Federal agencies ranging from EPA to NOAA to the Army Corps of Engineers would face steep funding reductions next year under fiscal year 2012 appropriations legislation that is advancing through the House of Representatives this summer.
Most notably, the fiscal year Interior and Environment spending bill that the House Appropriations Committee passed in July would cut $967 million from the Drinking Water and Clean Water State Revolving Fund programs – part of an overall $1.5 billion reduction in EPA’s budget compared to its 2011 level. Specifically, under the bill the DWSRF would receive $829 million next year (a $134 million cut), while the CWSRF would get just $689 million (an $833 million reduction) – equal to what each program received in the 2009 fiscal year. The bill continues the requirement that states set aside at least 30 percent of their SRF funds for negative interest loans or loan forgiveness for disadvantaged communities, but drops a mandate from last year’s spending bill that states reserve 20 percent of their SRF grants for use on “green infrastructure” projects.
The proposed cuts are not limited to EPA. The Energy and Water appropriations bill approved by the full House earlier this month would provide less than $4.8 billion for the Army Corps in 2012 – roughly $390 million below its 2011 funding level. The Bureau of Reclamation and the Central Utah Project would receive $934 million – about $160 million below 2011 levels. Meanwhile, the FY12 Commerce, Justice, Science spending bill would give the National Oceanic and Atmospheric Administration (NOAA) just over $4.5 billion, about $55 million below its FY11 level and nearly $1 billion below President Obama’s request.
Many of the cuts included in the House appropriations bills were expected, especially after the Republican House majority pledged to sharply reduce spending after taking control of the chamber following last November’s elections. Nevertheless, many Capitol Hill observers expect the cuts included in forthcoming Senate appropriations bills to be less severe. But this may potentially lead to a stalemate between House Republicans and Senate Democrats that could leave 2012 spending decisions unsettled until long after the new fiscal year begins on October 1.