House Budget Committee Adopts Severe Five-Year Caps On Discretionary Programs

Publication Date: March 2004

Publisher: Center on Budget and Policy Priorities (Washington, D.C.)

Author(s):

Research Area: Banking and finance

Keywords: Federal budget; Fiscal future; Economic projections

Type: Report

Abstract:

The House Budget Committee adopted legislation on March 17 that would set caps on discretionary programs for each of the next five years. This legislation raises serious concerns.

The caps in the legislation are designed to lock in the steep cuts in domestic discretionary programs outside homeland security that are featured in the House Budget Committee’s new budget plan (i.e., in the budget resolution the Committee approved) and in the budget the Senate adopted on March 12. (The legislation the House Budget Committee approved would set the caps at the discretionary spending levels included in the final budget resolution that the House and Senate work out in conference.) The House Budget Committee plan calls for $113 billion in funding reductions over five years in domestic discretionary programs outside homeland security. The Senate plan calls for $117 billion in cuts in these programs.