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The Budget for Fiscal Year 2006 (CRS Report for Congress)

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Release Date Revised Oct. 23, 2006
Report Number RL32812
Report Type Report
Authors Philip D. Winters, Government and Finance Division
Source Agency Congressional Research Service
Older Revisions
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Summary:

The President's fiscal year (FY) 2007 budget (February 2006) included a revised FY2006 deficit estimate of $423 billion, $72 billion larger than its previous estimate (July 2005) and $53 billion larger than its original deficit estimate in February 2005. The Congressional Budget Office's (CBO) March 2006 analysis of the President's proposals produced a $371 billion deficit estimate for FY2006. Its May 2006 monthly budget report indicated that the FY2006 deficit might fall to $300 billion. On March 17, 2005, the House (H.Con.Res.95) and Senate (S.Con.Res.18) adopted their respective budget resolutions for FY2006. After extensive leadership discussions, a conference reached agreement (H.Rept. 109-62) on April 28; both chambers adopted it later that day. The conference agreement included reconciliation instructions for mandatory spending reductions, tax reductions, and an increase in the statutory debt limit. The July 2005 mid-year budget report from the Administration had an improved deficit outlook through FY2010, while CBO's August 2005 mid-year report included a somewhat worsened baseline deficit outlook. Congress passed three continuing resolutions (CRs) on appropriations during the fall and early winter to fund otherwise unfunded activities. It needed the time to complete action on the regular appropriation bills for FY2006. The last two cleared Congress on December 21, almost three months after the start of FY2006.
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