G 95-71

FOR IMMEDIATE RELEASE                     CONTACT:  Carol Hamilton
Wednesday, September 20, 1995                    202-482-4883

COMMERCE SECRETARY BROWN STATES CONGRESSIONAL BUDGET PROPOSALS WILL LEAD TO MORE COST AND LESS EFFICIENCY

WASHINGTON -- Commerce Secretary Ronald H. Brown today blasted Congressional proposals to dismantle the Commerce Department, characterizing them as "totally inefficient and costly to the taxpayers, despite claims that such proposals would streamline government and cut the deficit."

"Certain Members of Congress have embarked on a political trophy hunt, with Commerce in their crosshairs all in the name of creating a more efficient and less costly government," said Brown. "The fact is their proposals will cost more, create new government agencies, stifle U.S. competitiveness and rob U.S. workers of high-wage jobs."

In analyzing one such proposal, the Commerce Dismantling Act (HR 1756) sponsored by Representative Dick Chrysler (R-MI), Secretary Brown questioned the bill's budget assumptions by citing numerous miscalculations. The Chrysler bill claims savings of $7.8 billion in five years. Secretary Brown asserted that funds needed to dismantle the Commerce Department will actually cost taxpayers $2.3 billion in five years.

"The Chrysler bill's purported savings are based on significant errors, careless omissions and invalid assumptions. The bill understates the funding necessary to dismantle the Department, conduct the 2000 Census, and modernize an outdated weather service. These convenient oversights amount to over $10 billion," said Brown.

Brown further criticized House mark-ups on legislation that would create additional government agencies and departments in the wake of the Commerce Department's elimination. He cited several examples of Congressional recommendations for additional government entities, including a new U.S. Science and Technology Administration, a National Marine Resources Administration and a new Federal Statistical Agency.

"They are playing politics with American jobs," said Brown. "First, their numbers don't add up -- we end up spending money. Second, they've proposed the creation of a myriad of new bureaucracies -- bigger, uncoordinated government agencies springing up in place of what is now a cohesive Commerce Department working with American business and workers to create economic growth."

                          -30-

Where now there is a single effective Department of Commerce, those who tout greater efficiency & downsizing are actually creating more government.



o House Science Committee creates new U.S. Science and Technology 
  Administration

o House Resources Committee creates new National Marine Resources 
  Administration

o House Transportation and Infrastructure Committee creates new 
  independent Economic Regional Commission

o House Ways and Means creates U.S. Trade Administration

o House Judiciary Committee is considering a new independent 
  Patent and Trademark Office

o House Commerce Committee is considering new Federal Statistical 
  Agency