U.S. President Barack Obama's proposal to freeze spending in several government departments for three years could affect dentistry, according to an analysis by the Academy of General Dentistry (AGD).
In his State of the Union address on Wednesday, Obama is expected to announce a freeze on discretionary spending except for the military, veterans, homeland security, and international affairs, according to news reports. Entitlement programs such as Social Security and Medicare would not be affected.
That leaves only 17% of the total federal budget -- about $447 billion. If inflation continues as expected during those years, the freeze would amount to a cut in the budgets of several agencies. While Obama has not issued a specific budget proposal yet, among those agencies that may be affected is Health and Human Services. Health profession training programs, including some for general dentists and pediatric dentists, are especially on the line, the AGD said.
The president has been considering such a freeze for months. The AGD reports that the Office of Management and Budget in June 2009 directed federal agencies to prepare two budgets for the 2011 fiscal year: one at 2010 levels plus inflation and another at 2010 levels plus inflation and minus 5%.
The president is expected to submit his full budget proposal on February 1. It would take effect with the start of the fiscal year that starts in October.
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