Budget Brief 20-08
February 21, 2020

The president’s fiscal year (FY) 2021 budget, released on February 10, largely mirrors earlier requests. It proposes a few new programs, but mostly eliminates, consolidates, or reduces scores of grant programs, with the result that federal aid to states declines significantly. The budget comports with defense discretionary spending caps set by the Bipartisan Budget Act of 2019 (BBA), which set caps for FY 2020 and FY 2021 (see Budget Brief 19-15 for more information). However, it comes in well below the caps for FY 2021 nondefense spending.

This brief describes notable proposals that affect states in the FY 2021 request.