• Home
  • Opinion
  • Quizzes
  • Redistricting
  • Sections
  • About Us
  • Voting
  • Independent Voter News
  • Campaign Finance
  • Civic Ed
  • Directory
  • Election Dissection
  • Events
  • Fact Check
  • Glossary
  • News
  • Analysis
  • Subscriptions
  • Log in
Leveraging Our Differences
  • news & opinion
    • Big Picture
      • Civic Ed
      • Ethics
      • Leadership
      • Leveraging big ideas
      • Media
    • Business & Democracy
      • Corporate Responsibility
      • Impact Investment
      • Innovation & Incubation
      • Small Businesses
      • Stakeholder Capitalism
    • Elections
      • Campaign Finance
      • Independent Voter News
      • Redistricting
      • Voting
    • Government
      • Balance of Power
      • Budgeting
      • Congress
      • Judicial
      • Local
      • State
      • White House
    • Justice
      • Accountability
      • Anti-corruption
      • Budget equity
    • Columns
      • Beyond Right and Left
      • Civic Soul
      • Congress at a Crossroads
      • Cross-Partisan Visions
      • Democracy Pie
      • Our Freedom
  • Pop Culture
      • American Heroes
      • Ask Joe
      • Celebrity News
      • Comedy
      • Dance, Theatre & Film
      • Diversity, Inclusion & Belonging
      • Faithful & Mindful Living
      • Music, Poetry & Arts
      • Sports
      • Technology
      • Your Take
      • American Heroes
      • Ask Joe
      • Celebrity News
      • Comedy
      • Dance, Theatre & Film
      • Diversity, Inclusion & Belonging
      • Faithful & Mindful Living
      • Music, Poetry & Arts
      • Sports
      • Technology
      • Your Take
  • events
  • About
      • Mission
      • Advisory Board
      • Staff
      • Contact Us
Sign Up
  1. Home>
  2. Open Government>
  3. coronavirus>

Big transparency win in stimulus package undercut by Trump administration

David Hawkings
March 30, 2020
Big transparency win in stimulus package undercut by Trump administration

Treasury Secretary Steven Mnuchin discusses oversight of the stimulus fund dispersal.

youtu.be

Open government advocates and Democratic leaders in Congress are angry the Trump administration seems to be walking away from crucial transparency language in the economic stabilization package.

Aside from the funds to make voting safer and more convenient this fall, the democracy reform movement was pleased most by a provision in the law creating an independent watchdog to oversee a $500 billion fund to bail out companies crippled by the coronavirus pandemic.

But after signing the $2 trillion package last week, President Trump signaled he would decide what this inspector general could share with the public and Congress. And when Treasury Secretary Steven Mnuchin sought Sunday to dispel concerns about government accountability in administering the biggest domestic economic relief package in American history, he refused to pledge that the IG would be permitted to testify on Capitol Hill.


"I'm going to leave that to the lawyers, OK, and to Congress to figure out," Mnuchin said on Fox News. "We're going to have full transparency in reporting what we're doing to the American public."

Creation of the IG was a safeguard that Democrats insisted upon as a condition of supporting the corporate bailout fund at the heart of the rescue package.

Sign up for The Fulcrum newsletter

The law allows the president and Treasury secretary to approve loans, loan guarantees and other aid to American companies, but with a watchdog nominated by Trump and confirmed by the Senate to oversee and audit the disbursements. Under the law, this IG has the power to demand information from the Treasury Department and other federal agencies — and is supposed to tell Congress "without delay" if any part of the executive branch is uncooperative.

Two hours after signing the bill Friday, Trump issued a separate statement that he "will not treat" that language as permitting the inspector general to report to Congress without "presidential supervision."

That declaration only buttressed the argument by Democrats and open government advocacy groups, who pressed for tough language in the measure precisely because the president has such a strong history of rebuffing efforts at congressional oversight, especially when it comes to executive branch officials seeking to reveal perceived misbehavior. (Trump's impeachment, after all, got started with a whistleblower complaint about the withholding of military aid from Ukraine for an inappropriately political reason.)

"We don't accept that. We don't accept that. We will have our oversight," Speaker Nancy Pelosi said Sunday. "It's just the same, business as usual for the president."

On Monday the nonpartisan Project on Government Oversight called the administration's moves "a slap in the face" that "signals that the administration is more committed to advancing executive branch power grabs than they are to ensuring the emergency funds go where they are needed most."

The signing statement also challenged, on constitutional separation of powers grounds, the law's requirement that Congress be consulted about the membership of a panel to be formed in the executive branch to oversee the government's pandemic response.

While such statements have no legal force, they provide a formal record of a president's understanding of a new law's meaning and serve as guidance to the rest of his administration in carrying out the statute.

Congress has no power to reverse these views through legislation, so it's unclear how lawmakers can assure the oversight they thought they'd engineered gets done. Extracting a promise from Trump's proposed IG nominee may be their best hope.

The "signing statement threatens to undermine the authority and independence of this new IG," Michael Bromwich, a former Justice Department inspector general, said on Twitter. "The Senate should extract a commitment from the nominee that Congress will be promptly notified of any Presidential / Administration interference or obstruction."

Democrats blocked the initial Senate Republican stimulus bill because of its lack of oversight language, only agreeing to the bailout fund once the IG provision was included.

Under the law, Congress is also authorized to create its own panel to oversee the use of the stimulus money and expose waste fraud and abuse, and Pelosi says that committee will be created soon and told to operate "in real time to make sure we know where those funds are."

POGO had called that language "a major victory" after getting it into the bill with the help of two senators, Wisconsin Republican Ron Johnson and Michigan Democrat Gary Peters.

"Whenever the government is trying to spend this much money, we should have good transparency and good accountability to the extent that we can," Marc Goldwein of the Committee for a Responsible Federal Budget, a nonpartisan think tank, told The Washington Post.

"We are fully comfortable that whatever we do, we want full transparency and we're very careful about supporting American workers and the American economy," Mnuchin had said on Fox.

From Your Site Articles
  • Coronavirus alters democracy reform world's priorities - The Fulcrum ›
  • Senators push vote-at-home in virus-related stimulus bill - The Fulcrum ›
  • Stimulus has $400 million to make voting safer, no mandates to ... ›
  • House Democrats include $3.6B for elections in new stimulus - The Fulcrum ›
  • More than ever, inspectors general need stronger protection - The Fulcrum ›
  • Election aid in limbo during coronavirus stimulus talks - The Fulcrum ›
Related Articles Around the Web
  • What the $2 trillion economic stimulus package will mean for you ... ›
  • Elizabeth Warren Explains Economic Stimulus Coronavirus Package ›
  • Economic-Stimulus Checks Differ From Past Interventions - WSJ ›
  • Checks to Americans may not be much of an economic stimulus ... ›
coronavirus

Want to write
for The Fulcrum?

If you have something to say about ways to protect or repair our American democracy, we want to hear from you.

Submit
Get some Leverage Sign up for The Fulcrum Newsletter
Confirm that you are not a bot.
×
Follow

Support Democracy Journalism; Join The Fulcrum

The Fulcrum daily platform is where insiders and outsiders to politics are informed, meet, talk, and act to repair our democracy and make it live and work in our everyday lives. Now more than ever our democracy needs a trustworthy outlet

Contribute
Contributors

Grand Canyon gap in America today

Dave Anderson

Chief Justice John Roberts and Chief Justice Roger Taney are Twins– separated by only 165 years

Stephen E. Herbits

Conservatives attacking Americans’ First Amendment rights

Steve Corbin

To advance racial equity, policy makers must move away from the "Black and Brown" discourse

Julio A. Alicea

Policymakers must address worsening civil unrest post Roe

Sarah K. Burke

Video: How to salvage U.S. democracy from the "tyranny of the minority"

Our Staff
latest News

Could the Constitution itself defeat Trump in 2024?

Rick LaRue
5h

Veterans for Political Innovation: The FAQs of VPI

Reinhold Ernst
5h

Podcast: We contain multitudes

Our Staff
5h

What really are “special interests” in Washington - and how they influence Congress

Bradford Fitch
03 October

The kids are alright: The younger generation’s inspiring legal fight against climate change

David J. Toscano
03 October

Living wisely: Addressing economic faults for a sustainable future

Leland R. Beaumont
03 October
Videos
Video: Expert baffled by Trump contradicting legal team

Video: Expert baffled by Trump contradicting legal team

Our Staff
Video: Do white leaders hinder black aspirations?

Video: Do white leaders hinder black aspirations?

Our Staff
Video: How to prepare for student loan repayments returning

Video: How to prepare for student loan repayments returning

Our Staff
Video: The history of Labor Day

Video: The history of Labor Day

Our Staff
Video: Trump allies begin to flip as prosecutions move forward

Video: Trump allies begin to flip as prosecutions move forward

Our Staff
Video Rewind: Trans-partisan practices and the "superpower of respect"

Video Rewind: Trans-partisan practices and the "superpower of respect"

Our Staff
Podcasts

Podcast: We contain multitudes

Our Staff
5h

Podcast: On democracy and its current torments

Our Staff
02 October

Podcast: Is reunification still possible?

Our Staff
27 September

Podcast: All politics is local

Our Staff
22 September
Recommended
Could the Constitution itself defeat Trump in 2024?

Could the Constitution itself defeat Trump in 2024?

Contributors
Veterans for Political Innovation: The FAQs of VPI

Veterans for Political Innovation: The FAQs of VPI

News
Podcast: We contain multitudes

Podcast: We contain multitudes

Podcasts
What really are “special interests” in Washington - and how they influence Congress

What really are “special interests” in Washington - and how they influence Congress

Contributors
The kids are alright: The younger generation’s inspiring legal fight against climate change

The kids are alright: The younger generation’s inspiring legal fight against climate change

Big Picture
Living wisely: Addressing economic faults for a sustainable future

Living wisely: Addressing economic faults for a sustainable future

Corporate Responsibility