Washington in brief

Political conventions can accept 'soft money'

WASHINGTON - Big companies and unions banned from donating to elections under a new law will be able to whip out their political checkbooks after all - at least to contribute millions for fireworks, silver-tray shrimp and other glitz at next year's presidential nominating conventions.

The Federal Election Commission ruled Thursday that the law's strict limits on campaign donations don't apply to fundraising by the local committees that help the parties stage their conventions.

The FEC also eliminated a rule that required companies to have a local connection to the host city in order to contribute.

The host committees had requested the exemption from the soft-money ban and a lifting of the local-donor rule.

Democrats are meeting in Boston next July; Republicans in August 2004 in New York.

WASHINGTON - The Air Force on Thursday banned Boeing Co. from future satellite-launching contracts to punish the company for stealing sensitive information from Lockheed Martin Corp.

The suspension will remain in place until the Air Force is satisfied that Boeing has changed its ways, Air Force undersecretary Peter Teets said. He said the company could have the suspension lifted in a few months.

Teets said an Air Force investigation concluded that Boeing committed "serious and substantial violations of federal law" by stealing extensive information from Lockheed Martin during competition for a $1.88-billion satellite launching contract in 1998.

WASHINGTON - The congressional conference committee on Medicare reached unanimous agreement Thursday on regulatory reforms designed to make the program more "user-friendly."

Members of the House-Senate committee expressed hope that agreement on the more contentious elements of the bill, such as a prescription drug benefit structure, would soon follow.

Some of the provisions lawmakers agreed on would:

Establish an ombudsman for Medicare beneficiaries.

Transfer Medicare administrative law judges from the Social Security Administration to the Department of Health and Human Services, and "ensure their independence."

Set up a central toll-free telephone number beneficiaries could use to get answers to Medicare questions.

Streamline appeals to make it easier for beneficiaries to appeal a denied claim.

Revise the process for reviewing doctors' billing records.

Make it easier for providers to correct billing mistakes, appeal actions against them and repay Medicare in cases of overbilling.

WASHINGTON - The Senate on Thursday easily approved its first bill financing the Homeland Security Department.

The 93-1 roll call illustrated lawmakers' reluctance to vote against a bill for domestic security. Only Sen. Ernest Hollings, D-S.C., who said the measure lacked sufficient funds for ports, voted "nay."

Democrats offered a parade of amendments to add millions to the bill, which was to provide $28.5-billion next year for the new agency. Majority Republicans fended them off, citing budget constraints and saying the measure was sufficient.

The bill - about the same as this year's total - provides $380-million for an administration plan to check databases for information on foreigners entering the country.

The measure lacks $5.6-billion over the coming decade, including $890-million for 2004 that the House approved for Bush's proposal for government acquisition of antidotes and other steps to counter bioterrorism.

The House approved its version of the bill last month. Merging the two bills will occur after Congress reconvenes in September.

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