Trump Releases His First Budget Blueprint: Here Are The Winners And Losers

Tyler Durden's picture

Update: echoing comments made by Senator Lindsey Graham, a South Carolina Republican who serves on the Senate Foreign Relations Committee, the top House Democrat said that the Trump budget proposal is "dead on arrival."

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Today at 7am, Trump released his "skinny budget", his administration's first federal budget blueprint revealing the President's plan to dramatically reduce the size of the government. As previewed last night, the document calls for deep cuts at departments and agencies that would eliminate entire programs and slash the size of the federal workforce. It also proposes a $54 billion increase in defense spending, which the White House says will be offset by the other cuts.

“This is the ‘America First’ budget,” said White House budget director Mick Mulvaney, a former South Carolina congressman who made a name for himself as a spending hawk before Trump plucked him for his Cabinet, adding that “if he said it in the campaign, it’s in the budget.”

In a proposal with many losers, the Environmental Protection Agency and State Department stand out as targets for the biggest spending reductions. Funding would disappear altogether for 19 independent bodies that count on federal money for public broadcasting, the arts and regional issues from Alaska to Appalachia. Trump's budget outline is a bare-bones plan covering just "discretionary" spending for the 2018 fiscal year starting on Oct. 1. It is the first volley in what is expected to be an intense battle over spending in coming months in Congress, which holds the federal purse strings and seldom approves presidents' budget plans.

Trump wants to spend $54 billion more on defense, put a down payment on his border wall, and breathe life into a few other campaign promises. His initial budget outline does not incorporate his promise to pour $1 trillion into roads, bridges, airports and other infrastructure projects.  The budget directs several agencies to shift resources toward fighting terrorism and cybercrime, enforcing sanctions, cracking down on illegal immigration and preventing government waste.

The White House has said the infrastructure plan is still to come.

That said, Congress controlled by Trump's fellow Republicans, is likely to reject some or many of his proposed cuts with some republicans calling the budget "dead on arrival." Some of the proposed changes, which Democrats will broadly oppose, have been targeted for decades by conservative Republicans. Moderate Republicans have already expressed unease with potential cuts to popular domestic programs such as home-heating subsidies, clean-water projects and job training.

Trump is willing to discuss priorities, said Mulvaney. "The president wants to spend more money on defense, more money securing the border, more money enforcing the laws, and more money on school choice, without adding to the deficit," Mulvaney told a small group of reporters during a preview on Wednesday. "If they have a different way to accomplish that, we are more than interested in talking to them," Mulvaney said.

The defense increases are matched by cuts to other programs so as to not increase the $488 billion federal deficit. Mulvaney acknowledged the proposal would likely result in significant cuts to the federal workforce. "You can’t drain the swamp and leave all the people in it," Mulvaney said.

A visual summary of the proposed budget changes is shown below, courtesy of Reuters:

The biggest losers:

Trump asked Congress to slash the EPA by $2.6 billion or more than 31 percent, and the State Department by more than 28 percent or $10.9 billion. Mulvaney said the "core functions" of those agencies would be preserved. Hit hard would be foreign aid, grants to multilateral development agencies like the World Bank and climate change programs at the United Nations.

Trump wants to get rid of more than 50 EPA programs, end funding for former Democratic President Barack Obama's signature Clean Power Plan aimed at reducing carbon dioxide emissions, and cut renewable energy research programs at the Energy Department. Regional programs to clean up the Great Lakes and Chesapeake Bay would be sent to the chopping block.

Community development grants at the Housing Department - around since 1974 - were cut in Trump's budget, along with more than 20 Education Department programs, including some funding program for before- and after- school programs. Anti-poverty grants and a program that helps poor people pay their energy bills would be slashed, as well as a Labor Department program that helps low-income seniors find work.

Long reviled by conservatives, the Internal Revenue Service would get a $239 million cut, despite Treasury Secretary Steven Mnuchin’s request for more funding. The Education Department would receive $1.4 billion to invest in public charter schools and private schools, even as its overall budget is cut by 14 percent. But other numbers appear to contradict some of Trump’s top priorities. One of his campaign pledges was to work to cure diseases, but the National Institutes of Health will reportedly see $5.8 billion slashed from its budget.

Trump calls for a 13 percent cut to the Transportation Department, which would ostensibly play a big role in Trump’s promised infrastructure overhaul. That includes $500 million from the TIGER grant program, which provides funding for road and bridge projects.

Trump's rural base did not escape cuts. The White House proposed a 21 percent reduction to the Agriculture Department, cutting loans and grants for wastewater, reducing staff in county offices and ending a popular program that helps U.S. farmers donate crops for overseas food aid.

And the winners

White House officials looked at Trump's campaign speeches and "America First" pledges as they crunched the numbers, Mulvaney said. "We turned those policies into numbers," he said, explaining how the document mirrored pledges to spend more on the U.S. nuclear weapons arsenal, veterans' health care, the FBI, and Justice Department efforts to fight drug dealers and violent crime.

The Department of Homeland Security would get a 6.8 percent increase, with more money for extra staff needed to catch, detain and deport illegal immigrants. Trump wants Congress to shell out $1.5 billion for the border wall with Mexico in the current fiscal year - enough for pilot projects to determine the best way to build it - and a further $2.6 billion in fiscal 2018, Mulvaney said.

The estimate of the full cost of the wall will be included in the full budget, expected in mid-May, which will project spending and revenues over 10 years. Trump has vowed Mexico will pay for the border wall, which the Mexican government has flatly said it will not do. The White House has said recently that funding would be kick-started in the United States.

The voluminous budget document will include economic forecasts and Trump's views on "mandatory entitlements" - big-ticket programs like Social Security and Medicare, which Trump vowed to protect on the campaign trail.

“There is no question this is a hard-power budget,” said Mulvaney. “It is not a soft-power budget.”

The budget requests $1.5 billion to detain and remove undocumented immigrants, and $314 million to hire 500 new Border Patrol officers and 1,000 new Immigration and Customs Enforcement officers.

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SummerSausage's picture

Protection of the country is one of the few responsibilites delegated to the federal government in the Constitution.

Defense has shrunk from 50% of the budget to 30% as charity and vote buying by confiscating wages of the productive has grown.

Our Navy is now at the level from before WWI.

Pick a real money waster that the federal government should not be in and cut those first - there are lots of them.  Then I'll argue with you about cutting defense further than it has been under Obama.

Arrest Hillary's picture

If they fired a million federal bureaucrats .... they would be harder to place in real work jobs in the private sector .... than welfare recipients, Muslim refugees and the 100 million man march of faux disabled deadbeats ? Note:  The word "Nigger" was not used in the making of this message .

SummerSausage's picture

ZeroHedge should run some Milton Friendman articles for the communist posters that seem to have gathered.

One of th FEW responsibilites of the Federal Governement given to it by the Consitution is DEFENSE and that's the one the left wing posters are grousing about.

The Federal Government has no business in charity.  There is not one line in the Consitution that says the government should take the fruits of the labor from some people to give to a selected group of leeches.

The Consitution also does NOT give authority for running the minute by minute lives of its citizens over to unaccountable bureaucrats.

The faster President Trump can drain the swamp and get the country focused on the handful of areas delegated to it, the faster this country will return to growth, strength and people who are responsible for their own actions.

overmedicatedundersexed's picture

seems alot of the antimilitary posters, want to forget..he is cutting costs of programs by going direct to ceo's of  defense co's..who are agreeing to cut the costs..

just the savings on these programs will have a major impact.

Fiat Burner's picture

"There is not one line in the Consitution that says the government should take the fruits of the labor from some people to give to a selected group of leeches."

Yes, there is. It's right here:

"The Congress shall have power to lay and collect taxes"

Taxation is theft. Fuck the constitution.

Libertdad's picture

You need to understand that most of the defense budget IS charity...Profit improvement programs for "defense" contractors, bloated military hardware projects (like the F35 and most naval ships) which are JOBS programs. Overseas lease payments for military and state department bases are bribes to our brave allies. None of this money is spent productively ( they don't actually help our defense capabilities). The biggest threat to our security and way of life is the debt bubble.

Weirdly's picture

250 military based around the world is not Defense.  It is world policing.  Cut the military budget or raise taxes to pay for it. 

Stan522's picture

Reduce the size and scope of government...... PERIOD!

Stan522's picture

Sure... reduce the size of the Pentagon, cut back on the bloated bureaucracy in the VA by privatizing our servicemen's health care, but keep our fighting forces strong and numerous.

shovelhead's picture

Make half of the Pentagon Section 8 housing.

They'll eventually all retire and leave on their own.

Bopper09's picture

Yes, I'm wondering how the largest military in human history could possibly need more funding.

Other than that, it's a step in the right direction.  End EPA, CIA, IRS, and you'll be getting closer.

nevertheless's picture

No such thing, those who run the government will NEVER give anything back. They will cut SS, healthcare, medicare, EPA, education, (while the idiots cheer on the cutting of their own throats) and keep spending more and more on the military. Because it's not OUR military, its Israel's. If it was our military it would be defending America's interests, like our border, but it's not, they are in the Middle Eats and surrounding Russia, neither are enemies of America, but of the Zionists. 

HughBriss's picture

'Do not blame Caesar, blame the people of Rome who have so enthusiastically acclaimed and adored him and rejoiced in their loss of freedom.' -Marcus Tullius Cicero (supposedly)

 

 

+1

bond006's picture

what is so hard to understand about "balanced budget"...unfortunately the fact that the US dollar is the major reserve currency requires us to run a deficit in order to fuel the world economy with liquidity...simple as that...globalism continues.

peterk's picture

what a stupid comment. That must come from  the FEDS induction course for new recruits. lol

Thats like saying i need to print  IOUS and go into debt so my local shop

corner store doesnt go bankrupt.

Money is only a medium of exchange.. it doesnt matter what it is

it has a price called interest and requires savers and lenders.

 

Bopper09's picture

He missed the 100% cut to the CIA

cherry picker's picture

I understand the need for border 'security', but damn it, if you want to keep your tourism going you may want to get some friendly faces at ports of entry, get rid of that Gestapo, check everything mentality and make people feel like people again instead of criminals.

I don't think I am the only person who doesn't like to go on vacation and not want to put up with this, there are plenty of other countries who are happy to see visitors.

SummerSausage's picture

Show us pictures of the Gestapo at the border. 

ipso_facto's picture

'...there are plenty of other countries who are happy to see visitors.'

Dear Mr. Picker, Enjoy all those 'happy' countries in the Middle East.

SummerSausage's picture

All you negative posters - you want to see 8 years of Obama undone in one budget in less than 100 days?

Where were you when Obama was refusing to submit a budget at all and the congress was playing slight of had with raising the debt ceiling and continuing resolutions that increased spending in every area but defense where annual cuts compounded?

Fiat Burner's picture

Where were you?  You've only been here for 23 weeks.   Just because we criticize the new authoritarian in charge doesn't mean we supported the old one, dumbass.

HughBriss's picture

Some people just can't help but to bob on Trump's nob.  It must be a genetic inclination towards servility or something...  ;)

Fuck LBJ.  Fuck Ford.  Fuck Carter.  Fuck Reagan.  Fuck Bush 1.  Fuck Clinton.  Fuck Bush 2.  Fuck Obama.  Fuck Trump.  Fuck the all the other pieces of shit posing as Public Servants.  JFK was ok, but you see what being "ok" gets someone, right...?  And to be fair, JFK was only ok after his globalist father finally croaked.  Before that, he was as equally worthless as the other POS POTUS fucks to grace our political stage

New boss is the same as the old bosses.  When will the sheeple ever learn...?

#VotingMerelyLegitimizesAnIllegitimateSystem

 

 

+1

Stan522's picture

So... are these "cut" numbers taking in consideration of the automatic annual increase each department gets of 10%? For decades, I've watch republican presidents get demonized for cutting back a few percentage points of the annual increase of 10% that's built into each annual budget...

How sustainable does that sound......?

Spungo's picture

We don't need a bigger military. Enough is enough.

libsaretardstrumpispres's picture

YEs- YEs we do D-bag- to protect this country from the scum you libtards let in- We need to deport you anti-American piles of garbage next! Now G0 F- yourself!

libsaretardstrumpispres's picture

YEs- YEs we do D-bag- to protect this country from the scum you libtards let in- We need to deport you anti-American piles of garbage next! Now G0 F- yourself!

Lostinfortwalton's picture

You could save a trillion dollars by cancelling the F-35. You could save another trillion by cancelling the student loan program. The student just acts as a pumping station between the Treasury and the colleges' bursar offices. Just cancel them both and begin to save some real money.

Debugas's picture

a new warmonger in the whitehouse

libsaretardstrumpispres's picture

You are nothing but scum of this country- so if you don't like it Move the HEll out you douche bag! Hope you head keeps exploding by the awesome Trump policies!

Libertdad's picture

Dear libtardstrumpispres:

Your moniker is too long to be displayed properly on the page, although extremely witty it loses its impact due to this restriction.

That button with the arrow on it on the right hand side of your keyboard is an enter button. Every time you press it, your current comment is posted hence you have posted it five times. It makes YOU look like a retard.

HughBriss's picture

libsaretardstrumpispres reminds me of the faggot 'Dubbya' supporters who always told everyone to move the hell out of the country if they didn't like the Warmonger in Chief's shitty policies.

Naturally, the faggot Obama supporters did precisely the same thing, although they certainly didn't appreciate being on the receiving end of Dubbya's attack dogs.

And now we have the latest flavor to contend with: Faggot Trump supporters who fail to see the similarities between themselves and all the other raging POTUS groupies of time past.

Isn't hypocrisy fun??  :D

 

 

+1 

libsaretardstrumpispres's picture

You are nothing but scum of this country- so if you don't like it Move the HEll out you douche bag! Hope you head keeps exploding by the awesome Trump policies!

libsaretardstrumpispres's picture

You are nothing but scum of this country- so if you don't like it Move the HEll out you douche bag! Hope you head keeps exploding by the awesome Trump policies!

libsaretardstrumpispres's picture

You are nothing but scum of this country- so if you don't like it Move the HEll out you douche bag! Hope you head keeps exploding by the awesome Trump policies!

libsaretardstrumpispres's picture

You are nothing but scum of this country- so if you don't like it Move the HEll out you douche bag! Hope you head keeps exploding by the awesome Trump policies!

SummerSausage's picture

The government doesn't have a dime until it first takes it from someone who earned it.

To those of you who actually earn money (not the leeches who suck up taxpayer dollars) where would you rather have your money go this year?  Protect the country and the border or bureaucrats who monitor puddles on private property?

Fiat Burner's picture

I'd rather it stay in my pocket.

TheLastTrump's picture

"Protect the country and the border"

jamesmmu's picture
President Trump Tells Fox News Tucker Carlson “Some Very Interesting Items Will Come To Light In The Next Two Weeks.”

http://investmentwatchblog.com/president-trump-tells-fox-news-tucker-car...

SillyWabbits's picture

I’m thinking the Department Of Homeland Security is not the DEFENCE the Constitution speaks to.

Let’s cut that back just-a-touch!

I just wonder if the drop in the DFENCE budget wasn’t just transferred to DHS and we actually spend as much or more controlling the people of this country than we spend attempting to control all those roque nations and friendly rebels.

The DEFENCE budget was never cut.  Simply sliced differently, into the ever expanding alphabet of agencies dedicated to our safety and protection.  

Unwashed's picture

Does anyone remember "The Peace Dividend" of the 1990s?

nevertheless's picture

That was the $38,000,000,000.00 to Israel, since it's their military they get the dividends. 

highwaytoserfdom's picture

 the winning about PBS and NPR 

 

operation mockingbird Mickey D's is hiring..

Dan'l's picture

This is why we elected Trump, cut off the heads of the Democrat Sacred Cows. Start with that yellow Commie, Big Bird. Make Chuckk U Schumer, Sick Willy Clinton and

Bernie Sander eat it RAW! Fuck You DemoRats!     Lindsey Grahamnesty, aren't you supposed to be dead from terminal hemorrhoids by now?

Herodotus's picture

How much is he planning to spend on the CIA and NSA?

nevertheless's picture

Actually the CIA is not a huge cost to US, they make so much money from drug and gun sales, they almost pay for themselves.