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FY 2011 Budget

FY2011 Budget Deal and Nonprofits

Congressional leaders and President Obama reached agreement on a budget in April 2011 that funds the federal government through September 30. The deal calls for spending cuts of $38.8 billion in fiscal 2011, the largest annual spending cuts in U.S. history, according to the President. Here are details on issues that nonprofits are following:

  • Non-security discretionary spending reduced $20 billion, including a $1.1 billion across-the-board cut spread across discretionary programs with the exception of Pentagon programs. The remainder of the cuts come from mandatory spending programs.
  • National Service: AmeriCorps funded at $350 million ($23 million cut), but the small Learn and Serve program lost all funding ($40 million cut). All appropriations for the Corporation for National and Community Service would have been eliminated under H.R. 1.
  • Targeted Nonprofits: funding for the nonprofit Planned Parenthood was not banned and National Public Radio and public broadcasting appropriations were not cut.
  • Health Care Reform: The deal does not “defund” the 2010 reform law, but does call for a series of studies about the impact of some of its components.
  • Policy Changes: No ban or reversal of greenhouse gas regulations by the Environmental Protection agency or “net neutrality” rules adopted by the Federal Communications Commission in December.

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