Fiscal Year 2017 Budget of the US Government
BUDGET REQUEST CUTS CROP INSURANCE AND CADILLAC TAX This week, the Obama administration released their fiscal year 2017 budget request – a $4.1 trillion spending plan sent to Congress Feb. 9. (Keep in mind, that the federal government is expected to collect about $3.34 trillion in FY2016). The administration’s FY 2017 final budget request seeks to reduce the impact of the Affordable Care Act “Cadillac Tax,” expand employee retirement savings options and cut $1.3 billion from the federal crop insurance program. The budget would raise the excise tax threshold so it would apply only to those private plans that exceed the average “gold-level” exchange plan in a state. Obama has already agreed to postpone implementation by two years (Best’s News Service, Feb. 4, 2016). The budget request also includes proposed cuts to the federal crop insurance program – to the tune of $18 billion in cuts over ten years. Specifically, budget cuts include a 10% reduction in all policies containing a “harvest price option,” and reforms to coverage for prevented planting. You can see the Budget request HERE. (You can find the brief crop explanation on page 23 and the year by year cut details on page 112).