Special Message to the Congress Reporting on Budget Rescissions and Deferrals

To the Congress of the United States:

In accordance with the Impoundment Control Act of 1974, I herewith propose five rescissions and report 23 new deferrals of budget authority available for obligation in fiscal year 1976. The rescission proposals total $90.2 million and the new deferrals total $541.8 million. In addition, I am reporting an increase of $1.0 million in deferrals previously transmitted.

Rescissions of budget authority are proposed for programs in the Community Services Administration and the Departments of Agriculture, Interior, and Health, Education, and Welfare. The rescissions are proposed for a variety of reasons: to avoid duplicative efforts, to preserve the effective and limited uses of demonstration programs, and because program objectives can be met with lesser amounts than have been made available.

The majority of the new deferrals I am reporting--14 of 23--defer the obligation of funding provided by the continuing resolution for 1976 (Public Law 94-41). I have proposed that several ongoing programs be reduced, terminated, or transferred to other agencies beginning in fiscal year 1976. The Congress has not yet completed action on the 1976 regular appropriation bills or on my proposed modifications of certain programs. In the meantime, it has generally provided for all programs to receive temporary appropriations at ongoing rates. I am deferring obligations above the levels I have proposed, pending completion of Congressional action on my proposals. The remaining new deferrals are routine in nature and have little or no effect on program levels.

The details of each deferral and proposed rescission are contained in the attached reports.

This special message increases to eight the number of rescissions now pending before the Congress. I urge prompt, positive action on each of them.

GERALD R. FORD

The White House,

July 26, 1975.