2005 United States federal budget

• proposes increasing defense spending by 7%
• proposes increasing homeland security discretionary spending by 10%
• proposes $1.2 billion for rebuilding Afghanistan
• proposes over $5.7 billion in military and economic assistance to countries supporting the United States in the War on Terror
• proposes a 3.5% pay raise for military personnel
• proposes privatizing 90,000 military housing units by the end of 2005
• proposes a 20% increase for the Transportation Security Administration
• proposes a 9% increase for the Coast Guard
• proposes doubling the level of first responder preparedness grants targeted to high-threat areas
• proposes a 180% in funds for a new agriculture and food defense initiative
• proposes $274 million for a new biosurveillance initiative
• proposes an 11% increase for the FBI, including a $357 million increase for counterterrorism activities

• proposes holding discretionary spending growth to below four percent, and non-security related spending to 0.5 percent, less than the rate of inflation
• proposes extending the tax cuts enacted in 2001 and 2003
• proposes new initiatives for tax-favored savings and retirement accounts for all Americans
• proposes a new $250 million grant program for community colleges
• proposes $333 million to help students make the transition from high school to college
• proposes more than $20 billion in small business lending and equity programs
• proposes a 10% increase in funding for the SEC

• proposes increasing Title I funding by $1 billion, 52% more than in 2001
• proposes $1 billion more for Special Education, a 75% increase since 2001
• proposes a 12% increase for early reading programs
• proposes increasing Pell Grants by $856 million
• proposes to increase funding for Historically Black Colleges and Universities and minority-serving institutions by 30%
• proposes raising loan limits for first-year students, expanding options to offer courses on-line, and increasing loan forgiveness for those teaching certain subjects in high-poverty schools

• proposes $237 million to develop the world’s first "zero-emissions" coal-fueled power plant
• proposes a 44% increase for hydrogen and fuel cell R&D
• proposes $58 million more for removing excess wood and brush that fuel fires (Healthy Forests Initiative)
• proposes $65 million for an expanded diesel school bus retrofit program to reduce harmful bus emissions
• proposes $45 million, nearly a 500% increase, for Great Lakes clean-up
• proposes increasing Superfund long-term cleanups by $124 million (nearly a 50-percent increase).

• proposes allowing small businesses to purchase coverage for employees through Association Health Plans
• proposes a refundable tax credit for low-income Americans to access to health insurance
• proposes allowing individuals to deduct the premiums associated with HSAs
• proposes vouchers for substance abuse treatment services to an estimated 100,000 people
• proposes an additional $8.3 million, a near 40% increase, to enhance FDA enforcement of Federal regulations to prevent the introduction or spread of bovine spongiform encephalopathy

• proposes a four-year $300 million Prisoner Re-Entry initiative
• proposes doubling the Access to Recovery program to $200 million
• proposes more than doubling resources for the Compassion Capital Fund, ($100 million)
• proposes $50 million for mentoring children of prisoners
• proposes over $1 billion for the Corporation for National and Community Service; includes $442 million to support 75,000 AmeriCorps members;
• proposes $225 million to expand the National Senior Service Corps to 600,000 volunteers
• proposes $1.9 billion in charitable tax incentives

• proposes linking the paychecks of government employees to performance
• proposes examining 100% of the government’s program spending within three years
• proposes increases the VA medical care budget 41 percent above 2001 level
• proposes a $400 million increase and the 2nd installment of the five-year HIV/AIDS plan
• proposes $2.5 billion for the [Millennium Challenge Corporation | Millennium Challenge Account]
• proposes $3 billion over five years in Federal and State funds to promote marriage and healthy family development including abstinence by teens
• proposes doubling the funding for Abstinence Education grants
• proposes $52 million increase for child abuse prevention through the Child Abuse Prevention and Treatment Act (CAPTA) State Grants and the Community-Based Child Abuse Prevention (CBCAP) program.
• proposes $240 million annually in dollar-for-dollar State match program to develop innovative approaches to promoting healthy marriage and reducing out-of-wedlock births
• proposes $50 million to assist non-custodial fathers in becoming more involved in their children’s lives
• proposes an additional $23 million for schools that want to use drug testing to save children’s lives.
• proposes completing the International Space Station, retiring the shuttle by 2010, and focusing on a new space exploration vehicle capable of new space exploration missions to the Moon, Mars, and beyond.

Source

Receipts by source: (in billions of dollars)

Outlays by budget function: (in millions)

The proposed budget contained an estimated deficit of $364 billion.
The actual deficit for the fiscal year was $318.3 billion (2.5% of GDP).