Paying interest isn't discretionary. Neither is Social Security. Is Medicaid? I didn't think so.
You're right, I wouldn't want to eliminate the military.
I think we're on the same wavelength. The budget should be balanced, responsibly (i.e. with spending cuts), and entitlement spending (Medicaid, Social Security) must be brought under control.
Bush needs to veto some spending. Hell, he needs to veto SOMETHING!