The White House's Office of Management and Budget (OMB) has instructed government agencies to plan for cuts to a wide range of domestic programs. In a memo dated May 19, 2004, (download pdf), the White House told agencies to prepare their budgets for fiscal year (FY) 2006 consistent with the FY 2005 budget proposal -- specifically, to "[a]ssume accounts are funded at the 2006 level specified in the 2005 Budget database." The database refers to the

The White House's Office of Management and Budget (OMB) has instructed government agencies to plan for cuts to a wide range of domestic programs. In a memo dated May 19, 2004, (download pdf), the White House told agencies to prepare their budgets for fiscal year (FY) 2006 consistent with the FY 2005 budget proposal -- specifically, to "[a]ssume accounts are funded at the 2006 level specified in the 2005 Budget database." The database refers to the

These funding levels contain significant cuts and will impact a wide range of services.

This release, and the associated computer printout, detail the direct and significant attacks on valued and popular government programs. To take just one example, the Department of Veterans Affairs, is being instructed to cut back by over $900 million in FY 2006.

On May 26th, the Washington Post reported on the directive saying that "[t]he Education Department; a nutrition program for women, infants and children; Head Start; and homeownership, job-training, medical research and science programs all face cuts in 2006. ... Also slated for cuts are the Environmental Protection Agency, the National Science Foundation, the Small Business Administration, the Transportation Department, the Social Security Administration, the Interior Department and the Army Corps of Engineers." These are just a few of the programs slated to be reduced. For a full analysis of the implications, see the Center on Budget and Policy Priorities' analysis of the OMB's 5-year budget blueprint. For details on the implications of the cuts on many specific program areas, including education, health programs, housing, nutrition and many others, see the Coalition on Human Needs' 2005 budget report.

These cuts to services appear to be the second phase of a plan by advocates of shrinking the government to alter the structure of government away from providing services that serve lower and middle income families, as well as the general public. It is further verification that their long-stated desire to dramatically slash programs is being diligently followed by the Bush administration. The first phase of the plan was to reduce federal revenues through changes to the tax law that benefit primarily upper income individuals -- which largely has been accomplished -- with tax receipts as a percent of gross domestic product at their lowest level in more than 50 years.

This reduction in government spending will also likely harm the economy. Reductions in job training, education, early childhood nutrition and many other areas will have a lasting impact on the skill levels of current and future workers. In addition, reductions in the Transportation Department, the National Science Foundation, the Army Corps of Engineers and other departments will have a lasting impact on our national infrastructure and our ability to grow the economy in the future.