Democratic Controlled U.S. Senate Fiscal Year 2014 Budget for the Federal Government — Videos
Paul Ryan Questions OMB Director – President’s Fiscal Year 2014 Budget Request
Sessions: Obama’s Persistent Budget Misrepresentations Make Compromise More Difficult
‘When Do We Hold People Accountable?’ Sessions Slams Dems For Falsely Claiming ‘Balance’ To Nation
WASHINGTON, March 22—Throughout the course of the budget debate, Democratic Senators have repeatedly suggested their budget contains a “balanced approach,” a rhetorical description that has no accounting value. (Sen. Sheldon Whitehouse (D-RI) went even further last night and repeatedly said his party’s plan called for “balancing the budget.”)
But as Sen. Sessions pointed out this morning, “They know they don’t have a balanced budget. They won’t tell the American people they don’t have one. They just use the word. But it’s not in their document. Where and when do we hold people accountable in this United States Senate for an accurate [description] of legislation? It’s wrong.”
To view for yourself the budget tables with the Democrats’ own numbers (in other words, before one even begins to strip out all the gimmicks and accounting tricks), please click here: http://1.usa.gov/YwdsbM. Note that cumulative deficits will amount to $5.198 trillion, and the nation’s gross debt will climb to $24.365 trillion by 2023.
Dem Senators On Budget Committee Unanimously Oppose Balancing The Federal Budget
Hatch on Senate Democrats’ Budget: ‘A Cynical Political Document’
Senator King Discusses 2014 Fiscal Year Budget Blueprint
Sessions: Dem Budget Would Trap Millions In Poverty By Shielding Failed Government Programs
Senate Budget Committee Hearing | 4.10.13 | Chairman Murray Opening Remarks
Chairman Murray Kicks Off Senate Budget Resolution Debate with Speech on Senate Floor
Foundation for Growth: Restoring the Promise of American Opportunity
U.S. Senate Budget Committee
Senate Budget Committee Chairman Patty Murray unveils her vision for the Fiscal Year 2014 Senate Budget resolution.
For more information: http://www.budget.senate.gov/democratic
Portman Remarks at Senate Budget Committee Markup
Hatch: Entitlement Reform Not an Option, a Necessity
Background Articles and Videos
Making the Federal Budget
How do you spend four trillion dollars? Turns out, you don’t; it takes the President and the Congress to allocate, authorize, appropriate, resolve, outlay, sequester, impound, and just plain spend that much in 2011. Such a process is baffling at times. It’s so complex that you may marvel that Washington can get any action accomplished and paid for at all. So how does the federal budget happen?
Join the Mercatus Center’s Capitol Hill Campus and Senior Research Fellow Jason J. Fichtner for a walk through the process of making the federal budget. He explains the process from its beginnings in the halls of the White House, highlight the many roles Congress takes to authorize and enforce the budget, and navigate the twisting, puzzling conglomeration of bureaucratic steps, political goals, and accountancy rules that go into making our government function.
Changing the Budget Process to Promote Fiscal Responsibility
A Sustainable Approach to Entitlement Reform
Foundation for Growth: Restoring the Promise of American Opportunity
The Fiscal Year 2014 Senate Budget builds on the work done over the last two years to create jobs, invest in broad-based economic growth, and tackle our deficit and debt responsibly.
This budget takes the balanced and responsible approach to our fiscal challenges that every bipartisan group has endorsed and that the American people support. It includes responsible spending cuts made across the federal budget, as well as significant new savings achieved by eliminating loopholes and cutting wasteful spending in the tax code that benefits the wealthiest Americans and biggest corporations.
The Senate Budget is grounded in the understanding that our country’s long-term fiscal and economic goals will only be met with policies that support a strong and growing middle class. And it keeps the promises we have made to our seniors, our families, and our communities.
The American people are sick and tired of watching their government lurch from crisis to crisis. The Senate Budget offers a serious and credible path away from this gridlock and dysfunction and toward a long-term plan to create jobs, lay down a strong foundation for broad-based economic growth, replace sequestration, and tackle our deficit and debt responsibly and credibly.
This budget reflects the values of a diverse Senate serving a diverse nation, and it is guided by the principles and priorities that are strongly supported by the constituents we were elected to represent
http://www.budget.senate.gov/democratic/index.cfm/senatebudget
Foundation for Growth: Restoring the Promise of American Opportunity
The Fiscal Year 2014 Senate Budget builds on the work done over the last two years to create jobs, invest in broad-based economic growth, and tackle our deficit and debt responsibly.
This budget takes the balanced and responsible approach to our fiscal challenges that every bipartisan group has endorsed and that the American people support. It includes responsible spending cuts made across the federal budget, as well as significant new savings achieved by eliminating loopholes and cutting wasteful spending in the tax code that benefits the wealthiest Americans and biggest corporations.
The Senate Budget is grounded in the understanding that our country’s long-term fiscal and economic goals will only be met with policies that support a strong and growing middle class. And it keeps the promises we have made to our seniors, our families, and our communities.
The American people are sick and tired of watching their government lurch from crisis to crisis. The Senate Budget offers a serious and credible path away from this gridlock and dysfunction and toward a long-term plan to create jobs, lay down a strong foundation for broad-based economic growth, replace sequestration, and tackle our deficit and debt responsibly and credibly.
This budget reflects the values of a diverse Senate serving a diverse nation, and it is guided by the principles and priorities that are strongly supported by the constituents we were elected to represent.
The highest priority of the Senate Budget is to create the conditions for job creation, economic growth, and prosperity built from the middle out, not the top down.
The Senate Budget takes the position that trickle-down economics has failed as an economic policy and that true national prosperity comes from the middle out, not the top down. We believe that deficit reduction at the expense of economic growth is doomed to failure, and policies that promote a strong middle class are essential to tackling our long-term deficit and debt challenges.
The policies President Barack Obama and Congress put in place in response to the Great Recession pulled our economy back from the brink and helped to add back jobs. But with an unemployment rate that remains stubbornly high, and a middle class that has seen their wages stagnate for far too long, we simply cannot afford any threats to our fragile recovery. Therefore, the Senate Budget:
• Fully replaces the harmful cuts from sequestration with smart, balanced, and responsible deficit reduction, which would save hundreds of thousands of jobs while protecting families, communities, and the fragile economic recovery.
• Invests in long-term economic growth and national competitiveness by tackling our serious deficits in infrastructure, education, job training, and innovation to create jobs now and lay down a strong foundation for broad-based growth.
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• Includes a $100 billion targeted jobs and infrastructure package that would start creating new jobs quickly, begin repairing the worst of our crumbling roads and bridges, and help train our workers to fill 21
st century jobs. This jobs investment package is fully paid for by eliminating loopholes and cutting wasteful spending in the tax code that benefits the wealthiest Americans and biggest corporations.
• Protects and continues tax cuts for the middle class and low-income working families.
The Senate Budget builds on the work we have done over the last two years to tackle our deficit and debt responsibly.
At the end of 2010, the bipartisan Simpson-Bowles Commission report laid out a responsible goal of reducing our deficit by $4 trillion over ten years. Since that time, Congress and the administration have implemented $2.4 trillion in deficit reduction, with $1.8 trillion coming from spending cuts and $600 billion coming from new revenue from the wealthiest Americans. The Senate Budget:
• Surpasses the bipartisan goal of $4 trillion in 10-year deficit reduction and puts our deficit and debt on a downward, sustainable, and responsible path.
• Builds on the $2.4 trillion in deficit reduction already done with an additional $1.85 trillion in new deficit reduction for a total of $4.25 trillion in deficit reduction since the Simpson-Bowles report.
• Includes an equal mix of responsible spending cuts and new revenue raised by closing loopholes and ending wasteful spending in the tax code.
• Achieves $975 billion in deficit reduction through responsible spending cuts made across the federal budget:
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$493 billion saved on the domestic spending side, including $275 billion in health care savings made in a way that does not harm seniors or families.
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$240 billion saved by carefully and responsibly cutting defense spending to align with the drawdown of troops in our overseas operations.
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$242 billion saved in reduced interest payments.
• Achieves $975 billion in deficit reduction by closing loopholes and eliminating wasteful spending in the tax code that benefits the wealthiest Americans and biggest corporations.
• Includes reconciliation instructions, a fast-track process that makes sure that the new revenue from the wealthiest Americans and biggest corporations cannot be filibustered in the Senate.
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The Senate Budget keeps the promises we have made to our seniors, families, veterans, and communities.
The Senate Budget takes the position that the promises we made to our seniors, families, veterans, and communities ought to be fulfilled. This budget:
• Preserves and protects Medicare so that it is strong for seniors today and will be there for our children and grandchildren.
• Rejects calls to dismantle, privatize, or voucherize Medicare.
• Builds on the responsible changes made in the Affordable Care Act to continue reducing health care costs while protecting patients.
• Protects the expansion of health insurance to nearly 30 million Americans and ensures the federal-state partnership on Medicaid is preserved.
• Rejects efforts to simply shift health care costs to states or make cuts that harm seniors and the most vulnerable families.
• Maintains the key principle that deficit reduction should not be done on the backs of the most vulnerable families and communities.
• Continues to make the investments we need in national defense, homeland security, and law enforcement to keep our country and our communities strong and secure.
• Keeps the promise we have made to our veterans that their country will be there for them and provide the resources and support they need when they come home.
The House Republican approach would hurt middle class families and the economy and break the promises we have made to our seniors.
The Senate Budget offers a very different vision than the approach taken by House Republicans.
Their proposals would cut the legs out from under our fragile economic recovery and threaten millions of jobs. They would slash the investments in infrastructure, education, and innovation that we need to lay down a strong foundation for broad-based growth and that would position us to compete and win in the 21
st century global economy.
House Republicans would dismantle Medicare and cut off programs that support the middle class and most vulnerable families. And they would do all that while refusing to ask the wealthiest Americans and biggest corporations to contribute their fair share.
We believe that the American people strongly support the pro-growth, pro-middle class approach taken in the Senate Budget. And we look forward to engaging with families and seniors across the country as we work to pass the responsible, fair, and bipartisan budget deal the American people expect and deserve.
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The following timetable is used to guide the federal budget process each year (see 2. U.S.C. 631)
Date | Action |
1st Monday in February | President’s budget submission (includes OMB sequester preview report and adjustments to spending caps). |
February 15 | CBO budget and economic outlook report |
Within 6 weeks of President’s budget | Committees submit views and estimates to the Budget Committees |
April 1 | Senate Budget Committee reports resolution |
April 15 | Congress completes budget resolution. If not, Chairman of House Budget Committee files 302(a) allocations; Ways and Means is free to proceed with pay-as-you-go measures |
May 15 | Appropriations bills may be considered in the House |
June 10 | House Appropriations reports last bill |
June 15 | Congress completes action on reconciliation reconciliation (if applicable) |
June 30 | House completes action on annual appropriation bills |
July 15 | President submits mid-session review |
October 1 |
Fiscal year begins Home / Committee Resources / Glossary Appropriations Act: A statute, under the jurisdiction of the House and Senate Appropriations Committees, that generally provides authority for Federal agencies to incur obligations and to make payments out of the Treasury for specified purposes. An appropriation act is the most common means of providing budget authority. Currently, there are 13 regular appropriations acts for each fiscal year. From time to time, Congress also enacts supplemental appropriations acts. (See Appropriations under Budget Authority; Continuing Resolution; Supplemental Appropriation.) Authorizing Committee: A committee of the House or Senate with legislative jurisdiction over laws that set up or continue the operations of Federal programs and provide the legal basis for making appropriations for those programs. Authorizing committees also have direct control over spending for mandatory programs since the Government’s obligation to make payments for such program is contained in the authorizing legislation (See Entitlement.) Authorizing Legislation: Legislation enacted by Congress that sets up or continues the operation of a Federal program or agency indefinitely or for a specific period of time. Authorizing legislation may limit the amount of budget authority which can be appropriated for a program or may authorize the appropriation of “such sums as are necessary.” (See Budget Authority; Entitlement.) Backdoor Spending: (See Direct Spending or Mandatory Spending.) Budget Authority: The authority Congress gives to Government agencies, permitting them to enter into obligations which will result in immediate or future outlays. Budget authority may be classified in several ways. It may be classified by the form it takes: appropriations, borrowing authority, or contract authority. Budget authority may also be classified by the determination of amount: definite authority or indefinite authority. Finally budget authority may be classified by the period of availability: 1-year authority, multi-year authority, or no-year authority (available until used). Forms of Budget Authority Appropriations.–An act of Congress that permits Federal agencies to incur obligations and to make payments out of the Treasury for specified purposes. An appropriations act is the most common means of providing budget authority. Borrowing Authority.–Statutory authority that permits a Federal agency to incur obligations and to make payments for specified purposes out of money borrowed from the Treasury, the Federal Financing Bank, or the public. The Budget Act in most cases requires that new authority to borrow must be approved in advance in an appropriation act. Contract Authority.–Statutory authority that permits a Federal agency to enter into contracts in advance of appropriations. Under the Budget Act, most new authority to contract must be approved in advance in an appropriation act. Offsetting collections and receipts.–Income from the public which is displayed in the budget as negative budget authority. (See Offsetting Collections and Offsetting Receipts. Budget Baseline: Projected Federal spending, revenue and deficit levels based on the assumption that current policies will continue unchanged for the upcoming fiscal year. In determining the budget baseline under Gramm-Rudman-Hollings, the Directors of OMB and CBO estimate revenue levels and spending levels for entitlement programs based on continuation of current laws. For estimating discretionary spending amounts (both defense and non- defense), the Directors assume an adjustment for inflation (GNP deflator) added to the previous year’s discretionary spending levels. The baseline also includes sufficient appropriations to cover a Federal pay comparability raise (without absorption). Budget Deficit: The amount by which the Government’s total outlays exceed its total revenues for a given fiscal year. (See Outlays; Revenues.) Budget Resolution: A concurrent resolution passed by both Houses of Congress setting forth, reaffirming, or revising the congressional budget for the U.S. Government for a fiscal year. A budget resolution is a concurrent resolution of Congress. Concurrent resolutions do not require a presidential signature because they are not laws. Budget resolutions do not need to be laws because they are a legislative device for the Congress to regulate itself as it works on spending and revenue bills. (Unified) Budget Surplus: The amount by which the Government’s revenues exceed its outlays for a given fiscal year. The “on-budget surplus” excludes spending and revenues of the Social Security Trust Fund, and the Postal Service. (See Outlays; Revenues.) Capital Budget: A budget that segregates capital spending from all other spending, what is usually considered the “operating budget.” In a capital budget, spending and receipts in the capital budget are excluded from the operating budget and are not included in the operating budget’s deficit or surplus calculations. A capital budget would include spending only for capital assets. Capital assets are usually defined to be limited to land, structures, equipment, and intellectual property that are owned and used by the Federal government and have a useful life of more than 2 years. However, some proponents of capital budgeting have suggested that capital should be defined to include Federal “investment” spending that yields long-term benefits. President Clinton established a Commission to Study Capital Budgeting by issuing Executive Order 13037 on March 3, 1997. The Commission is required to issue its report by December 17, 1998. Congressional Budget: (See Budget Resolution.) Continuing Resolution: Appropriations legislation enacted by Congress to provide temporary budget authority for Federal agencies to keep them in operation when their regular appropriation bill has not been enacted by the start of the fiscal year. A continuing resolution is a joint resolution, which has the same legal status as a bill. A continuing resolution frequently specifies a maximum rate at which obligations may be incurred, based on the rate of the prior year, the President’s budget request, or an appropriation bill passed by either or both chambers of Congress. However, there have been instances when Congress has used a continuing resolution as an omnibus measure to enact a number of appropriation bills. A continuing resolution is a form of appropriation act and should not be confused with the budget resolution. Credit Authority: Authority to incur direct loan obligations or to incur primary loan guarantee commitments. Under the Budget Act, new credit authority must be approved in advance in an appropriation act. Crosswalk: Also known as “committee allocation” or “section 302 allocation.” The means by which budget resolution spending totals are translated into binding guidelines with respect to budget authority and outlays for committee action on spending bills. The Budget Committees allocate the budget resolution totals among the committees by jurisdiction, Crosswalk allocations of budget authority and outlays to the committee appear in the joint explanatory statement accompanying a conference report on the budget resolution. Current Services Budget: A section of the President’s budget, required by the Budget Act, that sets forth the level of spending or taxes that would occur if existing programs and policies were continued unchanged through the fiscal year and beyond, with all programs adjusted for inflation so that existing levels of activity are maintained. (See Baseline.) Deferral of Budget Authority: An action by the executive branch that delays the obligation of budget authority beyond the point it would normally occur. Pursuant to the Congressional Budget and Impoundment Control Act of 1974, the President must provide advanced notice to the Congress of any proposed deferrals. A deferral may not extend beyond the end of the fiscal year in which the President’s message proposing the deferral is made. Congress may overturn a deferral by passing a law disapproving the deferral. Deficit: The amount by which the government’s total budget outlays exceeds its total receipts for a fiscal year. Direct Spending: A term defined in the Budget Enforcement Act of 1990 to include entitlement authority, the food stamp program, and budget authority provided in law other than appropriations acts. From the perspective of the appropriations process, all direct spending is classified as mandatory as opposed to discretionary spending. New direct spending is subject to pay-as-you-go requirements. Direct spending is synonymous with mandatory spending. (See Mandatory Spending and Entitlement.) Discretionary Spending: A category of spending (budget authority and outlays) subject to the annual appropriations process. (See Appropriations Acts.) Entitlement: Programs that are governed by legislation in a way that legally obligates the Federal government to make specific payments to qualified recipients. Payments to persons under the Social Security, Medicare, and veterans’ pensions programs are considered to be entitlements. (See Direct Spending and Mandatory Spending.) Emergency Spending: As provided in the Budget Enforcement Act, a provision of legislation designated as an emergency by both the President and the Congress. As a result, this additional spending is not subject to the discretionary caps or the pay go requirements and thus will not cause a sequester. In addition, emergency legislation is effectively exempt from Budget Act points of order. There is no specific criteria in the law for emergency spending. However, the following criteria were contained in a June 1991 report prepared by the Office of Management and Budget–as required by Pub. L. No. 102-55 for the determination of whether to designate spending as an emergency spending: Necessary expenditure.–an essential or vital expenditure, not one that is merely useful or beneficial; Sudden.–quickly coming into being, not building up over time; Urgent.–pressing and compelling need requiring immediate action; Unforseen.–not predictable or seen beforehand as a coming need (an emergency that is part of an aggregate level of anticipated emergencies, particularly when normally estimated in advance, would not be “unforseen”); and Not permanent.–the need is temporary in nature. Expenditures: (See Outlays.) Federal Debt: Consists of all Treasury and agency debt issues outstanding. Current law places a limit or ceiling on the amount of debt. Debt subject to limit has two components: debt held by the government and debt held by the public. Debt held by the government.–Represents the holdings of debt by federal trust funds and other special government funds. For example, when a trust fund is in surplus as is presently the case with Social Security, the law requires that this surplus be invested in government securities. Debt held by the public.–Represents the holdings of debt by individuals, institutions, other buyers outside the federal government, and the Federal Reserve System. The change in debt held by the public in any given year closely tracks the unified budget deficit for that year. Fiscal Policy: Federal government policies with respect to taxes, spending, and debt management intended to promote the nations’ macroeconomic goals, particularly with respect to employment, gross national product, price level stability, and equilibrium in balance of payments. The budget process is a major vehicle for determining and implementing Federal fiscal policy. The other major component of Federal macroeconomic policy is monetary policy. (See Monetary Policy.) Fiscal Year: A fiscal year is a 12-month accounting period. The fiscal for the Federal Government begins October 1 and ends September 30. The fiscal year is designated by the calendar year in which it ends; for example fiscal year 1997 is the year beginning October 1, 1996, and ending September 30, 1997. Functional Classification: A system of classifying budget resources by major purpose so that budget authority, outlays, and credit activities can be related in terms of the national needs being addressed (for example, national defense, health) regardless of the agency administrating the program. There are currently 20 functions. A function may be divided into two or more subfunctions depending upon the complexity of the national need addressed by that function. (See Budget Authority; Outlays.) return to topIImpoundment: A generic term referring to any action or inaction by an officer or employee of the U.S. Government that precludes the obligation or expenditure of budget authority in the manner intended by Congress. (See Deferral of Budget Authority; Rescission of Budget Authority.) return to topJJoint Committee on Taxation (JCT): Section 8001 of the Internal Revenue Code authorized the creation of the Joint Committee on Taxation. By statute, it is composed of five members from the Committee on Finance (three majority, two minority) chosen by such Committee and five members from the Committee on Ways and Means (three majority, two minority) chosen by such Committee. In practice, the Chairmanship and Vice Chairmanship of the Joint Committee on Taxation has rotated between the Chairman of the Committee on Finance and the Chairman of the Committee on Ways and Means with each new Congress. Among other things, the JCT’s duties are to investigate the operation and effects of the federal tax system. return to topM Mandatory Spending: Refers to spending for programs the level of which is governed by formulas or criteria set forth in authorizing legislation rather than by appropriations. Examples of mandatory spending include: Social Security, Medicare, veterans’ pensions, rehabilitation services, Members’ pay, judges pay and the payment of interest of the public debt. Many of these programs are considered entitlement. (See Direct Spending.) Mark-Up: Meetings where congressional committees work on language of bills or resolutions. At Budget Committee mark-ups, the House and Senate Budget Committees work on the language and numbers contained in budget resolutions and legislation affecting the congressional budget process. Monetary Policy: Management of the money supply, under the direction of the Board of Governors of the Federal Reserve system, with the aim of achieving price stability and full employment. Government actions in guiding monetary policy, include currency revaluation, credit contradiction or expansion, rediscount policy, regulation of bank reserves and the purchase and sale of Government securities. (See Fiscal Policy.) return to topNNet Deficit Reduction: Savings below the defined budget baseline achieved for the upcoming fiscal year because of laws enacted or final regulations promulgated since January 1. CBO and OMB independently estimate these savings in their initial and final sequester reports. return to topO Offsetting Collections: Income from the public that results from the government engaging in “business-like” activities with the public, such as the sale of products or the rendering of a service. Examples include proceeds funds derived from the sale of postage stamps. Offsetting collections are credited against the level of budget authority or outlays associated with a specific program or account. (See Offsetting receipts.) Offsetting Receipts: Income from the public that results from the government engaging in “business-like” activities with the public such as the sale of products or the rendering of services. Examples include proceeds from the sale of timber from Federal lands or entrance fees paid at national parks. Rather than being credited against the spending of a particular program or account, (as in the case with offsetting collections) offsetting receipts are deducted from total budget authority and outlays rather than added to Federal revenues even though they are deposited in the Treasury as miscellaneous receipts. Generally offsetting receipts are associated with mandatory spending. (See Offsetting collections.) Off-budget Federal Entity: Any Federal fund or trust fund whose transactions are required by law to be excluded from the totals of President’s budget submission and Congress’ budget resolution, despite the fact that these are part of the government’s total transactions. Current law requires that the Social Security trust funds (the Federal Old Age, Survivors, and Disability trust fund) and the Postal Service be off-budget. However, these entities are reflected in the budget in that they are included in calculating the deficit in order to derive the total government deficit that must be financed by borrowing from the public or by other means. All other federal funds and trust funds are on budget. (See Unified Budget.) Outlays: Outlays are disbursements by the Federal Treasury in the form of checks or cash. Outlays flow in part from budget authority granted in prior years and in part from budget authority provided for the year in which the disbursements occur. Outlay Rates: The ratio of outlays (actual government disbursements) in a fiscal year relative to new budgetary resources in that fiscal year. In estimating the budget baseline and baseline deficit for their sequestration reports, CBO and OMB use outlay rates for projecting levels of spending resulting from available budget authority. Pay-as-you-go: Arises in two separate contexts: a point of order in the Senate and a sequester order from OMB. Pay-as-you-go in the Senate.–Since fiscal year 1994, the budget resolution has included a pay-as-you-go rule in the Senate. The rule provides a 3/5ths vote point of order in the Senate against consideration of legislation that would cause a net increase in the deficit over a ten year period. It applies to all legislation except appropriations legislation. To determine a violation, CBO measures the budget impact of a direct spending or revenue bill combined with the budget impact of all direct spending and revenue legislation enacted since the latest budget resolution’s adoption to see if the legislation would result in a net deficit increase for any one of three time periods (the first year, the sum of years 1 through 5, and the sum of years 6 through 10.) The pay-go rule sunsets at the end of fiscal year 2002. Pay-as-you-go and sequestration under the BEA.–The Budget Enforcement Act requires OMB to also enforce a “pay-as-you-go” requirement which has a similar effect as the Senate’s point of order: Congress is required to “pay for” any changes to programs which result in an increase in direct spending, or in this case risk a sequester. If OMB estimates that the sum of all direct spending and revenue legislation enacted since 1990 will result in a net increase in the deficit for the fiscal year, then the President is required to issue a sequester order reducing all non-exempt direct spending accounts by a uniform percentage in order to eliminate the net deficit increase. Most direct spending is either exempt from a sequester order or operates under special rules that minimize the reduction that can be made in direct spending. Social Security is exempt from a pay-as-you-go sequester and Medicare cannot be reduced by more than 4 percent. President’s Budget: The document sent to Congress by the President in January or February of each year, requesting new budget authority for Federal programs and estimating Federal revenues and outlays for the upcoming fiscal year. Revenues: Collections from the public arising from the Government’s sovereign power to tax. Revenues include individual and corporate income taxes, social insurance taxes (such as social security payroll taxes), excise taxes, estate and gift taxes, customs duties and the like. Reconciliation Process: A process by which Congress includes in a budget resolution “reconciliation instructions” to specific committees, directing them to report legislation which changes existing laws, usually for the purpose of decreasing spending or increasing revenues by a specified amount by a certain date. The legislation may also contain an increase in the debt limit. The reported legislation is then considered as a single “reconciliation bill under expedited procedures.” Reserve Fund: A provision in a budget resolution that grants the Chairman of the Budget Committee the authority to make changes in budget aggregates and committee allocations once some condition or conditions have been met. Since a budget resolution establishes a binding ceiling on aggregate budget authority and outlay levels and a binding floor on revenues, budget resolutions frequently include reserve funds for deficit-neutral legislation that would otherwise violate the budget resolution and be subject to a point of order under the Budget Act. For example, the FY 1997 budget resolution included a tax reduction reserve fund that allowed the Chairman to reduce the revenue floor and the relevant spending allocations to accommodate legislation that reduced taxes if that legislation also contained offsetting spending reductions. Rescission of Budget Authority: Cancellation of budget authority before the time when the authority would otherwise cease to be available for obligation. The rescission process begins when the President proposes a rescission to the Congress for fiscal or policy reasons. Unlike the deferral of budget authority which occurs unless Congress acts to disapprove the deferral, rescission off budget authority occurs only if Congress enacts the rescission. (See Deferral of Budget Authority; Impoundment.) Scoring or Scorekeeping: The process for estimating budget authority, outlay, revenue and deficit levels which result from congressional budgetary actions. Scorekeeping data prepared by the Congressional Budget Office include status reports on the effect of congressional actions and comparisons of these actions to targets and ceilings set by Congress in budget resolutions. These reports are published in the Congressional Record on a regular basis. OMB is responsible for scoring legislation to determine if a sequester is necessary. Sequester: Pursuant to Gramm-Rudman-Hollings, a presidential spending reduction order that occurs by reducing spending by uniform percentages. Sequestrable Resource: Pursuant to Gramm-Rudman-Hollings federal funding authority (budgetary resources) subject to reductions under a presidential sequester order for achieving required outlay reductions (in non-exempt programs). Supplemental Appropriation: An act appropriating funds in addition to those in the 13 regular annual appropriations acts. Supplemental appropriations provide additional budget authority beyond the original estimates for programs or activities (including new programs authorized after the date of the original appropriation act) in cases where the need for funds is too urgent to be postponed until enactment of the next regular appropriation bill. (See Appropriations Act.) return to topTTax Expenditures: Revenue losses attributable to a special exclusion, exemption, or deduction from gross income or to a special credit, preferential rate of tax, or deferral of tax liability. return to topU Unfunded Mandates: A Federal Intergovernmental Mandate is any provision in legislation, statute, or regulation that would impose an enforceable duty upon State, local or tribal government, except as conditions of assistance or duties arising from participation in a voluntary federal program. Exceptions to this rule are: enforcing constitutional rights; statutory prohibitions against discrimination; emergency assistance requested by states; accounting/auditing for federal assistance; national security; Presidential designated emergencies; and Social Security. Provisions that increase stringency of conditions of assistance or decrease federal funding for large state entitlement programs (greater than $500 million) if states lack authority to decrease their responsibilities are considered mandates as well. A Federal Private Sector Mandate is any provision in legislation, statute, or regulation that would impose an enforceable duty upon the private sector. The exceptions are a condition of Federal assistance or a duty arising from participation in a voluntary Federal program. Unified Budget: A comprehensive display of the Federal budget. This display includes all revenues and all spending for all regular Federal programs and trust funds. The 1967 President’s Commission on Budget Concepts recommended the unified budget and it has been the basis for budgeting since 1968. The unified budget replaced a system of the budgets that existed before 1968 (an administrative budget, a consolidated cash budget, and a national income accounts budget). |
Budget Control Act
The Budget Control Act Serves as the Budget for 2012 and 2013
The Budget Control Act states: “For the purpose of enforcing the Congressional Budget Act of 1974 through April 15, 2012 … the allocations, aggregates, and levels set in subsection (b)(1) shall apply in the Senate in the same manner as for a concurrent resolution on the budget for fiscal year 2012.” In many ways, the Budget Control Act is even more extensive than a traditional budget resolution. Number one, it has the force of law, unlike a budget resolution that never goes to the President. A budget resolution is purely a Congressional document; the Budget Control Act is a law. Number two, it sets discretionary caps for 10 years, instead of the one year normally set in a budget resolution. Number three, it provides enforcement mechanisms, including two years of “deeming resolutions,” which allow budget points of order to be enforced. And fourth, it creates a reconciliation-like “Super Committee” process to address both entitlements and tax reform. And it backs that process up with a $1.2 trillion sequester.
Budget Control Act Legislative Text
Read Full Post | Make a Comment ( None so far )Memo To Tea Party Constitutional Republicans–Insist That 10% Of Any National Debt Increase Be A Cut In The Fiscal Year 2012 House of Representatives Budget Resolution–Videos
“A Conservative is a fellow who is standing athwart history yelling ‘Stop!'”
~William F. Buckley, Jr.
Understanding The Debt Crisis In The U.S.
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The CPI chart on the home page reflects our estimate of inflation for today as if it were calculated the same way it was in 1990. The CPI on the Alternate Data Series tab here reflects the CPI as if it were calculated using the methodologies in place in 1980. In general terms, methodological shifts in government reporting have depressed reported inflation, moving the concept of the CPI away from being a measure of the cost of living needed to maintain a constant standard of living.
http://www.shadowstats.com/alternate_data/inflation-charts
Ron Paul to Congress: If Debt Is the Problem, Why Do You Want More of It?
Ron Paul: I’ll Vote Against Raising the Debt Limit
Ron Paul Ad – Conviction
Ron Paul ‘Annoyed’ at President Obama
Ron Paul Talks on The Federal Reserves Manipulation of US Dollar & The Tyranny of the TSA
Peter Schiff Responds to Timothy Geithner on Debt Ceiling He’s just making this stuff up!
A Promise That Cannot Be Kept | THE PLAIN TRUTH by Judge Napolitano
An open letter from Judge Andrew Napolitano to Speaker John Boehner
Underwhelming Spending Cuts from Congress and Obama
Dan Mitchell Exposing DC’s Fake Spending-Cut Scam with Judge Napolitano
“Cut, Cap and Balance,” the Debt Ceiling and Federal Spending
Dan Mitchell Talking about Downgrades and Debt Limit with Kudlow on CNBC
“Every Man Cannot Have His Way In All Things” President Obama Address
GOP Response To President Obama’s Debt Ceiling Address – 07/25/11
“A wise and frugal government, which shall leave men free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned – this is the sum of good government.”
~Thomas Jefferson
The American people want government spending to be cut, the budget balanced and no increase the national debt ceiling starting in Fiscal Year 2012.
The only real cuts in the Federal government spending are cuts to the budget baseline for Fiscal Year 2012 not cuts in the rate of growth of the baseline.
Please downsize the government by closing Departments, Agencies and programs and not voting for an increase the National Debt ceiling.
The time has come to furlough without pay non-essential government employees starting on August 2, 2011.
If you must betray the Tea Party and conservative movements and the American people at least insist that for every dollar increase in the national debt ceiling at least 10 cents be cut from the House of Representatives Fiscal Year 2012 Budget Resolution:
FY 2012 Budget Resolution
( Nominal Dollars In Billions)
OUTLAYS 3,529
REVENUES 2,533
DEFICIT 995
DEBT HELD BY THE PUBLIC 11,418
As A Share of GDP
OUTLAYS 22.5
REVENUES 16.1
DEFICIT 6.3
DEBT HELD BY THE PUBLIC 72.8
http://budget.house.gov/UploadedFiles/SummaryTables.pdf
If you vote for a $1,000 billion increase in the National Debt ceiling then require the House of Representatives Fiscal Year 2012 Budget Resolution be cut by $100 billion to $3,429 billion with a $885 billion dollar deficit.
If you vote for a $2,000 billion increase in the National Debt ceiling then require the House of Representatives Fiscal Year 2012 Budget Resolution be cut by $200 billion to $3,329 billion with a $785 billion dollar deficit.
If you vote for a $3,000 billion increase in the National Debt ceiling then require the House of Representatives Fiscal Year 2012 Budget Resolution be cut by $300 billion to $3,229 billion with a $685 billion dollar deficit.
If you vote for a $4,000 billion increase in the National Debt ceiling then require the Fiscal Year Budget be cut by $400 billion to $3,129 with a $585 billion dollar deficit.
If you vote for a $10,000 billion increase in the National Debt ceiling then require the Fiscal Year Budget be cut by $1,000 billion to $2, 529 with a $ 4 billion dollar surplus.
Otherwise you will be considered a traitor to the Tea Party movement and be voted out of office in 2012.
Either you are a Constitutionalist Republican or an Establishment Republican, you are either with the tea party or you are against the Tea party.
If you go back to the Fiscal Year 2005 government spending or outlay level, you can balance the budget this year.
I agree with President Obama that we need comprehensive tax reform and Speaker Boehner that we need something dramatic or a breakthrough.
Pass the FairTax to increase economic growth, jobs, savings, investment, productivity and even tax revenues by expanding the tax base.
The FairTax would replace the current Federal income, payroll, gift and estate taxation system which everyone agrees is too complex, costly and unfair.
The FairTax: It’s Time
Lugar Cosponsors the FairTax
Ron Paul on Taxes
Start listening to Ron Paul if you want to get re-elected.
No more commissions or backroom deals.
Cut spending now!
The choice is yours.
“It is incumbent on every generation to pay its own debts as it goes. A principle which if acted on would save one-half the wars of the world.”
~Thomas Jefferson
Background Articles and Video
Sen. Toomey Gives a Speech on the Debt Limit at AEI
Smoke and Mirrors on Spending Cuts
Ron Paul on the U.S. Government’s Debt Crisis
The Debt Limit: Made Simple
Ron Paul 2012 Amazing!!!
Rasmussen Reports
Most Voters Are Unhappy With Both Sides in the Debt Ceiling Debate
“…Most voters don’t care much for the way either political party is performing in the federal debt ceiling debate.
The latest Rasmussen Reports national telephone survey finds that 58% of Likely U.S. Voters at least somewhat disapprove of the way President Obama and congressional Democrats are handling the debate over the debt ceiling, with 38% who Strongly Disapprove. But 53% also disapprove of how congressional Republicans are handling the debate, including 32% who Strongly Disapprove.
Just 36% approve of how Obama and Democrats are doing, with 10% who Strongly Approve. Forty percent (40%) approve of the GOP’s performance, including 13% who Strongly Approve. (To see survey question wording, click here.)
While the two sides continue to wrangle over how to avoid defaulting on the government’s massive debt load, most voters nationwide are worried the final deal will raise taxes too much and cut spending too little.
Whatever spending cuts are in the final deal, 49% of all voters don’t think the government will actually cut the spending agreed upon. A commentary by Scott Rasmussen, published in Politico, put it this way: “Based on the history of the past few decades, voters have learned that politicians promising unspecified spending cuts should be treated with all the credibility of a six-year old boy caught with his hand in the cookie jar promising to be good for the rest of his life.” …”
Rasmussen Reports
55% Oppose Tax Hike In Debt Ceiling Deal
“…As the Beltway politicians try to figure out how they will raise the debt ceiling and for how long, most voters oppose including tax hikes in the deal.
Just 34% think a tax hike should be included in any legislation to raise the debt ceiling. A new Rasmussen Reports national telephone survey finds that 55% disagree and say it should not. …”
“…There is a huge partisan divide on the question. Fifty-eight percent (58%) of Democrats want a tax hike in the deal while 82% of Republicans do not. Among those not affiliated with either major political party, 35% favor a tax hike and 51% are opposed.
Americans who earn more than $75,000 a year are evenly divided as to whether a tax hike should be included in the debt ceiling deal. Those who earn less are opposed to including tax hikes.
Voters remain very concerned about the debt ceiling issue. Sixty-nine percent (69%) believe that it would be bad for the economy if a failure to raise the debt ceiling led to government defaults. Only 6% believe it would be good for theeconomy. Fourteen percent (14%) believe it would have no impact and 11% are notsure. These figures are little changed from a few weeks ago. …”
House passes Ryan’s ’12 budget; conservatives want more cuts
“…The House on Friday approved a fiscal year 2012 budget resolution from Budget Committee Chairman Paul Ryan (R-Wis.) that seeks to drastically limit government spending next year and in years to follow.
But the vote on the measure — which imposes $5.8 trillion in spending cuts over the next decade — came after a clear sign that at least half of the Republican Caucus supports even tougher spending cuts.
The final tally was 235-193, with four Republicans opposing it. They were Reps. Ron Paul (Texas), Denny Rehberg (Mont.), Walter Jones (N.C.) and David McKinley (W.Va.).
Rehberg, the appropriator in charge of health spending, is running for Montana’s Senate seat.
Majority Whip Kevin McCarthy (R-Calif.) said listening sessions with Republican members made it the strongest vote of the year.
“This is the process we should follow on all votes,” he said.
Every Democrat voted “no.” …”
House passes cut, cap and balance — and a deal is in sight
By Jennifer Rubin
“…The Republican-controlled House defied a presidential veto threat Tuesday night in approving a bill to amend the Constitution to require a balanced federal budget. But Speaker John A. Boehner acknowledged that a backup plan is needed, and a Senate GOP leader said he expects such an alternative to win his chamber’s approval.
The House voted 234 to 190 in favor of the “Cut, Cap and Balance Act,” which the White House has said will be vetoed in the unlikely event it passes the Senate and reaches President Obama’s desk. Faced with those prospects, Boehner told reporters that it would also be responsible to consider a backup plan for raising the federal debt ceiling and thus averting a potentially disastrous default on U.S. obligations.
Neither the Republican Party nor Democratic Party Fiscal Year 2012 budget proposals are the road to peace and prosperity but a Tea Party budget with balanced budgets most definitely is:
Which Budgets Are Balanced And Living Within The Means of The American People?
4/5/11 Republican Leadership Press Conference
Democratic Party Budget Proposals
S-1 FY2012 President’s Budget (Nominal Dollars in Billions) |
||||
Fiscal Year | Outlays | Revenues | Deficits | Debt Held By Public |
2011 | 3,819 | 2,174 | -1,645 | 10,856 |
2012 | 3,729 | 2,627 | -1,101 | 11,881 |
2013 | 3,771 | 3,003 | -768 | 12,784 |
2014 | 3,977 | 3,333 | -646 | 13,562 |
2015 | 4,190 | 3,583 | -607 | 14,301 |
2016 | 4,468 | 3,819 | -649 | 15,064 |
2017 | 4,669 | 4,042 | -627 | 15,795 |
2018 | 4,876 | 4,257 | -619 | 16,513 |
2019 | 5,154 | 4,473 | -681 | 17,284 |
2020 | 5,442 | 4,686 | -735 | 18,103 |
2021 | 5,697 | 4,923 | -774 | 18,967 |
2012-2021 | 45,952 | 38,747 | -7,205 | n.a. |
http://www.whitehouse.gov/sites/default/files/omb/budget/fy2012/assets/tables.pdf
Republican Party Budget Proposals
S-1 FY2012 Chairman’s Markup (Nominal Dollars in Billions) |
||||
Fiscal Year | Outlays | Revenues | Deficits | Debt Held By Public |
2011 | 3,618 | 2,230 | -1,388 | 10,351 |
2012 | 3,529 | 2,533 | -995 | 11,418 |
2013 | 3,559 | 2,860 | -699 | 12,217 |
2014 | 3,586 | 3,094 | -492 | 12,801 |
2015 | 3,671 | 3,237 | -434 | 13,326 |
2016 | 3,858 | 3,377 | -481 | 13,886 |
2017 | 3,998 | 3,589 | -408 | 14,363 |
2018 | 4,123 | 3,745 | -379 | 14,800 |
2019 | 4,352 | 3,939 | -414 | 15,254 |
2020 | 4,544 | 4,142 | -402 | 15,681 |
2021 | 4,739 | 4,354 | -385 | 16,071 |
2012-2021 | 39,958 | 34,870 | -5,088 | n.a. |
http://budget.house.gov/UploadedFiles/PathToProsperityFY2012.pdf
Sen. Toomey Unveils his FY 2012 Budget
Senator Pat Toomey Talks with Michael Medved about his Budget
S-1 FY2012 Senator Pat Toomey(Nominal Dollars in Billions) | ||||
Fiscal Year | Outlays | Revenues | DeficitsSurplus | Debt Held By Public |
2011 | 3,625 | 2,230 | -1,351 | 10,351 |
2012 | 3,477 | 2,538 | -919 | 11,418 |
2013 | 3,485 | 2,964 | -521 | 12,217 |
2014 | 3,509 | 3,216 | -291 | 12,801 |
2015 | 3,623 | 3,391 | -233 | 13,326 |
2016 | 3,765 | 3,524 | -241 | 13,886 |
2017 | 3,853 | 3,736 | -117 | 14,363 |
2018 | 3,955 | 3,916 | -39 | 14,800 |
2019 | 4,140 | 4,108 | -32 | 15,254 |
2020 | 4,302 | 4,325 | 23 | 15,681 |
2021 | 4,493 | 4,566 | 73 | 16,071 |
2012-2021 | 38,602 | 36,304 | -2298 | n.a. |
http://www.scribd.com/doc/55116239/Restoring-Balance-Final
SA@TAC – The GOP, War and the Debt
3/09/11: Sen. Rand Paul on balancing the budget
03/17/11: Sen. Rand Paul Introduces Five-Year Balanced Budget Plan
S-1 FY2012 Senator Rand Paul(Nominal Dollars in Billions) | ||||
Fiscal Year | Outlays | Revenues | DeficitsSurpluses | Debt Held By Public |
2011 | 3,708 | 2,228 | -1,480 | 10,430 |
2012 | 3,100 | 2,547 | -553 | 11,051 |
2013 | 3,152 | 2,755 | -397 | 11,532 |
2014 | 3,227 | 3,088 | -139 | 11,748 |
2015 | 3,360 | 3,244 | -116 | 11,942 |
2016 | 3,430 | 3,349 | 19 | 11,997 |
2012-2016 | 16,269 | 15,083 | -1,188 | n.a. |
http://campaignforliberty.com/materials/RandBudget.pdf
Tea Party Budget Proposals
S-1 FY2012 Tea Party’s Balanced/Surplus Budget(Nominal Dollars in Billions) | ||||
Fiscal Year | Outlays | Revenues | Surpluses | Debt Held By Public |
2012 | 2,500 | 2,500 | 0 | 10,900 |
2013 | 2,800 | 2,800 | 0 | 10,900 |
2014 | 3,000 | 3,000 | 0 | 10,900 |
2015 | 3,200 | 3,200 | 0 | 10,900 |
2016 | 3,300 | 3,300 | 0 | 10,900 |
2017 | 3,400 | 3,500 | 100 | 10,800 |
2018 | 3,500 | 3,700 | 200 | 10,600 |
2019 | 3,600 | 3,900 | 300 | 10,300 |
2020 | 3,700 | 4,000 | 300 | 10,000 |
2021 | 3,800 | 4,300 | 500 | 9,500 |
2012-2021 | 32,800 | 34,200 | 1,400 | n.a. |
Related Posts On Pronk Palisades
The President Obama Exposed As An Empty Suit That Negotiates In Bad Faith With No Democratic Party or Presidential Plan–All Talk and No Walk–Videos
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Related Posts On Pronk Pops
Pronk Pops Show 37, July 20, 2011–Segment 0: President Obama Lies and Scares People On Social Security–Stop Spending and Balance The Budget!–Videos
Pronk Pops Show 37, July 20, 2011: Segment 1: The American People’s Solution To Economic Stagnation: Increase National Debt Ceiling By $2,000 Billion To $16,300 Billion In Exchange For Passage of A Balanced Budget Amendment And The FairTax Bills And Repealing The Income Tax 16th Amendment To U.S. Constitution–A Balanced, Fair And Transparent Approach To Creating Jobs and Growing A Peace and Prosperity Economy–Videos
Pronk Pops Show 37, July 20, 2011: Segment 2: It’s Time For A Permanent, Prevasive and Predictable Stimulus Package–The FairTax–Launching A Peace and Prosperity Economy–Videos
Pronk Pops Show 37, July 20, 2011: Segment 3: Senator Tom Coburn’s
Read Full Post | Make a Comment ( None so far )The United States Fiscal Gap Is Worse Then Greece–The United States Is Bankrupt!–Videos
Laurence Kotlikoff – Next generation to suffer from fiscal gap
THE GOVERNMENT IS LYING ABOUT THE AMOUNT OF DEBT” 9-19-2010
Larry Kotlikoff – “Radical Things Needed Today Or We’ll Get Worse!”
World Economy Collapse explained in 3 minutes
Stop the Fiscal War Against Our Children Now:
“…The Congressional Budget Office just released its annual long-term fiscal forecast. It shows, after some simple calculations, that our government’s fiscal gap — the bill presumably being left to our children — has grown enormously over the past year.
The fiscal gap measures, in present value, the difference between all projected federal spending and future taxes. By including all spending on the same footing — whether official debt service, entitlement programs or discretionary government purchases — the fiscal gap makes no distinction between official and unofficial spending obligations, and properly so.
In fact, the government’s classification of obligations such as interest payments as official and others, such as Social Security payments, as unofficial is a labeling game with no basis whatsoever in economic theory. It’s a strategy politicians have used for decades to disguise the true nature of our country’s indebtedness.
How big is the fiscal gap? By my own calculations using the CBO data, it now stands at $211 trillion — a huge sum equaling 14 times the country’s economic output. To arrive at that figure, I assumed that annual noninterest spending, as well as taxes, would grow indefinitely by 2 percent a year beyond 2075, the point at which the CBO’s estimates end.
Growing Gap
The gap was $205 trillion last year, measured in today’s dollars. That’s an increase of $6 trillion. By contrast, the government’s count of official debt held by the public is $10 trillion — $850 billion more than last year’s figure, after adjusting for inflation. Hence, the real deficit we should be worrying about is more than six times larger than the $850 billion official deficit capturing all the attention.
In other words, Congress and the president’s administration could agree to run a balanced budget, making this year’s official deficit zero, and the nation’s true indebtedness would still rise by $5.15 trillion!
What accounts for the extra $5.15 trillion? In part, the CBO is now projecting somewhat smaller future taxes. But the main reason is that we are one year closer to having to pay 78 million baby boomers roughly $40,000, on average, per year in Social Security, Medicare and Medicaid benefits. Because the fiscal gap is a discounted present value, one year makes a big difference.
IMF: Major Changes Required to Close U.S. Fiscal Imbalance – Here’s Why, What and How
“…The United States is facing an unsupportable fiscal situation due to the combination of high deficits, aging population and growth in government-provided healthcare benefits according to a working paper by the International Monetary Fund (IMF). Their forecast implies that U.S. debt will rise rapidly relative to gross domestic product (GDP) in the medium- to long-term unless MAJOR adjustments in taxes and government payments are made to reduce the current fiscal and generational gaps and to avoid any further undesirable escalation of debt. [Let’s look at the details …”
“…The Fiscal Imbalance or “Gap”
The U.S. fiscal imbalance or “gap” (i.e. the reduction in the deficit needed to keep the debt-to-GDP ratio from growing) in association with today’s federal fiscal policy… is over 15 percent of GDP which means that the relationship between fiscal revenues and spending will need to improve by more than 15 percent of GDP each year indefinitely into the future. That sounds like a big number and certainly a challenge for the U.S. to accomplish.
What’s the Cause?
The main drivers of the fiscal gap cited are:
- low revenues from tax cuts,
- adjustments to the Alternative Minimum Tax and
- rising healthcare costs which will boost mandatory spending above 18 percent of GDP by 2050. …”
Background Articles and Videos
Larry Kotlikoff on Alex Jones Tv 1/3:Economic Meltdown!!
Larry Kotlikoff on Alex Jones Tv 2/3:Economic Meltdown!!
Larry Kotlikoff on Alex Jones Tv 3/3:Economic Meltdown!!
Read Full Post | Make a Comment ( None so far )
American People Demand From Congress Balanced Budgets–Not A Path To Balanced Budgets Or An Amendment–A Balanced Budget For Fiscal Year 2012–Videos
Ronald Reagan – Curbing the Size of Government
It’s Simple to Balance The Budget Without Higher Taxes
Deficits are Bad, but the Real Problem is Spending
Milton Friedman on Libertarianism (Part 4 of 4)
The Optimum Size of Government
The Rahn Curve and the Growth-Maximizing Level of Government
Background Articles and Videos
Dan Mitchell From The Cato Institute On Government Spending
Eight Reasons Why Big Government Hurts Economic Growth
David Stockman on TARP, the Fed, Ron Paul and Reagan [FULL VERSION]
The tea party movement supports limited constitutional representative government–limited in both size and scope by the United States Constitution.
The tea party movement demands not only massive cutting of Federal government spending but also fiscal responsibility with either balanced budgets or surplus budgets.
The tea party movement does not want a path to balanced budgets or a balanced budget amendment some time in the distant future.
The tea party movement demands balanced budgets now!
With Federal Government revenues or taxes running just over $2,200 billion, Federal expenditures cannot exceed this level.
Current budget estimates for Fiscal Year 2012 are over $3,500 billion.
In other words Congress must cut approximately $1,300 billion to achieve a balanced budget.
Neither the Democrats nor Republicans have the will, vision and leadership required to balance the budget in Fiscal Year 2012 that starts October 1, 2011.
The Republicans are talking about spending cuts of $100 to $500 billion tops.
Ron Paul: U.S. Government Must Admit Bankruptcy and Stop Cheating People with Devalued Money
This would mean a Fiscal Year 2012 budget for expenditures of over $3,000 billion, not $2,200 billion to balance expenditures with estimated revenues.
The tea party movement is watching its representatives and senators to see what, if anything, they do to cut Federal spending and balance the budget.
Stop all this nonsense about a path to a balanced budget in three to five years.
President Reagan said the same thing and the Democrats guaranteed that this promise was never kept.
Reagan on Balanced Budget
Reagan Balanced Budget
Reagan; Taxes and Budget Deficit
Either enact balanced budgets in Fiscal Year 2012 and 2013 or face defeat in the 2012 elections.
The choice is yours.
The American people are far ahead of the political establishment in Washington, D.C.
The tea party movement advice to members of Congress is either lead, follow or get out of the way.
Start with balanced budgets in Fiscal Year in 2012 and 2013.
Then pass the FairTax.
Business as usual will simply not cut it.
The tea party movement wants a peace and prosperity economy and not a warfare and welfare economy.
Related Posts On Pronk Palisades
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National Debt Will Hit $20,000,000,000,000 By 2020 If Debt Ceiling Is Increased!
Debt Ceiling Battle–Tea Party Balanced Budget Constitutional Conservatives vs. Republican Party Unbalanced Budgets Establishment–The Party’s Over–The Piper Must Be Paid–Videos
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Debt Ceiling Battle–Tea Party Balanced Budget Constitutional Conservatives vs. Republican Party Unbalanced Budgets Establishment–The Party’s Over–The Piper Must Be Paid–Videos
Nat King Cole “The Party’s Over”
~Marcus Tullius Cicero
“A wise and frugal government, which shall leave men free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned – this is the sum of good government.”
~Thomas Jefferson
U.S. National Debt Clock
“If The Debt Limit Isn’t Increased It’s Going To Cause Problems” Ron Paul & Rand Paul Interview
Geithner Urges Lawmakers to Increase Federal Debt Limit
New National Debt Record
Congressman-Elect Mulvaney on Debt Ceiling
Peter Schiff – How the Government can Avoid Default
Debt Ceiling Balanced Budget
Boehner Floor Speech Opposing the Dems National Debt Limit Hike
DeMint Says No Lifting Debt Ceiling Without Cuts Then Can’t Name Any Specifics Besides Earmarks
Ron Paul to Congress: Refuse to Raise the Debt Ceiling!
Paul Ryan on debt ceiling increase: “A proud moment” for Speaker Pelosi?
Need for a Limited Government
We Must Cut Spending
Expert: Republicans Will Raise Debt Ceiling
Peter Schiff with Tom Woods – Government Nonsense
Bond bubble – with Peter Schiff and Marc Faber Aug 23-2010
More debt, please
END THE FED!
The Day the Dollar Died
The tea party movement wants constitutional government of limited size and scope.
This requires cutting Federal spending and balanced or surplus budgets.
This would require the cutting of Federal spending of over $1,000 billion from the current level of Federal expenditures to balance government revenues and outlays.
If the budget is not balanced or in deficit with outlays exceeding revenues, then the national debt ceiling must be increased.
If the budget is balanced or outlays equal revenues, then the debt ceiling need not be increased.
If the budget is in surplus or revenues exceed outlays, then the debt ceiling can be lowered.
Yet the Republican Party is already talking about spending cuts of only $100 billion and a level of government outlays of 2008 which would mean an unbalanced budget or budget deficits and more debt.
Paul Ryan Says U.S. Will Avoid Defaulting on Debt
A $100 billion cut in spending is simply a joke when a balanced budget would require cuts of over $1,000 billion.
With estimated tax revenues of about $2,600 billion the budget for Fiscal Year 2011 needs to be cut by more than $1,000 billion dollars.
The tea party is already being sold out by the Republican Party establishment in Washington D.C.
Any Republican who votes for raising the debt ceiling is voting for more government budget deficits and more debt to make up the shortfall in tax revenues.
In other words these Republicans are not in favor of Constitutional limited government but business as usual.
Either vote for balanced budgets now or face defeat in November 2012.
Dan Mitchel with Cavuto if the Republicans won’t cut spending run them out of town
The real alternative to defaulting on the national debt is cuts in Federal government spending levels that balance the budget.
The tea party movement wants Federal government spending to be cut and the debt ceiling to remain the same and eventually lowered.
Start closing Federal Departments and terminating Federal government employees.
The American people have had enough of both political parties out of control government spending and month after month of deficits spending and a rising national debt.
The Federal Government can avoid defaulting on the debt by immediately terminating Federal Government employees.
Where do make the cuts in spending?
How limited in size and scope should the constitutional republic of the United States be:
Milton Friedman on Libertarianism
Lew Uhler on Responsible Government Spending 01
Lew Uhler – Cut the Size of Washington 02 SD
Lew Uhler – Right Size of Government 03 SD
Controlling Leviathan: The Battle for Limited Government
Eight Reasons Why Big Government Hurts Economic Growth
The Optimum Size of Government
Optimal Size of Government Conference, Volume 1
Optimal Size of Government Conference, Volume 2
Start by closing permanently the following Federal Departments:
1. Department of Agriculture
2. Department of Commerce
3. Department of Education
4. Department of Energy
5. Department of Health and Human Resources
6. Department of Housing and Urban Development
7. Department of Interior
8. Department of Labor
9. Department of Transportation
10. Department of Veteran Affairs.
Have ten up and down votes in the House of Representatives for closing these Federal Departments by the end of the Fiscal Year 2011 on September 30, 2011.
The ruling class of both political parties having been fiscally irresponsible for decades.
The American people have put the political elites on notice, cut spending, balance the budget and no more hikes in the national debt ceiling.
Shut the Federal government down or the American people will shut you down by voting you out of office.
Ron Paul and Rand Paul are right.
Government spending should be limited by the amount of tax revenues that are collected.
There must be a balanced budget rule that says that the total budget for a fiscal year cannot exceed the revenue collected in the previous fiscal year or the estimated tax revenues for the current year, which ever is lower.
No balanced budget rule, then no debt ceiling raise.
Congress does not need to raise the debt ceiling.
Congress needs to start cutting spending starting now.
If the means closing entire Federal Department so be.
The Republican establishment point of view is represented by former Senator Santorum.
Santorum on Debt Ceiling, Spending Cuts
The tea party movement point of view is represented by Michele Bachmann with a proposed $450 billion in Federal spending for the current budget year compared to Paul Ryan and the Republican Party leadership proposal of $50 to $100 billion.
Confronting Reckless Federal Spending
Actually over $1,000 billion needs to be cut to have a balanced budget, which means everything including Defense and entitlement needs to be cut.
The American people are way head of both political parties and big media as to what needs to be done.
What is irresponsible is both political parties have been increasing the debt ceiling for decades.
Enough is enough.
If the current members of Congress cannot do the job, the tea party movement will find others who will cut spending by closing Federal Departments, agencies and reform entitlement programs such as Social Security and Medicare.
Start sending out the pink slip or termination of employment notices–downsize the Federal Government now.
If President Obama refuses to have the Federal Government operate on tax revenues only, then President Obama will be the person blamed for forcing the Federal Government into default on its Treasury obligations.
Refuse to Raise The Debt Ceiling!
The party is over! The piper must be paid.
Doris Day sings The Party’s Over
It’s time to call it day
They’ve burst your pretty balloon
And taken the moon away
It’s time to wind up
The masquerade
Just make your mind up
The piper must be paid
The party’s over
The candles flicker and dim
You danced and dream
Through the night
It seemed to be right
Just being with him
Now you must wake up
All my dreams must end
Take off your makeup
The party’s over
It’s all over, my friend
Now you must wake up
All my dreams must end
Take off your makeup
The party’s over
It’s all over, my friend
Background Articles and Videos
Quantitative Easing and Unemployment
Tom Woods Smashes Central Bank Dogma on Freedom Watch 12/21/10
Debt Ceiling
“…The Second Liberty Bond Act of 1917 established a statutory limit on federal debt.[96] Congress had previously approved each debt issuance separately. The debt limit provided the U.S. Treasury with more leeway in the administration of debt, allowing for modern management techniques in government finance.
The U.S. Treasury Department now conducts more than 200 sales of debt by auction every year. The Treasury has been granted authority by Congress to issue such debt as was needed to fund government operations as long as the total debt (excepting some small special classes) does not exceed a stated ceiling.
The most recent increase in the U.S. debt ceiling to $14.3 trillion by H.J.Res. 45 was signed into law on February 12, 2010.[97]
Date | Debt Ceiling | Change in Debt Ceiling |
---|---|---|
June 25, 1940 | $49,000,000,000 [98] | |
February 19, 1941 | $65,000,000,000 | $16,000,000,000 |
March 28, 1942 | $125,000,000,000 | $60,000,000,000 |
April 11, 1943 | $210,000,000,000 | $85,000,000,000 |
June 9, 1944 | $260,000,000,000 | $50,000,000,000 |
April 3, 1945 | $300,000,000,000 | $40,000,000,000 |
June 26, 1946 | $275,000,000,000 | -$25,000,000,000 |
August 28, 1954 | $281,000,000,000 | $6,000,000,000 |
July 9, 1956 | $275,000,000,000 | -$6,000,000,000 |
February 26, 1958 | $280,000,000,000 | $5,000,000,000 |
September 2, 1958 | $288,000,000,000 | $8,000,000,000 |
June 30, 1959 | $295,000,000,000 | $7,000,000,000 |
June 30, 1960 | $293,000,000,000 | -$2,000,000,000 |
June 30, 1961 | $298,000,000,000 [99] | $5,000,000,000 |
July 1, 1962 | $308,000,000,000 | $10,000,000,000 |
March 31, 1963 | $305,000,000,000 | -$3,000,000,000 |
June 25, 1963 | $300,000,000,000 | -$5,000,000,000 |
June 30, 1963 | $307,000,000,000 | $7,000,000,000 |
August 31, 1963 | $309,000,000,000 | $2,000,000,000 |
November 26, 1963 | $315,000,000,000 | $6,000,000,000 |
June 29, 1964 | $324,000,000,000 | $9,000,000,000 |
June 24, 1965 | $328,000,000,000 | $4,000,000,000 |
June 24, 1966 | $330,000,000,000 | $2,000,000,000 |
March 2, 1967 | $336,000,000,000 | $6,000,000,000 |
June 30, 1967 | $358,000,000,000 | $22,000,000,000 |
June 1, 1968 | $365,000,000,000 | $7,000,000,000 |
April 7, 1969 | $377,000,000,000 | $12,000,000,000 |
June 30, 1970 | $395,000,000,000 | $18,000,000,000 |
March 17, 1971 | $430,000,000,000 | $35,000,000,000 |
March 15, 1972 | $450,000,000,000 [100] | $20,000,000,000 |
October 27, 1972 | $465,000,000,000 | $15,000,000,000 |
June 30, 1974 | $495,000,000,000 | $30,000,000,000 |
February 19, 1975 | $577,000,000,000 | $82,000,000,000 |
November 14, 1975 | $595,000,000,000 | $18,000,000,000 |
March 15, 1976 | $627,000,000,000 | $32,000,000,000 |
June 30, 1976 | $636,000,000,000 | $9,000,000,000 |
September 30, 1976 | $682,000,000,000 | $46,000,000,000 |
April 1, 1977 | $700,000,000,000 | $18,000,000,000 |
October 4, 1977 | $752,000,000,000 | $52,000,000,000 |
August 3, 1978 | $798,000,000,000 | $46,000,000,000 |
April 2, 1979 | $830,000,000,000 | $32,000,000,000 |
September 29, 1979 | $879,000,000,000 [101] | $49,000,000,000 |
June 28, 1980 | $925,000,000,000 | $46,000,000,000 |
December 19, 1980 | $935,000,000,000 | $10,000,000,000 |
February 7, 1981 | $985,000,000,000 | $50,000,000,000 |
September 30, 1981 | $1,079,000,000,000 | $94,000,000,000 |
June 28, 1982 | $1,143,000,000,000 | $64,000,000,000 |
September 30, 1982 | $1,290,200,000,000 | $147,200,000,000 |
May 26, 1983 | $1,389,000,000,000 | $98,800,000,000 |
November 21, 1983 | $1,490,000,000,000 | $101,000,000,000 |
May 25, 1984 | $1,520,000,000,000 | $30,000,000,000 |
June 6, 1984 | $1,573,000,000,000 | $53,000,000,000 |
October 13, 1984 | $1,823,000,000,000 | $250,000,000,000 |
November 14, 1985 | $1,903,800,000,000 | $80,800,000,000 |
December 12, 1985 | $2,078,700,000,000 | $174,900,000,000 |
August 21, 1986 | $2,111,000,000,000 | $32,300,000,000 |
October 21, 1986 | $2,300,000,000,000 | $189,000,000,000 |
May 15, 1987 | $2,320,000,000,000 [102] | $20,000,000,000 |
August 10, 1987 | $2,352,000,000,000 | $32,000,000,000 |
September 29, 1987 | $2,800,000,000,000 | $448,000,000,000 |
August 7, 1989 | $2,870,000,000,000 | $70,000,000,000 |
November 8, 1989 | $3,122,700,000,000 | $252,700,000,000 |
August 9, 1990 | $3,195,000,000,000 | $72,300,000,000 |
October 28, 1990 | $3,230,000,000,000 | $35,000,000,000 |
November 5, 1990 | $4,145,000,000,000 | $915,000,000,000 |
April 6, 1993 | $4,370,000,000,000 | $225,000,000,000 |
August 10, 1993 | $4,900,000,000,000 | $530,000,000,000 |
March 29, 1996 | $5,500,000,000,000 | $600,000,000,000 |
August 5, 1997 | $5,950,000,000,000 | $450,000,000,000 |
June 11, 2002 | $6,400,000,000,000 [103] | $450,000,000,000 |
May 27, 2003 | $7,384,000,000,000 [104] | $984,000,000,000 |
November 16, 2004 | $8,184,000,000,000 [105] | $800,000,000,000 |
March 20, 2006 | $8,965,000,000,000 [106] | $781,000,000,000 |
September 29, 2007 | $9,815,000,000,000 [107] | $850,000,000,000 |
June 5, 2008 | $10,615,000,000,000 [108] | $800,000,000,000 |
October 3, 2008 | $11,315,000,000,000 [109] | $700,000,000,000 |
February 17, 2009 | $12,104,000,000,000 [110] | $789,000,000,000 |
December 24, 2009 | $12,394,000,000,000 [111] | $290,000,000,000 |
February 12, 2010 | $14,294,000,000,000 [112] | $1,900,000,000,000 |
http://en.wikipedia.org/wiki/United_States_public_debt
David Stockman on TARP, the Fed, Ron Paul and Reagan [FULL VERSION]
The Party’s Over by Johnny Mathis
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