Obama's budget will include spending freeze: source

WASHINGTON Fri Feb 11, 2011 6:11pm EST

President Barack Obama makes a statement about Egypt in the Grand Foyer of the White House in Washington, February 11, 2011. REUTERS/Jim Young

President Barack Obama makes a statement about Egypt in the Grand Foyer of the White House in Washington, February 11, 2011.

Credit: Reuters/Jim Young

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WASHINGTON (Reuters) - President Barack Obama's proposed budget for fiscal 2012 includes the five-year freeze on domestic spending that he outlined in his State of the Union address last month, a Democratic aide said on Friday.

The aide, briefed on the administration's plans, said the freeze is projected to save $400 billion over 10 years, and bring non-security discretionary spending in 2015 to its lowest level in a half century. Obama will submit his budget to Congress on Monday.

The administration began briefing congressional staffers on Friday on the president's budget.

Members of Congress and financial markets are eagerly awaiting Obama's fiscal year 2012 budget to see the administration's latest forecasts of U.S. economic growth and deficits over the next few years.

It also could detail new tax and spending initiatives not previewed in Obama's State of the Union speech to Congress.

(Reporting by Thomas Ferraro and Richard Cowan)

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Comments (3)
myronfrye wrote:
Barry’s budget should also include the elimination of funding to the dept of education, EPA, dept of agriculture, the IRS, NPR and planned parenthood, just as a start to getting the USA back on track. He should also include a 20% pay cut to all government employees and all congressional staff’s and budgets. Get the idea Libs, this is real savings for area that have proved to be failures.

Feb 11, 2011 6:12pm EST  --  Report as abuse
whitehaint wrote:
Why not freeze FOREIGN spending like foreign aid? Oops, that would make sense, let’s screw the taxpayers more.

Feb 11, 2011 6:50pm EST  --  Report as abuse
varela wrote:
How is the party of “NO” going to explain this one? Oh I know, they will just ignore it or even better “spin it” –

“Obama’s spending freeze really benefits illegals because [insert repub/teabagger logic here]“*

* I don’t believe this; it’s just my attempt at sarcasm

Feb 11, 2011 6:51pm EST  --  Report as abuse
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