Senators say new OMB should draft stimulus, work with panel

The Obama administration should draft and submit an economic stimulus package to the Senate Appropriations Committee and have OMB officials appear before the panel to explain the stimulative impact of its provisions, panel Republicans said Friday.

Led by Senate Appropriations Committee ranking member Thad Cochran, R-Miss., the group wrote to Appropriations Committee Chairman Daniel Inouye, D-Hawaii, that they are "concerned by efforts to draft and move a stimulus bill absent the full and official participation of the incoming administration."

Although it might take additional time, having OMB draft and present a bill would enhance transparency and oversight of the spending in the package, the senators wrote. Such a process "will unquestionably increase transparency in spending as the American people demand and deserve" and allow Congress to exercise more oversight on spending, they added.

The letter comes as Senate Democrats are drafting a package in consultation with President-elect Barack Obama and House Democrats, who unveiled their $825 billion, two-year package Thursday. Under that bill, $550 billion would be for spending and $275 billion for tax measures. At a briefing Thursday, House Appropriations Chairman David Obey, D-Wis., warned the economy is in such a severe recession that Congress may need to pass another stimulus after this effort. He has scheduled a markup of the bill for Wednesday. Democrats intend to have the bill ready for Obama to sign by mid-February.

Republicans on both sides of the Capitol have been condemning the House package since its release. "We have serious concerns about its size, scope, and astronomical cost," said House Appropriations Committee ranking member Jerry Lewis, R-Calif., in a release. "This legislation appears to blanket government programs in spending with little thought toward real economic results, job creation or respect for the taxpayer." Sen. Tom Coburn, R-Okla., said he would support a stimulus that would boost the economy, but said that in the House bill, "75 percent to 80 percent of this won't stimulate anything."