Further Information on Proposed FY2005 Budget
Federal Grants to State and Local Governments
The following table provides additional information on proposed cuts and increases in the budget for fiscal year 2005. The figures for FY2004 have been adjusted for inflation and population growth, and then compared with proposed spending in FY2005. The source of this table is Table 8-4, Federal Grants to State and Local Governments – Budget Authority and Outlays, from Budget of the U.S. Government, Analytical Perspectives, FY 2005, pp. 123-130.. Our table indicates budget authority (not outlays), and has combined some programs to create a shorter, more user-friendly table.
Highlights:- Total proposed grants to State and local governments is $403 billion for FY2005, a 6.4% cut of almost $28 billion from FY2004.
- Even without the $5 billion in temporary State fiscal assistance provided in FY2004, the cut is significant.
- Notable cuts include Office of Justice programs, including state and local law enforcement assistance, juvenile justice programs, community oriented policing services, and violence against women. The crime victims fund would increase by $50 million. However, total funding for these programs would be cut by almost $900 million, or 25%.
- Federal support for State and local homeland security funding would be cut. State and local programs under the Administration of Justice would be cut, as would emergency food and shelter under Income Security, and state and local homeland security assistance programs and firefighter assistance under Community Development.
- Grants to States for Medicaid accounts primarily for the decrease in health funding. While states received additional funding in FY2004, the struggle for states to meet rapidly rising health care costs and demand for services has not been rectified with the one-time increase in monies.
| SUMMARY BY FUNCTION AREA | Budget Proposal for FY2005 | Increase or Decrease in $Millions | Increase or Decrease % |
| Energy | $696 | $64 | 10.1% |
| Natural Resources and Environment | $5,446 | -$827 | -13.2% |
| Agriculture | $779 | -$115 | -12.9% |
| Commerce and Housing Credit | $1 | -$18 | -94.6% |
| Transportation | $45,034 | -$1,142 | -2.5% |
| Community and Regional Development | $10,767 | -$1,815 | -14.4% |
| Commerce and Housing Credit | $59,770 | $336 | 0.6% |
| Health | $190,677 | -$11,148 | -5.5% |
| Income Security | $82,864 | -$5,486 | -6.2% |
| Social Security | $74 | $45 | 156.6% |
| Veterans' Benefits | $564 | $19 | 3.5% |
| Administration of Justice | $3,630 | -$921 | -20.2% |
| General Government | $2,677 | -$6,688 | -71.4% |
| Total, Grants | $402,979 | -$27,694 | -6.4% |
| Discretionary | $128,628 | -$10,876 | -7.8% |
| Mandatory | $274,351 | -$16,819 | -5.8% |
| SUMMARY BY FUNCTION AND PROGRAM | Budget Proposal for FY2005 | Increase or Decrease in $Millions | Increase or Decrease % |
| ENERGY | |||
| Energy conservation | $332 | $53 | 18.9% |
| Tennessee Valley Authority fund | $364 | $11 | 3.0% |
| Total, energy | $696 | $64 | 10.1% |
| NATURAL RESOURCES AND ENVIRONMENT | |||
| Natural Resources Conservation Service | ($84) | -$267 | -145.8% |
| Forest Service | $145 | -$49 | -25.1% |
| National Oceanic and Atmospheric Administration: | $220 | -$11 | -4.6% |
| Office of Surface Mining Reclamation and Enforcement: | $285 | $47 | 19.8% |
| State and tribal wildlife grants | $80 | $9 | 12.6% |
| Cooperative endangered species conservation fund | $90 | $6 | 6.6% |
| Landowner incentive program | $50 | $19 | 61.8% |
| National recreation and preservation | $4 | $3 | 288.4% |
| Land acquisition and State assistance | $94 | -$3 | -2.9% |
| Historic preservation fund | $38 | -$3 | -7.8% |
| State and tribal assistance grants | $3,232 | -$761 | -19.1% |
| Hazardous substance superfund | $182 | $84 | 86.0% |
| Leaking underground storage tank trust fund | $64 | -$4 | -5.9% |
| Bureau of Land Management | $385 | $85 | 28.4% |
| Federal aid in wildlife restoration | $238 | $3 | 1.3% |
| Sport fish restoration | $369 | $14 | 3.8% |
| Other permanent appropriations | $49 | $2 | 3.4% |
| Payment to terrestrial wildlife habitat restoration trust fund | $5 | $0 | -2.9% |
| Total, natural resources and environment | $5,446 | -$827 | -13.2% |
| AGRICULTURE | |||
| Cooperative State Research, Education, and Extension Service | $708 | -$21 | -2.9% |
| Agricultural Marketing Service | $1 | $0 | -2.9% |
| Farm Service Agency | $70 | -$94 | -57.3% |
| Total, agriculture | $779 | -$115 | -12.9% |
| COMMERCE AND HOUSING CREDIT | |||
| Promote and develop fishery products and research pertaining to American fisheries | $1 | -$18 | -94.6% |
| TRANSPORTATION | |||
| Federal Aviation Administration | $3,501 | $19 | 0.5% |
| Federal Highway Administration | $33,703 | -$1,251 | -3.6% |
| Federal Motor Carrier Safety Administration: | $225 | $49 | 27.7% |
| Highway traffic safety grants | $439 | $225 | 104.9% |
| Federal Railroad Administration | $2 | -$26 | -92.8% |
| Federal Transit Administration | $7,132 | -$156 | -2.1% |
| Research and Special Programs Administration | $32 | -$1 | -2.9% |
| Total, transportation | $45,034 | -$1,142 | -2.5% |
| COMMUNITY AND REGIONAL DEVELOPMENT | |||
| Rural Development | $493 | -$334 | -40.4% |
| Economic development assistance programs | $290 | $2 | 0.6% |
| Department of Homeland Security | |||
| State and local homeland security assistance programs | $2,512 | -$642 | -20.4% |
| Firefighter assistance grants | $500 | -$268 | -34.9% |
| Emergency Preparedness and Response | $1,998 | $39 | 2.0% |
| Community Planning and Development | $4,618 | -$508 | -9.9% |
| Lead hazard reduction | $139 | -$40 | -22.4% |
| Bureau of Indian Affairs | $154 | -$3 | -1.6% |
| Appalachian Regional Commission | $59 | -$2 | -2.9% |
| Delta regional authority | $2 | -$3 | -61.2% |
| Denali Commission | $2 | -$56 | -96.5% |
| Total, community and regional development | $10,767 | -$1,815 | -14.4% |
| EDUCATION, TRAINING, EMPLOYMENT, AND SOCIAL SERVICES | |||
| National Telecommunications and Information Administration | $0 | -$16 | -100.0% |
| Indian education | $116 | -$3 | -2.9% |
| Impact aid | $1,222 | -$37 | -2.9% |
| Education for the disadvantaged | $15,158 | $944 | 6.6% |
| School improvement programs | $5,825 | -$397 | -6.4% |
| Innovation and improvement | $610 | $47 | 8.3% |
| Safe schools and citizenship education | $775 | -$47 | -5.7% |
| English language acquisition | $622 | -$6 | -1.0% |
| Office of Special Education and Rehabilitative Services | $14,752 | $411 | 2.9% |
| Vocational and adult education | $1,564 | -$568 | -26.6% |
| Higher education | $378 | -$11 | -2.9% |
| Student financial assistance | $0 | -$68 | -100.0% |
| Administration for Children and Families | $10,937 | $113 | 1.0% |
| Aging services programs | $1,376 | -$39 | -2.8% |
| Operation of Indian programs | $112 | -$11 | -8.6% |
| Training and employment services | $4,337 | $761 | 21.3% |
| Community service employment for older Americans | $97 | -$3 | -2.9% |
| Welfare to work jobs | $0 | $126 | -100.0% |
| State unemployment insurance and employment service operations | $119 | -$27 | -18.6% |
| Unemployment trust fund | $325 | -$779 | -70.6% |
| Federal unemployment benefits and allowances | $259 | -$8 | -2.9% |
| Foreign labor certification processing | $6 | $6 | * |
| Corporation for National and Community Service: | $430 | $23 | 5.7% |
| Corporation for Public Broadcasting | $390 | -$60 | -13.4% |
| District of Columbia General and Special Payments: | $57 | -$2 | -2.9% |
| Institute of American Indian and Alaska Native Culture and Arts | $0 | -$1 | -100.0% |
| National Endowment for the Arts: grants and administration | $53 | -$3 | -4.7% |
| Office of Museum and Library Services: grants and administration | $250 | -$7 | -2.9% |
| Total, education, training, employment, and social services | $59,770 | $336 | 0.6% |
| HEALTH | |||
| Food Safety and Inspection Service | $45 | $0 | -0.7% |
| Department of Health and Human Services Admin and Miscellaneous | $1,604 | -$140 | -8.0% |
| Health Resources and Services Administration | $2,809 | $27 | 1.0% |
| Disease control, research, and training | $2,676 | -$141 | -5.0% |
| Substance abuse and mental health services | $2,512 | $124 | 5.2% |
| Occupational Safety and Health Administration | $96 | -$9 | -8.6% |
| Mine Safety and Health Administration | $8 | $0 | -2.9% |
| Grants to States for medicaid | $176,514 | -$12,031 | -6.4% |
| State children's health insurance fund | $4,082 | $812 | 24.8% |
| State grants and demonstrations for Centers for Medicare and Medicaid | $331 | $210 | 174.7% |
| Total, health | $190,677 | -$11,148 | -5.5% |
| INCOME SECURITY | |||
| Commodity assistance program | $184 | $15 | 8.9% |
| Special supplemental nutrition program for women, infants, and children (WIC) | $4,787 | $37 | 0.8% |
| Low income home energy assistance | $2,001 | $55 | 2.8% |
| Refugee and entrant assistance | $301 | $12 | 4.0% |
| Payments to States for the child care and development block grant | $2,093 | -$49 | -2.3% |
| Payments to States for child support enforcement and family support programs | $4,026 | -$519 | -11.4% |
| Contingency fund | $0 | -$2,060 | -100.0% |
| Payments to States for foster care and adoption assistance | $6,765 | -$253 | -3.6% |
| Child care entitlement to States | $2,710 | -$81 | -2.9% |
| Temporary assistance for needy families | $17,148 | -$989 | -5.5% |
| Emergency food and shelter (Dept. of Homeland Security) | $0 | -$157 | -100.0% |
| Public and Indian Housing Programs | $19,499 | -$718 | -3.6% |
| Homeless assistance grants | $1,282 | -$16 | -1.2% |
| Home investment partnership program | $2,084 | $18 | 0.9% |
| Emergency food and shelter program | $153 | $153 | * |
| Housing opportunities for persons with AIDS | $295 | -$9 | -2.9% |
| Rural housing and economic development | $0 | -$26 | -100.0% |
| Samaritan housing | $50 | $50 | * |
| Housing for persons with disabilities | $249 | -$8 | -3.3% |
| Housing for the elderly | $773 | -$24 | -3.0% |
| Unemployment trust fund | $2,106 | -$115 | -5.2% |
| Funds for strengthening markets, income, and supply (section 32) (Dept. of Agriculture) | $772 | -$384 | -33.2% |
| Food stamp program | $4,355 | -$49 | -1.1% |
| Child nutrition programs | $11,231 | -$368 | -3.2% |
| Total, income security | $82,864 | -$5,486 | -6.2% |
| SOCIAL SECURITY | |||
| Federal disability insurance trust fund | $74 | $45 | 156.6% |
| VETERANS BENEFITS AND SERVICES | |||
| Medical care | $564 | $19 | 3.5% |
| ADMINISTRATION OF JUSTICE | |||
| State and local programs (Dept. of Homeland Security) | $500 | -$12 | -2.3% |
| Fair housing activities | $48 | -$1 | -2.9% |
| Office of Justice Programs (including state and local law enforcement, community oriented policing and violence against women) | $2,567 | -$869 | -25.3% |
| Equal Employment Opportunity Commission | $33 | -$1 | -2.9% |
| High-intensity drug trafficking areas program | $208 | -$22 | -9.4% |
| State Justice Institute | $0 | -$2 | -100.0% |
| Forfeiture Funds | $274 | -$13 | -4.7% |
| Total, administration of justice | $3,630 | -$921 | -20.2% |
| GENERAL GOVERNMENT | |||
| National wildlife refuge fund | $21 | -$1 | -2.9% |
| Payments in lieu of taxes | $226 | -$6 | -2.5% |
| Temporary State fiscal assistance fund | $0 | -$5,150 | -100.0% |
| District of Columbia Courts | $270 | $65 | 31.7% |
| District of Columbia General and Special Payments: | $46 | -$77 | -62.5% |
| Election reform programs | $40 | -$1,496 | -97.4% |
| Forest Service | $370 | -$7 | -1.9% |
| Payments to States under Federal Power Act | $3 | $0 | -2.9% |
| Miscellaneous permanent payment accounts | $5 | $0 | -2.9% |
| Mineral leasing and associated payments | $1,124 | -$8 | -0.7% |
| Insular Affairs | $181 | -$9 | -4.5% |
| Internal revenue collections for Puerto Rico | $382 | -$1 | -0.3% |
| Corps of Engineers-Civil Works | $9 | $1 | 9.2% |
| Total, general government | $2,677 | -$6,688 | -71.4% |
| Total, Grants | $402,979 | -$27,694 | -6.4% |
| Discretionary | $128,628 | -$10,876 | -7.8% |
| Mandatory | $274,351 | -$16,819 | -5.8% |