Trump administration sending Congress $4.1 trillion budget

Posted May 24, 2017

Some Central Valley farm spending would fall.

President Donald Trump's administration has released a breakdown of its attempts to cut back on healthcare and research spending across the government, with proposed cuts to governmental biomedical research centers and the drugs regulator laid down in the fleshed-out Budget. House Majority Leader Kevin McCarthy, a fellow Republican, said lawmakers would have to reform both programs to save them.

"The president's budget respects the American taxpayer", Pruitt said.

Facing opposition, the White House pulled its request for full funding for the wall in the 2017 fiscal year and said it would revisit the issue in the next budget. One is that Mulvaney has run circles around his colleagues and now is the key figure driving Trump economic policy.

Republicans who control the US Congress - and the federal purse strings - will decide whether to make politically sensitive cuts, and the proposal is very unlikely to be approved in its current form. "It's unconscionable and un-American".

The budget assumes that annual economic growth accelerates from 1.6 percent past year to 3 percent by 2021, and remains at that level for the rest of the decade. And let's be clear about this: These cuts would deeply affect poor white Americans, who were instrumental in voting Trump into office.

The proposed cuts drew immediate and harsh criticism.

The Dow Jones industrial average, S&P 500 index and the Nasdaq composite all continued to bounce back from last week's Trump-inspired downdraft, with the Nasdaq closing in on its all-time high, even as Wall Street analysts have been scaling back expectations for Trump's fiscal program.

Tom Frieden, M.D., the former director of the CDC, took to Twitter and called the budget cuts to the agency "unsafe at any level of enactment".

- Cuts $119 million of the $148 million spent on the National Endowment for the Arts for 2018.

The plan would impose user fees of $660 million per year to help pay for U.S. Agriculture Department inspectors at meat and poultry plants.

Trump's allies also argue that his proposals will accelerate economic growth, and that middle- and working-class Americans will be better off even if their share of national income does not increase relative to the richest.

"The President is right to take a close look at spending", says Sen.

Some of Trump's most far-reaching cuts slice into the social safety net.

He singled out the Supplemental Nutrition Assistance Program (SNAP), the modern version of food stamps, which grew rapidly after the financial crisis and had 44 million beneficiaries in 2016.

The plan was crafted with a skeptical eye toward programs that serve the needy. This would hit hard in California's San Joaquin Valley, an area with high unemployment that is predominately represented in Congress by Republicans.

"It probably is the most conservative budget that we've had under a Republican or Democrat administration in decades", said Rep. Mark Meadows (R., N.C.), chairman of the House Freedom Caucus, the caucus of conservative Republican House members.

Trump, who is traveling overseas and will miss the unveiling of his plan, wants lawmakers to cut $3.6 trillion in government spending over 10 years, balancing the budget by the end of the decade, according to a preview given to reporters on Monday.

This year that sentiment has more bipartisan support.

"Three percent, I'm not seeing how you get there mathematically", said Rep. Mark Sanford, R-S.C. "It's important to adequately fund the critical programs and services many Americans, like my constituents in California's Central Valley, rely on every day".

Trump's blueprint for the 2018 budget year comes out Tuesday. But the administration's budget would cut more than $600 billion from Medicaid and the federal Children's Health Insurance Program on top of the $250 billion saved from repealing and replacing the Affordable Care Act.

Mr. Trump's advisers portrayed the steep reductions as necessary to balance the nation's budget while sparing taxpayers from shouldering the burden of programs that do not work well.. Kamala Harris, a California Democrat, throwing 11,030 children off early childhood education.

"Looking at defense specifically, this is not a historic budget - much less a buildup", said Mackenzie Eaglen, an analyst at the American Enterprise Institute, a think tank based in Washington.