U.S. tells D.C. to pay inaugural expenses ( Bush: divert HS funds!)

[Sleepless In NY]

U.S. tells D.C. to pay inaugural expenses
City will divert funds from homeland security projects
By Spencer S. Hsu

Updated: 12:46 a.m. ET Jan. 11, 2005
D.C. officials said yesterday that the Bush administration is refusing to reimburse the District for most of the costs associated with next week's inauguration, breaking with precedent and forcing the city to divert $11.9 million from homeland security projects.

Federal officials have told the District that it should cover the expenses by using some of the $240 million in federal homeland security grants it has received in the past three years -- money awarded to the city because it is among the places at highest risk of a terrorist attack
Williams estimated that the city's costs for the inauguration will total $17.3 million, most of it related to security. City officials said they can use an unspent $5.4 million from an annual federal fund that reimburses the District for costs incurred because of its status as the capital. But that leaves $11.9 million not covered, they said.

"We want to make this the best possible event, but not at the expense of D.C. taxpayers and other homeland security priorities," said Gregory M. McCarthy, the mayor's deputy chief of staff. "This is the first time there hasn't been a direct appropriation for the inauguration."

A spokesman for Rep. Thomas M. Davis III (R-Va.), chairman of the House Government Reform Committee, which oversees the District, agreed with the mayor's stance. He called the Bush administration's position "simply not acceptable."
http://www.msnbc.msn.com/id/6810085/