President’s budget would cut vital programs for children and families while extending and expanding tax cuts to the most affluent

New report: N.H. would lose $253.1 million in federal assistance over five years

Children's Alliance opposes reductions in funding for education, child care, environmental protection and community development

February 22, 2005

The Children’s Alliance of New Hampshire called on its Congressmen today to resist the sweeping cuts in crucial domestic programs proposed by President Bush in his fiscal year 2006 budget.

The President’s budget calls for $214 billion in reductions in domestic “discretionary” programs by 2010. An array of federally funded services could be subject to large cuts, including education, housing assistance, and child care.
The budget would hurt the most vulnerable citizens and shift costs to state and local governments, even as it extends and expands large tax savings primarily for the wealthiest Americans.

New Hampshire alone stands to lose an estimated $253.1 million in federal spending from selected programs over the next five years, according to an analysis released today (PDF) by the Center on Budget and Policy Priorities, a nonprofit organization in Washington, D.C

The Children’s Alliance of NH urged New Hampshire’s representatives in Congress to oppose these sweeping cuts and pass a budget that meets the needs of all people

“We call upon Senators Gregg and Sununu to vote based upon the interests and values of the majority of New Hampshire voters, a budget that is lean but not mean.” said Children’s Alliance President Ellen Shemitz. “We’ll be watching closely as Congress goes to work on the budget.”

While the President’s budget calls for large cuts in discretionary spending each year from 2006 through 2010, it doesn’t show how the cuts after 2006 would affect specific services or individuals. The Center, using the President’s funding priorities for 2006 and unpublished documents the Administration gave Congress, has estimated the effects of the 2007-2010 cuts on specific services and states

The Center’s analysis shows that New Hampshire would be hit hard by the proposed cuts:

• New Hampshire would have to cut the number of children who receive child care assistance by 1,000, making it harder for their parents to work.
• K-12 education funding to New Hampshire would be cut by $51.9 million, leaving the state less able to meet the needs of special education students, improve teacher quality, or provide after-school programs.
• The state would lose $7 million in funding for services for abused and neglected children, as well as programs like Head Start.
• 1,600 fewer families in New Hampshire would receive vouchers that help them pay their rent.
• The state would lose $1.3 million for the Women, Infants and Children (WIC) program, meaning 1,400 fewer New Hampshire low-income families would receive the healthy foods and the nutrition counseling provided by the program.
• The state would lose $1.7 million in energy assistance, meaning that 1,800 fewer New Hampshire residents would receive help paying their heating bills if the state addressed the shortfall by cutting the number of people on the program.

New Hampshire, which is grappling with its own $300-million budget shortfall caused by dwindling federal support, can ill afford to absorb more federal responsibilities and costs, Shemitz said.

She noted that the proposed budget cuts critical services without addressing the actual causes of the federal deficit -- the costs of the wars in Iraq and Afghanistan and the President's tax breaks to the wealthiest Americans. The President currently seeks to extend those tax breaks in this budget, with the largest share of benefits again going to wealthier Americans.

“A budget represents a vision of what a nation, or a state, should look like,” Shemitz said. “We can do better than what the President's budget envisions. We can pass a budget that promotes opportunity for all children, not rolls back taxes for a few.”

Shemitz further challenged the use of long term caps on discretionary spending, noting that such caps would force Congress to cut at least $214 billion in spending by 2010 -- cuts that would most likely come from services to American children and families.

“New Hampshire voters have a right to know how seemingly simple proposals, like a tax cap, would affect our children, families and communities,” said Shemitz. "We need to hold our representatives accountable for their actions. We call upon New Hampshire’s representatives to fight for the right priorities."

The Children’s Alliance of New Hampshire, based in Concord, is an independent, research-based organization that advocates for the well-being of all children.

Link to the new analysis by the Center on Budget and Policy Priorities, “Where Would The Cuts Be Made Under The President's Budget? An Analysis Of Reductions In Education, Human Services, Environment, And Community Development Programs” (PDF)