President Obama has proposed to reduce the federal deficit by $1.1 trillion over 10 years. The plan includes calls for slashing federal assistance for the working poor and reducing aid to help the needy heat their homes. Obama’s proposal also calls for cutting Community Development Block Grants by $300 million and for a five-year spending freeze on non-security discretionary spending.
President Obama: “My budget freezes annual domestic spending for the next five years — even on programs I care deeply about — which will reduce the deficit by more than $400 billion over the next decade. This freeze will bring this type of spending to its lowest level as a share of the economy since Dwight Eisenhower was president.”