Automatic Spending Cuts Revival Stalled in Senate

An amendment restoring the automatic spending cuts of the Gramm-Rudman deficit reduction law hit a snag Thursday amid concerns that the proposal would give too much power to President Reagan’s budget director.

Senate Majority Leader Bob Dole (R-Kan.) temporarily pulled the bill from the Senate floor while lawmakers from both parties met privately to rewrite the plan.

“I don’t have the foggiest notion when that will be completed,” Dole told his colleagues. He said he hopes to return the issue to the Senate on Monday if the problems are worked out.

Close Vote Seen

Sources said the amendment faces a close vote on the Senate floor unless a way is found to restrict any powers given to the budget director. A strong Senate vote is needed to push revival of the spending cut provision through the House, they said.

The U.S. Supreme Court ruled earlier this month that Gramm-Rudman violated the Constitution’s separation of powers doctrine because it gave the comptroller general, an officer of Congress, the power to order executive branch agencies to make spending cuts.

The original sponsors of the Gramm-Rudman law have proposed giving the comptroller’s power to the President’s budget director, which they say would address the court’s concern. But opponents say they are not ready to hand over power to the Office of Management and Budget.

“The OMB has scores of statutory powers and powers delegated by the President under executive orders. And it has used those powers very, very politically,” said Sen. Gary Hart (D-Colo.), citing instances in which the budget office had acted in disagreement with Congress’ position.

Protecting Priorities

The closed discussions centered on drafting language to prevent the budget office from using Gramm-Rudman to change Congress’ spending priorities.

Gramm-Rudman requires the automatic spending cuts to be made across the board, evenly divided between military and domestic programs. The law exempts Social Security, major poverty programs and interest on the national debt.