FISCAL IRRESPONSIBILITY
THE PROBLEM
- Our massive federal debt represents a claim against future generations
- Our annual deficits increase that claim every year; and,
- Because of past irresponsible spending as well as the way Congress has structured entitlements, programs, budget trickery and promises, we cannot fund the government without debt.
- Our only way out is to immediately become responsible stewards of our spending while allowing the economy to grow to reduce debt as a percentage of our economy.
THE SOLUTION
To start the process of reasserting responsible stewardship. I will propose
THE RESTRAIN IRRESPONSIBLE BUDGETING ACT
TRIBA shall include the following key points (for a more complete analysis, see here (link to Fiscal Responsibility Section under the POSITIONS tab) or watch my youtube discussion here.
1. Each year, Congress shall pass a conforming budget for the next fiscal year by June 30 of the prior fiscal year. After June 30th, until a Conforming Budget is enacted (either through Presidential signature or Congressional override of any Presidential veto), no member of Congress shall be paid, nor shall any funds be made available to Congressional offices.
2. A Conforming Budget will include the following:
a. Absent an Congressional declared Emergency, each annual deficit shall be smaller than that of the previous year – transparently and without gimmicks.
b. New programs and tax cuts shall be fully offset.
c. Any Emergency designation shall be renewed by a full vote of Congress each year, or it shall automatically end.
d. The defense budget shall reflect current world threats and events.
e. The budget shall address the pending insolvency of Medicare and Social Security.
a. Absent an Congressional declared Emergency, each annual deficit shall be smaller than that of the previous year – transparently and without gimmicks.
b. New programs and tax cuts shall be fully offset.
c. Any Emergency designation shall be renewed by a full vote of Congress each year, or it shall automatically end.
d. The defense budget shall reflect current world threats and events.
e. The budget shall address the pending insolvency of Medicare and Social Security.
3.The budget must be transparent, use plausible projections and use zero budget gimmicks! Examples of past budget gimmicks include:
a. Discretionary spending that grows at a rate less than inflation
b.mandatory spending that slows without cause
c.Robust revenue projections attributable to unrealistic economic growth.
d. Net interest costs that are incompatible with projected deficits and debt.
e. Inflation, unemployment, and interest rates projections that are far too optimistic. f. Tax cuts that are intentionally sunset to hide the expense of making them permanent.
g. Projection windows that are shortened (e.g. from 10 years to 5) to cloud the long-term deficit effects of spending proposals.
h. Packing policy changes (like the extension of temporary tax cuts) into the baseline when the costs instead should be attributed to post-policy totals.
a. Discretionary spending that grows at a rate less than inflation
b.mandatory spending that slows without cause
c.Robust revenue projections attributable to unrealistic economic growth.
d. Net interest costs that are incompatible with projected deficits and debt.
e. Inflation, unemployment, and interest rates projections that are far too optimistic. f. Tax cuts that are intentionally sunset to hide the expense of making them permanent.
g. Projection windows that are shortened (e.g. from 10 years to 5) to cloud the long-term deficit effects of spending proposals.
h. Packing policy changes (like the extension of temporary tax cuts) into the baseline when the costs instead should be attributed to post-policy totals.