President's budget proposal and other news from the nation's capitol.

• Author: Berger, Barrie Tabin
• Position: Federal Focus

The president delivered his $3.1 trillion budget proposal to Congress in early February. The budget calls for an increase of less than 1 percent over fiscal year 2008 for domestic, non-security discretionary spending, resulting in significant funding cuts for programs important to states and local governments. Many of these suggested cuts were immediately criticized by members of Congress on both sides of the aisle. As in the past, the budget proposes considerable increases for defense, other security programs, and foreign aid. It also assumes that the 2001 and 2003 tax cuts will be extended beyond 2010, when most are set to expire.

STATE AND LOCAL GOVERNMENT PRIORITY PROGRAM

Criminal justice. The president did not request any funding for two significant law enforcement grant programs, the Edward Byrne Memorial Justice Assistance Grant program and the Community Oriented Policing Services (COPS) program. In fiscal 2008, the Byrne program received $175 million and the COPS program, $251 million.

Instead, the president's budget includes $178 million for a violent-crime-reduction partnership initiative with state and local law enforcement. Senator Barbara Mikulski (D-Maryland), chair of the Senate Appropriations Subcommittee charged with funding for the Department of Justice (DOJ), rebuked the president's budget cuts, saying, "we have an obligation to keep our communities safe from violent crime, and I am committed to giving them the resources they need to do the job" Given the popularity of these law enforcement programs among both democrats and republicans, some funding for them is likely to be included in fiscal 2009 congressional appropriations for DOJ.

Education. Title I education funding, which supports No Child Left Behind, would receive a $406 million increase from fiscal 2008.

Environment. The president's budget once again proposes reductions in loans to states and local governments for sewage and pollution control. In particular, the budget proposes $555 million for the Clean Water State Revolving Fund, which is used to provide low-interest loans to communities for water-treatment facilities. This is a $134 million decrease from fiscal 2008. However, $842 million in funding is proposed for the Drinking Water State Revolving Fund program, a $13 million increase from the previous year.

Health care. This budget proposal once again includes the president's health-care reform initiative, a new health insurance tax deduction of $15,000 for families and $7,500 for individuals...