House GOP Lists $2.5 Trillion in Spending Cuts

[JohnSmith2007 353]

House GOP Lists $2.5 Trillion in Spending Cuts

By Paul Bedard

Posted: January 20, 2011

Moving aggressively to make good on election promises to slash the federal budget, the House GOP today unveiled an eye-popping plan to eliminate $2.5 trillion in spending over the next 10 years. Gone would be Amtrak subsidies, fat checks to the Legal Services Corporation and National Endowment for the Arts, and some $900 million to run President Obama's healthcare reform program.

What's more, the "Spending Reduction Act of 2011" proposed by members of the conservative Republican Study Committee, chaired by Ohio Rep. Jim Jordan, would reduce current spending for non-defense, non-homeland security and non-veterans programs to 2008 levels, eliminate federal control of Fannie Mae and Freddie Mac, cut the federal workforce by 15 percent through attrition, and cut some $80 billion by blocking implementation of Obamacare. [see a slide show of the top Congressional travel destinations.]

Some of the proposed reductions will surely draw Democratic attack, such as cutting the Ready to Learn TV Program, repeal of the Davis-Bacon Act, the elimination of the Energy Star Program, and cutting subsidies to the Woodrow Wilson Center.

Here is the overview provided by the Republican Study Committee:

FY 2011 CR Amendment: Replace the spending levels in the FY 2011 continuing resolution (CR) with non-defense, non-homeland security, non-veterans spending at FY 2008 levels. The legislation will further prohibit any FY 2011 funding from being used to carry out any provision of the Democrat government takeover of health care, or to defend the health care law against any lawsuit challenging any provision of the act. $80 billion savings.

Discretionary Spending Limit, FY 2012-2021: Eliminate automatic increases for inflation from CBO baseline projections for future discretionary appropriations. Further, impose discretionary spending limits through 2021 at 2006 levels on the non-defense portion of the discretionary budget. $2.29 trillion savings over ten years.

Federal Workforce Reforms: Eliminate automatic pay increases for civilian federal workers for five years. Additionally, cut the civilian workforce by a total of 15 percent through attrition. Allow the hiring of only one new worker for every two workers who leave federal employment until the reduction target has been met. (Savings included in above discretionary savings figure).

"Stimulus" Repeal: Eliminate all remaining "stimulus" funding. $45 billion total savings.

Eliminate federal control of Fannie Mae and Freddie Mac. $30 billion total savings.

Repeal the Medicaid FMAP increase in the "State Bailout" (Senate amendments to S. 1586). $16.1 billion total savings.

More than 100 specific program eliminations and spending reductions listed below: $330 billion savings over ten years (included in above discretionary savings figure).

Here is the full list of cuts:

Additional Program Eliminations/Spending Reforms

Corporation for Public Broadcasting Subsidy. $445 million annual savings.

Save America's Treasures Program. $25 million annual savings.

International Fund for Ireland. $17 million annual savings.

Legal Services Corporation. $420 million annual savings.

National Endowment for the Arts. $167.5 million annual savings.

National Endowment for the Humanities. $167.5 million annual savings.

Hope VI Program. $250 million annual savings.

Amtrak Subsidies. $1.565 billion annual savings.

Eliminate duplicative education programs. H.R. 2274 (in last Congress), authored by Rep. McKeon, eliminates 68 at a savings of $1.3 billion annually.

U.S. Trade Development Agency. $55 million annual savings.

Woodrow Wilson Center Subsidy. $20 million annual savings.

Cut in half funding for congressional printing and binding. $47 million annual savings.

John C. Stennis Center Subsidy. $430,000 annual savings.

Community Development Fund. $4.5 billion annual savings.

Heritage Area Grants and Statutory Aid. $24 million annual savings.

Cut Federal Travel Budget in Half. $7.5 billion annual savings.

Trim Federal Vehicle Budget by 20%. $600 million annual savings.

Essential Air Service. $150 million annual savings.

Technology Innovation Program. $70 million annual savings.

Manufacturing Extension Partnership (MEP) Program. $125 million annual savings.

Department of Energy Grants to States for Weatherization. $530 million annual savings.

Beach Replenishment. $95 million annual savings.

New Starts Transit. $2 billion annual savings.

Exchange Programs for Alaska, Natives Native Hawaiians, and Their Historical Trading Partners in Massachusetts. $9 million annual savings.

Intercity and High Speed Rail Grants. $2.5 billion annual savings.

Title X Family Planning. $318 million annual savings.

Appalachian Regional Commission. $76 million annual savings.

Economic Development Administration. $293 million annual savings.

Programs under the National and Community Services Act. $1.15 billion annual savings.

Applied Research at Department of Energy. $1.27 billion annual savings.

FreedomCAR and Fuel Partnership. $200 million annual savings.

Energy Star Program. $52 million annual savings.

Economic Assistance to Egypt. $250 million annually.

U.S. Agency for International Development. $1.39 billion annual savings.

General Assistance to District of Columbia. $210 million annual savings.

Subsidy for Washington Metropolitan Area Transit Authority. $150 million annual savings.

Presidential Campaign Fund. $775 million savings over ten years.

No funding for federal office space acquisition. $864 million annual savings.

End prohibitions on competitive sourcing of government services.

Repeal the Davis-Bacon Act. More than $1 billion annually.

IRS Direct Deposit: Require the IRS to deposit fees for some services it offers (such as processing payment plans for taxpayers) to the Treasury, instead of allowing it to remain as part of its budget. $1.8 billion savings over ten years.

Require collection of unpaid taxes by federal employees. $1 billion total savings.

Prohibit taxpayer funded union activities by federal employees. $1.2 billion savings over ten years.

Sell excess federal properties the government does not make use of. $15 billion total savings.

Eliminate death gratuity for Members of Congress.

Eliminate Mohair Subsidies. $1 million annual savings.

Eliminate taxpayer subsidies to the United Nations Intergovernmental Panel on Climate Change. $12.5 million annual savings.

Eliminate Market Access Program. $200 million annual savings.

USDA Sugar Program. $14 million annual savings.

Subsidy to Organisation for Economic Co-operation and Development (OECD). $93 million annual savings.

Eliminate the National Organic Certification Cost-Share Program. $56.2 million annual savings.

Eliminate fund for Obamacare administrative costs. $900 million savings.

Ready to Learn TV Program. $27 million savings.

HUD Ph.D. Program.

Deficit Reduction Check-Off Act.

TOTAL SAVINGS: $2.5 Trillion over Ten Years

http://www.usnews.com/news/washington-whispers/articles/2011/01/20/house-gop-lists-25-trillion-in-spending-cuts

[one...two...tree 2,762]

Eliminate federal control of Fannie Mae and Freddie Mac. $30 billion total savings.

Oh God, not again.

[Ban Hammer 12,835]

Oh God, not again.

agreed - should be a better plan to eliminate both programs.

[Usui Takumi 1,562]

Can someone point to military or Homeland Security related cuts?

[Rebecca Jo 1,962]

If Washington wants to get out of the real estate business, they need to get out of ALL of it. Get rid of Fannie, Freddie and Ginnie too.

[The_Dude 1,142]

Can someone point to military or Homeland Security related cuts?

LOL, beat me to it. I was going to ask where in that list of cuts were they going to address the 800 pound gorilla(s) in the room. Seems they want to cut funding to think tanks and research centers that don't agree with them.

Rather than this pathetic dinner theatre, they actually get down to substantive cuts. We don't need to be fighting wars of hegemony in perpetuity. Nor do we need to be giving foreign governments money to do what we tell them, because they don't. Rather than act like petulent children, the newly elected GOP congress should tell the president to sack up, and take responsibility for his own words. Send him a mandate to pull all troops home, no residual peacekeeping forces, or bases to maintain. Because you know the president will never sign such a bill, and the GOP doesn't have the votes to overturn it. The GOP knows this as do the Democrats. This is all disingenuous political theatre.

[alienlovechild 75]

What happened to the knee-jerk responses to the GOP Congress?

They only talk about tax cuts.

They don't offer any specifics.

They're all talk and can't propose anything to cut the deficit.

Edited January 20, 2011 by alienlovechild

[Mr. Big Dog 10,747]

So, how many jobs would executing this list create? What percentage drop in unemployment rate would we expect from such plan?

You know, jobs being the #1 priority and all...

[one...two...tree 2,762]

What happened to the knee-jerk responses to the GOP Congress?

They only talk about tax cuts.

They don't offer any specifics.

They're all talk and can't propose anything to cut the deficit.

When I first saw the list, I was impressed that they actually had a list, however, this list has the typical laundry list of federal programs they want to gut, but never are successful. What is missing is any cuts to the Pentagon, which is the largest federal expenditure. Also missing are any cuts to subsidies for the fossil fuel industry. Nothing new here.

[Rebecca Jo 1,962]

What happened to the knee-jerk responses to the GOP Congress?

They only talk about tax cuts.

They don't offer any specifics.

They're all talk and can't propose anything to cut the deficit.

Much of this is not viable, ALC.

And are you impressed by them cutting their fleet of cars 20%. While they cut Federal Jobs? Many of which are held by veterans.

[one...two...tree 2,762]

Two things on the list:

Legal Services Corporation, which is the federal organization that provides civil legal assistance to people who make up to 125 percent of the federal poverty line. The RSC says that eliminating the LSC would save $420 million -- and the predominately low-income women currently served by the program would have to look elsewhere for assistance filing for help in domestic abuse cases and resolving custody issues (about 35 percent of its cases), in foreclosure or eviction disputes (25 percent of their cases) or even filing for bankruptcy.

They also want to eliminate Amtrak operating subsidies ($1.565 billion), which amounted to $32 per passenger in 2009. In 2009, 41 of Amtrak's 44 routes -- which service 500 destinations in 46 states -- lost money, indicating that, without the subsidies, Amtrak would have to significantly reduce or eliminate its service outside the heavily trafficked urban coastal routes. The plans also call for the elimination of Intercity and High Speed Rail Grants to the tune of $2.5 billion a year.

Edited January 20, 2011 by 8TBVBN

[Rebecca Jo 1,962]

Doesn't it blow your mind that in the face of US dependency on oil, there would be cuts to a public transport program?

Edited January 20, 2011 by Rebecca Jo

[The_Dude 1,142]

Two things on the list:

Although I do support helping low income families, Helping them file civil lawsuits isn't a wise use of resources in my opinion. Our society is far too litigious as it is, no need to help anyone perpetuate that.

[Rebecca Jo 1,962]

Although I do support helping low income families, Helping them file civil lawsuits isn't a wise use of resources in my opinion. Our society is far too litigious as it is, no need to help anyone perpetuate that.

If that's what LegalAid does, I would agree with you. But they don't. Please re-read the description of what the agency does.

[one...two...tree 2,762]

Doesn't it blow your mind that in the face of US dependency on oil, there would be cuts to a public transport program?

Yep. 'Public' is just a code word for socialism.