This is a joint post with John Norris of the Center for American Progress.Last week, my colleague John Norris from the Center for American Progress, or CAP, and I kicked off a new Working Group, ‘Aid Priorities amid Declining Resources.’ This effort is meant to address a concern close to all of us working in foreign policy and international development – how best to address anticipated cuts to the international affairs budget which will take place under almost any scenario imaginable at this point.Several years ago, the aid reform and effectiveness movement took shape in an environment ripe with hope for change. Calls for reform were finally gaining momentum and getting results, and the administration seemed keen on revamping both our foreign policy architecture and how we deliver U.S. assistance around the globe. The administration not only conducted the first ever Quadrennial Diplomacy and Development Review, it also undertook a presidential review of its global development policy.But while important parts of the reform agenda have been widely embraced and some implementation has begun, it is now clear that budget pressures will not only fundamentally transform the overall debate regarding aid, but all of the U.S. government agencies involved with international affairs, aid, and development. The recent agreement between the White House and Congress to raise the debt ceiling in exchange for further cuts and the creation of a Joint Committee on Deficit Reduction has put downward pressure on the international affairs budget. Furthermore, a looming November 23 deadline leaves the “Super Committee” little time to compromise over savings, and there are real fears that pressures to produce could result in ill-conceived cuts to the entire 150 account.Despite the doom and gloom, John and I, and our working group, are of the optimistic opinion that this environment presents a unique opportunity for reformers to defend those areas of activity that are absolutely critical to U.S. national interests while simultaneously using this period of austerity to reduce or eliminate approaches, programs, projects and even institutions that are outdated, ineffective, or of marginal return. Indeed, questions of organizational streamlining, restructuring, or consolidation almost always come to the fore during periods of budget stress. Ultimately, the current budget crisis should only underscore the necessity of making our foreign policy institutions and programs more effective, modern, focused, and capable.It is within this context that CGD and CAP formed a working group to create a budget blueprint to identify priorities, including: those areas of operations essential to maintain or expand; areas where funding could be reduced or shifted; and changes to institutions, regulations, and approaches that would make U.S. international engagement more effective. It is our belief that such refocusing could make our approach to international affairs, and aid specifically, more robust and influential even with fewer overall dollars. If done smartly, targeted cuts can trim the fat from our international affairs budget, saving the American taxpayer money while honing one of the most important tools of U.S. statecraft.In the coming months, the group plans to engage in a transparent process of consultation to produce proposals that represent a consensus from a broad range of actors. We hope the working group will assist in the following.
- Underscoring the vital importance of continued U.S. international engagement and leadership;
- Pinpointing U.S. international affairs spending priorities and potential areas for savings;
- Documenting promising areas for U.S. aid allocation and, where possible, the impact of U.S. investments;
- Developing proposals for long-term budget action in specific sectors, countries, and programs; and,
- Identifying structural, legislative, regulatory, or procedural changes that would allow for significant savings or more effective programs.
We hope to produce a report early in 2012 that presents principles for prioritizing aid around effectiveness and impact that will help guide the implementation of the 2012 budget and consideration of resource allocations for the rest of the decade.The opinions of the aid and foreign policy community are important to this effort. We invite you to visit our page to learn more and to give us your thoughts on how to better prioritize U.S. programs.