WASHINGTON (AP/CNN/KHON2) — President Donald Trump fulfilled a major campaign promise Tuesday, proposing a $4.1 trillion budget plan that would upend Washington in a big way.
According to the White House: “President Trump’s first proposed budget shows respect for the people who pay the bills. The administration’s proposal reverses the damaging trends from previous administrations by putting our nation’s budget back into balance and reducing our debt through fiscally conservative principles, all the while delivering on President Trump’s campaign promise not to cut Social Security retirement or Medicare. The budget’s combination of regulatory, tax, and welfare reforms will provide opportunities for economic growth and creation.”
“We will bring back 3-percent economic growth to the country and those numbers are assumed in this budget. By the way if you don’t, the budget will never balance. If you assume 1.9-percent growth, my guess is you’ll never see a balanced budget again, so we refuse to accept that’s the new normal in this country. Three percent will be the new normal again under the Trump administration,” said Mick Mulvaney, director of the Office of Management and Budget.
Trump’s budget director says he’s favoring people who put into the system over those who take out.
“It struck me that that’s what was really new, or one of the things that was new about this budget. That we looked at this budget through the eyes of the people who are actually paying the bills. I think for years and years, we’ve simply looked at a budget in terms of the folks who are on the back-end of the programs, the recipients of the taxpayer money, and we haven’t spent nearly enough time focusing our attention on the people who pay the taxes,” said Mulvaney.
But critics say those opportunities would come at the expense of programs like Medicaid, food stamps, student loans, and retirement plans for federal workers. Experts say those programs will lose almost a trillion dollars in funding over 10 years.
Hawaii’s Congressional delegation blasted the proposal, noting that those cuts would be devastating for the state.
“President Trump’s budget proposal is not just radical, it’s cruel. But make no mistake – this budget is dead on arrival. When the administration tried to cut these programs for this fiscal year, we didn’t let it happen. This time is no different. I will fight as a member of the Appropriations Committee to protect the programs that make our local economy and our communities stronger.” — Sen. Brian Schatz
“President Trump’s budget is dangerous for Hawaii families. It dismantles Medicaid, breaks his promise not to cut Social Security, eliminates Native Hawaiian programs, slashes food stamps and other support for working families, guts federal education programs, and defunds federal investments that create local jobs. I will fight tooth and nail in opposition to these dangerous and devastating cuts to programs Hawaii families depend on every day.” — Sen. Mazie Hirono
“The president’s budget proposal put forward today will be damaging to the people in our communities and the places that we call home. It cuts Medicaid by over $600 billion, cuts the food stamp program by over 25%, affecting the most needy within our communities. It slashes infrastructure programs, eliminates TIGER grants, cuts student loan and financial aid programs, and includes catastrophic cuts to the Environmental Protection Agency. In my home state of Hawai’i, this budget zeros out federal funding for the Native Hawaiian Housing Block Grant, the Native Hawaiian Loan Guarantee Program, and cuts Native Hawaiian Education programs by $33 million dollars, crippling the progress that’s been made for over 30 years to strengthen Native Hawaiian early education, literacy, gifted and talented education programs, higher education, vocational programs and more. I strongly oppose this budget, and look forward to working with my colleagues in Congress to pass a budget that actually serves the people and our planet.” — Rep. Tulsi Gabbard
“President Trump clearly hasn’t listened to the people as his FY18 Budget is a reincarnation of his skinny budget, reflecting his complete disregard for the elderly, sick, disabled and working families.” — Rep. Colleen Hanabusa
Hirono highlighted the impact of Trump’s budget to key Hawaii services below:
Native Hawaiian Education Program: $0
The Native Hawaiian Education program funds throughout the state.
Native Hawaiian Housing Block Grants: $0
This program received $2 million in funding in Fiscal Year 2017.
University of Hawaii Sea Grant College Program: $0
Since 1968, the University of Hawaii Sea Grant College Program has promoted better understanding, conservation, and use of coastal services.
East-West Center: $0
Essential Air Service: 50% cut
The Essential Air Service program supports air transportation to Kalaupapa and Kamuela.
Manufacturing Extension Partnership: $0
Last year, Innovate Hawaii received $500,000 from the Manufacturing Extension Partnership. Innovate Hawaii used this funding to support 49 companies resulting in $17.3M in additional investments, $28.3M in increased company revenue, 565 saved jobs, and 72 new jobs.
Rural Water & Wastewater Loans and Grants: $0
The Hawaii Rural Water Association relies on Rural Water & Wastewater Loans & Grants because small utilities are often not able to access other funding programs.
Weatherization Assistance & State Energy Program: $0
In Fiscal Year 2016, Hawaii received $477,000 to assist Hawaii families with improving energy-efficient technology in their homes.
Community Development Financial Institutions (CDFI) Fund Native American/Native Hawaiian Programs: $0
CDFIs are financial institutions that support community development, and include Bank of Hawaii, a number of Hawaii credit unions, and the Council for Native Hawaiian Advancement.
Community Development Block Grant and HOME Investment Partnership Programs: $0
CDBG and HOME funds provide resources that each of Hawaii’s counties uses to invest in community development and affordable housing projects.
Community Services Block Grant (CSBG): $0
The CSBG program provides Hawaii’s four Community Action Agencies with resources to provide a variety of services for low-income and working families, seniors, people with disabilities, and children.
Medicaid: $610 billion cut
Nearly 350,000 Hawaii residents depend on Medicaid to access health care.
The Associated Press broke down how Trump’s proposed $4.1 trillion federal spending plan would affect individual government agencies.
Up or down? Down 5 percent
Highlight: The proposed budget would limit subsidies to farmers, including a cut in government help for purchasing crop insurance. Crop insurance is overwhelmingly popular program with farm-state senators in both parties, and previous farm bills have only increased spending. The budget would also limit spending on environmentally friendly conservation programs and some rural development dollars that help small towns build infrastructure.
Trump isn’t the first president to try to limit farm subsidies. Presidents Barack Obama and George W. Bush also proposed major reductions, but farm-state lawmakers have always kept them going. The Republican chairmen of the Senate and House agriculture committees both said Tuesday they oppose Trump’s proposed cuts.
Total spending: $132.3 billion.
Spending that needs Congress’ annual approval: $18 billion.
Up or down? Down 15.4 percent
Highlight: The budget would eliminate three economic development agencies and several grant programs aimed at preserving the environment and dealing with climate change. The Minority Business Development Agency, the Economic Development Administration and the Manufacturing Extension Partnership would be eliminated.
The budget would also eliminate several grant programs run by the National Oceanic and Atmospheric Administration: the Sea Grant, the National Estuarine Research Reserve System, Coastal Zone Management Grants, the Office of Education and the Pacific Coastal Salmon Recovery Fund.
Total spending: $8 billion.
Spending that needs Congress’ annual approval: $7.8 billion.
Up or down? Up 3.3 percent
Highlight: The Pentagon’s proposed 2018 budget would fund increases of almost 43,000 in the size of the active duty military and 13,000 in the Reserves. It provides troops a 2.1 percent pay raise, adds F/A-18 fighter jets and seeks a new round of base closures, which Congress routinely rejects. It also increases the amount of money used for training Afghan forces and conducting counterterror operations in Afghanistan. The budget includes $64.6 billion for military operations in Iraq, Syria, Afghanistan and Africa.
Total spending: $647 billion.
Spending that needs Congress’ annual approval: $639.1 billion.
Up or down? Down 46.9 percent
Highlight: Eliminates after-school and teacher training programs, ends subsidized federal student loans and loan forgiveness programs for public servants, funds year-round Pell grants and expands funding for school choice for low-income students.
Total spending: $61 billion
Spending that needs Congress’ annual approval: $59 billion
Up or Down? Down 5.7 percent
Highlight: Trump’s budget would sell off nearly half the nation’s Strategic Petroleum Reserve, 270 million barrels, over the next 10 years as a way to reduce the budget deficit. The reserve is an emergency fuel storage maintained underground in Louisiana and Texas. Budget director Mick Mulvaney said the sale would not cause a security risk because of an increase in oil production from fracking. The administration says the plan would bring in a projected $17 billion over 10 years.
The budget also would hike spending for the National Nuclear Security Administration, which is responsible for maintaining the nuclear stockpile, while cutting other energy spending. The budget seeks $120 million to revive the mothballed Yucca Mountain nuclear waste repository, which is hugely unpopular in Nevada and was largely stopped by the efforts of former Democratic Sen. Harry Reid.
Total spending: $28 billion
Spending that needs Congress’ annual approval: $28 billion
ENVIRONMENTAL PROTECTION AGENCY
Up or down? Down 31 percent.
Highlight: The budget cuts EPA by nearly one-third, eliminating more than 3,800 jobs while imposing dramatic cuts to clean air and water programs. Adjusted for inflation, the proposed budget would represent the nation’s lowest funding for environmental protection since the mid-1970s. The Superfund pollution cleanup program would be cut by $330 million, to $762 million.
Total spending: $5.7 billion.
Spending that needs Congress’ annual approval: $5.7 billion.
HEALTH AND HUMAN SERVICES
Up or down? Down 1.3 percent
Highlight: The budget initiates deep cuts to health insurance programs for people with modest incomes, including coverage for children. Those cuts would go beyond the House GOP bill that repeals much of the Affordable Care Act, also known as “Obamacare,” and limits future federal financing for Medicaid.
Total spending: $1.1 trillion
Spending that needs Congress’ annual approval: $65.3 billion
Up or down? Down 3.2 percent
Highlight: The budget asks Congress for $2.6 billion for border security that would include a down payment for Trump’s long-promised wall and increased technology along the U.S.-Mexican border. The budget calls for $314 million to hire 500 new Border Patrol agents and 1,000 agents for Immigration and Customs Enforcement. It also requests a $1.5 billion increase for ICE to arrest, detain and deport immigrants in the country illegally. The plan also proposes cutting about $667 million in grants administered by the Federal Emergency Management Agency. That includes proposed cuts to the Urban Area Security Initiative and eliminating the Transportation Security Administration’s law enforcement grants.
Total spending: $49.4 billion
Spending that needs Congress’ annual approval: $44.1 billion
HOUSING AND URBAN DEVELOPMENT
Up or down? Down 22.9 percent
Highlight: The budget would eliminate HUD’s Community Development Block Grant program, a $3 billion effort that funds local improvement projects, affordable housing construction and other social supports like meals for seniors and enrichment programs for low-income children. The budget proposal says the program is not well targeted to poor populations and hasn’t showed measurable impact on communities. The administration’s budget also seeks to cut costs to the department’s rental assistance programs — a $2 billion decrease to $35.2 billion. Rental assistance programs comprise about 80 percent of the agency’s total funding.
Total spending: $40 billion.
Estimated spending that needs Congress’ annual approval: $40 billion.
Up or Down? Down 9.2 percent
Highlight: The budget calls for opening Alaska’s Arctic National Wildlife Refuge to oil and gas drilling, where it is now prohibited, while eliminating offshore oil revenues used by Gulf Coast states to restore disappearing shorelines. Arctic drilling, a contentious issue that would require congressional approval, would generate an estimated $400 million a year in tax revenues by 2022, according to the White House. Elimination of revenue-sharing to the four Gulf Coast states — Alabama, Louisiana, Mississippi and Texas — would generate $1.6 billion over the next five years, the document says. The proposal also includes money for seismic surveys to provide data for possible offshore drilling in the Atlantic Ocean where it is now barred.
The budget would cut $10 million from a program to manage wild horses and burros in the West and allow the Bureau of Land Management to sell or euthanize thousands of horses that now roam in Nevada, Oregon and other western states. More than 70,000 wild horses and burros roam federal lands across the West, a number that officials call unsustainable.
Total spending: $12.5 billion
Spending that needs Congress’ annual approval: $11.7 billion
Up or down? Down 19.1 percent
Highlight: The budget adds $26 million for 300 new assistant U.S. attorneys to fight gangs, violent crime and illegal immigration. Attorney General Jeff Sessions has identified those areas as his top priorities. The plan calls for 230 of these prosecutors to be stationed in yet-to-be-named cities deemed hot spots for violence.
Another 70 will be assigned to border states, focusing on those who enter and re-enter the country illegally after deportation, as well as document-fraud, human smuggling, drug trafficking and other immigration-related offenses.
Total spending: $31.6 billion.
Spending that needs Congress’ annual approval: $27.7 billion
Up or down? Down 3.3 percent.
Highlight: Trump is proposing cuts in job training programs including $434 million for the Senior Community Service Employment Program, $238 million by closing Job Corps centers, and $68 million for the Bureau of International Labor Affairs. He is proposing $90 million more for apprenticeships that result in jobs and a parental leave program of six weeks.
Total spending: $45.8 billion.
Spending that needs Congress’ annual approval: $9.7 billion
Up or down? Down 1.2 percent
Highlight: The budget cancels five planned missions to observe Earth and monitor climate change, saving $191 million. It eliminates an Obama-era mission to send astronauts to an asteroid. It also slashes NASA education spending by two-thirds and makes smaller cuts to exploration and space operations, along with increases in spending to explore other planets.
Total spending: $19.1 billion.
Spending that needs Congress’ annual approval: $19.1 billion
Up or down? Down 31.7 percent
Highlight: Eliminates funding for the U.N. children’s agency, UNICEF, as part of a $780 million cut to international organizations. Also eliminates $1.6 billion in funding for climate change and slashes assistance for refugees and global health. That includes $222 million cut in an international fund for fighting AIDS, tuberculosis and malaria. Proposal also ends $523 million for international family planning programs.
Total spending: $40.2 billion.
Spending that needs Congress’ annual approval: $40.2 billion, includes $12 billion from the Overseas Contingency Account.
Up or down? Down 2.2 percent.
Highlight: Trump proposes that the government pay $200 billion toward the $1 trillion cost of improving the nation’s infrastructure — rebuilding aging roads, bridges, water systems and more. Private investments would pay the rest, under his plan. He’s also suggesting cutting grants to Amtrak long distance services by $630 million and reducing the Highway Trust Fund by $95 billion over a decade.
Total spending: $75.7 billion
Spending that needs Congress’ annual approval: $16.2 billion
Up or down? Up 6.7 percent
Highlight: Treasury oversees the Internal Revenue Service and the agency responsible for managing the government’s payment systems. The IRS would see a 2.1 percent budget cut, but says it will continue to seek less costly ways of delivering taxpayer services. Trump’s budget would provide increased investment for cybersecurity as well as implementing the sanctions program to combat terrorist financing. The budget would also seek initial funding to replace the aging Washington facility for the Bureau of Engraving and Printing that produces the nation’s paper currency.
Total spending: $601 billion
Spending that needs Congress’ annual approval: $12.1 billion
Up or down? Up 3.7 percent
Highlight: The budget proposes a $4.3 billion increase in discretionary spending, mostly to pay for medical care at more than 1,200 VA facilities nationwide serving about 9 million enrolled veterans. That’s a 5.8 percent increase as the Department of Veterans Affairs expands its network to include more private health providers. The budget also calls for $2.9 billion in mandatory budget authority for 2018 and $3.5 billion in 2019 to pay for expansion of the Veterans Choice private-sector program. To help pay for rising costs from that program, the VA would cap the amount of educational benefits veterans receive under the GI bill to roughly $21,000 a year and halt “individual unemployability” benefit payments to out-of-work disabled veterans once they reach retirement age.
Total spending: $183.1 billion
Spending that needs Congress’ annual approval: $78.8 billion