Wednesday, February 09, 2005

The Proposed 2006 Federal Budget

---Taken from DNC

The proposed 2006 federal budget the President released (on 2.7.05) leaves out the cost of the wars in Iraq and Afghanistan, currently running at $5 billion per month. It leaves out the cost of Social Security privatization scheme and makes other unrealistic assumptions and ignores costs in an attempt to paint the rosiest picture possible. Overall, it does nothing to decrease the deficit.

In fact the budget includes cuts to programs that will hurt Americans who need the most help. Areas to cut include: Medicaid, Veterans' health benefits (forcing veterans to pay more for health care), College loans, Education programs that help poor children, Farm subsidies, and Community development grants.
Bush's allies in Congress are already expressing their opposition to the cuts in his budget. One Wall Street economist called the numbers "not credible," saying they "haven't been for the last few years and they shouldn't be looked at with much seriousness now."

---Taken from The Week, February 18, 2005, Vol. 5, Iss. 195, pp. 5

President Bush this week sent Congress, a $2.6 trillion federal budget that calls for the deepest cuts in domestic spending since the Reagan era. The budget increases funding for the Pentagon and Homeland security, while slashing or eliminating 150 programs deemed "nonessential.” On paper, the budget honors the president's campaign pledge to cut the deficit in half by 2009. But its projections omit that the estimated $754 billion cost of proposed Social Security reforms, $1.1 trillion for making the tax cuts permanent, and the cost of ongoing military operations in Iraq and Afghanistan, which are currently running $5 billion a month. 200,000 to 300,000 people will lose food stand benefits. A program to help low-income parents will benefit 300,000 fewer children.

---DNC 3.2.05 Newsletter reports that:

Here are just a few of the cuts Washington faces under Bush's 2006 budget:

Homeland Security
The Bush 2006 budget cuts $420 million to state and local funding for homeland security, including a $21.2 million cut for Washington. These cuts will take police and firefighters off your streets.
The Bush budget cuts the COPS program, which has put 1,982 officers on Washington streets, by 96 percent.

Health Care
The Bush budget cuts $45 billion from Medicaid, enough to provide health care to 1.8 million children. Washington's share of these cuts is $748 million.
Bush's budget cuts the very same community and rural health care programs he touted during the campaign, even though more than 152,000 Washington residents have lost their health care coverage since Bush took office due to his failures.

Education
Bush underfunds his own No Child Left Behind Act by $13.1 billion in his budget. In Washington, that means a shortfall of $215.2 million, leaving behind 38,722 Washington children.
Bush promised to fund Pell Grants in his State of the Union address, but his budget is $6.6 billion short. That's $110 million less than what's needed in Washington, a real burden for the 81,450 students in Washington who receive the grants.

Other Priorities
The Bush budget would require many veterans to pay a new $250 annual "user fee" to use the Veterans Administration health care system, and would double the prescription drug co-payment for the 670,628 Washington veterans.
Bush cuts Washington clean water programs by $6.7 million.
Bush's 2006 budget also cuts the Low Income Heating Energy Assistance Program -- which helps low-income families afford heating fuel in the winter -- by $234.4 million, including $4.5 million cut for Washington residents.

And Bush's irresponsible budget is a record $427 billion in the red, increasing each Washington family's share of the federal debt by $36,587.