On May 23, President Trump released his Fiscal Year (FY) 2018 Budget Request, laying out a $4.1 trillion spending proposal for FY 2018 and the following decade. The budget expands upon the comprehensive analysis of the president’s FY 2018 Budget Request and its potential impact on programs important to America’s counties.
The budget proposes significant spending cuts, which combined with optimistic economic growth assumptions, attempt to balance the budget over the next decade. Specifically, it outlines discretionary spending levels at $1.151 trillion and mandatory spending levels at $2.943 trillion. This represents a $1.7 trillion cut in mandatory programs over 10 years and a 10 percent cut to domestic programs in 2018.
Counties are concerned with several of the president’s proposed spending cuts, which include the elimination and reduction of programs that aid counties and their residents. The proposed budget includes significant changes to the Medicaid program, converting the program to a block grant or per capita cap. Other significant proposed reductions compared to enacted FY 2017 levels include the U.S. Environmental Protection Agency (30 percent) and the U.S. Departments of State (32 percent), Agriculture (21 percent), Labor (20 percent), Commerce (15 percent), Health and Human Services (16 percent), Transportation (17 percent) and Housing and Urban Development (12 percent).
In response to the president’s budget, NACo Executive Director Matthew Chase expressed his concerns with the president’s budget in a statement released May 23: “We are greatly concerned that this proposed budget essentially abdicates the federal role in the federal-state-local intergovernmental partnership that is essential to addressing our nation’s most pressing challenges. This budget, if enacted, would deal devastating blows to some of the most vulnerable people in our communities.”
For the full NACo analysis of the President’s FY 2018 Budget Request, please click here.