President’s FY2018 Budget Request Includes Elimination of Community and Economic Development Programs

Posted on: March 16th, 2017 by NADO Admin

The Trump Administration has released its (FY) 2018 budget blueprint, America First: A Budget Blueprint to Make America Great Again. The blueprint recommends $1.1 trillion in federal investment, with a $54 billion increase in military spending offset by cuts to domestic programs.

Key Budget Provisions Impacting NADO Members

• Elimination of the U.S. Economic Development Administration
• Elimination of all federal-state regional commissions: Appalachian Regional Commission, Delta Regional Authority, Denali Commission, and Northern Border Regional Commission
• Elimination of the U.S. Department of Housing and Urban Development’s Community Development Block Grant (CDBG) Program and HOME Investment Partnerships Program
• Elimination of the U.S. Department of Agriculture’s Water and Wastewater loan and grant program and discretionary activities of the Rural Business and Cooperative Service
• Elimination of the Federal Emergency Management Agency’s state and local grant funding unauthorized by Congress including the Pre-Disaster Mitigation Grant Program
• Decrease in federal support for the Department of Labor’s job training and employment service formula grants
• Elimination of the U.S. Department of Transportation’s Essential Air Service Program and TIGER discretionary grant program
• Elimination of the U.S. Department of Treasury’s Community Development Financial Institutions (CDFI) Fund
• A 31% cut in the budget of the U.S. Environmental Protection Agency, with over 50 programs cut (full list not made available)

The budget blueprint is not a full budget request, nor is it a mandate. Congress is charged with crafting the annual appropriations bills that fund federal agencies and will be holding hearings on oversight and spending in the coming weeks as they begin to craft their FY2018 appropriations bills.

At NADO, we are committed to advancing legislation and spending packages which continue investment in regional economies. We believe the cuts included in President Trump’s budget blueprint would negatively impact communities throughout the country. We will be working with other stakeholder groups to communicate the importance of these programs in supporting locally driven community and economic development and will continue our outreach to House and Senate Appropriations Committee staff and members of Congress to advocate for these programs.

Looking forward at the next steps in the budget and appropriations process, here is a timeline of expected action:

• Beginning now: House and Senate Appropriations Subcommittees hold oversight hearings.
• April 28: Current continuing resolution (CR) for FY2017 expires. Congress must by this date pass another CR or an omnibus spending package for the remainder of the fiscal year.
• May: Administration’s full FY2018 budget proposal is expected.
• May: Congress begins consideration of FY2018 spending bill in the House and Senate Appropriations Committees.
• October 1: FY2018 begins.

Here is how you can help: Call your congressional office to voice your concerns regarding the budget request and how local communities would be affected by the proposed cuts. Be prepared to offer specific examples of EDA, CDBG, regional commission, and other federal investment successes in supporting your region’s economic development.

NADO will continue to work with partners and stakeholders to influence policy making and spending decisions on behalf of NADO members. If you have any questions, please feel free to contact us.

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