Our Fiscal Security - Blog - President Obama’s 2012 budget: On The Budget Cuts

President Obama’s 2012 budget: On The Budget Cuts

Wednesday, February 16, 2011 at 9:56AM

OMB Director Jack LewThe FY 2012 budget request submitted by President Obama reflects many of the ideals and priorities he laid out in his State of the Union address. While Obama’s speech provided the rhetoric behind his vision, his budget request delivers the details. In short, Obama’s budget attempts to balance deficit reductions with priority investments. The budget contains funding in areas such as research and development, high-speed rail, and biomedical research at the National Institutes of Health, but it also engages in a series of tough, and in some instances damaging, budget cuts.

Budget Cuts

President Obama is proposing a number of budget cuts, many of which he and other administration spokespeople have been highlighting in an effort to show they take deficit reduction seriously. Outlined in the section of the budget titled “Terminations, Reductions, and Savings,” the administration is proposing 211 such actions that will save more than $33 billion in 2012 alone, essentially doubling the amount of cuts proposed in Obama’s FY 2010 budget request, and about $10 billion more in reductions than he proposed last year. And these proposed cuts should have a good chance of actually occurring: the Obama administration has, in the past, been more successful at getting proposed terminations and reductions actually passed compared with other administrations. Obama saw 60% percent of his proposed discretionary cuts become law for 2010, while other recent administrations have seen only between 15% and 20% of their proposed discretionary cuts approved by Congress.

While some of these cuts are to programs that have been found to be redundant or wasteful, many others are being levied on programs that provide important services, and “about whose mission the administration cares deeply” (according to its FY 2012 Budget).

Nonetheless, many of these cuts will cause real-life pain. These include cuts to the low-income home energy assistance program (LIHEAP), community development block grants (CDBG), and community service block grants (CSBG). The administration is proposing cutting $2.5 billion, or about half of the 2010 enacted funding, from LIHEAP. Though it justifies this cut by stating that returning LIHEAP funding to 2008 levels lowers it to where it stood prior to the energy price spikes, this cut unnecessarily targets an important low-income service. In 2010, 8.3 million households relied on LIHEAP for heating and cooling assistance. The National Energy Assistance Directors’ Association has estimated that cutting LIHEAP funding would eliminate assistance to 3.5 million low-income households. And though energy prices may drop, many people also have lower incomes today, due to the recession, than they did in 2008, meaning the need for this type assistance is likely to remain as high as it was in 2010.

Similarly, cutting funding to CSBG (from $700 million to $350 million) and CDBG ($4 billion to $3.7 billion) would harm communities that rely on these grants to support local initiatives that aid community and economic development. The Urban Institute found in a 2002 report that “larger CDBG investments are linked to improvements in neighborhood quality.” Though the administration claims to care about community-building investments such as these, and laments the difficulty of these cuts, at the end of the day such cuts are unnecessary, and can and should be avoided as the antidote to high deficits.

Budget Freeze

Along with the proposed line-item budget cuts, President Obama is pursuing a five-year freeze on non-security discretionary spending. This freeze – which is meant to serve as an extension of last year’s proposal to freeze non-security discretionary spending for three years – will cut the deficit by just over $400 billion in the next decade (last year’s proposal yielded $250 billion in deficit reduction over the same time period). The freeze is an aggressive effort to restrain non-security discretionary spending, and as the administration has been touting, would bring non-security discretionary funding to its lowest level as a share of GDP as it has been since the Eisenhower administration. If enacted, the reduction from pre-recession levels (2007) to 2020 would bring down domestic appropriations from 2.7% of GDP to 1.9% – a 30% reduction. While the freeze does contribute to deficit reduction, it all but ensures that the battle to create jobs and engage in future economic growth will be limited.

Overall, the budget request includes more than $1 trillion in total deficit reduction, with two-thirds of that coming from spending cuts and the rest resulting from revenue increases. Obama’s budget succeeds in dropping the deficit to 3.2% of GDP by 2015, and 3.0% of GDP by 2017 (the level his fiscal commission was charged with bringing deficits to). In fact, for the entire second half of the 10-year budget window, Obama’s budget has the country running sustainable deficits of around 3.0% each year.

GOP Spending Cuts

On Feb. 11, the House Appropriations Committee, led by Chairman Hal Rogers, detailed line-by-line cuts Republicans would like to make in the continuing resolution (CR) to fund the rest of this fiscal year, after the current CR expires on March 4. If enacted, it would be the first time in history a CR would include actual spending cuts. Compared to 2010 enacted budget levels, this plan would result in $60.8 billion in cuts; it would cut $100 billion relative to Obama’s FY 2011 budget request. Specific cuts in funding the rest of FY 2011 would include, for example, $5 billion to agriculture programs, $4 billion to energy and water development, almost $10 billion to the Department of Education, and $14 billion from the Departments of Transportation and Housing and Urban Development.

Prior to calling for these cuts, the Appropriations Committee had called for $74 billion in cuts to government funding for the rest of the fiscal year. The day after that number was publicized, many House members publicly said that cuts of that magnitude did not go far enough. In fact, cuts of that magnitude would significantly undermine programs that offer services and help to people who especially need it during a time of economic weakness and high joblessness. And while Republicans have been quick to label most Democratic initiatives as “job killing,” cuts of that magnitude would result in hundreds of thousands of additional job losses. Cuts of $74 billion would likely lead to job losses of around 700,000, while cuts of $100 billion, which Speaker John Boehner called for as early as last fall, would result in job losses of closer to 1 million

An analysis of the public investments

An analysis of tax policies

56 Comments | |

Email This |

Print This |

Blogs,

News in

Deficit & Debt,

Jobs & Economic Recovery,

Public Investment,

Taxes & The Federal Budget

View Printer Friendly Version

Email Article to Friend

Reader Comments (56)

It's a good article! You let me learn more about it! In part time,I always log in the same websites to learn knowledge luxury Ebel wristwatch

March 22, 2011 |

Youngbady

wow... great post! I own a st louis heating and cooling business so I like to read those kind of articles. Keep it up!

June 5, 2011 |

st louis heating and cooling guy

This article is great, like your article, hope can see you next article, you can also to know what our web site about large sports bags and fashion prom dresses information , i hope it can bring you convenience.

June 10, 2011 |

liya Craig

This is my first time i visit here. I found so many interesting stuff in your blog especially its discussion. From the tons of comments on your articles, I guess I am not the only one having all the enjoyment here! keep up the good work.seamaster double locking clasp replica omega

September 17, 2011 |

normanew

Designer HandbagsCentral Valley North Face Coats. . they're selling mainly Coach merchandiseNorth Face Outlet. with kit simple to entry whatsoever situations Designer Handbags. . There's no reason to not pretty personal a Coach luggage bagsCoach luggage bags are among essentially the most well-known forms of bags available in the market nowNorth Face Women. attempt to discount with them ...... . wherever you happen to be purchasing fromUggs Outlet. Gucci cambridge hobo handbags are observed around the arms of plenty of celebrities Coach Outletthe form and framework with the Gucci leather handbags in Gucci retailers is definitely an further piece to fitting the proportions of every single woman's physique Burberry Bags . Designs from fifty many years back are nonetheless in fashion and remain in outstanding demand Burberry Bags15" deal with with 7" drop permits it to get hand-held or carried around the shoulderNorth Face Outlet. belts Cheap Uggs. which is not some thing you see just about each day on Louis Vuitton claire bags They're unisex - there is a range of Louis Vuitton claire bags for him as well Designer Bags. Louis Vuitton sling bags come with multiple lifting or carrying alternatives Gucci Outlet. Amongst the items due to any legit cause might possibly not get offered out Gucci Bags

October 6, 2011 |

Cheap Uggs

But now, thanks to local passion and revised marketing cheap north face, the Scottish fabric is making a comeback: Production and sales are booming and the whole industry is sparkling once more.

October 9, 2011 |

cheap north face

Good days give you joy while bad days give you experience. So never regret every single day of your life! cheap plus size clubwear clothing

October 13, 2011 |

Lily

In winter, uggs outlet, without doubt, ugg bailey button triplet is one of the most well-known shoes. The cold season of 2011 will bring this item with versions to suit all tastes uggs for cheap.
The cheap ugg boots are going to become IN this season.
Do you like this form of boots?
Which do you prefer? The rough hard boots which you could kick some zombie butt in. Or the beautiful delicateness of ugg sheepskin cuff that bring you a
little feminine touch. I want to hear everyone's opinion. I like currently being ready to defend myself that's why i love my fight boots i got from
an wonderful ugg boots sale store.
Ankle boots are at present my favorite varieties of footwear.
As it is possible to see in ugg boots sale uk, celebrities like: Erin Wasson, Kate Moss, Nicole Richie, and Jessica Alba have been rocking this type,
uggs on sale are going to be quite "in-stlye" this fall and also winter.
So do you like ankle boots for ugg boots clearance?
Are they a hit or miss for you?
I produced this look on ugg boots outlet and attempted to create two appears with just one particular dress by styling it in distinct methods.
louis vuitton outlet is an incredibly cute but additionally sophisticated louis vuitton dress simultaneously and also the coral color is simply remarkable!
The first look is a single you may put on to function when you like a more fashionable louis vuitton neverfull for working. I utilized the dress as a base then added a
brown leather biker the north face jacket, a washed off brown jegging and some brown ankle boots with straps in the north face outlet.

October 19, 2011 |

uggs outlet

China wholesale
wholesale Discount Handbags
Discount Handbags
wholesale Discount Purse
Discount Purse
wholesale Popular Shoes
Popular Shoes
wholesale kid's shoes
wholesale Men's Shoes
wholesale Women's Shoes
wholesale Trendy Belts
Trendy Belts
wholesale Trendy Clothing
Trendy Clothing
wholesale Men's Clothing
wholesale Women's Clothing
wholesale Trendy Hair Care
Trendy Hair Care
wholesale Trendy Hats
Trendy Hats
wholesale Trendy Jewelry
Trendy Jewelry
wholesale Trendy Scarf
Trendy Scarf
wholesale Trendy Sunglasses
Trendy Sunglasses
wholesale Trendy Watches
Trendy Watches
wholesale Coach Handbags
wholesale Gucci Handbags
Cheap Desinger Juicy Handbags
Hotest Ed Hardy Handbags Wholesale
Air Jordan Shoes
wholesale Air Jordan Fusion
wholesale Men's Running Shoes
wholesale Men's Casual Shoes
wholesale Men's Sandals Shoes
Men's Supra Shoes
wholesale 0akley Sunglasses
wholesale True Religion Jeans
wholesale Men's Jeans

October 19, 2011 |

brand name handbags

China wholesale
wholesale jordan shoes
wholesale True Religion jeans
wholesale handbags
wholesale ed hardy
wholesale air jordan shoes
cheap handbags
discount handbags
Discount Ed Hardy Jeans
Cheap True Religion
jordan high heels
Men's Jordan Shoes
wholesale Bags & Handbags
wholesale Abercrombie Fitch shirts
wholesale COACH handbags
cheap COACH handbags
wholesale GUCCI shirts

October 19, 2011 |

Men's Jordan Shoes

October 19, 2011 |

Cheap fashion

North Face Denali Jackets Womens
North Face wWomen S Denali Jacket
Discounted North Face DJackets
North Face 2010
Noth Face
North Face Online
Boys North Face
Down Jackets Women
Thenorthface
North Face Coat
Denali North Face
North Face
Face North
Northface
Women North Face

October 26, 2011 |

the north face

Moncler Jackets are some of the most unique men’s outerwear on the market today. When you wear a Moncler, you aren’t wearing a jacket – you are wearing a piece of art.
For Moncler mens jackets, men's clothing choices will give you a good platform. Taste is a handsome gentleman shows a man, from design to production of Moncler is very strict.
Moncler Jackets, Moncler womens jackets, Moncler Coats, Moncler Vest, Moncler Kids are featured products of Moncler.
Shop for cheap Moncler Jackets from the best Moncler outlet.

October 26, 2011 |

Moncler Coats

Welcome to our smashing Moncler Jackets sales outlet!
Our outlet is teeming with Moncler jackets, Moncler Coats,vests and T-shirts.
If you are searching for Moncler jackets women,we are your shopping paradise on the earth!
Buy Moncler jackets men with best prices and free shipping onlline to protect local workers from the extreme weather conditions.

October 27, 2011 |

Moncler Coats

[url=http://www.coachfactorysoutletonline.org/]Coach Factory Outlet[/url]
Coach Outlet
Coach Outlet Online
<h1>Coach Outlet Store Online</h1>
<h1>Louis Vuitton</h1>
http://www.cheapcoachsbags.net Cheap Coach Bags

October 29, 2011 |

Louis Vuitton

Well written article, which is very attractive, looking forward to your next article. Nothing more than to have a more attractive fashion replica rolex datejust heart. Have replica rolex daytona with elegance.A huge advantage of replica watches is for which you possess many different choices when opting to find an imitation of original design and brand.

October 31, 2011 |

rolex day-date watches

Louis Vuitton cette saison automne, Marc Jacobs lui-même dit: ?Il ya toute de nombreux, très féminin et élégant design, mais elles sont très faciles à ouvrir, il est intéressant à un seul produit, et ne peut votre garde-robe des vêtements avec." Marc Jacobs Sacs Vuitton Sacs le fait de cette idée est des lignes élégantes et romantiques, de souligner que son attitude a toujours préconisé le niveau d'usure, que ce soit un pull, Yuanqun, mi-longueur de la jupe courte à l'avant de la chemise après une longue et étroite pantalon ou une veste, regardez chacun est un mix produit unique et forte. Aujourd'hui, ces marques de luxe sont disponibles dans notre boutique en ligne pour acheter, nous offrons Louis Vuitton Pas Cher, alors vous pouvez facilement obtenir convoité Louis Vuitton produits.

November 1, 2011 |

Louis Vuitton

This is my first time i visit here. I found so many entertaining stuff in your blog, especially its discussion. From the tons of comments on your articles, I guess I am not the only one having all the leisure here! Keep up the good work.wlchengzi2011111
uggs boots clearance
Ugg Classic Short Boots
Ugg Argyle Knit Boots
Ugg Classic Mini Boots
Ugg Classic tall Boots
ugg boots sale
Ugg Classic Cardy Boots
Ugg Nightfall Boots 5359
Ugg Sundance II Boots
Ugg Ultimate Braid Boots
Ugg Tall Sunburst Boots
Ugg Lo Pro Tall Boots
Ugg Gissella Boots 5593
UGG Kids Boots

November 1, 2011 |

Ugg Bailey Button Boots

Storm is very mysterious stargate universe dvd release cared all people by its abruptly emerging. stargate universe dvd release When the dark clouds come to us, all people may run following their first response, but there is a team of storm chasers particularly expecting the coming of storm and do their shocking experiments. is filmed each year Stargate Universe dvd in the central United States

November 2, 2011 |

dvds

Watch is nowadays enormous and universal. Most people like to watch a copy, because it can provide all of the wearer to fake omega watches.

However, before you buy, you should not have any negotiations, on a clear understanding of the replica omega de ville watch.

Watch can be divided into divided into two categories, including the replica omega seamaster watches and watch production in Asia.

The former is generally considered by many the best in the replica omega Speedmaster watch.

November 2, 2011 |

ougami

ugg bailey button sale cardy Wool is going getting a few within finest Merino (Merino sheep).ugg bailey button chestnut is normally a sort of good wool, from Spain, are now produced in Australia for the finest. Not just robust absorption. Can prove smoking. And very light. ugg classic tall sale really feel much more gentle and versatile. Foot could possibly maybe actions concerning the carpet.cardy ugg classic short sale In very a few of Australia’s wool snow boots. Only UGG boots, EMU is produced of Merino wool. Merino wool and wool Affairs intercontinental recognition, ugg classic tall grey it could possibly be no wonder the ugg classic short grey two producers are especially well-known with ugg classic tall sale international stars choose to use.
worried concerning the producer of pro-recall that it severely must be. .Hangzhou LV primarily on account of the fact it absolutely was concerning the industry and industry may be fine. .merely on account of the fact the ugg classic tall navy specifications of domestic merchandise is marked complete three. .The fact is, the experienced prospects to for their fabrication is straightforward. .

Stated expert ugg classic short sale purchased outside the really feel ah uppers. materials uppers. .Heel shoes traditional design of ugg classic short black in business office trademarks (ugg trademugg conventional tallark) slippers, shoes, advantage units to print trademarks are your epidermis coloring concerning the shoes. .ugg bailey button sale and boots are also reinforcing convergence. .Broken. .There is no query within breakdown. There is going to ugg bailey button triplet sale be no floating line. Disconnected. Jumper. In really very great all round upper hand. .collection moderately elastic. .Upper lines are essentially the exact exact sewing machine. .Margins are uniform. .each and every and each and every and ugg bailey button bomber every collection is car or truck Inch 9-pin. .UGG vamps severely really vivid and clean. .Lessen the burden concerning the feet! ugg tall UGG soles have ‘R’ logo along using the registration from the mark has getting ugg boots. concerning the upper affordable ugg classic cardy sale See vamps. .So thatugg cardy gentle boots. Resilient and non-slip. .meet on boots within bottom element using the ugg classic cardy black bigger reinforcement accomplished! ugg classic cardy sale concerning the bottom to include a sponge with non-slip style. .Particularly inside the ugg boots sale united kingdom interface. .

November 3, 2011 |

ugg boots sale

The dashing and extraordinary cheap Ugg Boots you get will attract every eye in a crowd and makes you feel more confident. If you are not having Ugg Boots UK yet, check them out and own them now as were not so affordable ever before. You will not miss them out. Be it Christmas or Valentine's Day or any other special day that you would like to celebrate, a ugg boot sale gift would be just perfect for any occasion. Many people think of the perfect ugg sale uk to purchase for their loved ones. Even if you shop for your special occasion at the last moment, you are sure to find something nice at moncler jackets. moncler outlet gifts are not restricted to just your lover, you could also pick perfect for almost everyone, including your family and friends. What is so extraordinary and unusual when it comes to moncler online is that you have an option to pick and select your own to be attached onto the of your preference. Just in the range of moncler jackets on sale, it provides options of a standard or you could opt for the obsidian. Once you select the bracelet, then you select the charms to be supplemented onto the bracelet. You will have so many options to choose from the ghd australia that it may just get very difficult for you to make a choice. Well the GHD straighteners australia are not limited to the use of bracelets; they can be used on as well. They can be easily hooked on to the GHD hair straighteners australia. So you have accessory which is versatile. One of things appreciated by it's fans is the versatility of cheap GHD Straighteners. To attach your special paul smith uk there is a sterling silver link provided which can hold up to three charms. The good thing is that the paul smith sale is easy to take on and off. So my suggestion to all of those who are considering paul smith london as a gift for your loved ones for any special occasion would be to definitely check out their amazing. The collection is so huge and with lots of variety that you are sure to find paul smith holdall for everyone.

November 6, 2011 |

ghd australia

Coach Outlet Online are full of charm and

irresistibleCheap Coach Bags to women and men.
Why?Coach Factory Outlet Online

There areCoach Online Outlet lots of

reasons,Coach Outlet Store Online such

as itsCoach Purses Outlet superb quality,
Coach Factory Outlet Onlinediverse

patterns, Coach Factory and the excellent

designers.Coach Stores Online No matter you are

a fan of Coach Factory Online, or just a

lover of fashion,Coach Factory Outlet we should

know the Coach Bagsinformation about the
Coach Factory Store Online, today,
we just talk about Coach Online Outlet, which
Coach Outlet Store features its unique shape and

Coach Factory Outlet Onlinecompact size.
Coach Factory is also welcomed by kinds of

womenCoach Factory Outlet Online took its

Coach Factory Outlet name from the fashion

Coach Factory Outlet Online, a

museum whichCoach Handbags contains all kinds of

collections,Coach Outlet Online stands for

the center of artsCoach Factory Outletis the

Coach Online Outlet Storesmallest

size,Coach Factory Online the high lights

ofCoach Factory Store consists in the

luxuriantCoach Purses Outlet details with

graceful and Coach Outlet Onlinefashionable style.

Coach Outlet Due to its unique shape, we may call it pumpkin
Coach Store Online, and as the new line of
Coach Outlet Handbags, it is definitely a trendy

decorationCoach Factory Store for modern

and independent ladies.
Coach Outlet Online Store Nowadays,

Coach Outlet women are more and more capable of working,

in a Coach Factory Bags manner of speaking,

they couldCoach Outlet Store Online be

Coach Factory Outletcompetitive with the men,

Coach Outlet Online Store the most important

Coach Factory Online feature oflouis

vuitton Coach Factory are modern and stylish,
Coach Online Outlet Storeas the majority

customers,Coach Handbags Outlet women have played

Coach Factory Outlet an important

role.Coach Factory Store is crafted in classical

material,Coach Outlet Online which will not be

out of date,Coach Bags with lithe and ethereal leather,
Coach Factory Online broad natural

Coach Factory Outlet Online cowhide

leather Coach Online Outlet Store which also

used as Coach Outlet Onlinethe shoulder strap.

Coach Factory strap is advantageous;
it is Coach Outlet Onlineavailable to
Coach Factory Outlet hand-held or
Coach Factory Outlet is carried
Coach Outlet Online Store over the

shoulder,Coach Outlet Store Online which

is Coach Factory Online related to the situation.

Coach Outlet Online StoreThe metal

plate Coach Outleton its front is
Coach Outlet Store Online and dramatic.

CurvedCoach Online Outlet shape open

makeCoach Outlet Store it well-fitting with

clothes. Coach Online Outlet StoreIts

typicalCoach Factory Store Online

shape and
Coach Factory Store Onlineappearance is

the embodiment Coach Factory Storeof

fashion,Coach Outlet as a timeless piece.
Coach Factory Outlet OnlineAlso there

exist Coach Factory monogrammed pattern and

checkerboard pattern pumpkin
Coach Online Outlet, just like other .

November 10, 2011 |

Coach Outlet Online

Want to learn more about Effortless quit smoking system, then check out James cook's website on how to decide on the top Simple Give up Marijuana Audio Evaluation for your Ugg Outlet Store. And if the substitute they select includes several extra energy, could it be any surprise many smokers put on weight once they give up smoking Ugg Classic Cardy. Certainly one of the essential common excuses I hear from individuals who smoke why they don't would like to prevent smoking is they concern they are going to place on bodyweight Ugg Usa. Within this state of affairs, it turns into a situation of extreme taking in Ugg Outlet Online. Consider this for a instant what different action do people interact in that requires the identical sorts of capabilities Uggs Tall. It's what most people do right after they stop trying smoking which leads to them to position around the fat and none of it really is cigarette smoking relevant Shoes Uggs. This can be when compulsive consuming commences using the place because the "oral motion" substitutes Classic Short Uggs. It should come as no shock that when a person offers up their smoking behavior/addiction they find a appropriate absent substitute requiring exactly the same sorts of abilities and oral gratification Short Uggs. Why are not they slimmer or in a position to take care of off the weight Discount Uggs. The sugar or empty carbs junk foods grow to be their new vice, or if you'll "comfy substitute" Ugg Cardy.

November 10, 2011 |

Short Uggs

November 13, 2011 |

MIN123

Post a New Comment

Enter your information below to add a new comment.

My response is on my own website »

Author:

Author Email (optional):

Author URL (optional):

Post:

↓ | ↑

Some HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>