Tax Cuts Put One GOP Goal Off Limits in Trump Budget

Lost revenue means federal deficit won't be eliminated
By Newser Editors,  Newser Staff
Posted Feb 12, 2018 2:41 PM CST
5 Points From Trump's 2019 Budget
President Trump speaks in the State Dining Room of the White House Monday, Feb. 12, 2018.   (AP Photo/Carolyn Kaster)

(Newser) – President Trump unveiled a $4.4 trillion budget for 2019 on Monday, and those with lots of free time on their hands can read it in full here. Before doing so, understand that it has somewhere around 0% chance of being turned into law. As is the case with presidential budget proposals, it is more "vision statement" than realistic spending plan, in the words of the New York Times. Here are some of the key points in Trump's vision:

  • No balanced budget: The plan surrenders on a GOP goal of trying to eliminate the budget deficit in 10 years. It's a concession that the big tax-cut plan enacted last year and higher spending in some areas make that impossible, reports the Washington Post. Specifically, the budget sees a $984 billion deficit next year and $7 billion in new debt over the next decade.

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  • Military spending: Trump calls for an increase to $716 billion for the Pentagon, which USA Today says would represent the biggest defense buildup since Ronald Reagan held office. The plan would add 25,900 troops to the current force of 1.3 million, and it calls for 10 new warships and increased production of F-35 and F-18 warplanes.
  • Medicare cuts: The plan proposes cuts to domestic agencies such as the Labor and Interior departments, the EPA, and and the National Science Foundation. It also would cut Medicare by $554 billion over the next 10 years, including cuts in payments to hospitals and rehab facilities, reports the AP.
  • Border wall: Trump wants $18 billion for a wall on the Mexican border, and additional money to hire more immigration agents, per USA Today.
  • Space station: The White House plans to end funding for the International Space Station by 2025, but the government would allot $150 million to help make sure that private businesses take over the station's operation in some as-yet unspecified capacity, per the AP.
Trump also proposes spending $200 billion in federal money on infrastructure. (Read more President Trump stories.)

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