Trump’s Budget Proposal Marks Historic Low

The administration submitted its annual budget request to Congress on Friday. The proposal shifts money away from domestic programs toward the military as the war in Iran enters its fifth week.

Domestic program cuts and NDD funding

The budget would sharply reduce education, housing and health funding. It aims to push nondefense discretionary spending to an historic low.

Nondefense discretionary, or NDD, covers most domestic activities outside Medicare, Medicaid, Social Security and SNAP. The request seeks to cut NDD by $83 billion below last year’s levels, excluding Veterans Affairs medical care.

Long-term disinvestment

NDD programs have experienced more than 15 years of disinvestment. Cuts have been particularly steep over the last three years.

Legacy of last summer’s legislation

When the president signed last July’s measure, it included deep cuts to Medicaid and SNAP. That law also contained major tax cuts that largely benefited high-income households.

Policy analysts described that law as effecting the largest transfer of wealth from lower-income to higher-income Americans in a single statute. The new budget doubles down on those priorities.

Political outlook in Congress

Lawmakers in both parties are likely to block the proposal. Congressional Democrats will oppose it outright.

House Republicans have also shown limits. In 2023, appropriators tried bills with roughly $60 billion in nondefense cuts. The House pulled five of 12 bills and abandoned the process.

Defense spending increase

The proposal calls for $1.5 trillion in defense funding. That represents a $445 billion increase above this year.

Of the $1.5 trillion, $1.15 trillion would come from annual appropriations. The remaining $350 billion would be sought through reconciliation.

Officials first proposed the $1.5 trillion figure nearly two months before the U.S. attacked Iran. That timing undercuts arguments that the increase responds to a specific new requirement.

Expert reference

Bobby Kogan is listed as senior director of federal budget policy at the Center for American Progress. His affiliation is noted in coverage of the proposal.

Filmogaz.com will continue to follow developments as Congress considers this budget. Final outcomes will depend on negotiations in both chambers.