Duffy Votes to End 'Sebelius Slush' Fund, Save Taxpayers $16 Billion

Press Release

Date: April 13, 2011
Location: Washington, D.C

U.S.Congressman Sean Duffy (WI-07), a member of the Financial Services Committee and the Joint Economic Committee, issued the following statement after voting for H.R. 1217, a bill to repeal the so-called "Prevention and Public Health Fund," which allows the Health and Human Services Secretary to spend funds without Congressional approval:

"There isn't a small business in Northern or Central Wisconsin that doesn't take great pains to ensure that every dollar it spends is necessary and effective. At a time when Washington is going to borrow $1.6 trillion this year alone, the federal government cannot afford to spend tax dollars in a vague or unaccountable way.

"This $17.75 billion fund is nothing more than a slush fund for the HHS secretary to spend as she sees fit without Congressional approval or oversight. This bill increases government accountability and promotes fiscal responsibility. I will continue to fight for the transparency taxpayers deserve and pro-growth policy that will encourage job creation in the private sector."

BACKGROUND:


Section 4002 of PPACA established the Prevention and Public Health fund which provides $17.75 billion for the next ten years (FY 2012-2021) and continues to appropriate $2 billion per year after 2015 with no sunset.

The secretary is authorized to administer and spend funds without any further Congressional approval. Eliminating the slush fund does not cut any specific programs because the fund was not directed at any specific program.

According to Congressional Budget Office(CBO) cost estimates, the bill would decrease direct spending by more than $6 billion over the 2012-2016 period and by $16 billion over the 2012-2021 period.


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