President Donald Trump’s An American Budget proposes just over $1.2 trillion in total discretionary spending for Fiscal Year 2019 and more than $3 trillion in spending cuts over 10 years, including deep longer term cuts to many domestic programs.
We believe this proposal undermines the enduring partnership between the federal government and the nonprofit sector and endangers the capacity of both to serve individuals and communities. It’s also at odds with our Statement of Beliefs Regarding Federal Tax and Spending Policies. Read Independent Sector’s full statement on the FY2019 budget.
These cuts include entirely eliminating funding to core programs of importance to the charitable community, such as the Corporation for National and Community Service and the National Endowment for the Arts.
The budget also proposes $18 billion for a border wall and $200 billion in federal funds to support a broader $1.5 trillion infrastructure investment. While non-binding, the president’s budget is an indication of the Administration’s broader priorities.
The President’s budget discounts nonprofits’ role as the nation’s civic infrastructure, which is critical to carry out the policy priorities of the President and Congress. In several cases, the language in this proposal demonstrates a fundamental lack of understanding of how nonprofits function, the role that they play implementing federal, state, and local government policies, and their legal rights to participate in advocacy and the policy process.
The proposal does include an addendum that reflects the passage of the Bipartisan Budget Act, which provides additional funding authority for education, infrastructure, fighting the ongoing opioid epidemic, medical research, and 10-year funding the Children’s Health Insurance Program (CHIP).
Independent Sector, along with millions of nonprofits across the country, look forward to opportunities to work with the Administration and Members of Congress to develop policy proposals that better support our communities and the nonprofit institutions that serve them.
In summary, the FY 2019 President’s budget:
- Sets base non-defense discretionary spending at $560 billion; base defense spending is set at $652 billion
Eliminates Funding for the Following Programs and Agencies (Select list)
- Corporation for National and Community Service
- National Endowment for the Arts
- National Endowment for the Humanities
- Institute of Museum and Library Services
- Legal Services Corporation
- Public Student Loan Forgiveness
- Social Services Block Grant
- Community Development Block Grant
Sets Base Spending Levels for Agencies (As compared to 2017 enacted)
- Department of Agriculture – $19 billion (16 percent decrease)
- Department of Commerce – $9.8 billion (6 percent increase)
- Department of Defense – $686 billion (13 percent increase
- Department of Education – $59.9 billion (10.5 percent decrease)
- Department of Energy – $29 billion (3 percent decrease)
- Department of Health and Human Services – $68.4 billion (21 percent decrease)
- Department of Homeland Security – $46 billion (8 percent increase)
- Department of Housing and Urban Development – $39.2 billion (18.3 percent decrease)
- Department of the Interior – $11.3 billion (16 percent decrease)
- Department of Justice – $28 billion (1.2 percent decrease)
- Department of Labor – $9.4 billion (21 percent decrease)
- Department of State – $25.8 billion in base level funding (26 percent decrease)
- Department of Transportation – $15.6 billion in base level funding (19 percent decrease)
- Department of Treasury – $12.3 billion (3 percent decrease)
Nonprofit Resources Relevant to FY 2019 Budget Proposal
- AccessLex Institute Statement
- American Alliance of Museums Statement
- American Bar Association Legal Aid Defender
- Americans for the Arts Statement
- American Library Association Statement
- Center for Budget and Policy Priorities Statement
- National Association of Counties Faces of the Social Services Block Grant
- National Human Services Assembly Building Our Collective Well-Being with Forward Looking Public Budgets
- United States Conference of Mayors “Let’s Protect Community Development Block Grants”
- Voices for National Service Statement