The director of the OMB assists the president in preparing the federal budget and supervising its administration in executive branch agencies, such as those dedicated to defense and national security. The OMB helps formulate the president's spending plans, which means that it assesses the cost-effectiveness of agency programs, policies, and procedures. The OMB also resolves the competing demands of defense and national security agencies to set funding priorities, and ensures that federal agency reports, rules, testimony, and proposed legislation are consistent with the president's budget 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 taxpayer. The largest items in the national budget are defense and national security, so the president relies heavily on the OMB to set funding priorities.
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