This bill mandates across-the-board rescissions of nonsecurity discretionary spending, starting with 1% in fiscal year 2026, increasing to 5% by fiscal year 2028 and subsequent years, with the Office of Management and Budget required to report on the specific cuts.
Marsha Blackburn
Senator
TN
This bill proposes across-the-board rescissions to nonsecurity discretionary spending, reducing such appropriations by 1% in fiscal year 2026, 2% in 2027, and 5% in 2028 and subsequent years. The rescissions take effect the day after appropriations are available and apply pro rata across all applicable accounts. The Office of Management and Budget is required to report to Congress on the specific rescissions made each fiscal year.
New Spending Cuts Bill Slashes Non-Security Funding: 5% Cuts Coming by 2028
This bill slashes non-security government spending across the board, starting with a 1% cut in 2026, ramping up to 5% by 2028, and staying there. Basically, it's a law that forces cuts to a wide range of government programs—anything not tagged as 'security-related'—to reduce overall federal spending.
Slicing the Budget Pie
The core of this bill is pretty straightforward: cut spending. "Nonsecurity discretionary appropriations," which is basically all the government funding that isn't for defense and isn't mandatory (like Social Security), gets reduced. We're talking about a 1% cut in 2026, 2% in 2027, and a hefty 5% cut every year from 2028 onwards (Section 1(b)). These cuts kick in the day after the full government budget is approved and last until the end of the fiscal year.
- Real-World Example: Imagine a local community center that gets federal funding for after-school programs. This bill could mean less money for those programs, potentially forcing them to reduce hours, cut staff, or serve fewer kids. Or, consider a small business owner who relies on a government-backed loan program to expand their business. A 5% cut to that program's funding could mean fewer loans available, making it harder for entrepreneurs to get the capital they need.
The Devil's in the Details
The bill defines "nonsecurity discretionary appropriations" pretty broadly (Section 1(a)). This broad definition means a lot of programs could be on the chopping block. While cutting spending might sound good in theory, the "pro rata" approach (Section 1(b))—meaning everyone gets cut equally—could hit smaller, vital programs harder than bigger ones. The bill mandates that the Office of Management and Budget (OMB) has to report, within 30 days of passing a budget, exactly where the cuts are made (Section 1(c)). But the lack of detail before the cuts happen means a lot of uncertainty for programs and the people who rely on them.
Challenges on the Horizon
One major challenge is how these cuts will play out in the real world. A 5% cut to a huge agency might be manageable, but for a smaller program, it could be devastating. Also, the bill doesn't specify which programs get cut—it just says everything "non-security" gets sliced. This could lead to some tough choices and potentially harm programs that many people rely on. Finally, it is not clear how this fits with the existing laws and regulations.