To Spur Recovery, Bush And Congress Halt Environmental, Other Rules

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To Spur Recovery, Bush And Congress Halt Environmental, Other Rules
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Author: Tom Curry Source: MSNBC
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Title: HURRICANE SPAWNS FLURRY OF DEREGULATION

As Democrats and Republicans grapple with the political effects of hurricane Katrina, both parties are reverting to core beliefs and inclinations: the Democrats are emphasizing the need for vast amounts of new spending for hard-hit people and communities, while Republicans are talking about the need to suspend federal environmental, workplace safety and contracting rules to spur a faster recovery.

Meanwhile, the Bush administration and Republicans in Congress, while voting for more than $60 billion in taxpayer money to be spent on hurricane recovery — and promising many billions more — have implemented some regulatory waivers and are planning to do even more deregulation:

On Thursday, Bush suspended the New Deal Era Davis-Bacon law on all federally financed construction in areas hit by Hurricane Katrina. That law requires the federal government to pay the “prevailing wage” on construction projects, which is often higher than the local minimum wage. Bush’s order said wage rates imposed by Davis-Bacon “increase the cost to the Federal Government of providing Federal assistance to these areas.” Suspending Davis-Bacon “will result in greater assistance to these devastated communities and will permit the employment of thousands of additional individuals,” Bush’s order said.

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