By Rachael BadellPresident Trump signed an executive order Friday to slash the budgets of the Office of Management and Budget and Office of Information and Regulatory Affairs, saying they should be eliminated entirely.
The White House and congressional Democrats are pushing to keep the budgets intact and move them into a separate agency, which they hope will be more responsive to the needs of Congress.
But Trump and congressional Republicans say they want the OMB and OIA eliminated.
The cuts come as Trump has threatened to withhold federal funding from sanctuary cities that do not cooperate with federal immigration authorities.
Democrats have been trying to block the OPM budget cuts, but they have been unable to do so without raising the debt ceiling and risking a government shutdown.
Trump has called for an emergency default, which would force Congress to raise the nation’s debt ceiling.
Democrats in Congress, meanwhile, are pushing the budget cuts as part of a sweeping tax package that also includes $200 billion for the border wall and other border security measures.
The Senate is set to vote on the budget package next week, and Trump said Friday he expects to sign the bill next week.
The Trump administration said the administration will propose the first full-year spending plan this week.
It will include $19.6 billion in new taxes, including a 10 percent increase in the corporate income tax rate.
The administration also wants to reduce the top individual income tax rates from 35 percent to 28 percent.
It is not clear what the budget will look like or how much it will cost.
Trump announced the cuts Thursday night, saying that “tax cuts for the wealthy are working” and that the administration “is working hard to bring them back.”
The administration did not provide details on the proposed changes.
The budget also includes a $200 million increase in defense spending, including an increase in spending on fighter jets and bombers, a request for an additional $25 billion for missile defense and a request to increase the budget for a National Guard unit.
The House and Senate are expected to pass the spending bill by the end of the week.
House and Senate leaders have not yet agreed on a final package.