President Joe Biden and Speaker Kevin McCarthy (CA-20) reached a budget deal earlier this week. With an agreement in hand, the House and Senate voted to raise the debt ceiling.
Here’s the good news: by raising the debt ceiling, we avoid an economic catastrophe that would have seriously and severely impacted people worldwide.
Working within the confines of these new limits, we expect pressure to cut spending will fall especially hard on programs that advance peace and diplomacy.
More positive news: the cuts that emerged from the negotiated agreement were less severe than initially proposed. That is largely thanks to the work of advocates, who pushed back on the devastating, long-term cutbacks to safety net programs proposed and passed by the House in April, which would have translated into a spending reduction of 13-22% across government programs and agencies.
That’s where the good news ends and we get a clear look at what lies ahead.
The final agreement includes two-year spending caps that will limit the funds available for nutrition and housing assistance, community violence intervention programs, international peacebuilding, environmental protection, and more. The Pentagon will face no cuts, even to outdated and unwanted programs.
Summarizing the impact of the agreement, FCNL’s Amelia Kegan said: “For countless American families, life just got expediently more difficult, while for the incredibly wealthy and massive corporations, nothing has changed at all.”
With a deal in hand, Congress can exit this period of manufactured crisis and resume the work of outlining budget priorities for Fiscal Year 2024. Working within the confines of these new limits, we expect pressure to cut spending will fall especially hard on programs that advance peace and diplomacy.
By amplifying the importance of peacebuilding, we can ensure that Congress protects and invests in these life-saving initiatives.
That’s where we come in. The total size of the federal spending “pie” will be smaller, but Congress still gets to determine how the pie gets divided. By amplifying the importance of peacebuilding, we can ensure that Congress protects and invests in these life-saving initiatives.
Your advocacy helped keep many harmful cuts and provisions out of this week’s budget deal. Now we must continue to work together to protect investments in the critical programs that prevent conflict and heal communities.
