Trump’s budget plan DOA after budget deal
Submission due today would slash domestic agencies.
WASHINGTON — In a twist on Washington’s truism about presidential budgets being DOA, President Donald Trump’s 2019 fiscal plan due today is dead before it gets there.
The original plan was for Trump’s new budget to slash domestic agencies even further than last year’s proposal, but instead it will land in Congress three days after he signed a two-year budget agreement that wholly rewrites both plans.
Trump’s submission was completed before the budget pact delivered the nearly $300 billion increase above prior “caps” on spending. The 2019 budget was designed to double down on last year’s proposals to slash foreign aid, the Environmental Protection Agency, home heating assistance and other nondefense programs funded by Congress each year.
“A lot of presidents’ budgets are ignored. But I would expect this one to be completely irrelevant and totally ignored,” said Jason Furman, a top economic adviser to President Barack Obama. “In fact, Congress passed a law week that basically undid the budget before it was even submitted.”
Trump would again spare Social Security retirement benefits and Medicare as he promised during the 2016 campaign. And while his plan would reprise last year’s attempt to scuttle the “Obamacare” health law and sharply cut back the Medicaid program for the elderly, poor and disabled, Trump’s allies on Capitol Hill have signaled there’s no interest in tackling hot-button health issues during an election year.
Instead, the new budget deal and last year’s tax cuts herald the return of trillion dollar-plus deficits. Last year, Trump’s budget predicted a $526 billion budget deficit for the 2019 fiscal year starting Oct. 1; instead, it’s set to exceed $1 trillion once the cost of the new spending pact and the tax cuts are added to Congressional Budget Office projections.
The White House is putting focus this year on Trump’s long-overdue plan to boost spending on the nation’s crumbling infrastructure. The plan would put up $200 billion in federal money over the next 10 years to leverage $1.5 trillion in infrastructure spending, relying on state and local governments and the private sector to contribute the bulk of the funding.
Critics contend the infrastructure plan will fail to reach its goals without more federal support. Proposals to streamline the permitting process as a way to reduce the cost of projects have generated opposition from environmental groups.
Administration officials, briefing reporters on details of the plan before the budget was released, said the $200 billion in federal support would come from cuts to existing programs.
The White House budget office said Friday that today’s submission would reflect stringent limits on appropriated spending — that’s the more than $1 trillion spent each year for agency operations — that were the hangover from a failed 2011 budget deal. Last year, Trump promised a $54 billion, 10 percent increase for the Pentagon, financed by an equal cut to foreign aid and domestic agencies.
What Congress instead delivered on Friday was a budget law would instead increase defense by $80 billion this year and boost nondefense appropriations by $63 billion. For the 2019 budget year submitted today — and Trump’s plan as originally devised would adhere to the old limits — Congress already has shattered the spending cap by $153 billion.
“Our leadership caved. The swamp won. And the American taxpayer lost,” said Rep. Mark Meadows, R-N.C., Sunday on CBS’ “Face The Nation.”