I hear that healthcare and a second stimulus will be exempt, but this is really strange during a tenuous economic recovery:
President Barack Obama will propose a three-year freeze on federal spending outside of national security to save an estimated $250 billion over a decade as part of an effort to rein in record deficits, two administration officials said.
[...] The limit on discretionary spending would reduce the deficit by $10 billion to $15 billion in 2011, according to the officials, who briefed reporters on the plan. Last year’s budget shortfall was a record $1.4 trillion.
The Environmental Protection Agency and the Commerce, Interior and Justice Departments are among the executive branch agencies subject to the freeze, officials said, while the Defense Department, Department of Homeland Security, Veterans Affairs and unspecified international affairs programs would be exempt.
How does this create jobs? I have no idea. I'm just skiddish about spending cuts when unemployment is high and the recovery is still embryonic. Waiting for more details on this one.
UPDATE: From Oliver via Twitter:
jobs are exempt, as is hcr from any kind of freeze. increased benefits for college loans, child care.