Hope springs eternal with the annual budget submission. In what has become an annual ritual, the President sends Congress a list of dozens of items to cut from the annual spending bills. And in an equally rote affair, Congress deposits most of these suggestions in the round file. Cut, restore, repeat.

 

President Obama’s budget has some good cuts, 121 in total worth $17 billion, but it remains to be seen whether he can interrupt the annual Kabuki budget cut dance on both ends of Pennsylvania Avenue. There are some oldie but goodie cuts there. Like a yellowed yearbook photo, you find the Department of Education’s Even Start program ($66 million) and Water Infrastructure earmarks at the Environmental Protection Agency ($145 million), both proud members of the budget cut class of FY09 and years before.

But there are also some rookies in this year’s lineup. The Defense budget includes proposals to cut $144 million from the troubled Combat Search and Rescue Helicopter (CSAR-X) and $750 million from the equally mismanaged and over budget Presidential Helicopter (VH-71), the replacement for the Marine One fleet. Not surprisingly Congressional champions of these programs – that is, members representing districts where the aircraft are being built – cried foul and promised to restore funding.

Another good example of the buzz saw of parochial opposition that Presidential budget cuts face is the attempt to cut farm subsidy payments to fat cat farm operations. Since before he took office the President has highlighted concerns about wealthy farmers receiving agriculture subsidies, targeting $143 million in FY2010. But this well reasoned cut has run into heavy opposition from Big Ag boosters on both sides of the Hill and has been declared dead on arrival.

Only a few months into his administration, the President faces a critical budget test. Although modest in the total context of the budget, the proposed $17 billion in cuts are a battle worth waging with parochial politicians and special interests. Early budget fights set the tone for future year budget proposals. The Bush Administration started like gangbusters, nicknaming budget chief Mitch Daniels “the Blade,” and having the Rolling Stones' “You Can’t Always Get What You Want” as the theme music for its first budget rollout that included dozens of cuts. Yeah, they talked a tough game. But instead of being an attack dog in response to Congress, the Bush Administration whimpered, rolled over, and offered up its soft budget underbelly. Proposed cuts came and went over the next 8 years, but few ever took hold. This is a good reason why a few dozen of President Obama’s suggestions are frequent flyers on these lists.

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The nation is being asked to spend, spend, and spend some more to bailout the financial sector and jump start the economy. Like cutting lattes and filet mignon out of the family budget, $17 billion in cuts won't balance the budget. But they will put Congress on notice that this administration is serious about cuts and fiscal discipline, and that the spending spree must come to an end someday.

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