Fiscal Year Presidential Budget Proposal: Restructuring Defense, Border Security, and Foreign Aid Based on the "America First" Agenda

Key Chapter Title List

1. Budget Proposal Overview: Cuts, Increases, and the Path to Budget Balance
2. Core Principles: Review, Devolution, and America First
3. Defense and Homeland Security: Historic Investment and the Border Security Mission
4. Overview of Major Funding Changes for the State Department and USAID
5. New and Enhanced Programs: America First Opportunity Fund and Development Finance Corporation
6. Reduced, Consolidated, and Eliminated Programs: Economic Support Fund and Development Assistance
7. Restructuring of International Humanitarian Assistance Accounts
8. State Department and USAID Operational Reorganization and Staff Streamlining
9. Refocusing of International Narcotics Control and Law Enforcement Funds
10. Suspension of UN Peacekeeping Operations and International Organization Contributions
11. Evaluation and Reduction of Education and Cultural Exchange Programs
12. Elimination of the Transition Initiatives Fund and the Complex Crises Fund

Document Introduction

This document is the official letter from the Director of the U.S. President's Executive Office and the Office of Management and Budget (OMB) to the Chairman of the Senate Appropriations Committee, along with its attachments. It outlines President Trump's recommendations for discretionary funding levels for Fiscal Year 2026. The proposal aims to provide a framework for Congress to begin consideration of appropriation bills, with the core objective of achieving a balanced budget while restoring confidence in the management of America's finances. Based on a rigorous, line-by-line review of FY 2025 expenditures, the proposal identifies significant waste in current spending that does not serve the needs of ordinary American workers, and excessive funding for non-governmental organizations and higher education institutions dedicated to radical gender and climate ideologies.

The budget proposal adheres to two core principles: first, reviewing federal government functions and devolving responsibilities that can be better performed by state or local governments; second, significantly reducing non-defense discretionary budget authority, saving trillions of dollars over a decade to achieve budget balance. Specifically, the President proposes cutting baseline non-defense discretionary budget authority by $163 billion (a 22.6% reduction) from the current year's level, while ensuring funding for critical areas such as homeland security, veterans, seniors, law enforcement, and infrastructure. In stark contrast, the budget proposes unprecedented increases for defense and border security: a 13% increase in defense spending, reaching $1.01 trillion; and a historic $175 billion investment in the Department of Homeland Security to fully secure the border. Some of this increased funding will be provided through the budget reconciliation process to ensure military and border enforcement agencies receive the resources needed to accomplish their missions.

Restructuring the foreign assistance system is another major pillar of this budget proposal. The budget significantly reduces and consolidates numerous traditional foreign assistance accounts, including the Economic Support Fund, Development Assistance, and Democracy Funds, with total cuts exceeding $8.3 billion. The rationale for these cuts is that the funds have been used to support radical left-wing agendas such as climate change, Diversity, Equity, and Inclusion (DEI), and global LGBTQ activism. Replacing them are two strategic investments: a newly established $2.9 billion America First Opportunity Fund (A1OF), focused on strategic investments that serve U.S. security and prosperity, such as supporting key partners and countering near-peer adversaries like China; and increased appropriations for the U.S. International Development Finance Corporation (DFC), which supports U.S. national security interests through loans and guarantees, shifting the U.S. global posture from grants to investments that yield returns.

Furthermore, the budget makes systematic adjustments to programs such as humanitarian assistance, contributions to international organizations, law enforcement cooperation, and cultural exchanges. It consolidates accounts like International Disaster Assistance, establishes a new International Humanitarian Assistance (IHA) account, and significantly reduces assessed and voluntary contributions to United Nations peacekeeping operations and various international organizations. Citing inefficiency, insufficient oversight, and brain drain, the budget also reduces education and cultural exchange programs and eliminates the Transition Initiatives Fund and the Complex Crises Fund, which are deemed tools for interfering in other nations' internal affairs and advancing left-wing agendas. These changes are consistent with the spirit of multiple executive orders, aiming to ensure every taxpayer dollar directly advances America First foreign policy objectives.