Trump budget proposal counts on optimistic growth, deep cuts

Trump budget proposal counts on optimistic growth, deep cuts

Kerry Wise
March 13, 2019

Trump invoked the emergency declaration after Congress approved almost $1.4 billion for border barriers, far less than the $5.7 billion he wanted.

Speaking on CNBC Monday, Vought confirmed that the $8.6 billion border request was part of Trump's spending blueprint for the 2020 budget year, which begins October 1. He plans to ask Congress for an additional $8.6 billion in funding for the construction of a border wall along the United States' southern border. The top Republican on the House Appropriations subcommittee that funds the Environmental Protection Agency - Bainbridge Township Rep. Dave Joyce - pledged to work with his colleagues to "address the threats facing the Great Lakes and ensure that we make the necessary investments to protect them to the fullest extent possible". "Despite bemoaning deficits, it calls for making the costly 2017 tax cuts - which largely benefit those who already have high incomes and wealth - permanent", it said in response to the budget plan. House Speaker Nancy Pelosi called his cuts "cruel and shortsighted ... a roadmap to a sicker, weaker America".

While giving the bloated Pentagon "even more than it hoped for" by boosting USA military spending to $750 billion - anincrease of $34 billionfrom past year - President Donald Trump's 2020 budget would cut Medicaid by $1.1 trillion over the next decade.

At the federal level, the budget's $4.7 trillion in spending and $3.6 trillion in projected revenues results in a $1.1 trillion deficit in FY20, followed by two more years where the deficit remains above $1 trillion.

Unfortunately, the budget deficit - and a national debt that has grown more than $2 trillion under Trump - has faded nearly totally as a political issue. But it would not balance the budget between spending and expected taxpayer funds for 15 years, long after Trump leaves office, even if he does win re-election next year.

'As you know this is an area where we're exhausted of being right, ' said acting Office of Management and Budget director Russ Vought on CNBC on Monday morning.

Ms. Lowey said the House, Senate and White House need to agree on another framework to increase the spending caps, though the administration said Democrats' insistence on equivalent increases for defense and domestic spending in past budget deals is a major part of Washington's fiscal problems.

The request is just a part of the president's 2020 budget blueprint, which he's expected to present to lawmakers on Monday.

Some fiscal watchdogs, though, panned the effort as more piling on of debt by Trump with no course correction in sight.

Presidential budget proposals rarely make it into law as is, as Congress usually puts its stamp on federal spending.

"President Trump hurt millions of Americans and caused widespread chaos when he recklessly shut down the government to try to get his expensive and ineffective wall, which he promised would be paid for by Mexico", they said. Fresh off the longest government shutdown in history, his 2020 plan shows he is eager to confront Congress again over the wall.

Parents blame North Korea's 'evil regime' for son's death
During their two-day nuclear summit in Hanoi, Trump referred to Kim as "my friend" in a tweet and praised their relationship. That countered Trump's comments that he took Kim Jong Un "at his word" he wasn't aware of Warmbier's treatment.

According to The Daily Caller, Trump's request includes $5 billion for the Department of Homeland Security and $3.6 billion for the Defense Department's military construction budget to build more sections of the wall.

The White House said $1.9 trillion of the cuts would come from mandatory spending programs such as Medicare and Medicaid - the key drivers of an ever-increasing $22 trillion national debt - through measures such as lowering prescription drug costs for seniors and shifting Medicaid toward a block grant system for states.

Democratic Senator Debbie Stabenow said the budget cut would jeopardise the Usda's ability to implement the farm bill at a time when farmers are struggling with economic instability and trade uncertainty. The president has resisted big, bipartisan budget deals that break the caps - threatening to veto one previous year - but Congress will need to find agreement on spending levels to avoid another federal shutdown in the fall.

Trump has turned again to seek more U.S. taxpayer dollars for his project.

This year's battle will begin in earnest this week, as spending panels in both the Senate and House of Representatives are scheduled to begin reviewing the president's request.

Officials at NASA Glenn Research Center were happier with how they'd fare under Trump's proposed $21 billion budget for the National Aeronautics and Space Administration.

Trump is signaling that he wants a fight. Military spending would increase from $715 billion this year to $750 billion. But even with Republican control of Congress during the first two years of the Trump administration, deficits were on a steady march upward.

Even with the cuts, which the White House said would add up to $2.7 trillion in savings over a decade, the budget office said budget would not balance until 2034, exceeding the traditional 10-year outlook.

President Donald Trump's 2020 budget provides for a five percent increase in defense spending, notably to finance building his controversial border wall, while slashing funds for diplomacy by 23 percent.

President Donald Trump during an event in the Rose Garden at the White House to declare a national emergency in order to build a wall along the southern border, on February 15, 2019.

The budget arrives as the Senate readies to vote this week to terminate Trump's national emergency declaration. Congress appears to have enough votes to reject Trump's declaration, but not to overturn his pledged veto of their action. That standoff led to a 35-day partial government shutdown, the longest in US history.