NORTH HAMPTON, MA - April 13 - Six months after the start of the current fiscal year (FY2011), congressional leaders and President Obama have reached agreement on a budget for the second half of the year. In all the deal provides just over $1 trillion in spending over the last six months of the year, a cut of roughly $40 billion from FY2010 levels.

The cuts focus largely on the "non-security" portion of the federal discretionary budget, while leaving the "security" portion virtually untouched, and providing "real" (inflation-adjusted) growth for the Pentagon's annual "base" budget of roughly 1%. So called "non-security" funding includes spending on education, food, and housing-related programs, etc. - while "security" includes military, nuclear weapons, homeland security, and veterans affairs.

Non-security spending is cut an average of 10%, with all non-security programs subjected to a 0.2% "across the board" cut. Some programs, like the President's proposed expansion of high speed rail, the Corporation for Public Broadcasting, and federal assistance programs to state and local law enforcement, experience much larger cuts.

For NPP's full analysis of the FY2011 budget agreement, click here.

Other important events related to the federal budget will be happening in the coming days including the release of a major proposal by President Obama later today focused on a long-term plan to address our nation's annual deficits and the federal debt.
 

Congress is already beginning to focus its attention on the spending plan for FY2012. For additional information, see NPP's recently-released analysis of the FY2012 budget plan issued by House Budget Committee Chairman Paul Ryan (R-WI). We will also analyze the Congressional Progressive Caucus's budget alternative being briefed today.

We invite you to follow these events with us through NPP's "Budget Matters" blog and our Facebook