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Neon Tommy - Annenberg digital news

Federal Debt Increased $54.1 Billion In Week Prior To Obama-Boehner $38.5 Billion Spending Cuts Deal

Staff Reporters |
April 10, 2011 | 8:00 a.m. PDT

Friday's last minute budget deal between President Obama and top congressional lawmakers cut $38.5 billion from the rest of the 2011 fiscal year budget and helped avert a government shutdown.

$38.5 billion in federal spending cuts may seem like a lot. However, to put that figure in perspective, the federal debt actually increased $54.1 billion in the eight days prior to the budget deal. The $38.5 billion in spending cuts will happen gradually through September 30, the end of the current fiscal year.

Some more sobering statistics, according to CNS:

  • On March 30, the debt was $14.2101 trillion
  • On April 7, the debt was $14.2642 trillion
  • Since the beginning of the fiscal year on October 1, the debt has jumped $653.4 billion.

The next fight between President Obama and congressional Republicans will likely be over the national debt. The New York Times reports that Republicans will not agree to the necessary step of raising the current $14.25 trillion debt ceiling until the President and congressional Democrats agree to deeper spending cuts than those that were agreed upon on Friday. 

According to The Times: "Republicans have also signaled that they will again demand fundamental changes in policy on health care, the environment, abortion rights and more, as the price of their support for raising the debt ceiling."

One of the major disagreements between Republicans and Democrats during the budget standoff was the more than $300 million in federal funds allocated to Planned Parenthood, despite the fact that none of the money goes to fund abortions.

As part of Friday's budget deal, the Senate in the coming weeks will be forced to take votes on defunding Planned Parenthood and the health care reform law. The spending resolution does block the District of Columbia from funding abortions for low-income women.



 

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