Direct Spending

Continuing Extension Act of 2010

Date: 
April 15, 2010
Who: 
Dept. of Labor
Policy Area: 
Fiscal Policy
Economic Target: 
Other
Action Type: 
Direct Spending
Maximum Amount: 
$13.91 billion
Amount Spent: 
$13.91 billion
Deficit Impact: 
$13.91 billion

The Continuing Extension Act of 2010 extended unemployment benefits for previously unemployed workers for an additional two months, extending the benefit until the beginning of June.

 

Notes: 

None of the provisions of this bill were offset, as they were deemed "emergency" spending to lawmakers which exempts the bill from having to be offset under current PAYGO rules. Thus, the maximum amount and deficit impact reflect cumulative spending and reduced revenue over the 2010-2011 period.

Temporary Extensions Act of 2010

Date: 
March 2, 2010
Who: 
Dept. of Labor
Policy Area: 
Fiscal Policy
Economic Target: 
Other
Action Type: 
Direct Spending
Maximum Amount: 
$8.02 billion
Amount Spent: 
$8.02 billion
Deficit Impact: 
$8.02 billion

As part of the Temporary Extension Act of 2010, unemployment benefits were extended for another month, raising the maximum number of eligible weeks in which unemployed workers can receive benefits up from 99 to 103.

Extended unemployment insurance benefits were originally passed as part of the American Recovery and Reinvestment Act.

Notes: 

Other minor spending provisions were also included in the legislation. The deficit impact reflects the net change in the deficit from unemployment insurance.

Maximum amount reflects total increased outlays and reduced revenues for the provision over the 2010-2020 period.

Unemployment Insurance Extensions

Who: 
Dept. of Labor
Policy Area: 
Fiscal Policy
Economic Target: 
Other
Action Type: 
Direct Spending
Maximum Amount: 
$69.64 billion
Amount Spent: 
$69.64 billion
Deficit Impact: 
$67.06 billion

Several bills since November 2009 have extended the duration in which unemployed workers can receive unemloyment insurance benefits, originally extended as part of the American Recovery and Reinvestment Act. So far, lawmakers have extended unemployment benefits 3 times since ARRA was passed in February 2009, raising the maximum number of eligible weeks from 59 to over 99.

Source: 

 

Notes: 

 

Food Stamps

Date: 
December 24, 2009
Policy Area: 
Fiscal Policy
Economic Target: 
Consumers
Action Type: 
Direct Spending
Maximum Amount: 
$0.50 billion
Deficit Impact: 
$0.50 billion

The Department of Defense appropriations bill contained a provision to extend the Supplemental Nutrition Assistance Program (SNAP), or food stamps, while also providing more funding to help cover state administration costs fo the program and to speed up the processing of applications.

Extended food stamp program funding was originally passed as part of the American Recovery and Reinvestment Act.

Notes: 

Cost reflects the total deficit impact of the provision, calculated by using CBO estimates of extensions from ARRA in the jobs bill (as passed by the House on December 16, 2009, found at http://www.cbo.gov/ftpdocs/108xx/doc10874/hr2847.pdf) but altered to reflect a two month extension in funding for the program.

Extended through Defense Appropriations Bill

Date: 
December 24, 2009
Who: 
Dept. of Labor
Policy Area: 
Fiscal Policy
Economic Target: 
Consumers
Action Type: 
Direct Spending
Maximum Amount: 
$11.30 billion
Amount Spent: 
$11.30 billion
Deficit Impact: 
$11.30 billion

In the Department of Defense appropriations bill, an additional $13.6 billion in funding for unemployment insurance and benefits was included. The amendment included increased benefits and increased the number of weeks unemployed workers can be eligible for benefits by 20 weeks, from 79 to 99 weeks in the highest unemployment states. Unemployed workers are now eligible to receive 99 weeks of benefits beginning now through February 28, 2010.

Notes: 

Estimates from CBO show a total cost of $11.3 billion for the increase in benefits.

Worker, Homeownership, and Business Assistance Act

Date: 
November 6, 2009
Who: 
Dept. of Labor
Policy Area: 
Fiscal Policy
Economic Target: 
Other
Action Type: 
Direct Spending
Maximum Amount: 
$2.42 billion
Amount Spent: 
$2.42 billion
Deficit Impact: 
-$0.16 billion

This provision would further extend unemployment benefits under the stimulus act, allowing 14 additional weeks of collections across the board. In high unemployment states, this measure will provide 14 extra weeks of benefits for all individuals but 20 for those in the high unemployment states, bringing the total number of weeks to receive unemployment benefits from 59 to 79.

Notes: 

Maximum amount reflects projected cost - which will be spent in 2010. Amount spent currently zero because the measure has just been approved. Deficit impact based on CBO calculation of ten-year deficit impact (http://finance.senate.gov/sitepages/leg/LEG%202009/103009_CBO_Estimates.pdf).

Spending Provisions

Who: 
Congress
Policy Area: 
Sector Policy (Non-Financial)
Economic Target: 
Other Business
Action Type: 
Direct Spending
Maximum Amount: 
$551.00 billion
Amount Spent: 
$267.55 billion
Deficit Impact: 
$528.00 billion

Provisions are part of the $787 billion "American Recovery and Reinvestment Act of 2009," a set of policies designed to mitigate the effects of the economic crisis. The act contains significant spending for direct worker assistance, infrastructure, healthcare, education, aid to states, and other areas.

Notes: 

Positive numbers in table indicate spending, negative numbers indicate savings or revenue. Maximum amount is the peak cumulative cost of a provision over the period 2009-2019. Deficit impact is taken from CBO's deficit impact calculation for 2009-2019. Amount Spent as of 7/20/2010 (http://www.recovery.gov/?q=/content/agency-summary&agency_code=75).

*In the Budget and Economic Update in August 2009 (http://cbo.gov/ftpdocs/105xx/doc10521/08-25-BudgetUpdate.pdf), CBO estimated that an additional $2 billion would be made available for Medicaid matches, increasing the maximum amount for Health Care Spending.

In the January 2010 baseline (http://www.cbo.gov/ftpdocs/108xx/doc10871/01-26-Outlook.pdf), CBO estimated that the total cost of the bill would total $862 billion, after making several upward revisions (including $21 billion more for unemployment insurance, $34 billion more for food stamps, and $3 billion less for Medicaid state matching).

Unemployment Trust Fund

Date: 
August 7, 2009
Who: 
Dept. of Labor
Policy Area: 
Fiscal Policy
Economic Target: 
Consumers
Action Type: 
Direct Spending
Maximum Amount: 
$7.50 billion
Amount Spent: 
$7.50 billion

The unemployment trust fund was a risk of running out of money in August 2009. The economic recession has fueled unemployment claims, depleting unemployment budgets in 18 states. With unemployment expected to remain high through the coming months, more states are expected to request loans from the federal unemployment trust fund. The law appropriates $7.5 billion to the unemployment trust fund.

Notes: 

Amount spent reflects the total funds transferred into the unemployment trust fund, all of which the CBO expects the government to spend. Since the $7.5 billion addition by Congress from the general revenue of the Treasury to the trust fund is an intergovernmental transfer, the deficit impact is zero. Also, because states are required under law to cover all unemployment payments, those costs are already assumed under CBO's baseline projections. Thus, the $7.5 billion addition to the trust fund will not increase direct spending relative to the baseline.

Highway Trust Fund

Date: 
August 7, 2009
Who: 
Dept. of Trans.
Policy Area: 
Fiscal Policy
Economic Target: 
Consumers
Action Type: 
Direct Spending
Maximum Amount: 
$7.00 billion
Amount Spent: 
$7.00 billion

The highway trust fund was at risk of running out of funds in August 2009. The trust fund, made up of revenue from gas taxes at the pump, has steadily declined over the past several years because the recession has caused people to drive less, sales of fuel-efficient cars have increased, and Congress has not raised the federal fuel tax since 1993 despite increased construction costs and inflation. This law serves as a temporary replenishment of the highway trust fund over the August legislative recess.

Notes: 

Maximum amount and amount spent reflect the $7 billion infusion to the highway trust fund. Since the $7 billion addition by Congress from the general fund of the Treasury to the trust fund is an intergovernmental transfer, the deficit impact is zero. However, CBO estimates that the $7 billion addition to the trsut fund will shift $1 billion in outlays originally planned for FY 2010 into the final two months of FY 2009. As a result, outlays will increase by $1 billion on 2009 but will have no net impact over the 2009-2010 period on the federal budget.

Cash for Clunkers

Date: 
June 11, 2009
Who: 
Dept. of Trans.
Policy Area: 
Fiscal Policy
Economic Target: 
Manufacturers
Action Type: 
Direct Spending
Maximum Amount: 
$3.00 billion
Amount Spent: 
$2.88 billion
Deficit Impact: 
$2.88 billion

The Consumer Assistance to Recycle and Save Act (CARS), also known as "Cash for Clunkers," established a program for owners of gas-guzzling cars and trucks to receive tax credits worth up to $4,500 for purchasing newer, cleaner automobiles. The trade-in vehicle had to get a combined city and highway fuel economy rating of 18 miles per gallon or less.

Notes: 

Maximum amount reflects the total authorized funds from H.R.2751. Amount spent equals the amount appropriated. Deficit impact based on CBO analysis. Light vehicle sales data from Bureau of Economic Analysis (http://www.bea.gov/national/index.htm).

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