Office of Management and Budget

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The Office of Management and Budget (OMB) is a Cabinet-level office, and is the largest office within the Executive Office of the President of the United States (EOP).

The current OMB Director is Jacob Lew.



The Bureau of the Budget, OMB's predecessor, was established as a part of the Department of the Treasury by the Budget and Accounting Act of 1921, which was signed into law by President Warren G. Harding. The Bureau of the Budget was moved to the EOP in 1939, and reorganized into OMB in 1970 during the Nixon administration[1]. The first OMB included Roy Ash (head), Paul O'Neill (assistant director), Fred Malek (deputy director) and Frank Zarb (associate director) and two dozen others. In the 1990s, OMB was reorganized to remove the distinction between management staff and budgetary staff by combining those dual roles into each given program examiner within the Resource Management Offices[2].


The OMB's predominant mission is to assist the President in overseeing the preparation of the federal budget and to supervise its administration in Executive Branch agencies. In helping to formulate the President's spending plans, the OMB evaluates the effectiveness of agency programs, policies, and procedures, assesses competing funding demands among agencies, and sets funding priorities. The OMB ensures that agency reports, rules, testimony, and proposed legislation are consistent with the President's Budget and with Administration policies.

In addition, the OMB oversees and coordinates the Administration's procurement, financial management, information, and regulatory policies. In each of these areas, the OMB's role is to help improve administrative management, to develop better performance measures and coordinating mechanisms, and to reduce any unnecessary burdens on the public.



The Office contains significant numbers of both career and politically appointed staff; OMB staff provide important continuity within the EOP since several hundred career professionals remain in their positions regardless of which party occupies the White House. Six positions within OMB – the Director, the Deputy Director, the Deputy Director for Management, and the administrators of the Office of Information and Regulatory Affairs, the Office of Federal Procurement Policy, and the Office of Federal Financial Management are presidentially appointed and Senate-confirmed positions.

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