February 09, 2009
Compromise Stimulus Bill Would Trim Some Social Spending
The compromise economic-stimulus package now before the Senate cuts some proposed spending on social programs as part of an effort to trim $100-billion from the bill’s cost.
Among programs facing a big cut: Head Start and Early Head Start. The compromise proposal would spend $1.05-billion on the early-childhood programs, down from the original plan to spend $2.1-billion.
The new bill, crafted by Democrats and a few moderate Republicans, would also trim $40-billion from a $79-billion “state fiscal stabilization fund” designed to help states avoid making big cuts in education and social services. It would also eliminate new spending on the Neighborhood Stabilization Program, which provides money to states to buy and redevelop foreclosed properties.
However, the compromise would retain a variety of provisions from the original Senate bill, including $200-million for AmeriCorps, the national-service program, so it can send participants to help nonprofit groups that are struggling to meet growing demand as donations shrink.
Other provisions that remain:
- $87-billion to temporarily increase the federal share of Medicaid, the health program for poor people.
- $2-billion for Child Care and Development Block Grants, which help states provide child-care services.
- $400-million for Social Services Block Grants, which will help states and local nonprofit groups to help unemployed people and low-income people weather the recession.
- $100-million for the Emergency Food and Shelter Program, an aid program that is managed by social-services charities.
The Senate is expected to vote on the compromise bill, which foresees about $827-billion in spending and tax cuts, on Tuesday. It must then work out differences with the House bill.
Arts groups are among those hoping to influence those negotiations. The House bill includes $50-million for the National Endowment for the Arts to provide grants to struggling arts groups. The Senate bill includes nothing.
Summaries of the Senate package, including the compromise amendments, can be found on the Web site of the appropriations committee and the finance committee.

Comments
Commenting is closed for this article.
Previous: Opinion: Why Charity Leaders Should Pay Close Attention to Obama's Pay Guidelines
Next: Senate-Passed Stimulus Bill Does Not Include Philanthropy Measures
Take a good look at the jobs being offered by the stimulus package. Mostly construction jobs aimed at higher pay and benefiting men. Look at the cuts. Head Start aimed at lower income female workers and low income children. It is the same old story. Take from the poor and give to wealthy.
— jewel Feb 10, 11:04 AM #