NOT ALL ROSES:
So far, seven months into fiscal year 2018, the government is running a $382 billion deficit. That’s $37 billion worse than last year’s figure through seven months, chiefly because spending has surged 5 percent so far this year.
Higher inflation is driving up the government’s debt payments, while Homeland Security disaster relief, Social Security benefit payments and the Defense Department also saw significant increases.
Give the things time.
“That’s $37 billion worse than last year’s figure through seven months, chiefly because spending has surged 5 percent so far this year.”
The only way to fix the deficit is a Constitutional Amendment that requires government to spend 10% less than receipts until the accumulated deficit it paid off. Congress will be forced to prioritize spending, cut entitlements and reduce the size of the bloated federal workforce.
The Amendment should require:
1) Congress to submit individual spending bills by department to the president each year instead of one giant omnibus bill. Bills must be on the president’s desk to veto or sign by July 1 before the October 1 fiscal year start.
2) If the president vetos individual spending bills, Congress must stay in session until it passes a bill that receives the president’s signature.
3) If the department spending bill is not passed by the October 1 start of the new year, the president will be required to establish and spend against a baseline budget 10% below the prior year actual spending level until a budget is passed and signed into law.
4) At mid year the president will present a budget report to Congress. If spending is running behind receipts the president will present a list of cuts to Congress to bring spending in line receipts. The cuts will go into effect automatically unless Congress passes a bill with alternative, offsetting cuts.
5) All fines and court settlements collected by the government will be applied to paying down the national debt instead of being spent by departments on discretionary items such as grants to social activist organizations or unbudgeted spending items.
6) All bonus performance standards for federal employees will include an aggressive spending/cost reduction requirement worth at least 50% of total bonus payout. If a department spends 100% or more of its budget in a given year, no bonuses will be paid to bureaucrats in that department.
7) Once the accumulated deficit is paid the federal government will be required to keep the budget in balance and build a surplus to be used in time of emergency. All budget spending must be financed by tax revenue increases or cuts in spending items unless a state of national emergency is declared by a 3/4 vote of both houses of Congress.
8) The budget baseline will be established as prior year spending, not prior year plus an inflation factor.
9) The concept of “non-discretionary spending” will be eliminated. All federal spending will be discretionary and subject each year to cuts by Congress or the President.
10) No spending by the federal or state governments may be mandated by a federal court or judge.