Senator Durbin Says President's Budget is out of Touch with Needs of Middle Class Americans

February 4, 2008 -- [WASHINGTON, DC] – U.S. Senator Dick Durbin (D-IL) said that the budget President Bush delivered to Capitol Hill today proved yet again that the Bush Administration’s priorities are out of touch with needs of middle class Americans.

“If the President’s State of the Union Address provided Americans with hopeful words, today’s budget proposal is a desperate document. With a failing economy, the lowest approval ratings in history, and less than a year left in office, you would think that the President would be open to new ideas. Unfortunately, this budget makes it clear that the President’s plan is out of touch with America– with more tax cuts for the rich, more budgets gimmicks to hide the true cost of the war and more funding shortfalls for education, health care, homeland security, energy, agriculture, transportation, housing, veterans, and foreign affairs programs.

“While the President continues to argue that we need to stay in Iraq and Afghanistan, his budget cuts off funding for the troops after the spring of next year. While the President claims to oppose tax increases, he is about to impose one of the largest tax increases in our nation’s history on more than 25 million middle-class families by refusing to reform the Alternative Minimum Tax (AMT) beyond next year -- a $119 billion tax increase in 2010 alone.

“The President may think his voluminous budget will put us to sleep but Americans are paying attention. With a nation that is more engaged than ever, people are noticing that the President isn’t putting his money where his mouth is.”

Education:

“In his State of the Union address, the President called on Congress to reauthorize the No Child Left Behind Act. Yet this budget once again fails to demonstrate a commitment to providing our failing public schools the resources they need to provide each of our children a quality education. We need a budget that will fund our struggling public school system and ensure that the cost of a college education is still within reach for middle-income Americans.”

The President's proposed increase for the mismanaged Reading First program, along with $300 million for a school voucher initiative that siphons resources away from public schools, would come at the expense of 48 programs, including career and technical education, Federal Supplemental Educational Opportunity Grants, the Leveraging Education Assistance Partnerships Program and Perkins Loans.

No Child Left Behind - National Impact:

For the seventh year in a row, the President's budget fails to fully fund the federal No Child Left Behind (NCLB) act. The bulk of federal funding for NCLB is provided through Title I, which helps schools provide textbooks, teachers and additional classroom help to students from low-income families. While funding for NCLB will increase by $125 million compared to last year, for a total of $24.7 billion, the President's budget continues to underfund NCLB by $14.7 billion this year, for a cumulative shortfall of $85.6 billion since enactment of the law.

No Child Left Behind - Illinois Impact: 119,871 Illinois children left behind

The No Child Left Behind law promised Illinois over $1 billion in Title I funding for 2009. The Department of Education estimates that the President’s budget will provide $588 million in Title I funding to Illinois. That is less than Illinois received in 2007 and 2008 and just over half the amount promised by NCLB. As a result, 119,871 Illinois children will be left without full Title I services.

College Student Aid - National Impact:

For the sixth year in a row, the President’s budget makes college more expensive by underfunding or eliminating student aid programs aimed at helping disadvantaged students gain access to and pay for college. While the President does provide an increase for Pell Grants, he eliminates three essential financial aid programs: Supplemental Educational Opportunity Grants (SEOG), Leveraging Education Assistance Partnerships (LEAP), and Federal Perkins Loans. The SEOG program provides need-based grants to low-income undergraduate students. The LEAP program provides grants to states for need-based grants and community service work-study assistance to college students. The Perkins Loan program provides low-interest loans to help needy students.

College Student Aid - Illinois Impact:

Over the past five school years, the cost of four-year public colleges in Illinois increased 47% while median household income in Illinois increased just 5% in the same time frame. The President's decision to eliminate Supplemental Educational Opportunity Grants (SEOG), Leveraging Education Assistance Partnerships (LEAP), and Federal Perkins Loans will impact nearly 90,000 Illinois students -- causing some of them to drop out of college.

In 2005, SEOG grants helped more than 49,000 Illinois students attend college and over 39,000 Illinois students received low-interest Perkins loans. LEAP grant funding will provide Illinois students over $3.5 million this year. The President’s budget would force those students to find another way to finance their education, or force them to leave school altogether.

While the increase in Pell funding contained in the President's budget is important, in Illinois, the maximum Pell Grant covers only 29% of college tuition, fees, room and board – down from 47% twenty years ago. The President’s budget does not do enough to help Illinois students deal with the rapidly rising cost of college.

Afterschool Programs - National Impact:

The President’s budget cuts afterschool programs by $281 million, down 26% from last year. That would result in $1.7 billion less funding that the level authorized by No Child Left Behind. In addition, the budget would eliminate the grants for after-school programs run by community groups and school districts and replace the program with vouchers for families to redeem at private providers. The Bush budget leaves behind an estimated 1.1 million students who would receive afterschool services if the program were funded at the level promised in NCLB.

Afterschool Programs - Illinois Impact:

The budget would provide $30.8 million to afterschool programs in Illinois, which is $17 million less than last year. Over 40,000 Illinois children depend on federally funded afterschool programs, but under the President's budget more than 10,000 of these Illinois students would no longer have a safe place to go after school. Parents of these children will continue to wonder where their children are between the time school is dismissed and the time the parents can arrive home from work. If these programs were fully funded as promised by No Child Left Behind, over 100,000 Illinois children could participate.

Perkins Program - National Impact:

The President’s budget proposes the elimination of the Carl D. Perkins Career and Technical Education Improvement Act, despite the fact that Congress reauthorized and strengthened this program three years ago and the President signed the reauthorization bill into law. As a result of the cut, states would see their funding disappear, and 17 million students enrolled in career and technical education programs could see their courses reduced or eliminated. Perkins Career and Technical Education funding provides critical support for local school systems in their efforts to provide students with the education and skills they need for the 21st century economy.

Perkins Program - Illinois Impact:

In 2005, approximately $90.3 million from the Perkins program helped over 39,000 Illinois college students. In 2008, Illinois has planned to receive over $48 million to support local programs across the state that focus on improving the academic achievement of career and technical education students, but in 2009 Illinois under the President’s proposal that money would disappear.

Safe and Drug-Free Schools - National Impact:

The President’s budget cuts the Safe and Drug-Free Schools and Communities program by $194.8 million, which is 66% below last year. The Safe and Drug-Free Schools program is an essential component of the effort to ensure academic success for all students, by creating a safe environment in which all children can learn. 97% of our nation’s school districts receive these grants which serve more than 37 million children each year.

Safe and Drug-Free Schools - Illinois Impact:

In 2008, Illinois is expected to receive more than $11 million in funding through Safe and Drug-Free Schools and Communities grants. With the President’s cuts, that number would fall to $4.2 million in 2009.

Health Care:

“Unfortunately, the President's budget singles out health care for the heaviest cuts while continuing to provide large overpayments to private insurers. When will this Administration understand that providing real help for seniors is the goal, not lining the pockets of the corporations that benefit when those seniors get sick? The President should adequately fund Medicare and give the government the authority to bargain on behalf of seniors for lower drug prices.”

Medicare & Medicaid - National Impact:

Once again, the President is proposing massive cuts to Medicare and Medicaid. The President’s budget recommends reducing spending for Medicare by $183 billion and Medicaid by more than $17 billion over the next five years. These cuts are about double the amount the President proposed last year, which Congress rejected. The President’s budget also proposes that more seniors should be subject to higher Medicare premiums, and it fails to make improvements to the Medicare drug benefit. The Administration is also re-proposing a change in the tax treatment of health insurance that mostly benefits high-income people and leaves older and sicker people worse off.

Medicare & Medicaid - Illinois Impact:

In Illinois, more than 1.5 million people depend on Medicare and more than 2 million people depend on Medicaid for essential health care services. Illinois hospitals, which rely on Medicare and Medicaid for the majority of their revenues, would be hard hit by the proposed payment cuts, particularly since more than half of Illinois hospitals are already losing money on providing patient care. In addition, Illinois’ 68 teaching hospitals, which train the next generation of physicians and provide the most advanced medical care, would be especially hurt by the Administration’s proposed reductions in Medicare funding for graduate medical education. And even as Illinois works to provide health coverage to the uninsured, the Bush Administration estimates that Illinois will receive $123 million less in federal Medicaid funds than during Fiscal Year 2008.

Nurse Programs - National Impact:

The President’s budget slashes funding for health professional by $240 million -- a cut of 69 percent. This means significant funding reductions for nurse training, nurse faculty and incentives to attract people to health care professions, train them, and place them in underserved areas.

Nurse Programs - Illinois Impact:

Illinois faces an acute shortage of nursing faculty, and the proposed cuts to the only federal program to address this need would hurt Illinois efforts to address this growing problem. In 2007, Illinois schools turned away 1,657 students from baccalaureate and graduate nursing degree programs. Illinois is expected to face a shortage of 32,000 nurses by the year 2020.

Rural Health Programs - National Impact:

The President proposes $994 million in cuts to the Health Resources and Services Administration (HSRA), including a serious blow to rural health programs. The President’s proposal cuts rural health programs by $111.6 million reduction, an 87 percent reduction. The President would also eliminate $304 million in funding for other Public Health Improvements, which help rural communities provide access to quality hospitals and health care.

Rural Health Programs - Illinois Impact:

In Illinois, the President’s proposed cuts will hurt efforts to recruit, train and place medical professionals in underserved communities and health professions shortage areas. Area Health Education Center partners include Midwestern University, University of Illinois, Southern Illinois University, Illinois Department of Public Health, Chicago Department of Public Health, Illinois Primary Health Care Association, and Illinois Rural Health Association. Rural communities depend on these partners, and the federal funding that supports them, for many of their health care professionals.

Children’s Health Care - National Impact:

The President’s budget would eliminate the $301 million Children’s Hospital Graduate Medical Education (GME) program, which allows children’s hospitals to employ and train 4,700 pediatricians and pediatric subspecialists each year.

President Bush’s budget also would terminate universal screening funding for newborn hearing and emergency medical services improvements for children.

The budget proposes a cut of nearly $1.1 billion from the Administration for Children and Families (ACF), including the elimination of the Community Service Block Grants, which states use for child care subsidies and other assistance for low-income individuals and families. At the same time, the Administration proposes an increase in funding for abstinence programs, despite numerous studies indicating these programs are ineffective and perhaps even counter-productive.

Children’s Health Care - Illinois Impact:

The President’s budget elimination of graduate medical education funds would hurt pediatric hospital services in Chicago. Children’s Memorial Hospital and LaRabida Children’s Hospital used $9.2 million and $243,326, respectively, in fiscal year 2007 to help support and train pediatricians during their residencies. These young doctors are a critical part of the hospitals’ faculty.

Public Health Safety - National Impact:

Once again, the President has proposed massive cuts to the Center for Disease Control and Prevention (CDC). The President’s budget recommends the elimination of the CDC's preventive health block grants.

Public Health Safety - Illinois Impact:

In Illinois, these funds are directed to newborn hearing screening, infant and child safety seat use for babies and children, crisis services for victims of sexual assault, and anti-obesity programs in schools throughout the state.

Homeland Security:

“We continue to hear from our law enforcement agencies, first responders, and emergency preparedness officials that they need assistance from the federal government to better fight crime in our communities and safeguard our homeland from natural disasters and terrorist attacks,” said Durbin. “And we continue to see this Administration slash funding for vital programs that have helped our state and local agencies do their jobs. It defies comprehension that this Administration is spending over $10 billion per month providing security in Iraqi neighborhoods, while cutting funding that our law enforcement agencies say they desperately need to keep American neighborhoods safe. The President’s budget also fails to provide critical funding to help our communities prepare for disasters, whether that means flooding along the Mississippi or threats to our national security.”

This year, the President’s budget once again slashes funding for state and local law enforcement assistance like the COPS program and the Edward Byrne Memorial Justice Assistance Grant program, and also cuts important disaster preparedness and relief programs. These proposed cuts would represent a serious setback for Illinois communities.

COPS Program - National Impact:

The President’s budget essentially eliminates the successful Community Oriented Policing Services (COPS) program. Whereas the Democratically-controlled Congress allocated $587 million for COPS in the Fiscal Year 2008 - a $45 million increase over 2007 levels - this year the President’s budget would give only $4 million for community policing development.

COPS Program - Illinois Impact:

Since 1994, Illinois has received more than $431.6 million in COPS grants for community policing efforts, helping Illinois law enforcement agencies fight and reduce violent crime. These grants have provided funding for over 5,500 additional police officers and sheriff’s deputies in Illinois, and have benefited 682 local and state law enforcement agencies. In addition, the COPS program has given Illinois $22 million to hire over 180 school resource officers to enhance safety in Illinois primary and secondary schools. The program has also awarded over $56 million to Illinois for crime fighting technologies, such as communications equipment and information-sharing systems. The elimination of the COPS program would severely hamper efforts by Illinois law enforcement agencies to fight and reduce violent crime.

Byrne Grants - National Impact:

The Edward Byrne Memorial Justice Assistance Grants have been used to provide significant support for law enforcement agencies, courts, prosecutors and victim service organizations in their efforts to prevent and fight crime. The President’s budget proposes to eliminate this program and replace it with an underfunded alternative.

Byrne Grants - Illinois Impact:

Illinois received over $12 million in Byrne-JAG funding in 2007, which provided vital resources for anti-methamphetamine task forces, criminal prosecution units, sex offender monitoring, and other crime prevention programs. The elimination of the Byrne-JAG program would severely hamper efforts to fight drugs and prevent crime in Illinois, particularly in our rural communities.

Fire Department Assistance - National Impact:

The President’s budget proposes a $450 million cut in funding for important grant programs that help firefighters and fire departments prepare for fire hazards and other emergencies. This represents a 60% cut from FY 2008 congressionally funded levels. These FIRE and SAFER grant programs help firefighters and other first responders obtain critically needed equipment, gear, training, and other resources. They also provide funds directly to fire departments to help them train more firefighters who can respond to emergencies whenever they occur.

Fire Department Assistance - Illinois Impact:

In 2007, Illinois received more SAFER awards than any other state in the country. Illinois fire departments received nearly $1.5 million in federal funding to hire and recruit additional firefighters. Meanwhile, $17.3 million was awarded to Illinois fire departments to help them purchase fire vehicles and protective equipment and fund important fire prevention and education programs. Nearly 200 local fire departments in Illinois have benefited from these grants in the last year. A 60% funding cut will have a severe negative impact on the ability local fire departments to purchase needed equipment.

Flood Map Modernization Initiative - National Impact:

The President’s budget cuts funding for the Flood Map Modernization Initiative from $220 million to $150 million, nearly a third lower than congressionally approved funding levels for FY 2008. These funds are needed to help FEMA revise outdated flood maps that do not accurately measure current flood risks. Updated maps that accurately identify flood hazards can help protect homes and businesses and better prepare communities for flood-related disasters.

Flood Map Modernization Initiative - Illinois Impact:

There are more than 4.6 million households in Illinois today, but only about 1 percent of the state’s households are covered by flood insurance policies, leaving many Illinois residents exposed to flood-related losses. The proposed cut in the funding for this initiative could delay the updating of flood maps in Illinois and in other states that border the Mississippi River, hindering local efforts to develop appropriate flood mitigation and response plans.

Energy, Science, and Environment:

“The President’s budget does not fully address the most critical energy issue facing Americans today: our growing dependence on foreign oil and the impact this dependence has on our economic security and national security. We need an aggressive energy policy that provides more funding for the development of renewable energy options.”

The President’s budget fails to recognize the role that renewable energy needs to play in our energy future. Overall funding for energy efficiency programs was also cut by 27 percent from 2008 levels. The budget proposes a 7 percent cut in solar energy research, and a 79 percent cut in weatherization and intergovernmental activities – which includes the adoption of energy efficiency and renewable energy technology and practices by state and local governments.

LIHEAP - National Impact:

As energy prices continue to burden low-income American families, the Administration has again failed to provide full funding for the Low Income Home Energy Assistance Program. The Administration provided only $1.7 billion in formula funding and $300 million for emergency contingency funding, for a total of $2 billion, a 22 percent cut from the $2.57 billion provided in 2007 and for 2008.

LIHEAP - Illinois Impact:

For many families in Illinois, energy costs are a severe stress on the budget, forcing them to make painful choices between heating their homes and paying for other necessities, such as food, clothing, and transportation. Last year, Illinois received $113.3 million in funding, which is helping over 400,000 low-income households in Illinois pay their heating bills this winter. This year, Illinois’ formula funding will be cut to $97 million-- a 14 percent cut that could affect more than 15,000 households in our state.

FutureGen:

The President's budget proposes to eliminate the FutureGen program and replace it with smaller efforts that do not involve zero-emission energy production and that could not be deployed quickly. This project was developed to achieve three major goals simultaneously so that coal could compete as an environmentally responsible energy source in a world where global warming is a reality. FutureGen's three critical features are that it will prevent global warming through a process known as carbon sequestration, produce energy without producing harmful emissions, and do so on a large scale so that it can be replicated quickly around the country. When Texas lost the scientifically-based competition to locate FutureGen, the Administration abruptly abandoned plans to build the plant in Mattoon, Illinois. In spite of the President's proposal to move the money to other areas in the energy budget, the Illinois Congressional delegation will not give up on FutureGen.

Scientific Research - National Impact:

The President’s budget fully funds the America COMPETES Act, which authorized numerous research programs within the Department of Energy’s Office of Science. Overall Office of Science funding would increase 19 percent from the FY08 level. In particular, the budget for High-Energy Physics would increase by 17 percent; Nuclear Physics would increase by 18 percent. Biological and Environmental Research, which funds critical climate change research, would increase by 14 percent, and Basic Energy Sciences would increase by 23 percent. In addition, this budget would increase funding for the National Science Foundation by 13 percent. While these budget increases are encouraging, during the negotiations on the last year's spending bill it became clear that the White House would not follow through on its promise to properly fund scientific research. That must not happen again this year.

Scientific Research - Illinois Impact:

In Illinois, Argonne National Laboratory would receive $300 million, an 8 percent increase over FY08. Fermi National Laboratory would receive $379 million, an 18 percent increase from current year funding. The High-Energy Physics budget, in particular, would help Fermilab’s efforts to expand its research programs in the future.

Environmental Protection Agency - National Impact:

Under the President’s budget, funds for the Environmental Protection Agency would decrease by more than 4 percent from FY08 levels. The Agency’s mission is to protect human health and the environment by developing and enforcing clean air, clean water, superfund and other regulations, and by performing research to identify, understand, and solve environmental problems. These budget cuts are indicative of the low priority the Administration places on making our country a cleaner and more environmentally friendly place for all Americans.

Environmental Protection Agency - Illinois Impact:

Two key programs within the Agency directly affect efforts to restore Lake Michigan. The Great Lakes Legacy Act program, which funds cleanup projects at contaminated sites, would receive $35 million, the same as appropriated last year. The Clean Water State Revolving Funds, which are made available for wastewater and storm water infrastructure projects, would decrease by more than 19 percent. These proposed cuts will severely limit our ability to improve the water quality and health of Lake Michigan, which provides drinking water and recreation to millions of Illinois residents.

Agriculture:

“More than 76,000 farm families in Illinois produce crops and livestock that feed families all over the world,” said Durbin. “Our state’s farmland is some of the most productive on the planet, and federal agriculture policy is vitally important to Illinoisans. One of the most critical funding areas for the continued vitality of America’s farmers and rural areas is agricultural research, which has led to improvements in crop and livestock genetics and the development of new and value added products. Some of the best research in this area is being done at the ARS lab in Peoria and the University of Illinois Extension Services yet the President's budget cuts nearly every agricultural research program."

Agriculture Research - National Impact:

Overall, major agricultural research programs were cut by $330 million including a cut of $100 million for Agriculture Research Service, a $122 million cut for Cooperative State Research, Education, and Extension Service and a $38 million cut for livestock research. At a time when food safety is becoming a greater concern in people's lives, the President's budget cut food safety research from $95 million to $82 million.

Agriculture Research - Illinois Impact:

In Illinois, agriculture research funding was used last year to make improvements in the quality of soy products, map the swine genome, and improve the efficiency of converting corn and other feed stocks to ethanol and other bio-based fuels. Cutting the budget for agriculture research will thwart the investments we've made to improve the nutritional quality and productivity of Illinois' major crops.

Invasive Species/Emerald Ash Borer - National Impact:

Thankfully, the Administration has proposed to add millions of dollars to successful invasive species programs that are working to halt the spread of insects and other species that threaten crops and trees. Last year, Congress worked to provide USDA with $30 million to combat the spread of Emerald Ash Borer (EAB) and $40 million to stop the Asian Longhorn Beetle. This funding is used to study the most effective technologies to stop invasive species and for survey and management activities that are trying to stop the Emerald Ash Borer from devastating Illinois' landscape. The President's budget states it will increase funding for EAB and devote resources to increase the number of full-time employees and invest in advanced technologies.

Invasive Species/Emerald Ash Borer - Illinois Impact:

Illinois is home to more than 130 million ash trees. In many communities in Illinois, ash trees account for more than 20% of Illinois' landscape. In addition to their aesthetic value, ash trees improve property values, cut down on home heating and cooling costs, and provide habitat to wildlife. Left unchecked, Emerald Ash Borer could destroy millions of trees in Illinois, each one with the potential to cost the State of Illinois, local governments, or homeowners nearly $1,000 to remove and replace. The President's budget promises to increase the number of inspectors as well as investment in research efforts to stop this pest.

Rural Development - National Impact:

Last year, Congress provided $715 million for America's rural businesses, community facilities and utilities. In addition, we provided $4.77 billion for rural housing including $1.13 billion in direct loans. Unfortunately, the President's budget eliminates the $1.3 billion direct housing loan programs, the $40 million Mutual and Self-Help Housing Grant Program, the $11 million Rural Empowerment Zone Grant Program, the Value Added Producer Grant Program and the Community Connect Broadband Grant Program.

Rural Development - Illinois Impact:

In Illinois, USDA Rural Development programs invested $418 million in rural Illinois in 2007, the second highest total in the United States. Rural Illinois businesses and communities have access to 13 staffed, full-time offices throughout the state. Last year alone, these programs placed 3,500 Illinoisans in new or improved homes, created or saved 1,200 jobs, and provided 1.8 billion gallons of safe water to rural customers. Unfortunately, the cuts in the President's Budget would eliminate USDA rural direct housing lending in Illinois and eliminate popular grant programs that support innovative rural businesses, community facilities, and broadband networks.

Food Safety:

Although the President proposed massive cuts for many other critical health- related efforts, the President seems to have recognized the shortcomings in our food and consumer safety efforts. In early December I led a bipartisan effort along with Senator Sessions of Alabama that included 22 of my Senate colleagues to urge the President to significantly increase funding for food safety activities at the Food and Drug Administration (FDA). The President’s budget requests a $33 million increase in funding, or 6 percent, for food safety activities at the Food and Drug Administration (FDA). The budget also proposes the use of $28 million to implement a comprehensive food safety plan. The food recalls during 2007 and FDA's 15-year backlog of uninspected overseas plants demonstrate the growing need to improve our food safety efforts, and the President’s proposed funding improvements are a step in the right direction.

The Administration also recognized this funding shortfall by proposing $100 million in user fees for meat facilities to register with USDA Food Safety and Inspection Service and for businesses to pay a performance fee when they fail testing, have recalls, or are linked to outbreaks of food-borne illnesses. Similarly, the Budget proposes the collection of user fees for the re-inspection of FDA-regulated facilities and the issuance of export certificates for food and animal feeds.

Transportation:

“Amtrak is vitally important to Illinois,” said Durbin. “Unfortunately, the President and his Administration are once again attempting to privatize and eventually eliminate Amtrak rail service. Year after year, these political games drive Amtrak to the brink of insolvency and Congress is forced to ride to the rescue.”

Amtrak- National Impact:

The President's 2008 Budget would once again derail Amtrak by allocating just $900 million for Amtrak service nationwide, roughly $425 million less than what the rail line needs to operate. The cuts could force closure of some routes.

Amtrak- Illinois Impact:

Chicago and 29 other communities in Illinois that serve over 3 million people would see a reduction or possible shutdown of Amtrak service. Durbin noted that Amtrak trains in Illinois have seen phenomenal growth on the trains from Chicago to St. Louis, Quincy, and Carbondale. This past year, those three routes saw a greater increase in ridership than any other line in the Amtrak system. The Chicago-Quincy routes -- the Illinois Zephyr and the Carl Sandburg -- have seen 41.4% growth in ridership in the last year. The Chicago-St. Louis line -- the Lincoln -- saw a 55.8% increase in ridership. The Chicago-Carbondale routes -- the Illini and the Saluki -- have seen an outstanding boost of 67.4%. Therefore, it is vital that Amtrak receive the proper level of federal funding so that these trains can continue to operate.

Essential Air Service (EAS) Program - National Impact:

The President’s budget this year slashes funding in half for the Essential Air Service program by establishing a $50 million cap. The EAS program was created to guarantee small communities (which prior to deregulation were served by certificated airlines) maintained commercial service. Its aim is to maintain a minimal level of scheduled air service to these communities that otherwise would not be profitable.

Essential Air Service (EAS) Program - Illinois Impact:

The EAS program provides financial assistance to provide air service from Marion, Decatur and Quincy in Illinois to St. Louis. With such a severe reduction in funding, commercial air service to these communities could be lost.

Airport Improvement Program- National Impact:

The President’s budget cuts the Airport Improvement Program (AIP) funding by $764 million. AIP grants are used for airport capital items and projects that improve the airport in areas of safety, capacity, noise reduction and environmental mitigation.

Airport Improvement Program- Illinois Impact:

Illinois will lose $25 million, threatening a critical source of funding for new runway construction at O’Hare, and improvements at airports such as Waukegan, Marion, Peoria, Springfield and many other Illinois airports.

Housing:

“There is a dramatic need for affordable housing all across America, from big cities to small rural communities – yet the President wants to slash or even eliminate programs that help rural communities build affordable housing (Multi-Family Housing Direct Loans) and help families own their own homes (Self-Help Housing Grants and Single Family Housing Direct Loans.) The President also wants to eliminate programs that help cities restore public housing (HOPE IV and Revitalization of Severely Depressed Public Housing) and help families rehab their homes (Section 108 Loan Program). With so many working families struggling to hold onto their homes and keep a roof over their family’s heads, now is the wrong time to gut federal housing programs.”

Community Development Block Grants - National Impact:

The President proposes cutting funding for the Community Development Block Grant (CDBG) program by $650 million - a funding level of $2.9 billion compared to last year's $3.6 billion. CDBG supports community development and neighborhood revitalization projects, including the development of affordable housing, and provides important housing counseling services.

Community Development Block Grants - Illinois Impact:

Last year, Illinois received more than $170 million in CDBG funds statewide. This year, under the President’s proposal, Illinois will receive $129.7 million – a loss of more than $40 million. In the past, CDBG funding has been used to fund a variety of projects in Illinois, including providing resources for police officers, improving street lighting, rehabilitating failing sewer lines, funding area homeless shelters, upgrading low income housing, reconstructing problem roadways and operating substance abuse programs.

HOPE VI - National Impact:

Last year, in spite of the President's attempt to eliminate the HOPE VI program, Congress provided $100 million for the program. Once again this year, the President is proposing to eliminate HOPE VI, whose funds are used to renovate or demolish existing public housing and replace it with mixed-income housing.

HOPE VI - Illinois Impact:

HOPE VI funding has been used in Illinois to sponsor a variety of projects, from destroying and renovating dangerous public housing units such as the Robert Taylor Homes on Chicago’s South Side to providing for new houses in Rockford and Peoria.

Housing Opportunities for Persons with AIDS (HOPWA) - National Impact:

The President’s budget provides no increase in funding for the Housing Opportunities for Persons with AIDS (HOPWA) program, in spite of the increasing number of areas becoming eligible for funding. HOPWA is the only federal program that specifically provides cities and states with the resources to address the housing crisis faced by individuals with HIV/AIDS. The program has helped these people avoid choosing between essential medications and housing and contributed to the dramatic reductions in AIDS mortality rates.

Housing Opportunities for Persons with AIDS (HOPWA) - Illinois Impact:

Illinois has the seventh highest number of AIDS cases in the nation, with more than 32,000 reported cases of AIDS since 1981. Over the past decade, Illinois has used HOPWA funding to build and maintain more than 1,300 units of supportive housing for persons living with HIV/AIDS in the Chicago area. Last year’s HOPWA allocation of $5.8 million in formula and $3.6 million in project dollars provided funding for 1,200 of these units. However, these units meet less than 10 percent of existing need. More funding is necessary to develop new affordable housing options for individuals with HIV/AIDS, which would improve their access to comprehensive healthcare services and help them achieve better health outcomes.

Fair Housing - National Impact:

The President’s budget provides $26 million for the Fair Housing Initiatives Program (FHIP), with a $6 million set-aside for the Housing Discrimination Study. After taking into account the set-aside, this figure actually represents a $4 million decrease or 17% cut from the FY 2008 congressionally enacted funding level of $24 million. The FHIP assists individuals who believe they have been victims of housing discrimination. More than 4 million fair housing violations occur each year, which does not include discrimination in the lending market. Additional funding is necessary to ensuring that fair housing laws are enforced, discrimination is reduced, and the benefits of homeownership are available to all Americans.

Fair Housing - Illinois Impact:

Illinois received $1.7 million in FY 2007 and FY 2006. A 17% cut could seriously jeopardize this important program in Illinois.

McKinney-Vento Homeless Assistance Grants - National Impact:

The President’s budget proposes $1.6 billion in funding for the McKinney-Vento Homeless Assistance Grants program, a slight increase over the $1.586 billion funding level in FY 2008 but $164 million short of the $1.8 billion that would be needed to make progress towards meeting the Administration’s goal of ending chronic homelessness by 2012. The increase is also insufficient to keep pace with renewal amounts for existing projects and to fund new permanent housing projects.

McKinney-Vento Homeless Assistance Grants - Illinois Impact:

Last year, Illinois received over $82 million in federal funding for permanent housing, transitional housing, and supportive services, which helped fund over 260 projects across the state. Even so, demand for housing services outpaces supply and funding cuts mean that the state will be unable to keep pace with the growing problem of homelessness. On any given night, about 12,000 households are homeless in Illinois and over the course of a year, nearly 74,000 people experience homelessness in the Chicago metropolitan area alone.

Veterans and Defense:

“Once again the President has refused to allocate war funding through the regular budget process. After six years of fighting, this administration continues to skirt the rules and avoid accountability and openness. By continuing to fund the war through supplemental funding the administration is trying to mask the full cost of these wars.”

Defense - National Impact:

A recent report, done by the Commission on the National Guard and Reserve, shows that the Army National Guard and Reserve is short $45 billion worth of equipment. While the President claims to be committed to our troops, his budget only calls for $6 billion- far short of what is needed to protect American soldiers fighting abroad and American guardsmen protecting our homeland.

Defense - Illinois Impact:

The Illinois National Guard has fortunately received an influx of equipment over the last three months. However, they still only have about two thirds of the equipment necessary for our Guard to be properly prepared and to serve our citizens. As long as we continue to spend over $10 billion per month in Iraq, it will take us almost a decade for our National Guard to be fully equipped.

Veterans - National Impact:

Last year the President requested $34.2 billion for veterans’ health care-- $2 billion less than what its estimated needs were in The Independent Budget, a document developed by leading veterans to calculate the VA's needs. Congressional Democrats successfully increased that spending to $37.1 billion and met the needs estimated by The Independent Budget for the first time in the 22 years. This year, the President is requesting $41.2 billion for the VA Health Care System, $1.6 billion below The Independent Budget’s recommendation. Once again the President talks about the importance of taking care of the men and women in uniform but his budget fails to do so.

Veterans - Illinois Impact:

The President’s budget shortfalls mean that there will likely be little relief for Illinois’s nearly 70,000 veterans who must still wait for an average of nearly five months to have their disability claims processed.

Foreign Affairs:

"While I am pleased to see that the President’s budget includes an overall increase in the international affairs budget, I strongly disagree with his recommendation to reduce funding for vital international programs, including the Global Fund. It is critical that the United States continue to be a leader in the global war against HIV/AIDS. As the world’s wealthiest and most powerful nation, our actions encourage other donor nations to step up and devote additional resources to fight the global AIDS pandemic.”

Global HIV/AIDS:

The President’s budget cuts $341 million from last year’s for the U.S. contribution to the Global Fund to Fight AIDS, Tuberculosis, and Malaria, which means fewer people will be reached with life saving treatment, care, and preventative awareness programs. Specifically, such funds could provide lifesaving AIDS drugs for 37,500 more people, treat more than 272,000 for TB, and provide more than 2.1 million bed nets for malaria.

Refugee and Disaster Assistance:

The President’s budget cuts $125 million from last year’s budget, which will reduce U.S. assistance to some of the world’s most tragic humanitarian crises around the world. An additional $100 million is also cut in assistance to Jordan, a Middle East ally that has assumed a disproportionate burden of Iraqi refugees. Also troubling is a $24 million cut in disaster assistance for emergency programs that provide health, clean water, and shelters in areas affected by natural or man-made disasters.

Independent Agencies:

Corporation for Public Broadcasting - National Impact:

President Bush is proposing the largest cut to public broadcasting in its 40-year history. This would result in a 56 percent reduction in funding -- from $393 million in FY 2008 to $200 million in FY 2009. Public broadcasting is a public service that provides educational resources, civic education, and special local content to communities. Today, there are approximately 1,100 public radio and television stations supported by the Corporation for Public Broadcasting.

Corporation for Public Broadcasting - Illinois Impact:

In Illinois, 30 stations received support from CPB totaling $12.9 million. This means Illinois stations would lose at least $6.5 million in total support and lose all of their digital transition funding These stations can be found all over the state from WSIU-TV in Carbondale to WEIU-TV in Charleston to WBEZ-FM in Chicago and stations in DeKalb, Glen Ellyn, and Macomb. On average, stations receive 15% of their support from CPB, but because many of Illinois' stations serve rural listeners, a number of our stations receive more than this level of support.

Consumer Product Safety

The CPSC is the nation's leading consumer product safety watchdog but the Commission has been overwhelmed by additional responsibilities and a declining number of staff. The wave of toy and children's product recalls this summer demonstrated the need to increase funding for compliance and field staff and to improve the CPSC's outdated IT infrastructure. Congress responded by increasing funding for the stagnating agency by 27.5 percent.

The President's Budget recognizes the significant progress made by Congress in significantly increasing funding for consumer product safety last year but fails to take steps to further this progress. By failing to substantially increase funding for the Consumer Product Safety Commission (CPSC), the President has missed an opportunity to help rebuild and reform this beleaguered agency.

Source: Senator Dick Durbin