Statement of Administration Policy: H.R. 2123 - District of Columbia Budgetary Efficiency Act of 1991

(SENT 6/7/91)
(House)
(Dellums (D) California and 2 others)

The Administration opposes H.R. 2123 because:

• It would authorize substantial increases in Federal payments to the District — exceeding the recently-increased FY 1991 payment by $100 million and the FY 1990 payment by $200 million.
  
  
• It would authorize increasing Federal payments through FY 1995. A long-term authorization should not be enacted until the District Government has a long-range plan to restructure local revenues and spending to solve its own fiscal crisis.
  
  
• There are numerous formulas to compensate the District for the cost of the Federal presence. These formulas, including the one in H.R. 2123, ignore the substantial Federal support the District now receives from a range of Federal grant programs. Federal assistance to the District now totals over $3.1 billion — a per capita support level that exceeds the amount received by any other jurisdiction.