New Year Brings Gloomy Budget
Predictions
January 9, 2004 - The new year finds Washington engaged
in that favorite post-holiday past-time of guessing what will
be in the president's budget. The FY 2005 budget is scheduled
for official release on Feb. 2. Amid growing talk about reducing
the budget deficit and controlling federal spending, most
of the early rumors have been pessimistic.
A Jan. 4 New York Times story by Robert Pear says
administration officials have indicated the president's budget
"would call for an overall increase of about 3 percent
in appropriations for so-called domestic discretionary spending."
Mr. Pear also notes that administration officials have said
"they will seek an increase of 3 percent or less for
2005" for the National Institutes of Health.
The Jan. 7 Washington Fax reports the president's
FY 2005 budget for NIH "will likely be $28.6 billion,
an increase of about $700 million over the pending FY 2004
figure for the agency depending upon the figures in the base
used for calculation." This would be an increase of about
2.5 percent.
At the same time, speculation continues about the fate of
the consolidated omnibus appropriation (H.R.
2673), which includes FY 2004 funding for the Labor-HHS-Education
and VA-HUD appropriations bills. The House passed the measure
Dec. 8. Senate Majority Leader Bill Frist (R-Tenn.) has stated
the Senate will vote to limit debate on the bill when the
Senate returns to Washington Jan. 20 for the second session
of the 108th Congress. However, it is not clear whether Democrats,
still upset over last minute provisions added to the package,
will oppose efforts to bring the bill to a floor vote.
Information:
Dave Moore, Senior Director
AAMC Government Relations
dbmoore@aamc.org
(202) 828-0525
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