OMB Asks Agencies to Plan for 5 Percent Reductions in FY 2017

Although Congress is just beginning the process of working to enact fiscal year (FY) 2016 appropriations for federal agencies and programs, agency officials are beginning their work on the FY 2017 budget request. In a memo from Shaun Donovan, Director of the White House Office of Management and Budget (OMB), federal agencies have been advised to prepare their FY 2017 budget proposals with a five percent reduction below the net discretionary total provided in the FY 2016 President’s budget request. The scenario is meant to assist the Administration in its efforts to “deliver a Government that is more effective, efficient, and supportive of economic growth.” This is a common exercise in the annual federal budget preparation process. Additional details and guidance for FY 2017 can be viewed in the OMB memo.

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Posted in Issue 9 (May 19), Update, Volume 34 (2015)

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