President Obama releases FY 2014 spending plan

President Obama released his Fiscal Year (FY) 2014 budget request on April 10. Overall, the President’s Budget would cancel the across-the-board cuts for FY 2014-2021 through targeted spending cuts and increased revenues and reduce the deficit over the long term.

While the President’s Budget would not make structural changes to Medicaid and Social Security, it does propose a change that would result in benefit cuts in Social Security programs. It includes a plan to use a different measure of inflation, known as the “chained” Consumer Price Index (CPI), to calculate cost of living increases. The Arc remains concerned that the measures to limit the effect of this change on very low income persons would still result in benefit cuts for many people with disabilities.

Most disability-related discretionary programs would be level funded at the FY 2012 level in the President’s Budget (it is not possible to say how the proposed FY 2014 funding compares to the FY 2013 amounts as federal agencies are still in the process of determining how they will allocate the approximate 5.2 % funding cuts within affected programs). Proposed increases and decreases from FY 2012 funding levels for disability-related programs are listed below:

Dept. of HHS – Center on Birth Defects & DDs +$0.1 million
Dept. of HHS – Natl. Institute of Child Health and Human Dev. +$20 million
Dept. of ED – IDEA- Part C Early Intervention +$20 million
Dept. of ED – IDEA- Part D National Programs – State Personnel Development
+$1.1 million
Dept. of ED – Research in Special Education +$10 million
Dept. of ED – IDEA- Part D National Programs – Personnel Preparation -$2.9 million
Dept. of ED – State Assistive Technology Programs -$2 million
Dept. of ED – Voc. Rehabilitation State Grant +$180.4 million
Dept. of ED – Natl. Inst. on Disability & Rehab Research +$1.2 million
Dept. of ED – Fund for Improvement of Postsecondary Education +$256.5 million
Dept. of Labor – Office of Disability Employment Policy +$3.5 million
Dept. of HUD – Section 811 Supportive Housing PRA Demo -$78 million

In addition, there are a few noteworthy changes proposed in the President’s Budget:

  • Reduction of funding for new supported housing units. A significant reduction is proposed for the Section 811 housing program for persons with disabilities Project Rental Assistance (PRA) Demonstration. The President’s Budget provides for only $20 million to develop 700 new units of supported housing, down from $98 million in FY 2012 to develop 3,500 new units of supported housing.
  • Use of the Prevention and Public Health Fund (PPHF) to fund existing programs. The PPHF was created by the health reform law to substantially expand investments in our public health system. Unfortunately, some of the funding in the past has been used to pay for other programs. The President’s request also proposes to use the PPHF to fund other programs. The President’s FY 2014 Budget would take 52% of the CDC’s National Center on Birth Defects and Developmental Disabilities funding from the PPHF, placing its long term funding at risk.
  • Consolidation of Education programs. Several Education Department programs would be consolidated, including the Postsecondary Program for Students with Intellectual Disabilities, into the Fund for Improvement of Postsecondary Education, and the Supported Employment State Grant into Vocational Rehabilitation State Grants.

Learn more about the FY 2014 President’s Budget at:
http://www.washingtonpost.com/wp-srv/special/politics/presidential-budget-2014/

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