By the first Monday in February, the President submits to Congress his proposed Federal budget for the next fiscal year, which begins October 1.
Congress then passes a “budget resolution”—a framework within which the Members will make their decisions about spending and taxes. It includes targets for total spending, total revenues, and the surplus or deficit, and allocations within the spending target for the two types of spending— discretionary and mandatory.
House Republican Budget Alternative
The President's Fiscal Year 2011 Budget Summary