As I go through the approved budget again I come to questions.....this budget is not all bad nor all good.....
This just a summary, nothing more.....some questions and observations that I have.....
For example, in Table S-2, there are two entries for DoD "Overseas contingency operations" under discretionary programs.....one says proposed, the other says memorandum proposed.....and the numbers are different.....and the numbers all show deficit reduction.....the deficit reduction can only come from either (1) spending less, or (2) creating revenue.....
Revenue is unlikely, so spending less, which sounds great, but we are sending 21,000 more troops to Afghanistan, keeping 49,000 troops in Iraq.....
The deficit reduction numbers, BTW are - depending on which line you check - either a reduction of $60.3 Billion or $64.6 Billion for 2010 and $118.6 Billion or $148.3 Billion for 2011.....
Table S-3 in Individual income tax receipts show $972 Billion for FY 2009, $1.08 Trillion for FY 2010, and $1.218 Trillion for 2011.....an increase 2009-2010 of $100 Billion and 2010-2011 of $200 Billion.....just increasing taxes on the super rich will not produce those numbers.....
In table S-5 there is a line for continuing the 2001/2003 tax cuts, showing as deficit increases beginning in 2009.....then jumping from a small amout the about $150 Billion in 2011, the year they run out.....and going up after.....the question is, since those tax cuts will not exist, how will they add to the deficit for the 10 years or so this budget projects? Smoke and mirrors?
Table S-6 shows almost $2 Billion deficit reduction by changes in "preferences" given to oil and gas companies.....watch for gas prices to go up again.....
"Climate revenues" start coming in 2012.....not too sure yet what that really means, but we shall see.....
Deficit reductions coming from reducing direct payments to farms are $85 Million in 2010, $480 Million in 2011, $625 Million in 2012, and $1.225 Billion in 2013.....add in the deficit reduction and revenue from crop insurance underwriting and premium increases of $429 Million in 2011 and $427 Million in 2012.....we could see many smaller farmers going under again.....
Now, Veterans Affairs.....this is confusing.....deficit reductions using discretionary funds for contract examinations for disability compensation eligibility.....$141 Million in 2010, $148 Million in 2011, and $155 Million in 2012.....the only ways to reduce this is to spend less.....or outsource it.....and so generate revenue.....
Oddly enough, the 2010 Budget says NOTHING about the much-discussed Government health care system, in particular as outlined in the then-Senator Obama's website.....there is quite a bit put into reserves and so forth but marked for other things and programs.....
