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President’s FY 2013 Budget

President’s FY 2013 Budget. Impact on Programs Important to States. Federal Funds Information for States. Food and Nutrition. Funding changes Supplemental Nutrition Assistance Program (SNAP) Restores benefit cuts (moves sunset from 10/31/13 to 3/31/14)

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President’s FY 2013 Budget

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  1. President’s FY 2013 Budget Impact on Programs Important to States Federal Funds Information for States

  2. Food and Nutrition • Funding changes • Supplemental Nutrition Assistance Program (SNAP) • Restores benefit cuts (moves sunset from 10/31/13 to 3/31/14) • Extends temporary elimination of time limits for able-bodied adults without dependents until 9/30/2013

  3. Education • Consolidates programs • ESEA reauthorization proposal: 38 programs consolidated into 11 new programs • Program changes • Name changes (i.e. Title I Grants to LEAs, School Improvement Grants) • New Programs and Recycled Proposals • Presidential Teaching Fellows • Higher Education (RTT-College Affordability and Completion and First in the World Fund) • American Jobs Act Proposals

  4. Education, Cont. • Funding Changes • Title I Rewards: 2% set-aside of state’s Title I funds • Effective Teachers and Leaders: 25% reserved for Department of Education (ED) to build evidence on teacher quality, invest in STEM, and enhance school leadership • Vocational Rehabilitation and Adult Education set-asides for Workforce Innovation Fund (WIF) • Increase maximum Pell award to $5,636

  5. Labor • Funding Changes • Workforce Investment (WIA) • Doubles funding for WIF ($100m); small set-asides from Education programs • Maintains governor’s set-aside at 5% • Unemployment Insurance (UI) • $15 million increase in funding for REAs • -7.4% decrease in base state administration funds

  6. Labor, Cont. • Recycled Proposals • UTF Solvency: • Delays FUTA credit reduction and accrual of interest for two years • Increases federal wage base to $15,000 in 2015 and simultaneously lower FUTA tax rate. • 10-month extension of EUC and 100% federal financing of EB • Funding to expand Short-Time Compensation (STC) programs • American Jobs Act proposals

  7. Health and Human Services • Temporary Assistance to Needy Families (TANF) • Restores TANF supplemental grants (paid for by reducing/restructuring TANF contingency fund) • Title IV-E Foster Care • $252m foster care reform proposal, few details • Changes treatment of child support payments

  8. Health and Human Services, Cont. • Child Support Enforcement • New child support and fatherhood initiatives • Few details, appears to be phased-in over several years • Initiatives to increase and improve collections • ACA Prevention and Public Health Fund • Rescinds $4 billion in future years

  9. Medicaid • Program Increases • Extend TMA and QI Increase • Program Savings • Focus on prescription drugs • Reducing waste, fraud, and abuse • Future Changes • Blended FMAP (2017) • Provider taxes (phase-down provider tax threshold beginning in FY 2015) • Maintain DSH reductions in FY 2021-2022

  10. Homeland Security

  11. Justice

  12. Transportation • President’s budget lays out six-year proposal for reauthorizing surface transportation programs • Designates all surface transportation funding as mandatory • Converts existing Highway Trust Fund into a new Transportation Trust Fund

  13. Transportation, Cont. • Highways • $700 million for Transportation Leadership Awards • $500 million for TIFIA program

  14. Transportation, Cont. • Mass Transit • Transportation Leadership Awards program starting in FY 2014

  15. Transportation, Cont. • Rail • Financed with dedicated funding through a new Multimodal Account of the Transportation Trust Fund

  16. Transportation, Cont. • National Infrastructure Bank (NIB) • Proposes independent NIB for large-scale transportation, water, and energy infrastructure projects • Would fund projects through loans and loan guarantees • Would finance no more than 50% of total project costs • National Infrastructure Investments • $500 million for competitive grants under TIGER program

  17. Questions? • Check for updates at www.ffis.org • Almost all states subscribe to FFIS; please contact us for your password and to be added to the distribution list: mhoward@ffis.org, 202-624-5848

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