The US House of Representatives on Thursday passed a 2.9 trillion-dollar budget resolution for the fiscal year beginning October 1, with the votes largely along party lines.
The US spending blueprint, which passed 216 to 210, seeks to narrow a yawning US budget deficit by fiscal year 2012.
Republicans complained however that the budget relies on a hefty tax increase to bring the United States into the black.
Democratic Speaker of the House, Representative Nancy Pelosi, hailed the bill as "a budget for the future, a budget that will initiate an era of accountability in government spending and in government accountability on our priorities," she said.
"It is a budget that will come to balance in spending, and also in terms of its priorities," she said.
Pelosi said this Democratic budget, after several years in which Republicans ruled Congress and governed federal spending, holds the line of runaway spending of the first six years of the George W. Bush administration.
"It is wrong for our children," she said. "It mortgages their future. It is wrong for our economy.
"This fiscal unaccountability will be corrected today with the passage of this budget," she said.
"Our federal budget should reflect what is important to us as a nation. Thats how we should allocate our resources," Pelosi said.
"This is historic," she said.
The bill now has to be reconciled with Senate budget legislation before being signed into law by Bush.
