Description of Functional Areas

Prepared by the Department of Education and Public Programs, John F. Kennedy Presidential Library and Museum.

Please note that the numbers used in this document are for the purposes of this simulation only.

Setting National Priorities: A Federal Budget Simulation

Description of Functional Areas

See also: https://www.cfda.gov/downloads/CFDA_2009.pdf, Appendix III and http://budget.house.gov/functions.shtml

NATIONAL DEFENSE

This functional area includes all programs related to the

common defense and security of the United States. This area covers:

·  The raising, equipping, and maintaining of armed forces.

·  Development and utilization of weapons systems

(including nuclear weapons), and related programs.

·  Direct compensation and benefits paid to active military and civilian personnel.

·  Contributions to their retirement, health, and life insurance funds.

·  The conduct of defense research, development, testing, and evaluation.

·  Procurement, construction, stockpiling, and other related activities.

Some points to consider:

·  Many people believe that national security is a government’s first priority.

·  Military spending creates jobs. The Department of Defense is the nation’s largest employer with approximately 1.4 million men and women in active duty, 840,000 in the Reserve and National Guard, and 750,000 civilian personnel—so about 3 million employees. (Wal-Mart employs about 1.3 million people, Ford employs 354,400.) [1]

·  The U.S. spends 45% of the total spent by all nations on military. More than the next 14 countries put together. [2]

·  The U.S. Intelligence budget is classified, however, the National Priorities Projects estimates that it is at least $48 billion—80% funded within the Pentagon budget, and the remaining 20% (or approximately $9.6 billion), funded through other areas of federal spending.[3]

·  The DoD’s worldwide infrastructure includes nearly 545,000 facilities (buildings, structures, and utilities) located at more than 5,400 sites around the world, on more than 29 million acres. The DoD uses approximately 11,532 aircraft, and 639 ships.[4]

EDUCATION, TRAINING, EMPLOYMENT,

AND SOCIAL SERVICES

This functional area includes funding for the entire Department of Education, social services programs within the Department of Health and Human Services, and employment and training programs within the Department of Labor. This area covers:

·  Education for children and adults. Approximately 77% of the money budgeted in this category in FY 2009 was allocated to education (approximately $100 billion).

·  Loans, scholarships and stipends for students to participate in education.

·  Child care services.

·  Employment counseling.

·  Retraining adults for new vocations.

·  Programs designed to provide services to the poor (such as community

services).

Some points to consider:

·  Education is mostly funded by state and local governments (Massachusetts spends approximately $6 billion of its $28 billion state budget on education)[5], however, the federal government spends money on education for the disadvantaged (approx. $22 billion) and special education (approx. $17 billion).[6]

·  Federal Pell grants are awarded to undergraduate students who have not earned a B.A. or professional degree. Pell Grants, which do not have to be repaid, are awarded to students based on need. In the past, this program was part of discretionary spending. President Obama has proposed that future funding be mandatory spending. He allocated $24.4 billion for FY 2010.[7]

·  President Obama requested $7.2 billion for Head Start programs.[8]

·  President Obama requested $8.5 billion in training and employment services.[9]

·  Some conservatives believe that funding and control of education should be left to the states and would like to eliminate the U.S. Department of Education.

TRANSPORTATION

This functional area includes all programs that provide for the

transportation of the general public. This area covers:

·  Programs for highways, mass transit, aviation, and maritime activities.

·  Construction of facilities related to transportation.

·  Purchase of equipment.

·  Research, testing and evaluation of transportation systems.

·  Air traffic control.

·  Operating subsidies for transportation facilities (such as airports)

and industries (such as railroads).

Some points to consider:

·  Transportation, including the ownership and operation of vehicles and expenses for public transit, is one of the largest expense category for most American households.

·  President Obama requested discretionary spending allocated as follows: $52.5 billion towards highways; $22.9 billion for air transportation (FAA, security, air traffic controllers); $14.2 billion for mass transit;

$ 8.6 billion for water transportation; $3.8 billion for railroads.[10]

·  We need to continue funding highway, bridge, transit and safety programs in order to maintain our economy. When a bridge starts crumbling and cars and trucks have to be diverted, that costs our economy in time, gas and money.

·  Efficient transportation of goods (such as the transportation that gets food into our grocery stores) represents an important aspect of a strong economy.

INCOME SECURITY

This functional area consists of a range of income security programs that provide cash or near-cash assistance (e.g., housing, food, and energy assistance) to low-income persons, and benefits to certain retirees, persons with disabilities, and the unemployed. Housing assistance programs account for the largest share of discretionary spending ($47.1 billion) in this function.[11] This discretionary portion of this area includes:

·  Low and moderate-income housing aids ($47.1 billion).

·  Special supplemental food program for women, infants, and children (WIC) ($7.5 billion).[12]

·  Low income home energy assistance ($3.4 billion)[13]

·  Child care and development block grant ($3.3 billion)[14]

Points for engagement with students:

·  Subsidized housing for low income Americans is particularly important in urban areas such as Boston where rents are too high for lower income people to afford living here.

HEALTH

Health covers the physical and mental health of the nation’s population, including the prevention of illness and accidents. Funding for the National Institutes of Health (NIH) represents approximately half (53 percent - $35.2 billion) of all discretionary funding.[15] Medicare and Medicaid are both mandatory programs, and, therefore, not part of today’s budgeting. Discretionary programs in this category include most direct health care services programs. The discretionary portion of this area covers:

·  Research into the causes and cure of disease.

·  Substance abuse and mental health services.

·  Financing specialized programs for training health workers and researchers.

·  Promotion of consumer and occupational health safety (which includes food safety and inspection against harmful bacteria and bioterrorism).

·  Health care to low income, uninsured, vulnerable people who need government support when they become ill.

·  Funding for the Food and Drug Administration which assures the safety, effectiveness, and security of medications and medical devices.

Points to consider:

·  The goal of the National Institute of Health (NIH) is to acquire new knowledge to help prevent, detect, diagnose, and treat disease and disability, from the rarest genetic disorder to the common cold.

·  NIH funding for general cancer research this year is estimated at approximately $6 billion.[16]

·  Funding for Substance Abuse and Mental Health services is estimated at approximately $3.5 billion.[17]

·  NIH funding FY 2010 funding for HIV/AIDS is approximately $3 billion.[18]

·  The Health Resources and Services Administration is charged with increasing access to health care for those who are medically underserved. HRSA’s programmatic portfolio includes a range of programs or initiatives designed to increase access to care, improve quality, and safeguard the health and well-being of the Nation’s most vulnerable populations. The President estimates $7.6 billion for their FY 2010 budget.[19]

·  President Obama requested approximately $2.2 billion in funding for the Food and Drug Administration (FDA) for FY 2010.[20]

·  Funding for The Center for Disease Control and Prevention (CDC) is approximately $6.4 billion.[21]

·  The Consumer Product Safety Commission’s budget for FY 2010 is estimated at $110 million (not billion).[22]

INTERNATIONAL AFFAIRS

This functional area contains funding for all U.S. international activities, including: operating U.S. embassies and consulates throughout the world; providing military assistance to allies; aiding developing nations; dispensing economic assistance to fledgling democracies; promoting U.S. exports abroad; making U.S. payments to international organizations; and contributing to international peacekeeping efforts. This area covers:

·  Military and economic assistance to sustain key countries supporting the U.S. in the war on terrorism.

·  Training of foreign law enforcement and armed services to improve their counter-terrorist capabilities.

·  Attacking narcotics trafficking in source countries through training, equipment and law enforcement cooperation.

·  Providing employees at U.S. diplomatic missions with safe, secure and functional facilities.

·  Promotion of democracy and protection of human rights throughout the world.

·  Maintaining strong U.S. leadership in funding the international HIV/AIDS prevention and care campaign.

·  International humanitarian relief for refugees, displaced people and victims of disaster. Preservation of the world’s tropical forests and promoting environmental sustainability.

·  Strengthening global broadcasting and public diplomacy to communicate American ideals and beliefs to vital audiences in countries in conflict and transition, especially in the Middle East.

Points to consider:

·  Just over 2/3 of international affairs spending ($36.7 billion) goes to foreign assistance—both humanitarian and military. Most of the remainder goes to diplomacy, State administration, and international broadcasting.[23]

·  $7.6 billion is allocated for global health and child survival programs.[24]

·  $5.7 billion is allocated for foreign military financing, military education and peacekeeping operations.[25]

·  The 2010 budget includes $4.4 billion for Afghanistan and Pakistan and $500 million for Iraq.[26]

·  $12.1 billion is allocated for the State Department’s administration of foreign affairs.[27]

·  Though the U.S. is the largest international economic aid donor in dollar terms, when calculated as a percent of gross national income, it provides one of the smallest contributions among the major donor governments.

·  The U.S. provides more aid to the Middle East than any other region of the world. For FY 2010 we will give approximately $2.8 billion to Israel and $1.6 billion to Egypt. Our current level of financial support grew out of the 1979 Camp David Peace Treaty between Israel and Egypt.[28]

ADMINISTRATION OF JUSTICE

This functional area includes those programs designed to provide judicial services, police protection, law enforcement (including civil rights), rehabilitation, and incarceration of criminals, and promotion of the general maintenance of domestic order. This area includes:

·  Court appointed counsel.

·  Pay for justices and court officers for federal courts.

·  Incarceration of people convicted of federal crimes.

·  The FBI, Immigration and Naturalization Services (now part of the Department of Homeland Security), Drug Enforcement Agency (DEA), Bureau of Prisons (BOP), U.S. Attorneys, and the U.S. Marshals Service (USMS).

Points to consider:

·  President Obama requested $5.8 billion to fund criminal investigations by agencies such as the FBI, DEA (Drug Enforcement Agency), and DHS (Department of Homeland Security).[29]

·  For FY 2010, $11.2 billion was allocated for federal litigative and judicial activities—including prosecution and representation of alleged criminals.[30]

·  At present, there are more than 200,000 inmates in the Bureau of Prison’s custody, most of whom were convicted for drug-related offenses, weapons or arson charges, or for illegal immigration.[31] For FY 2010, $7.1 billion was requested to fund the federal prison system—including federal detention and incarceration. These DOJ components ensure that Federal criminals and those awaiting trial or sentencing are safely and cost-effectively incarcerated and detained.[32]

·  Other costs for FY 2010: $19.5 billion for border and transportation security related to preventing illegal immigration; $4.2 billion for civil and criminal prosecution and representation; $1.5 billion for the Secret Service.[33]

VETERANS BENEFITS AND SERVICES

This functional area consists of programs providing benefits and

services, the eligibility for which is related to prior military

service but the financing of which is not an integral part of

the costs of national defense. The discretionary portion of this area covers:

·  Medical facilities, medical research, and medical care of veterans.

·  Housing loans to veterans.

Points to consider:

·  In 2007 there were 23.6 million military veterans in the U.S.—39% of them were age 65 or older. 25% of veterans have disabilities.[34] Most discretionary funds in this category (for FY 2010: $46.0 billion out of $52.1 billion) go towards medical care of veterans. As more choose to use VA as their primary care provider, the strain on the system continues to grow.

·  How much should we pay in benefits for spouses and children of veterans?

NATURAL RESOURCES AND ENVIRONMENT

This functional area includes programs concerned with environmental protection and enhancement; recreation and wildlife areas; and the development and management of the nation's land, water, and mineral resources. This area covers:

·  The development and maintenance of recreational resources such as national parks.

·  Fostering of conservation practices on both public and private lands.

·  Controlling and reducing air, water, and land pollution.

Points to consider:

·  President Obama requested $3.0 billion allocated to support recreational resources such as national parks, refuges, and public lands.[35]

·  He requested $10.9 billion for conservation and land management.[36]

·  He requested $11.0 billion for pollution control and abatement.[37]

·  $9.3 billion was allocated to the Army Corps of Engineers—part of their mission is the planning, designing, building and operating of water resources and other civil works projects (Navigation, Flood Control, Environmental Protection, Disaster Response, etc.)[38] For example, they have been working on rebuilding the levees in New Orleans.[39]

GENERAL SCIENCE, SPACE AND TECHNOLOGY

The general scientific research under the National

Science Foundation (NSF), NASA, and the Department of

Energy is covered in this area. This area covers:

·  America’s space program.

·  Grants for cutting-edge discovery in science and engineering to provide significant breakthroughs in information technology, climate change research, mathematics, nanotechnology, and fundamental research related to combating bioterrorism.

·  Grants for improvement of the quality of math and science education.

·  Stipends for U.S. students into graduate level science and engineering.

Points to consider:

·  President Obama requested $7.9 billion for The National Science Foundation, an independent federal agency created by Congress "to promote the progress of science; to advance the national health, prosperity, and welfare; to secure the national defense…" This is the funding source for approximately 20 percent of all federally supported basic research conducted by America's colleges and universities. In many fields such as mathematics, computer science and the social sciences, NSF is the major source of federal backing.[40]