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Obama wanted to pay for all Pell grants with mandatory funds, in order to create a steady revenue stream for the program.
According to the White House fact sheet on the Energy Security Trust: "The mandatory funds [for the Trust] would be set aside from royalty revenues generated by oil and gas development in Federal waters of the Outer Continental Shelf (OCS), already included in the administration's five year plan.
Pell grants, financial aid for low-income college students, are currently paid for by a combination of discretionary funds, meaning that Congress decides how much money is spent each year; and mandatory funds, meaning that a government formula determines how much is spent.
Mandatory funds aren't funneled through the regular annual appropriations process.
That's because it calls for using "mandatory funds" to pay for those increases.
Making up the difference with mandatory funds "is just very problematic and complicated," he says.
Similar(43)
Pell grants for low-income students, for example, face an $8 billion annual shortfall beginning in 2014, when their mandatory funding runs out.
Mr. Romney would also switch the funding of the Pell Grant program from a mix of discretionary and mandatory funding to entirely discretionary funding, which would make it easier to cut the program in subsequent years.
"Please know that we cannot and will not support any funding resolution – an appropriations bill, an omnibus package, a continuing resolution, or otherwise – that contains any funding for Planned Parenthood, including mandatory funding streams".
His "public accountability board", unveiled this week, would have mandatory funding from audit firms and companies, and would consist of nine people, six of whom would have no connection with the accountancy profession.
There's even been discussion of perhaps some kind of mandatory funding.
Related(20)
voluntary funds
statutory funds
necessary funds
essential funds
requires funds
rules funds
compensatory funds
enforcement funds
mandatory funding
needs funds
obligations funds
minimum funds
required funds
includes funds
requisite funds
mandatory vaccinations
mandatory vasectomies
mandatory exams
mandatory convertibles
mandatory workouts
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