No more cuts? Awe shucks...
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Watchdog questions $174G death benefit for millionaire senator's wife
WASHINGTON – As D.C. lawmakers talk
tough over a looming government shutdown, one item House members have not said
much about is a six-figure “gift” they tucked into the latest spending bill.
The little-noticed provision would pay the widow of the late Sen. Frank Lautenberg
– who was a millionaire -- $174,000 in tax-free funds. Daniel Shuman, policy director for Citizens for Responsibility and Ethics in Washington, first noticed the payment to the widow of the late New Jersey Democratic senator.
"How
is this a top funding priority?" he asked.
Shuman
questioned why the House, which voted to cut $40 billion from food stamps over
the next decade and is locked in a stand-off over de-funding ObamaCare, would
so easily pony up thousands of dollars for this benefit payment. Not all
lawmakers are independently wealthy, but Lautenberg was among the wealthiest.
According
to Roll Call’s 2012 annual survey of congressional wealth, which is based on
2011 financial disclosure reports, Lautenberg’s estimated net worth was $56.8
million.
“The
situation is even more galling when you think about the choice it represents,”
Shuman wrote. “Congress just voted to cut food stamps for poor children. A
shameful number were unwilling to support relief from the devastation wrought
by Hurricane Sandy.”
Further,
he warned that the payments embody an attitude that "places members of
Congress above the public."
The
practice of paying a deceased lawmaker’s salary to his or her family has been
around for a long time.
A
1918 document, Cannon’s Precedents, which sets the precedents for the U.S.
House of Representatives, calls the death gratuities a “long-established
custom.” It is not known when the custom first originated.
In
this case, one year of Lautenberg’s salary goes to his widow Bonnie Englebardt,
who lives in New York City.
Section
134 of the appropriations bill passed by the House states: “Notwithstanding
any other provisions of this joint resolution, there is appropriated for
payment to Bonnie Englebardt Lautenberg, widow of Frank R. Lautenberg, late a
Senator for New Jersey, $174,000.”
The
late New Jersey Democrat owed his political rise in part to his business success.
He
used the money he made at Automatic Data Processing, Inc., or ADP, to launch
his political career.
Lautenberg
was the fifth employee hired at ADP, which was founded under the name Automatic
Payrolls, Inc., in 1949 by Henry and Joseph Taub.
Lautenberg
spent the next 30 years going on to become the company’s CEO and see the
company through phenomenal growth. Presently, the company has 57,000 employees,
$10 billion in annual revenues and claims to pay one in six American workers.
If
Lautenberg’s death gratuity is approved by the Senate, as expected, it would
bring the total amount that Congress has given the families of deceased
lawmakers to $2.6 million over the past decade.
Among
other things, the money is supposed to help with funeral fees, the cost of
erecting a monument and travel expenses for a delegation to attend a service.
Federal law treats the payment as a gift, which means it’s tax free.
Not
all lawmakers make the same amount.
According
to the Congressional Research Service, the family of Hawaii Sen. Daniel Inouye,
D-Hawaii, who died Dec. 17, 2012, was given $193,400. The family of Rep. Robert
Matsui, D-Calif., who died on Jan. 1, 2005, was gifted $162,100, while
relatives of Rep. Jo Ann Davis, R-Va., who died on Oct. 6, 2007, were given $165,200.
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