economy and politics

USA: Congress presents budget that would finance the government until September

USA: Congress presents budget that would finance the government until September

A $1.2 trillion budget proposal presented to the legislature on Thursday sets the stage to avoid a partial shutdown of several crucial federal agencies and allows Congress, almost in the sixth month of the fiscal year, to fund the government through September.

Democrats were largely able to reject hundreds of mandates and some big budget cuts that Republicans were trying to make to non-defense programs, although House Speaker Mike Johnson highlighted some accomplishments like the 24% increase in beds of detention sites for migrants awaiting immigration processes or expulsion from the country.

The spending projects were divided into two packages. The first one was approved by Congress two weeks ago, hours before a deadline that would have closed several federal entities.

Now Congress turns to the second, largest package, which includes $886 billion for the Department of Defense, 3% more than last year. The 1,012-page bill funds the departments of Homeland Security, Health and Labor, among others.

Non-defense spending shows relatively little change compared to the previous year. Some, like the Environmental Protection Agency, will suffer cuts, and many entities' budgets will not compensate for inflation.

Combining the two packages, discretionary spending for the fiscal year will be $1.66 trillion. This does not include programs such as Social Security and Medicare, health insurance for pensioners and the disabled. It also does not include the financing of public debt.

The House of Representatives will take up the measure on Friday. It will then go to the upper house, where senators must agree to its expeditious treatment to avoid a partial closure. Generally, these agreements include votes on proposed amendments to the project.

Johnson promoted the bill as a serious commitment to strengthening defense by forcing the Pentagon to focus on its core mission and expand support to those in the armed forces. The project includes a 5.2% increase for the military.

One of the changes mentioned by Johnson was to prohibit funding until March 2025 for the United Nations Palestine Refugee Agency in the Near East (UNRWA), which is the main provider of food, water and shelter for civilians in Gaza.

Republicans have insisted on stopping funding that agency since Israel denounced that a dozen of its employees participated in the Hamas raid on October 7.

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