Federal Budget Fiasco

Elizabeth Quick

Proposed federal spending for 2006. Chart: War Resisters League [www.warresisters.org].

Early in February, President Bush unveiled his $2.57 trillion federal budget proposal for 2006. Bush's budget starkly reveals what he values and what he does not.

The plan claims to reduce the current record deficit of $427 billion to $390 billion, but this amount excludes the projected cost of the Iraq war for 2006. Current projections put the 2006 figure for warfare expense at $80 billion if current rates are maintained.

Also notably absent are transition costs for Bush's proposed Social Security overhaul. Yet, Bush remains "upbeat" and maintains that his goal of reducing the deficit by 2009 can still be met - by "sharper reductions in spending" during the next few years. Bush declared, "It is a budget that sets priorities. Our priorities are winning the war on terror, protecting our homeland, growing our economy. It's a budget that focuses on results."

Where the Money Is Going
The increases represented in Bush's budget proposal should come as no surprise to those familiar with his policies. The 2006 budget boosts the Defense Department by 4.8%, for a cumulative 38.6% increase over the past five years. The Department of Homeland Security would see a 7% increase. State Department and foreign aid spending would increase by 15.7%. The State Department budget would create a $100 million fund "to quickly deploy civilian personnel to unstable regions." These projected increases do not include an expected additional request for continued funding of the Iraq war.

Where the Money Isn't Going
Where the money is not going in Bush's proposed budget covers much more territory than where it is going. To fund the Iraq war, Defense and Homeland Security, the money would be taken from other programs, many of which are already under-funded.

According to the Center for Human Need, Bush's budget "…cuts services and Elizabeth is a United Methodist pastor serving a congregation in Oneida, NY. Proposed Federal spending for 2006. Chart: War Resisters League [www.warresisters.org]. benefits that offer people the opportunity to rise out of poverty, while protecting tax cuts for the affluent."

For example, cuts would be made to Medicaid and Food Stamps, "two of the services most vital to low-income and vulnerable people." The budget cuts programs that support farmers. It calls for block grants - i.e. a reduction in overall funds - for HeadStart, housing, job training, child welfare, and other community service programs. It would place "a rigid five-year cap on a wide range of services" that will further devastate human needs programs.

Ironically, despite Bush's priority of "homeland security," the budget would also cut police department and firefighter funding. The Environmental Protection Agency would be cut by 5.6%, and the Centers for Disease Control and Prevention by 12.4%, undermining HIV/AIDS education and prevention. Education cuts would include reducing elementary education, special education, literacy, and English as a Second Language funding.

Closer to Home
Bush's budget proposal shifts problems from the federal government to state and local government, leaving them to deal with larger problems with even more limited funds. The National Governor's Association opposes Bush's proposed budget, saying that the budget must "save both the states and federal government money, as opposed to shifting costs to the states through budget cuts, caps or other mechanisms."

With the budget proposing block grant funding, many social service programs are lumped together. The Community Development Block Grant Program (CDBG), which provides funding for cities' special programs, would be eliminated. Instead of individual programs like CDBG, grant chunks will be given to state and local governments, with reduced funding to divvy up among the same number of programs.

State and local governments, with less money to divide, will have to "reduce benefits, eligibility" and modify "program rules in order to control costs." These block grants can result in as much as a 40% total aid decrease to cities in New York State. Bush's 2006 budget proposal suggests less funding for these new block grants than the CDBG program alone received for 2005.

Bush's budget won't just hurt federal programs. It'll have ripple effects in state and local budgets. They'll have to scramble and make cuts of their own. In Central New York and around the state, we can expect to see reduced

Medicaid payments, reduced mental health support, reduced tuition aid and SUNY cuts, and reduced contributions to state pension funds.

According to Senator Schumer, the proposed budget would also eliminate funding for Amtrak, purging more than 500 jobs in Upstate New York. Syracuse's 2004-2005 CDBG grant totaled $7.4 million. This was money used for programs like creating low-income housing, creating and retaining jobs, and supporting services like the Boys & Girls Club, Parks, Recreation & Youth Programs, Big Brothers & Big Sisters,

and the Westcott Community Center. The outlook is grim, as local communities must prepare to make painful cuts in such programs.

Act Now
The clock is ticking - now is the time to contact our elected officials to voice our concern over Bush's proposed budget. Write, call, or email Senators Schumer and Clinton, Congressman Walsh and local officials. Tell them to fight for our communities, and advocate for our futures.

Elizabeth is a United Methodist pastor serving a congregation in Oneida, NY.