This panel will examine what sorts of decisions the President and Congress – new or old – will have to make following this year’s November elections. Panelists will examine the political landscape and describe the major decisions that have to be made, including on government funding, sequestration, and tax cuts. Special emphasis will be given to the impacts various budget proposals will have on Great Lakes restoration funding.
What the End of the Year Fiscal Train Wreck Means for the Great Lakes-Lord, 2012
1. What to expect this fall and how it
impacts the Great Lakes?
Presented by: Chad Lord
Based off of presentation of Craig Obey, Executive Vice President, NPCA
Sources: Federal Budget Report; Center on Budget and Policy Priorities;
Congressional Budget Office
2. Overview
• Introduction: funding review
• Fall Preview – Jonathan McCracken, Legislative
Assistant, Office of Sen. Sherrod Brown
• Budget analysis – Paul Isely, Professor and
Chair, Grand Valley State University
• Public opinion – Emma White, Beldon Russonello
Strategies
3. Great Lakes Funding
$800.00
Average funding per
$700.00
year FY10-12
$600.00
$634 million
$500.00
$400.00
Average funding per
$300.00
year FY04-09
$200.00 $155 million
$100.00
$-
FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012
$(100.00)
4. Great Lakes Funding
Great Lakes Restoration Initaitive
500
450
400
350 LaTourette
Amendment
300
250
200
150
100
50
0
FY10 FY11 FY12 House FY12 FY13 Request
5. Great Lakes Funding
Great Lakes Restoration Initiative
$300 $300
$250
FY12 FY13 Request FY13 House
6. Great Lakes Funding
$2,500.00
$2,000.00
$1,500.00
Safe Drinking Water State
Revolving Fund
$1,000.00
Clean Water State Revolving
Fund
$500.00
$-
FY 2004
FY 2005
FY 2006
FY 2007
FY 2008
FY 2009
FY 2010
FY 2011
FY 2012
7. Great Lakes Funding
Clean Water State Revolving Fund
$1,469
$1,175
$689
FY12 FY13 Request FY13 House
8. Great Lakes Funding
Asian Carp Funding
70,000,000
60,000,000
Estimate
50,000,000
40,000,000
GLRI
30,000,000
Base
20,000,000
10,000,000
-
FY10 FY11 FY12 FY13 Request
9.
10. Budget Control Act of 2011
1. Imposed tight annual caps on defense and
nondefense discretionary spending through
2021 – totaling about $900 billion.
2. BCA also established congressional “Super-
Committee” to come up with additional $1.2
trillion in entitlement reforms and new
revenues.
11. Budget Control Act of 2011
• Super-Committee failure to reach
agreement on a deficit reduction plan
triggered automatic cuts of $1.2 trillion
scheduled to take effect in January 2013.
• These cuts are in addition to the $900
billion in annual spending caps.
12. Budget Control Act of 2011
• The automatic cuts include across-the-board
reductions in defense and nondefense
programs, as well as Medicare cuts.
• In 2013 alone, the automatic cuts will require
a 10% cut in all defense accounts, a 2% cut
in Medicare, and a 9% cut in all non-defense
discretionary accounts -- including Great
Lakes programs.
13. Budget Control Act of 2011
$580
$560
$540
$520
$500 Existing Caps
$480 Caps Plus Sequester
$460 House Budget
$440
$420
$400
Defense NDD
14. Budget Control Act of 2011
• Both political parties want to avoid the
automatic cuts. R’s want to avoid the
defense cuts; D’s want to avoid
nondefense cuts.
• President Obama has said he will veto
any bill to repeal the cuts unless they are
replaced with alternative spending cuts
and/or revenue increases.
15. After the Elections: A Perfect Storm
• Because of the pre-election political
gridlock in Congress, any action to replace
the automatic cuts is unlikely to succeed
until after November 6th.
• How resolution unfolds will depend on
whether Obama or Romney wins the
presidential election.
16. Speakers
• After the elections: perfect storm –
Jonathan McCracken, Legislative
Assistant, Office of Sen. Sherrod Brown
• How the numbers add up – Paul
Isely, Professor, Grand Valley State
University
• The public’s opinion: save the Great
Lakes– Emma White, Beldon Russonello
Strategies
Editor's Notes
FY04-FY09 = average funding amount $155 million.FY10-FY12 = average funding amount $634 million.Includes: Great Lakes Fish and Wildlife Restoration Act, USGS Science Center, GLNPO and Legacy, NOAA GLERL, Corps programs (RAP, Barrier, GLFER, trib modeling), USDS Sediment program.
House proposed only $250 million in its FY13 Interior-EPA appropriations bill.10% sequester cuts;$30 million from FY12 enacted$25 million cut from FY13 House proposed.
Cuts non-defense discretionary nearly as much as sequestration ($27.3B vs $37.2B)Defense rises $8.2B$300B in cuts to mandatory poverty programs