Jacob J. Lew, OMB, Director: “The President has defined our fiscal challenge as demonstrating that we can live within our means so that we can invest in job creation and economic growth now and in the long term. In April, he proposed a balanced framework for $4 trillion in deficit reduction that would put us on path to achieve fiscal sustainability by the middle of this decade. Over the summer, in negotiations with the Congress, the President pursued deficit reduction of this magnitude. Once it was clear a bipartisan agreement could not yet be reached, the President signed into law a down payment toward this goal: the Budget Control Act of 20 11. This legislation set ceilings on total discretionary spending and a target of $2.4 trillion in total deficit reduction over the next decade. In light of the tight limits on discretionary spending starting in 2012, your 2013 budget submission to OMB should provide options to support the President’s commitment to cut waste and reorder priorities to achieve deficit reduction while investing in those areas critical to job creation and economic growth. Unless your agency has been given explicit direction otherwise by OMB, your overall agency request for 2013 should be at least 5 percent below your 2011 enacted discretionary appropriation.”