Federal Budget Process

What does the White House do to create the Federal Budget?

• The White House directly sets tax rates to create the Federal Budget.
• The White House relies solely on Congress to draft the Federal Budget.
• The White House creates the Federal Budget without any input from federal agencies.
• The White House creates the Federal Budget by coordinating with federal agencies and the OMB to draft and finalize the budget proposal and send it to Congress.

How does Congress set discretionary spending?

• Congress sets discretionary spending through executive orders.
• Congress determines discretionary spending based on public opinion polls.
• Congress sets discretionary spending through the appropriations process.
• Congress sets discretionary spending through tax increases.

What is the goal of the appropriations process?

• To allocate federal funds for government programs and agencies.
• To reduce the federal budget deficit.
• To increase taxes on citizens.
• To eliminate government programs entirely.

The budget process requires a bill be signed where how much can be spent and on what. If Congress cannot agree, what happens next?

• Congress will automatically increase the budget
• State governments take over budget responsibilities
• The President can unilaterally decide the budget
• Congress may pass a continuing resolution or the government may shut down.

What is a continuing resolution?

• A continuing resolution is a permanent budget plan for the government.
• A continuing resolution is a temporary funding measure that allows the government to continue operations when a new budget is not yet passed.
• A continuing resolution is a type of tax increase approved by Congress.
• A continuing resolution is a formal declaration of war by the government.