Download The Bureaucracy

Chapter 13 Notes
The Bureaucracy
Definition: the whole body of non-elected, nonappointed officials of the Federal Government—career
government employees in 14 departments and over 50
agencies
 Professional
 Educated—extremely
 Technocrats
 Organized by pyramidal hierarchy—cabinet member at
the top and it goes down from there
 Functions impersonally—under uniform rules and
procedures
 CLAIM TO BE independent of partisan politics
 Working in quasi-legislative and quasi-judicial
agencies—
1. Office of Legislative Affairs and Office of
Management and Budget
2. Bureau of Prisons, United States Marshals
service
I.
Cabinet
A. SECRETARIES administer departments
B. Are not particularly expert in their field—they
can fake it—political appointments
C. Rely on career employees for advice—compare
Sergeants and Lieutenants
1
D.
E.
F.
G.
H.
I.
J.
K.
L.
Expected to fight for their department’s budget
and for its personnel—go to bat for $ and
resources
Usually become loyal to department over
administration
Can be fired at President’s will
Require Senatorial confirmation (advice and
consent) (not Senatorial Courtesy—no advice
from senator taken into account)
Presidents pick members of Congress to gain
support in Congress
Secretaries are administrators—they do the day to
day running and organization of the department
Eventually they get on-the-job training and could
become very good at policy implementation and
support for the department
Candidates use the bureaucracy as a “whipping
boy”—no P.R. for B, so they’re blamed for
everything—really no PUBLIC actability
Place blame for failed policies on the
implementers (claim incompetence, corruption,
disloyalty)
II. Bureaucracies
A. U.S. bureaucracy about average in size compared
to other western countries.
B. Considered by foreigners to be one of the best in
the world—why?
C. Unlike France, there is no specific school for
training—L’Ecole National d’ Administration
D. Competitive, highly trained, competent
2
E.
F.
G.
Public sees bureaucracy as lazy, wasteful,
incompetent, unimaginative
1. results of Congress and President running
against the institution—always pointing a
finger at them
2. false claims of too much waste and fat—
these people work HARD
Actually, size of bureaucracy as percent of the
population has steadily declined in the last 25
years—efficiency created by technology
Number of consultants and private contractors
has increased—civilian, non-civil-service experts
the government pays to do things
 NASA contracts out building space vehicles—
Boeing, Jeep
III. Bureaucrat
A. Career government emp—divided between
civilians and military—1/3 military—dept of
Army, Navy, etc
B. Usually people only consider civilians
“bureaucrats”
C. Not usually political appointments
D. Work as employees in agencies administering
programs—welfare, food stamps, EPA, national
forests, nuclear power plant safety
IV. Hierarchical Organization
A. Secretary—directly responsible to the President
3
B.
C.
D.
E.
F.
Undersecretary—(Deputy or Asst Sec) does part
of administrative work—directs major programs
within the dept
Bureau—smaller units of the dept
1. basis of division
a. function--commerce(census and patent)
b. clientele—Bureau of Indian Affairs in
Dept Interior
Bureau of Mines
Agency-independent—still under Congressional
scrutiny and President Authority (EPA, NASA)
Commissions—independent regulatory
board/commission—operate “independently” and
are “bi-partisan”
1. regulate particular areas of the nation’s
economy
2. headed by 5 person commission appointed
by President/Senate consent
3. Securities and Exchange Commission
4. Federal Reserve Board
5. Federal Communications Commission
6. Many created in the 1930’s—purpose to free
Congress from having to deal with
economy; Commissions supposed to be
experts that implemented policy
7. 3-14 year appointment, but President CAN
fire
Government Corporations: combine aspects of
private business with government agencies—
governed by a board and usually perform a
service (FDIC, TVA)
4
V.
Secretary’s Responsibilities
A. Loyalty—even if disagree in private, support
President in public
B. Stick to budget policy of the President
C. Ideologically agree with President—environment,
economy
D. Answer to Congressional Committees
E. Held responsible for implementing INTENT of
Congress—accountable to both President and
Congress
VI. The Civil Service
A. Civil Service Reform Act 1978
1. abolished Civil Service Commission—3
person bipartisan board in place from 18831978 under the Pendleton Act (used to be
patronage based until Garfield was shot by a
disgruntled)
2. This act set up two agencies to take over the
responsibilities of the CSC
a. Office of Personnel Management:
OPM—administrates laws, rules, and
regulations
b. Merit Systems Protection Board:
protects rights of employees—can take
actions against agency or individual
employees
c. OPM administers Civil Service
Examinations—makes up the list of
5
openings for jobs—hiring on basis of
merit
VII. Hatch Act, 1939: passed to prevent malicious
political actions and prevent civil service dictation of
government.
A. Can’t run for office
B. Can’t be involved in campaigns—no political
activity
C. Can’t make political speeches
D. Can’t publish political information
E. Can’t work to partisan register people in a party
F. Can still vote
--Revisions under Clinton 1993
1. may register and vote as they choose
2. may assist in voter registration
3. may express opinions about candidates and issues
4. may contribute money to political organizations or
attend political fund-raising functions
5. may wear or display badges, buttons, stickers
6. may attend political rallies and meetings
7. may hold positions in political parties
8. may not be candidates for public office in partisan
elections
9. may not use official authority to interfere with or
affect the results of an election
10. may not solicit partisan support in the workplace
6
VIII.
A.
The U.S. Bureaucratic Model
Congress compels agencies to interpret and apply
(administer) law as intended
1. conduct oversight hearings and
investigations before committees
2. can threaten Secretaries and Administrative
heads with making new rules or changing
rules and cutting off budget (restrict
appropriations)
B. Closely monitors procedures and rules
Administrative Procedures Act of 1946:
agencies must publicly disclose procedures and
organization—public notification of rule changes
with required public comment by interested
parties
C. Final actions (punishments) and rules of agencies
can be appealed to the courts
D. General Accounting Office—independent auditor
of government-- watchdog of all agencies and
departments—audits spending within dept.
E. Political checks on bureaucracy—Congress,
Party, The President, interest groups, loyalty to
department
IX. Bureaucrats as Administrators
A. called upon from advice and policy judgments
B. try to increase their own agencies budget
C. from alliances to protect their own organizations
and turf—iron triangles—alliances formed
between Congressmen, interest groups, and
bureaucrats to pursue common goals
7
D.
E.
F.
X.
push high-visibility programs which promote
own organizations—popular stuff i.e. Clean
Water Act—EPA
resist change and outside directions—including
Presidents—“they/he aren’t here everyday, they
don’t know what’s going on”
actually become their own pressure group (on
legislature and President) for their own agency”
interests
 FBI always seeking more funds, new projects,
and as much independence as possible from
the Justice Department
Iron Triangles and Alliance Building
A. outside interest groups and middle level
bureaucrats and members of Congress
particularly appropriations committee members
(money and constituent service)—interest group
alliances for and against agencies and rules
B. Lobbyists “work on” middle manager bureaucrats
and Congressional Committee members
1. Their intent is to promote a special interest
agenda claiming it is in the best interest of
the country
2. Farm subsidies—we give money to farmers
to NOT grow crops, and there’s a worldwide shortage of grain and record prices
3. Give campaign money to Congressperson to
put pressure on bureaucracy to change the
rules to make them favorable to the
contributor who pays the lobbyist
8
The Budget


Nat’l government spends more money than all state
and local governments combined
Spend almost $5 trillion/year and pay over $200
billion in interest on the national debt.
Benjamin Franklin “In this world, nothing can be said to be
certain, except death and taxes.”
I.
Taxes
A. One of the oldest activities of government
1. putting power over taxation into the people’s
hands was a major achievement toward selfgovernment
B. Sources of money
1. borrowing
2. grants
3. commercial revenues
4. personal income and corporate income tax—
most comes from this
C. Who controls taxes?
1. Congress clearly has the power to “lay and
collect Taxes, Duties, Imposts, and
Excises.”
2. Tariffs—import duties
3. Excise taxes—consumer taxes on specific
kinds of merchandise—tobacco, liquor
D. Objective of taxes:
9
1.
2.
3.
raise money to spend
regulation of economy (balance income)
promote economic growth (tariffs, export
tax)
 leveling effect: people with higher
incomes pay more of % in tax than
lower—progressive income tax
II. Sources of income (Federal Revenue)
A. individual income tax: 44% federal government
tax revenue
1. has grown increasingly complex—
exemptions different rates, etc
2. very flexible—Congress CAN alter it to fit
modern society
B. Corporate Income Tax: 11% of total
C. Social Insurance Receipts (Social Sec): 2nd
largest source
1. most rapidly rising source of federal revenue
2. most people pay more social security than
income tax
3. regressive tax: lower income pay larger %
of income
D. excise duties: less than 5% of total—federal
taxes on liquor, tobacco, gas, phone lines=
“luxury items”
E. Customs, duties, tariffs—over $18 billion
recently
F. Borrowing: since WWI, we’ve been financing
ourselves by borrowing money = deficit
10
III. Where does the Money go?
A. Benefits payments (Social Sec, Medicare,
education)—“entitlement programs” = those that
people feel entitled to receive
A. 11% of GDP—gross national product—
estimate of the total output of all economic
activity in the nation including goods and
services
B. National defense
C. Interest on the national debt (15% of budget)
IV. Budget Process
A. series of accommodations between executive and
legislative branches
1. before 1921, each executive agency dealt
with Congress on its own—no presidential
coordination and no “whole plan”
2. in 1921, the Bureau of the Budget (now
OMB) was created in the Treasury Department, and
the executive branch presented its first BUDGET to
Congress\
B. Process begins 2 years in advance
1. departments and agencies estimate their
needs and purpose their budgets to the OMB—
happens around fall of year before—while
Congress is passinf the current fiscal budget, the
departments are already a year ahead
2. details—estimates personnel, supplies,
office space, pencils
C. Goes to OMB
11
1.
budget examinations review each
agency/department budget and bring it
into line with the President’s agenda
2. executive branch hearings give agency
a chance to justify their
requests/estimations
3. usually scales down budgets A LOT
D. OMB director goes to President with a single
consolidated set of estimates of both revenue and
expenditures
1. President reviews and makes adjustments
(very few)
2. Budget director and President write a budget
message to Congress stressing key points
and typing the budget into national plans
3. President must submit between first Monday
of January and first Monday of February
E. Legislative Branch
***only Congress can appropriate funds—but
follow presidential lead on budget
1.
3.
1974 Budget Reform Act:
a. Requires President to include proposed
tax changes in the Budget and make an
estimate of the five-year costs of new
and continuing federal programs
b. Must seek authorization for a new
executive program one year before
asking Congress to fund it
Budget and Impoundment Control Act
1974:
12
i. supposed to be a timetable for Congress
ii. created oversight budget committees in
both houses that work with the
Congressional Budget Committee to
review and offer solutions/alternatives to
the President’s budget
4. Gramm-Rudman-Hollings Act 1985:
(Phil, Warren, Ernest)
i. plan to shrink the budget deficit (panic
during Reagan because such high deficit)
ii. required yearly reductions in spending
and set certain goals and amounts
iii. mandatory cuts in spending if target
reduction weren’t met
iv. exempted entitlements—the fastest
growing part!
v. Also called Balanced Budget &
emergency Deficit Control Act
5. Budget Enforcement Act of 1990:
agreement between Congress/Bush to get
around Gramm-Rudman
a. changed the law to meet the deficit
b. divided government into 2 spending
types:
1. mandatory: entitlements—required
by legal commitments of the
government
2. discretionary: those funded by
annual appropriations—the
acronyms
13
c.
raised caps on discretionary spending
enough to nullify Gramm-Rudman
d. created “pay-as-you-go”—any
domestic increase must be met with a
decrease somewhere else, or an
increase in taxes
e. failure to comply with “caps” or payas-you-go would result in across the
board spending cuts in your department
6. Balanced Budget Amendment and the
line-item veto 1996
a. a balanced budget amendment was the
first item in the Contract with America
b. failed in 1995, but was on the
Republican platform in 1996
c. second item in Contact with America—
line-item veto (Reagan 84 State if
Union)—passed in 1996 and went into
effect January 1, 1997.
d. Congress once again surrendered some
of its power
VI. The Deficit—our National Debt
A. began in WWI—we borrowed a whopping $23
billion—since then….
1. interest on the debt exceeds $200
billion/year
2. we borrow from investors through treasury
notes, treasury bills, and U.S. savings bonds
a. foreign and domestic investors
b. also banks and U.S. government
accounts
14
B.
C.
D.
E.
90% is owed to our own citizens
economic strength and resources of the nation are
more important than the debt
U.S. is committed to spending more on defense
and domestic programs than current taxes can
provide—we want to have our cake and eat it
too—capitalist economy with socialist programs
Clinton 92 stressed need for deficit reduction
1. reductions in government spending—esp.
defense
2. increase tax rates in higher income brackets
3. increase certain excise taxes--tobacco
4. reform health (Medicare) and welfare
systems to perform more efficiently at lower
cost
15