Obama will ask Congress for budget cuts to head off automatic reductions

WASHINGTON — President Barack Obama will ask Congress to come up with tens of billions of dollars in short-term spending cuts and tax revenue to put off the automatic across the board cuts that are scheduled to kick in March 1, White House officials said Tuesday.

Obama will make his request afternoon in a public statement at the White House.

The automatic cuts, if they are allowed to proceed, could require widespread layoffs and indiscriminately affect defense programs and domestic spending accounts.

Obama will ask for a targeted way to reduce the deficit in the short term, perhaps several months. White House officials said that Congress needs more time to work out a 10-year plan worth more than $1 trillion in deficit reduction. Obama is not placing a time span or a dollar amount on the short-term plan. Officials said he will leave that to Congress.

Finding deficit reductions of up to $85 billion would put off the automatic cuts, known as a “sequester” in government budget language, until the start of the new fiscal year.

White House officials say the delay will give Congress and the administration time to negotiate a long-term deal through the regular legislative budget process.

The automatic cuts are part of a 10-year, $1 trillion deficit reduction plan that was supposed to spur Congress and the administration to act on long-term fiscal policies that would stabilize the nation’s debt. Though Congress and the White House have agreed on about $2.6 trillion in cuts and higher taxes since the beginning of 2011, they have been unable to close the deal on their goal of reducing deficits by about $4 trillion over a decade.

If the automatic cuts are allowed to kick in, they would reduce Pentagon spending by 7 percent and domestic programs by 5 percent. Food stamps and Medicaid would be exempt, but Medicare could take up to a 2 percent reduction, under the plan.

The automatic cuts were supposed to take effect Jan. 1. But Obama and congressional Republicans struck a New Year’s deal that extended Bush era tax rates for all but the wealthiest Americans and put in place about $24 billion in deficit reduction. That delay effectively postponed the automatic reductions to March 1.

More in Local News

Live in Edmonds? Hate speeders?

Edmonds has $35,000 to address local residents’ concerns about speeding in their… Continue reading

Herald photos of the week

A weekly collection of The Herald’s top images by staff photographers and… Continue reading

Marysville quits fire-department merger talks

Mayor Jon Nehring notified Arlington of the decision in a letter dated Jan. 10.

Everett man accused of causing his baby’s brain damage

He told police he shook his son to get him to stop crying, and the boy slipped out of his hands.

Everett marchers: ‘There’s too much to protest’ for one sign

About 150 people joined the “March to Impeach” from the waterfront to a county courthouse rally.

Legislation to limit opioid prescriptions under debate

Inslee also has requested a bill that prioritizes medication-assisted treatment for addiction.

Sirens! Flashing lights! — Move over!

We are a confident bunch on what to do when we hear… Continue reading

Judge: Lawmakers’ emails, texts subject to public disclosure

News organizations had sued to challenge the Legislature’s claim that members were exempt.

Residents are helping turn Casino Road in a new direction

An initiative backed by a $700,000 grant goes to the community for solutions to the area’s challenges.

Most Read