Tipsheet

Uh oh: The 2011 CR Deal Only Saves $352 Million, Says...the CBO

Yes, you read that headline right.  That's $352 Million with an M (emphasis mine):


A new budget estimate released Wednesday shows that the spending bill negotiated between President Barack Obama and House Speaker John Boehner would produce less than 1 percent of the $38 billion in claimed savings by the end of this budget year.

The Congressional Budget Office estimate shows that compared with current spending rates the spending bill due for a House vote Thursday would pare just $352 million from the deficit through Sept. 30. About $8 billion in cuts to domestic programs and foreign aid are offset by nearly equal increases in defense spending.

The CBO study confirms that the measure trims $38 billion in new spending authority, but many of the cuts come in slow-spending accounts like water-and-sewer grants that don’t have an immediate deficit impact.

The budget deficit is projected at $1.6 trillion this year.


The ugly math, revealed:


According to the Congressional Budget Office (CBO), total outlays for the original CR (which ran from October 1, 2010 through March 4, 2011) were $1.289483 trillion.

But when you compare that figure under the new CR, set to be voted on tomorrow in the House, the total outlays come in at $1.289131 trillion.

By that measure of comparison, the savings between what they spent in the first CR, which was law until March 4, and the new CR, which could prospectively become law later this week for the rest of the fiscal year, is only $352 million.


This deal is fast becoming pretty much impossible to defend.  Have at it, folks -- but in loosing your righteous anger upon Republican leadership, keep two things in mind: (1) Many Democrats still hate the deal because its cuts are too deep, and (2) Conservatives in the House and Senate are lining up to oppose the deal because it doesn't go far enough.  They all belong to one viable party.  That's about the best I can muster in the GOP's defense at this point; the alternative is far, far worse.

Between the president's audaciously deceitful speech and this news, today has been demoralizing.