Obama names budget director, vows cuts

President-elect Barack Obama on Tuesday named Peter Orszag as his
budget director and vowed to go through federal spending “line by line” to
eliminate waste.

“In these challenging times, when we are facing both rising deficits
and a sinking economy, budget reform is not an option. It is an
imperative,” Obama said. “We cannot sustain a system that bleeds billions of
taxpayer dollars on programs that have outlived their usefulness, or exist
solely because of the power of a politician, lobbyist or interest group.”

{mosads}Orszag, who currently serves as director of the Congressional Budget
Office, will become director of the Office of Management and Budget (OMB).

“Peter doesn’t need a map to know where the bodies are buried in the
federal budget,” Obama said in introducing his selection. “He
knows what works and what doesn’t, what is worthy of our precious tax dollars
and what is not. Just because a program, a special interest tax break or
corporate subsidy is tucked into this year’s budget, does not mean it should
survive the next. The old ways of Washington simply can’t meet the challenges
of today and tomorrow.”

The president-elect also named Rob Nabors, who currently serves as
clerk and staff director of the House Appropriations Committee, as deputy
director of OMB.

“This isn’t about big government or small government. It’s about
building a smarter government that focuses on what works,” Obama said with
regard to trimming the budget. “That is why I will ask my team to think anew
and act anew to meet our new challenges. We will go through our federal budget
— page by page, line by line — eliminating those programs we don’t need, and
insisting that those we do operate in a sensible, cost-effective way.”

Obama also said that the budget challenges also pose
opportunities to address long running challenges such as healthcare costs.

The chairman and ranking Republican on the Senate Finance Committee quickly endorsed Obama’s pick.

“Peter Orszag’s economic expertise and his responsiveness to the Senate Finance Committee make his nomination to lead the Office of Management and Budget a welcome one,” Chairman Max Baucus (D-Mont.) and Sen. Charles Grassley (R-Iowa) said in a joint staement. 

“This difficult time calls for smart, straightforward leaders on the nation’s economic team, and Peter’s credentials are evident to us and to our colleagues on the Committee.”