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Jul 27, 2006

Two District Courts Rule Deficit Reduction Act Constitutional

The Hill reports that two U.S. District Courts have ruled that the Deficit Reduction Act was constitutionally passed by Congress. The Act has been challenged on the grounds that the versions passed by the two Houses of Congress were not identical. The Deficit Reduction Act contains provisions affecting Social Security, most prominently provisions concerning the payment of back SSI benefits. Judge Richard Berman in the Southern District of NY ruled the act was constitutional. This decision is on appeal to the Second Circuit Court of Appeals. Judge Frank Damrell in the Eastern District of California has made a similar ruling which may not be appealed, largely because the constitutional issue is peripheral to that lawsuit. Several similar lawsuits are pending in other Districts.

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