Budget Winners and Losers

By Susan Fourney and Kelly Martin

April 10, 2013

While federal deficit reduction and sequestration have dominated the national conversation during the past year, not all agencies would see spending cuts under President Obama’s fiscal 2014 budget proposal.

Eight departments and major agencies would see increases in discretionary funding under the president’s plan. The State and Commerce departments would see the biggest hikes over actual spending levels in fiscal 2012. State would receive a 15.6 percent increase, from $41.6 billion to $48.1 billion, while spending at Commerce would rise 11.7 percent, from $7.7 billion to $8.6 billion.

Still, Obama said Wednesday that his plan includes difficult cuts to grow the economy and ensure the nation lives within its means.

“This budget continues my commitment to reforming and streamlining our government for the 21st century,” the president’s budget message states. “It builds on my Campaign to Cut Waste by further targeting and eliminating wasteful spending wherever we find it. It reorganizes and consolidates agencies and programs to make them leaner and more efficient. It increases the use of evidence and evaluation to ensure we are making smart investments with our scarce taxpayer dollars. And it harnesses new technologies to allow us to do more with less.”

For the second consecutive year, the Justice Department is in line for the biggest request reduction by far -- 39.4 percent -- from $26.9 billion to $16.3 billion. Justice officials note, however, that excluding changes in mandatory programs, the department's  spending power would increase by 3.1 percent over its fiscal 2012 enacted budget. The next largest cut would be absorbed by the Small Business Administration. After a budget increase last year, SBA spending would be reduced by 11.1 percent, from $900 million  to $800 million.

Here's a look at how the major agencies would fare under Obama’s proposal.

Correction: The original version of this article misstated figures for the Small Business Administration and the percent change for the Interior Department. This story also has been updated to include comment from the Justice Department.


By Susan Fourney and Kelly Martin

April 10, 2013

http://www.govexec.com/management/2013/04/budget-winners-and-losers/62404/