequester that will take effect next Friday.

Even as LaHood painted a dire picture, a Pew Research Center/USA Today poll released Thursday shows that most Americans have heard little to nothing about the potential cuts. Only 27 percent said they had heard “a lot” about them.

The White House has sought to change that this week with a public relations campaign that included President Obama’s appearance Tuesday with emergency medical workers and an announcement by the Pentagon that it would furlough up to 800,000 civilian employees one day a week.

But it was the specter of widespread travel delays — up to 90 minutes during peak flight periods — that the White House hoped would rally public opinion and put pressure on Republican lawmakers.

“Your phones are going to start ringing off the hook when these people are delayed at airports,” said LaHood, a former GOP congressman from Illinois. “Nobody likes a delay. Nobody likes waiting in line.”

The sequester was put into motion by the August 2011 debt-ceiling deal, and there have been few signs of progress in negotiations to avert them. Obama has proposed a mix of budget cuts and new revenue through closing corporate loopholes, but Republicans have said they will not raise taxes and instead have pushed to cut federal health spending.

During a photo op in the Oval Office after a meeting with Japanese Prime Minister Shinzo Abe, the president said Friday that the impact of the budget cuts would slow growth in an already soft economy.

“It also means that we are not going to be driving down unemployment as quickly as we should,” Obama said. He added that his fellow world leaders understand that drastic budget cuts are the “wrong prescription” for the U.S. economy.

“I don’t need to persuade world leaders of that,” Obama said. “I’ve got to persuade member of Congress, and that can be harder sometimes.”

House Republicans continued to blame Obama for the sequester, which the White House proposed in 2011 and Congress approved.

Several Republicans who serve as leaders on transportation policy released a statement Friday accusing the administration of exaggerating the impact of the scheduled cuts on air travel.

“We are disappointed by the Administration creating alarm about sequestration’s impact on aviation,” said the statement from Sen. John Thune (S.D.) and Reps. Bill Shuster (Pa.) and Frank A. LoBiondo (N.J.). “Before jumping to the conclusion that furloughs must be implemented, the Administration and the agency need to sharpen their pencils and consider all the options. Prematurely outlining the potential impacts before identifying other savings is not helpful.”

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Group releases list of 90 medical ‘don’ts’

Don’t use feeding tubes in patients with advanced dementia. Don’t use drugs to aggressively treat diabetes in those older than 65. Don’t automati­cally use imaging technology for minor head injuries in children and headaches in adults. And don’t give antacids to babies with reflux.

Those are among the 90 medical “don’ts” on a list being released Thursday by a coalition of doctor and consumer groups. They are trying to discourage the use of tests and treatments that have become common practice but may cause harm to patients or unnecessarily drive up the cost of health care.

It is the second set of recommendations from the American Board of Internal Medicine Foundation’s “Choosing Wisely” campaign, which launched last year amid nationwide efforts to improve medical care in the United States while making it more affordable.

The recommendations run the gamut, from geriatrics to opthalmology to maternal health. Together, they are meant to convey the message that in medicine, “sometimes less is better,” said Daniel Wolfson, executive vice president of the foundation, which funded the effort.

“Sometimes, it’s easier [for a physician] to just order the test rather than to explain to the patient why the test is not necessary,” Wolfson said. But “this is a new era. People are looking at quality and safety and real outcomes in different ways.”

The guidelines were penned by more than a dozen medical professional organizations, including the American Academy of Pediatrics and the American College of Obstetricians and ­Gynecologists.

The groups discourage the use of antibiotics in a number of instances in which they are commonly prescribed, such as for sinus infections and pink eye. They caution against using certain sedatives in the elderly and cold medicines in the very young.

In some cases, studies show that the test or treatment is costly but does not improve the quality of care for the patient, according to the groups.

But in many cases, the groups contend, the intervention could cause pain, discomfort or even death. For example, feeding tubes are often used to provide sustenance to dementia patients who cannot feed themselves, even though oral feeding is more effective and humane. And CT scans that are commonly used when children suffer minor head trauma may expose them to cancer-causing radiation.

While the recommendations are aimed in large part at physicians, they are also designed to arm patients with more information in the exam room.

“If you’re a healthy person and you’re having a straightforward surgery, and you get a list of multiple tests you need to have, we want you to sit down and talk with your doctor about whether you need to do these things,” said John Santa, director of the health ratings center at Consumer Reports, which is part of the coalition that created the guidelines.

Health-care spending in the United States has reached 17.9 percent of the nation’s gross domestic product and continues to rise, despite efforts to contain costs. U.S. health-care spending grew 3.9 percent in 2011, reaching $2.7 trillion, according to the journal Health Affairs.

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As sequester nears, Pentagon Comptroller Robert Hale at center of storm

Pentagon comptroller Robert F. Hale is overseeing the Defense Department’s plans to furlough most of its 800,000 civilian workers, but he insists that he still meets with friendly faces as he strides down the building’s corridors.

“I teasingly say, ‘When I walk down the hall, people still wave, but with fewer fingers,’ ” said Hale, who is balancing the tension and frustration of the times with a bit of wit.

As the Defense Department’s chief financial officer and principal adviser on all fiscal matters, including the Pentagon’s annual budget of more than $600 billion, the 66-year-old Hale and his office are at the focal point of a crisis.

“I think all of us realized a couple of months ago we were heading for the perfect storm, and we’re in the middle of it at the moment,” he said during an interview Wednesday, a particularly tumultuous day.

“This is furlough day,” Hale noted.

Defense Secretary Leon E. Panetta was giving Congress a formal 45-day notice required by law, as well as sending a message to the Defense Department workforce worldwide: In the event of sequestration, the Pentagon will move forward with furloughs.

Preparing for the furloughs, Hale said, is “frankly one of the most distasteful tasks I have faced in four years” as comptroller.

A square-jawed and amiable former Navy officer, Hale served as Air Force comptroller during the Clinton administration and before that for 12 years as head of the national security division at the Congressional Budget Office. But he considers the present situation “unparalleled” in his experience.

Hale had readied for the day’s tasks while riding in a Defense Department car from his home in Annandale to the Pentagon, dressed in a comptroller’s uniform: a dark business suit, white shirt and checked tie.

Arriving in his E-Ring office overlooking the Pentagon’s Mall entrance by 7 a.m., Hale prepared e-mails to the department’s senior leaders alerting them to Panetta’s pending actions. While Panetta’s message was being delivered in a letter to Capitol Hill and via e-mail to the workforce, Hale conferred with Deputy Defense Secretary Ashton Carter in preparation for a Friday conference to coordinate sequestration with the senior Pentagon leadership.

“Not to say they aren’t frustrated, but they don’t blame it on me,” he said, conscious of the toll the turmoil is taking on officials and rank and file alike.

At 11 a.m. he was participating in a teleconference with worried defense agency heads from around the country. “They’ve got thousands of people affected by this,” Hale said.

At 1 p.m. he went before the Pentagon press corps to brief reporters about the budget developments, warning grimly that the cuts could leave the military unprepared to respond to contingencies but also joking that solving the sequestration issue would allow him to “spend more time with my wife.”

Hale rejected criticism voiced during Capitol Hill hearings last week that the Pentagon should have started making budget plans for sequestration much earlier.

“If we’d done this six months ago, we would have caused the degradation in productivity and morale that we’re seeing now among our civilians,” he said.

Hale does not have to travel far within the Pentagon to find disquiet about the situation. Many of the 160 employees of the comptroller’s office face furlough.

“They’re frustrated, angry, worried,” he said. “My own staff, several people are saying, ‘I’m just going to retire. I don’t want to do this anymore,’ and I can’t blame them. I mean, we’re talking about 20 percent pay cuts for five to six months. Some of these people aren’t going to be able to pay their rent.”

The irony of furloughing the budget staff in the midst of a budget crisis does not escape Hale. “It sure won’t help,” he said.

“You’re replanning your budget for one of the world’s largest organizations, something that we would normally do over six months, in a couple of weeks, so it’s a very compressed period,” he said.

Yet the comptroller said he is willing to stay on for a time if asked to remain when a replacement for Panetta is confirmed by the Senate.

“I’d like to help the department get through whatever’s coming in the next few months and then plot a course from there,” he said.

“It’s satisfying in the sense of helping a major organization and a very important one get through tough times,” Hale added.

Perspective makes a difference, too.

“Nobody’s shooting at me, as is happening to some of our folks in Afghanistan,” Hale said. “So I don’t believe by any means I have the toughest job in the Department of Defense, or even close.”

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President’s Day, by George

Did you enjoy that relaxing three-day weekend? Caught up on sleep, maybe sneaked in a movie or a few errands?

That’s no thanks to Rep. Frank Wolf
(R-Va.), who’s playing the role of the Grinch Who Wants to Steal Presidents’ Day.

Wolf recently reintroduced a bill that would do away with the congressionally established Monday holiday (it’s set for the third Monday of the month) and instead designate it as Feb. 22 — George Washington’s actual birthday. This year, that date falls on a Friday, which means we’d still have a three-day weekend. But that won’t happen every year.

Wolf thinks that by celebrating on an arbitrary Monday, the American people are missing out on the chance to truly remember the life and legacy of our first president (who, like Wolf, hails from the Commonwealth).

He bemoaned many schoolkids’ ignorance on the subject. “Congress has unwittingly contributed to this lack of historical understanding by relegating Washington’s Birthday to the third Monday of February to take advantage of a three-day weekend,” Wolf said in a statement entered into the Congressional Record. “We need to change the focus from celebrating sales at the mall to celebrating the significance of President Washington’s birth to the birth of our nation.”

Wolf even trotted out endorsements of the idea from presidential scholar and author
David McCullough
and from Jim Rees, the executive director of Mount Vernon.

But what would happen to all those great Presidents’ Day deals on mattresses?

New blood

As key members of Team Obama move on, a new study finds that President Obama is beginning his second term with fewer than a third of the senior staff members who made up his original team — a level of turnover that’s pretty typical among modern second terms.

The report from the Brookings Institution shows that 71 percent of Obama’s “A-team” has left, compared with 78 percent for Ronald Reagan, 74 percent for Bill Clinton and 63 percent for George W. Bush.

The paper also examines the importance of senior staff to the president and the toll that turnover takes: “a loss of institutional memory, time lost hiring and orienting a successor, the disappearance of unique networking contacts.”

Most companies in the private sector would consider the typical White House turnover rates “unthinkable.”

But there’s a silver lining here, the author suggests. Second-term hiring affords the White House the chance to bring in new blood and fresh ideas. And it could assuage “disgruntled” constituencies by hiring from their ranks. “Repaying political debts could advance the president’s efforts to pursue a vigorous legislative agenda,” they write.

And finally, a bit of advice: in Obama’s second term, the paper assesses the president’s agenda and suggests that Team Obama recruit from Capitol Hill, which could “provide necessary expertise for the legislative battles that lie ahead. ”

Out of Africa, and back in

Democratic National Committee Executive Director
Patrick Gaspard
, former political director in the Obama White House, appears to be the administration’s pick to be the next ambassador to South Africa.

Gaspard, a major player in New York City politics — he was a campaign staffer for former mayor David Dinkins, for example — was a top operative of the Service Employees International Union and a political organizer.

He also was actively involved in organizing efforts in the 1980s and ’90s to topple South Africa’s apartheid regime. While in the White House, Gaspard, a Haitian American, was also a key player in U.S. relief efforts in Haiti after a powerful earthquake devastated the country three years ago.

Although he grew up in New York City, Gaspard was born in Zaire, now known as the Democratic Republic of the Congo, after his Haitian-born parents moved there for his father’s teaching job. The family moved to New York when he was 3.

Kerry on

Another longtime aide to Secretary of State John F. Kerry is taking a senior post at the State Department. David McKean is to be director of policy planning, a plum position created in 1947 by George F. Kennan and held in later years by foreign policy heavy hitters such as Paul H. Nitze, Mort Halperin and Richard N. Haass.

McKean became the Senate Foreign Relations Committee’s staff director when Kerry took over the committee in 2009 and was his Senate office chief of staff from 1999 to 2008. He left the committee in early 2011.

McKean was also CEO of the John F. Kennedy Library Foundation in Boston and has written three books on U.S. political history.

Last April, McKean become a senior adviser to then-Secretary of State Hillary Rodham Clinton for the Quadrennial Diplomacy and Development Review, assessing State Department operations. Ought to come in handy as Kerry takes over. And his long relationship with Kerry should enable him to provide candid advice — a valuable commodity in this town.

With Emily Heil

The blog: washingtonpost.com/
intheloop. Twitter: @InTheLoopWP.

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Congressional staffers often travel on tabs of foreign governments

About a dozen congressional staffers flew business class on a trip to China last summer and stayed at luxury hotels while touring the Great Wall and the Forbidden City and receiving a “briefing on ancient artifacts and dynasties” at the Shanghai Museum.

The all-expenses-paid visit came courtesy of China. The Chinese government hosted a day of meetings with officials in Beijing followed by eight days packed with outings to destinations often frequented by tourists along with a stop at a missile frigate and two others related to national security — the official theme of the trip.

More and more foreign governments are sponsoring such excursions for lawmakers and their staffs, though an overhaul of ethics rules adopted by Congress five years ago banned them from going on most other types of free trips. This overseas travel is often arranged by lobbyists for foreign governments, though lobbyists were barred from organizing other types of congressional trips out of concern that the trips could be used to buy favor.

The overseas travel is covered by an exemption Congress granted itself for trips deemed to be cultural exchanges.

A Washington Post examination of congressional disclosures revealed the extent of this congressional travel for the first time, finding that Hill staffers had reported taking 803 such trips in the six years ending in 2011. Lawmakers themselves are increasingly participating, disclosing 21 trips in 2011, more than double the figure in prior years.

The number of congressional trips could be far higher, because only lawmakers and senior congressional staff members are required to disclose the travel. A former senior aide on a congressional committee said that junior staffers were usually sent on the trips because they rarely had the chance to take official trips paid for by the U.S. government.

Some Hill employees have gone on repeated trips to the same country, and others chain them together, traveling directly from one expenses-paid visit to another.

China is by far the biggest sponsor of these trips, with senior staffers reporting more than 200 trips there over the six-year period, according to The Post’s review of 130,000 pages of disclosures collected by the Web site Legi­Storm. Taiwan accounts for an additional 100 trips.

But other regions of the world are also well represented.

On a trip to Jordan, for instance, congressional staffers stayed at the Four Seasons in Amman, where they received an audience with the king. The group also visited the Dead Sea and the famed mosaics in Madaba and spent spent two days at the ancient cities of Petra and Jerash, according to an itinerary for the trip.

In Switzerland, staffers took a helicopter ride through the Alps to Monte Bre, hiking up the mountain for coffee at a summit cafe overlooking a lake, according to another itinerary.

Organizers of the trips say they’re an important way for U.S. government staff members to learn about the world with no cost to taxpayers. The trips are supposed to include visits to historical and cultural sites, including those frequented by tourists, to foster international understanding.

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Dominican Republic port contract scrutinized, along with senator, eye doctor’s relationship

SANTO DOMINGO — When the U.S. Embassy set out to press the Dominican government over a long-stalled contract to provide port security, American officials took on some tough opponents. The deal had languished for more than a decade amid stiff resistance from the American Chamber of Commerce, which represents the interests of American and local businessmen in the Dominican Republic, and the country’s customs authorities.

Ambassador Raul Yzaguirre’s team pushed the government to enforce the contract — which calls for operating X-ray scanners to screen cargo at the country’s ports — despite objections over its merits and its price tag.

The port deal has come under heightened scrutiny in the United States in recent weeks because of its chief investor, a wealthy Florida eye doctor named Salomon Melgen who stood to gain a windfall if the contract was enforced, and his close friend Sen. Robert Menendez (D-N.J.).

Menendez, whose relationship with Melgen is the subject of a Senate ethics inquiry, was a major beneficiary of the doctor’s generosity, repeatedly flying on his private plane to the Dominican Republic, staying as a guest at his seaside mansion and receiving large campaign contributions. Melgen donated $700,000 to Menendez and other Senate Democrats last year. The senator was also the most powerful champion of the port deal, publicly urging U.S. officials to pressure Dominican authorities to enforce the contract.

Menendez pointed to the port security deal at Yzaguirre’s confirmation hearing to become ambassador, an aide to the senator said, asking him to put a priority on security efforts aimed at countering drug trafficking through the Dominican Republic. Melgen, too, sought Yzaguirre’s help in enforcing the contract.

Yzaguirre, for his part, received help from both men in becoming ambassador. They had provided a crucial boost to his nomination when it ran into trouble.

The details of efforts by Yza­guirre and embassy staff on behalf of the port security contract remain sketchy. But the ambassador spoke approvingly of stepping up drug interdiction measures when Dominican reporters specifically asked him about the port deal. And embassy officials told the American Chamber of Commerce that they were seeking a resolution of the contract favorable to an American investor, according to William Malamud, the chamber’s executive vice president.

Though it was unusual for a U.S. Embassy to cross swords with the local American chamber, embassy officials said they were doing what U.S. diplomats around the world do when American investors get ensnared in legal or bureaucratic problems.

But this was no routine case because of the relationship among the three men: the senator, the eye doctor and the envoy.

When Yzaguirre’s nomination in 2009 to become ambassador to the Dominican Republic was held up by Republicans in Congress over other disputes with the State Department, Melgen and Menendez came to his aid. At the time, Menendez chaired the subcommittee of the Senate Foreign Relations Committee that handled Caribbean affairs. With the nomination stalled, Melgen spoke with the senator and registered once again his support for Yzaguirre being confirmed, according to Melgen’s lawyer.

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Will young adults face ‘rate shock’ because of the health-care law?

Many young, healthy Americans could soon see a jump in their health insurance costs, and insurance companies are saying: It’s not our fault.

The nation’s insurers are engaged in an all-out, last-ditch effort to shield themselves from blame for what they predict will be rate increases on policies they must unveil this spring to comply with President Obama’s health-care law.

Insurers point to several reasons that premiums will rise. They will soon be required to offer more-comprehensive coverage than many currently provide. Also, their costs will increase because they will be barred from rejecting the sick, and they will no longer be allowed to charge older customers sharply higher premiums than younger ones.

Supporters of the law counter that concerns about price hikes are overstated, partly because federal subsidies will cushion the blow.

The insurers’ public relations blitz is being propelled by a growing cast of executives, lobbyists, conservative activists and state health officials. They increasingly use the same catchphrase — “rate shock” — to warn about the potential for price surges.

Aetna chief executive Mark T. Bertolini invoked the term at his company’s recent annual investor conference, cautioning that premiums for plans sold to individuals could rise as much as 50 percent on average and could more than double for particular groups such as the young and healthy.

The danger of rate shock has also become the favored weapon of conservative opponents of the law, repeated in a drumbeat of op-eds and policy papers in recent weeks.

The argument is a powerful one because the success of the law, which was the signature domestic accomplishment of Obama’s first term, depends on enough people signing up for insurance, particularly healthy people. The issue is surfacing as the most recent significant challenge in implementing the health-care overhaul.

Supporters of the law complain that the warnings amount to a smear attack by special interests and political partisans, akin to earlier claims that the law would allow bureaucrats to deny life-saving care to save money.

“‘Rate shock’ is the new ‘death panels,’ ” said Wendell Potter, a former head of communications for the health insurer Cigna who is now a critic of the industry. “They’ve chosen these words very carefully to scare people. It’s the ideal term for what is, at its core, a fear-based campaign.”

Yet even analysts who favor the law concede that it will result in higher costs for some young, healthy people.

Most of the new rules that could push up premiums will not apply to plans sponsored by large employers, only to those sold to individuals and small businesses. These policies will be available on insurance marketplaces, or “exchanges,” that the law sets up in each state beginning in 2014, and that are ultimately expected to serve about 26 million people.

The law will require insurers to offer a generous package of benefits for exchange plans, including coverage of maternity care, prescription drugs and treatment for mental illness. It also caps customers’ out-of-pocket expenses.

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Postmaster takes case for five-day mail delivery to skeptical senators

Postmaster General Patrick R. Donahoe took his controversial plan for five-day mail delivery before a congressional hearing Wednesday, where he told senators that the Postal Service “needs your help.”

Donahoe’s refrain was familiar.

●The U.S. Postal Service (USPS) is losing $25 million a day.

●Last year, the Postal Service lost $15.9 billion.

●It defaulted on $11.1 billion owed to the Treasury.

As he has before, Donahoe pleaded with Congress, this time the Senate Homeland Security and Governmental Affairs Committee, to approve comprehensive postal reform legislation. Now, more than before, it looks as though Congress will do so.

Rep. Elijah E. Cummings (Md.), the ranking Democrat on the House Committee on Oversight and Government Reform, told the Senate panel that after two months of negotiations, “we are close, very close” to agreement on a bipartisan, bicameral bill.

Without some assistance from Congress, said Sen. Tom Carper (D-Del.), chairman of the Senate committee, “the Postal Service will drift toward insolvency and, eventually, the point at which it must shut its doors. . . . We have never been closer to losing the Postal Service.”

Although in some ways Donahoe’s appearance echoed his many other pleas for congressional action, this hearing drew a standing-room-only crowd on the third floor of the Dirksen Senate Office Building. That was probably influenced by all the attention generated by his surprise announcement last week that Saturday mail delivery will end in August.

Donahoe’s written testimony outlined several key legislative goals, but five-day mail delivery was not specifically listed among them. After repeatedly urging Congress to end the six-day requirement, Donahoe said postal officials had determined that he could take that action without congressional approval.

Moving to five-day delivery would close just 10 percent of the postal budget gap, Donahoe said, yet the controversy surrounding it stole the focus from other important financial issues.

Among them is a controversial proposal to move postal employees from the Federal Employees Health Benefits Program, which serves all federal workers, to a health insurance program run by the USPS.

Donahoe presented an updated health insurance proposal, but it received little attention compared with his five-day delivery plan.

Last year the Senate approved legislation, co-sponsored by Carper, that would allow five-day delivery two years after its enactment. The delay was designed to allow the Postal Service to study the impact of five-day delivery. Carper was among those who have expressed disappointment with Donahoe’s plan to implement it unilaterally.

“We are taking every reasonable and responsible step in our power to strengthen our finances immediately,” Donahoe told the committee. “We would urge Congress to eliminate any impediments to our new delivery schedule.

“Although discussion about our delivery schedule gets a lot of attention, it is just one important part of a larger strategy to close our budgetary gap,” he added. “It accounts for $2 billion in cost reductions while we are seeking to fill a $20 billion budget gap.”

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Obama urges a move away from narrow focus on politics of austerity

Just about every argument in Washington since the 2010 midterm elections, which returned control of the House to Republicans, has centered on reducing the federal deficit. On Tuesday night, President Obama leaned into his second term by declaring that a single-minded focus on deficit reduction would jeopardize the nation’s future. And he sounded an urgent call to rebuild.

Reelected by an ascendent coalition, the president spoke from a position of strength in his fourth State of the Union address. The economy is improving. The Republican Party is in disarray. The time has come, Obama indicated, to pivot away from the politics of austerity.

“Most of us agree that a plan to reduce the deficit must be part of the agenda,” he said. “But let’s be clear: Deficit reduction alone is not an economic plan. A growing economy that creates good middle-class jobs — that must be the North Star that guides our efforts.”

The president rejected the fiscal brinkmanship that defined the past two years. Instead, he framed future fiscal debates as opportunities to shape a “smarter government” — one with new investments in science and innovation, with a rising minimum wage, with tax reform that eliminates loopholes and deductions for what the president labeled “the well-off and well-connected.”

Second-term presidents have a narrow window of time to enact significant change before they become lame ducks, and Obama, while echoing campaign themes of reinforcing the middle class, made an urgent case for a more pragmatic version of populism, one that emphasizes economic prosperity as the cornerstone of a fair society.

Over and over, he noted that the time to rebuild is now.

The “Fix-It-First” program that Obama outlined to put people to work on “urgent repairs,” such as structurally deficient bridges, bore echoes of President Bill Clinton’s call in his 1999 State of the Union address to “save Social Security first.” Clinton’s was an effective line, one that stopped — at least until President George W. Bush took office two years later — a Republican drive to use the budget surplus to cut taxes.

Although Obama’s speech lacked the conciliatory notes of some of his earlier State of the Union addresses, he did make overtures to Republicans and cited Mitt Romney, his presidential challenger, by name.

He combined tough talk about securing the border, which brought Republicans to their feet, with a pledge to entertain reasonable reforms to Medicare, the federal entitlement program that fellow Democrats are fighting to protect.

“Those of us who care deeply about programs like Medicare must embrace the need for modest reforms,” he said.

Obama also pledged to cut U.S. dependence on energy imports by expanding oil and gas development. And he singled out one area where he and Romney found agreement in last year’s campaign: linking increases in the minimum wage to the cost of living.

Obama set a bipartisan tone at the start of his speech, quoting from President John F. Kennedy’s address to Congress 51 years earlier when he said, “The Constitution makes us not rivals for power, but partners for progress.”

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Impact of State of Union speeches isn’t very lasting

When President Obama delivers his fourth State of the Union speech Tuesday night, he is guaranteed an audience of millions of viewers, the rapt of attention of Beltway reporters and issues advocates, and for at least an hour, the undivided attention of Congress.

What isn’t guaranteed is any lasting impact.

Rarely have State of the Union addresses moved public opinion, and rarely have they led to the kind of broad legislative accomplishments that presidents propose. For all the ritual and attention surrounding these speeches, the State of the Union is, well, sort of lame.

“Most of the speeches can be summarized in three words: boring, boring, boring,” said Allan Lichtman, author of “The 13 Keys to the Presidency.” “They tend to be laundry lists. But sometimes they rise above that.”

Mandated by the Constitution, the State of the Union, for much of its history, was not a speech at all but a written list of policy recommendations handed to Congress. Now, the addresses are grand political theater and provide a rare chance for a president to make an unfiltered argument and lay out policy ambitions from the biggest bully pulpit he will have all year.

Billed as a coda to his second inauguration, Obama’s speech will focus on the economy and the middle class — he is set to propose spending public money on education, research and infrastructure — as well as touch on immigration and gun control.

He will spend the remainder of the week giving repackaged versions of his address, looking to capi­tal­ize on the moment and further underscore his priorities.

“The State of the Union is a Super Bowl-like political event. The key to fully leveraging it is to make sure that it doesn’t become a one-off but contains a big-idea thematic animated by some specific proposals,” said Chris Lehane, a Democratic strategist who worked for President Bill Clinton. “If the speech is not approached like that, it risks becoming a pupu platter moment — lots of tasty dishes, but you won’t be filled up for the long term.”

Although interest groups and lobbyists, inside and outside the administration, spend time trying to get the briefest of mentions of their pet causes in the speech before an audience of about 40 million, there are few legislative payoffs to show for all their efforts.

President George W. Bush used the first State of the Union speech of his second term to call for privatizing Social Security, an effort that hit a brick wall in Congress and nationwide.

In his 2012 speech, Obama proposed that every state require that students stay in high school until they graduate or turn 18, a recommendation that also fell flat.

Obama used that address to make his argument for reelection, touching on themes of fairness and economic equality that would undergird his campaign stump speeches. But there have been few memorable lines or themes from Obama’s addresses on par with Clinton’s 1996 pronouncement that “the era of big government is over” or Bush’s “axis of evil” reference from 2002.

“His speeches have tended to be about half looking back and half looking forward. And that’s a style you can choose in a State of the Union — how much of the speech is going to be devoted to where we are today, how far we’ve come and so forth, versus something more visionary and using your time to look forward,” said Chriss Winston, a speechwriter for President George H.W. Bush. “That’s a choice every president has to make.”

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Being first lady’s guest at speech can yield positive and sometimes unexpected results

As President Obama delivers his State of the Union address on Tuesday night, the first lady’s guests will be on their best behavior.

White House staffers will have coached those sitting in the gallery with Michelle Obama that at any moment the cameras might pan from the president’s podium to where they sit in the balcony. So they will watch their posture, stifle yawns and skip the chewing gum.

The everyday Americans invited to accompany the first lady as she watches her husband address Congress and the nation are essentially given roles by the White House. They are the human faces of the messages the president delivers, whether about the ingenuity of small business or the plight of returning troops.

This year, the president will focus on the economy and discuss issues such as gun control and immigration. A White House official said that victims of gun violence will be seated with the first lady, as will members of the middle class who would benefit from policy proposals that Obama will unveil, military families, and people working on immigration issues.

The speech will probably run an hour or so, and the next day, most guests will find themselves, Cinderella-like, back at their jobs and in schools and homes across the country.

Previous guests have found that the effects of the evening linger — in positive and sometimes tough or unexpected ways.

Attending the 2010 speech was a “game-changer” for Trevor Ya­ger. The founder of TrendyMinds, an Indianapolis-based advertising and public relations firm, Yager was invited, he says, to represent gay business owners thriving in a tough economy.

The attention he received — the local TV interviews, the national stories — caused a rift with a business partner. Soon after his return from Washington, the partnership dissolved, he said.

“There were jealousy issues,” Yager said. “When you have something like this come along, you do see people’s true colors.”

There were major benefits, too. He credits the exposure from attending the speech with the growth in his business. Trendy­Minds has grown from six or seven employees to 29. “All the coverage and attention helped attract clients and opened doors for us,” he said.

For Julia Frost, being a guest in 2010 complicated an already difficult relationship with her Republican father. The two are estranged, and although politics isn’t their only source of conflict, she says it contributes to the rift.

Growing up in a family of conservatives, Frost — who attended the speech as a veteran, a community college student and the wife of an active-duty Marine — says she’d always considered herself to be a Republican. But her visit to Washington made her question that.

She heard things from the president that she liked, about college and health care, and she was impressed by Obama’s demeanor.

“For a long time, I had been blindly following my family, but I saw that there was sense on both sides,” said Frost, who does not label herself a Democrat.

Another result of that night? She has a famous pen pal. Jill Biden, the wife of Vice President Biden, regularly corresponds with Frost. The women were seated together for the speech.

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Many 2011 federal budget cuts had little real-world effect

Late on the night of April 8, 2011, Washington’s leaders announced that they’d just done something extraordinary. They had agreed to cut the federal budget — and cut it big.

“The largest annual spending cut in our history,” President Obama called it in a televised speech. To prevent a government shutdown, the parties had agreed to slash $37.8 billion: more than the budgets of the Labor and Commerce departments, combined.

At the Capitol, Republicans savored a win for austerity. There would be “deep, but responsible, reductions in virtually all areas of government,” House Appropriations Committee Chairman Harold Rogers (R-Ky.)
promised a few days later, before the deal passed.

Nearly two years later, however, these landmark budget cuts have fallen far short of their promises.

In some areas, they did bring significant cutbacks in federal spending. Grants for clean water dried up. Cities got less money for affordable housing.

But the bill also turned out to be an epic kind of Washington illusion. It was stuffed with gimmicks that made the cuts seem far bigger — and the politicians far bolder — than they actually were.

In the real world, in fact, many of their “cuts” cut nothing at all. The Transportation Department got credit for “cutting” a $280 million tunnel that had been canceled six months earlier. It also “cut” a $375,000 road project that had been created by a legislative typo, on a road that did not exist.

At the Census Bureau, officials got credit for a whopping $6 billion cut, simply for obeying the calendar. They promised not to hold the expensive 2010 census again in 2011.

Today, an examination of 12 of the largest cuts shows that, thanks in part to these gimmicks, federal agencies absorbed $23 billion in reductions without losing a single employee.

“Many of the cuts we put in were smoke and mirrors,” said Rep. Mick Mulvaney (R-S.C.), a hard-line conservative now in his second term. “That’s the lesson from April 2011: that when Washington says it cuts spending, it doesn’t mean the same thing that normal people mean.”

Now the failures of that 2011 bill have come back to haunt the leaders who crafted it. Disillusionment with that bill has persuaded many conservatives to reject a line-by-line, program-by-program approach to cutting the budget.

Instead, many have embraced the sequester, a looming $85 billion across-the-board cut set to take effect March 1. Obama and GOP leaders have said they don’t like the idea: the sequester is a “dumb cut,” in Washington parlance, which would cut the government’s best ideas along with its worst without regard to merit.

But at least, conservatives say, you can trust that this one is for real.

“There has been a shift in resolve. They have been burned in these fictional cuts. And so the sequester is like real cuts,” said Chris Chocola, a former congressman who now heads the Club for Growth, a conservative advocacy group. “So I think that there is a willingness to say, ‘We’ve really got to cut stuff, and [the cuts] have got to be real.”

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Lawmakers divided on Postal Service plan

Lawmakers wrestled Thursday with how to address Postmaster General Patrick R. Donahoe’s announcement that the U.S. Postal Service plans to end Saturday mail delivery in August.

Donahoe moved to circumvent Congress’s long-standing resistance to the proposal for five-day delivery, a move the Postal Service thinks will save about $2 billion annually and help ease its financial losses. The agency lost $15.9 billion in the last fiscal year.

The postmaster took advantage of legislators’ own dysfunction over budget matters this week, gambling that lawmakers will not thwart his plan after Congress’s temporary spending measure expires March 27.

The spending plan includes language requiring six-day delivery, but lawmakers have not said whether they will insist on the language in the next spending bill.

It appeared Thursday that the issue was shaping up among lawmakers like the discussions over the automatic spending cuts, known as sequestration, which are set to kick in March 1.

Legislators questioned the legality of Donahoe’s plan and pointed fingers over Congress’s inability last year to achieve comprehensive postal reform, but none outlined a strategy to prevent the Postal Service’s effort.

Senate Majority Leader Harry M. Reid (D-Nev.) said in a statement Thursday that such a drastic policy move requires congressional approval.

“The Postmaster General relied on flawed legal guidance to claim that he can circumvent Congress’s authority,” he said.

Reid also expressed frustration at lawmakers’ failure last year on postal reform. “This unfortunate scenario could have been wholly prevented if the House had passed the Senate’s bipartisan postal reform bill in the last Congress,” he said.

Sen. Susan Collins (R-Maine), who serves on the Senate Appropriations Committee and supported the Senate’s bill last year, said, “The Postal Service’s decision to eliminate Saturday delivery is inconsistent with current law and threatens to further jeopardize its customer base.”

Other Republicans applauded Donahoe.

Rep. Darrel Issa (R-Calif.), chairman of the House Committee on Oversight and Government Reform, which oversees the Postal Service, supports the plan. His office said the Postal Service could legally alter Saturday mail services despite any future provisions Congress might enact to require six-day delivery. “In its announced change, USPS is not eliminating a day of delivery, but rather altering what products are delivered on that day,” a spokesman said.

The Postal Service did not respond to requests for comment Thursday. Although it plans to end Saturday mail delivery, it has said that it will continue delivering packages on Saturdays and that post offices will be open to sell stamps and other materials. Post office boxes will receive mail on Saturdays, but magazines and some newspapers, catalogues and Netflix will not reach homes that day.

Sen. Bernard Sanders (I-Vt.), who opposes Donahoe’s decision, said in an interview Thursday that he would fight any effort to remove the six-day-delivery requirement from the next spending bill. But he stopped short of saying he would vote against an appropriations bill that does not include the mandate.

“The future of the Postal Service is very important, but it has to be looked at in a broader context,” Sanders said.

Last year, the House and Senate produced competing bills to help staunch the Postal Service’s financial losses. The Senate approved legislation that would have delayed five-day mail delivery for two years while trying out other cost-saving tactics, but the House never voted on the measure. A House bill that would have ended Saturday delivery right away never reached the floor.

House Appropriations Chairman Harold Rogers (R-Ky.) said he had no idea what his committee would do about the postal plan.

Said Rep. Steny H. Hoyer (D-Md.): “I think the problem is the will of the Congress has not been expressed. Congress has not acted, and I think that left a vacuum.”

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