Category Archives: Budget
Forget about Recovering Lost Jobs
Vice President Joe Biden is known for making all kinds of interesting remarks, ranging from hilarious to really dumb. However, his remarks from a campaign stop on Friday were truthful and albeit, honest. He said, “there’s no possibility to restore 8 million jobs lost in the Great Recession.” Unfortunately, he is right.
With the recent display by the federal government to spend to excess and the possibility of taxes being raised on the horizon, it is no wonder why we can not restore this massive job loss. Wasteful spending, enacting more financial regulations, and raising taxes are no way towards prosperity or solving a budget deficit.
Recently, the New York Times ran an article about whether the Obama Administration and Congress can create jobs without additional stimulus legislation. Of the experts questioned, there was more mention about putting free market principles to work, rather than relying on wasteful spending and additional bailouts. Easing regulations and reducing taxes were other suggestions. These are the examples Obama should be seeking, not enacting stricter regulations, wasteful spending measures, etc.
We need to put America back to work, and it is unfortunate that the Democrats in control of Washington would rather tax and spend, than address the unemployment issue by utilizing free market principles.
Forget about the Budget…Let's Raise Taxes
Why doesn’t this surprise me (and forgive the irony)? The Democrats in control of Congress have neglected to pass a budget. With the deficit continually rising, it seems odd that Congress does not want to work on the budget. Then again, there’s not much initiative to do so with the current leadership, as they are more concerned with raising taxes.
Rep. Steny Hoyer (D-Md.) in media interviews yesterday indicated that taxes will increase to address the deficit issue. I guess Hoyer believes increased taxes will spur the economy and solve the deficit. Hoyer is wrong. Increasing taxes will hurt working families and it has never been the solution to addressing budget deficits and the economy.
Perhaps, it is time for Congress to examine their spending habits and create a realistic budget that will boost the economy and reduce the deficit.
Congress Needs to Pass a Federal Budget to Restrain Spending
Guest Post by Congressman Bob Goodlatte
Just last week the U.S. Treasury Department issued its “Annual Report on Public Debt” which confirmed that the national debt will soar to record levels. The report estimates that the total debt for fiscal year 2010 will reach $14.75 trillion which is over 93 percent of our gross domestic product (GDP). This current rate of government spending is having a crippling effect on our economy and overall job creation.
While federal spending is spiraling out of control, the House Democratic Leaders have failed to even propose a budget for the next fiscal year. Without a budget, there is no procedural enforcement mechanism to constrain spending. So far through the first eight months of the current fiscal year, which began last October 1st, the federal government amassed $941 billion in deficit spending which puts us on the dangerous track to an annual deficit (the amount by which government spending exceeds tax revenues) approaching last year’s record $1.4 trillion.
We are simply on an unsustainable course but there seems to be no end in sight to the Congressional spending spree. In fact, when White House Budget Director Peter Orszag was pressed on whether he would send a package of budget cuts to Congressional Democrats, he described it as a “fruitless exercise” with a “low probability of success” that would “go nowhere.”
Without the passage of a federal budget the reckless spending that has run rampant in Congress will only continue. A recent Gallup poll shows that this point is not lost on the majority of Americans. Seventy nine percent of Americans view the federal debt as a serious threat to the “future well being” of our country. In addition, one hundred American economists recently wrote to House Leadership saying the way to boost the economy and create private sector jobs is to take immediate action to rein in federal spending. It is the key to boosting the economy and creating private sector jobs.
Not only must Congress produce a budget but it must also work toward balancing it as soon as possible. I am a strong supporter of several measures that promote the establishment of a balanced budget and the elimination of wasteful government programs, including a Constitutional amendment that I introduced which requires the federal government to balance its budget each year. Congress must steadfastly hold the line on government spending which is why I have consistently voted for the tightest budgets offered each year.
The American people know that we can’t borrow and spend our way back to prosperity. The path to our economic recovery starts with fiscal responsibility in Washington. The federal government must follow the example set by our nation’s families and businesses – set a budget which eliminates unnecessary and wasteful spending. The future of America depends on it.
To contact me about this or any other matter, please visit my website at www.goodlatte.house.gov
Whatever happened to the Budget?
There is a question that the Americans should be asking Congress and that is: Whatever happened to the budget? It seems like a simple question that is usually addressed every year by Congress, but this year, distractions have popped up. For example, there’s the oil spill, fiscal regulatory reform, and yes, even some meddling in the European Debt Crisis. The budget has hit the wayside.
BankruptingAmerica has a great video out addressing Congress’ ignorance of the budget. The question is: Will they address it this session or will it be saved for the new Congress?
Congress Needs a Budget
Guest Post by Congressman Bob Goodlatte
Traditionally, Congress is expected to agree on a budget for the upcoming fiscal year by April 15th. It is this budget process at the beginning of each year where the decision is made regarding total federal spending for the year. It is the budget that sets the stage for how fiscally responsible government spending will be. Since the passage of the Budget Act of 1974, the House of Representatives has never failed to pass an initial budget to set the spending priorities for the following fiscal year. However, we are now a month past the deadline and Speaker Pelosi and the Democratic Leadership are showing no signs of complying with the law and coming forward with a budget for fiscal year 2011.
Families and small businesses all across our nation understand what it means to make tough decisions each day about what they can and cannot afford. They understand the importance of creating and living by a budget. Unfortunately, instead of making the tough choices necessary to reduce spending, the Majority in Congress has decided to forgo a budget altogether. Just four years ago the same leaders who are now shirking their responsibility and choosing to move forward without a budget were very clear on how important the budget process is to the operation of the federal government. In 2006, Congressman Steny Hoyer, who is now the House Majority Leader, was quoted as saying enacting a budget was “the most basic responsibility of governing” and Congressman John Spratt, who is now the Chairman of the House Budget Committee, said “if you can’t budget, you can’t govern.”
Without the passage of a federal budget the reckless spending that has run rampant in Congress will only continue. We have already seen the passage, without my support, of the so-called “economic stimulus” legislation which was supposed to put Americans back to work. Not only did the stimulus legislation fail to create jobs but it is now estimated to be costing American taxpayers over $1 trillion including interest.
Not only should Congress produce a budget but, I am a strong supporter of several measures that promote the establishment of a balanced budget and the elimination of wasteful government programs, including a Constitutional amendment that I introduced which requires the federal government to balance its budget. Congress must steadfastly hold the line on government spending which is why I have consistently voted for the tightest budgets offered each year.
As elected officials and stewards of the taxpayer’s money, we have a responsibility to put together a sustainable budget and stick to it. The Congress must continue to work to rein in spending and put to practice a spending approach that many Americans already live by: if you don’t have it, don’t spend it.
To contact me about this or any other matter, please visit my website at www.goodlatte.house.gov.
Story Time and More Taxes?
Fairfax County will be facing increased taxes in the coming year. Thanks to a 7-3 party line vote on the budget during yesterday’s Board of Supervisors meeting. Residents will be paying more in car taxes, as the decal fee is back, and an increased sewer tax. This will bring $11.7 million back to the county, but it will definitely place more economic strain on residents. The funds received from the car tax increase will not go to transportation improvements, rather it will go back into the general fund.
Braddock Supervisor John Cook stated it quite eloquently when he said, “The only way a homeowner pays less in this budget is if [they] don’t own a car and [they] don’t flush [their] toilet.”
Aside from the bad news, there was something strange going on prior to the start of the session though. Chairwoman Sharon Bulova decided to open the session with story time. As you can see in this video (fast forward to the 5:10 mark for the story), story time should make all of us feel good about tax increases, right? Wrong. Despite the fact that Fairfax County is one of the most expensive places in the country to live, tax increases only add to the frustrations of those in the area, especially when they find out that unnecessary programs were not sent to the chopping block before considering such a plan.
Perhaps, Chairwoman Bulova and her fellow Democrats on the Board of Supervisors should read the new story, “Welcome to Fairfax County: The Nightmares Caused by Increased Taxes.” I think the best line from this story is the lost revenue caused by residents fed up and moving to counties with lower taxes.
Balancing the Federal Budget
Guest Post by Congressman Bob Goodlatte
It is no secret that the American people are facing a very tough economic climate. Families and small businesses are cutting back on expenses. As economic uncertainty continues, many across our nation are looking to the government for leadership during this difficult time. In these challenging economic times it is even more important for government to control spending. The federal government must work to both eliminate every cent of waste and squeeze every cent of value out of each dollar our citizens entrust to it. When you are preparing a budget for your family, you know that you can’t spend more than you take in. It’s a simple concept but one that Congress has failed to adhere to for far too long. We must balance the budget and reduce the deficit and the debt – not by raising taxes, but by being good stewards of taxpayer money.
Because it has become clear that neither party can exercise the self control necessary to rein in excessive spending, I have introduced a balanced budget amendment to the Constitution, H.J. Res 1, to force Congress to do so. My legislation, which has the support of 175 bipartisan Members of the House, ensures that the federal government is held accountable and that the money our citizens work so hard to earn is not squandered on wasteful spending and programs.
My balanced budget amendment, which is identical to the legislation that passed the House in 1995 by a vote of 300-132 and fell just two votes short of passage in the Senate, forces Congress to enact fiscally responsible spending measures and reduce the deficit by requiring that total spending for any fiscal year not exceed total receipts. The legislation also includes a specific exception to the balanced budget provisions in times of war or other national emergencies.
This week I was pleased to join with Congressmen Mike Coffman, a Republican from Colorado and Jim Marshall, a Democrat from Georgia, in launching a new Congressional caucus aimed at adding support for a balanced budget amendment to the Constitution. The bipartisan caucus will be dedicated to achieving passage of H.J. Res. 1, and to educating Members of Congress on the necessity and importance of the proposed amendment to the Constitution.
As our nation faces many difficult decisions, Congress will face great pressure to spend beyond its means rather than making difficult decisions about spending priorities. My balanced budget amendment ensures that Congress and the President are held accountable to the American taxpayers. Unless Congress is forced to make the decisions necessary to create a balanced budget, it will always have the all-too-tempting option of shirking this responsibility. Americans are desperate for fiscal reform and the Balanced Budget Constitutional Amendment is a common sense approach to ensure that Congress is bound by the same fiscal principles that America’s families face each day.
To contact me about this or any or matter, please visit my website at www.goodlatte.house.gov.
Federal Budget Deficit Breaks Another Record
Doug at Below the Beltway had a post up the other day about the Federal Budget Deficit breaking yet another record in February, as the deficit hit $220 Billion. It appears with the President’s forecast that it’s projected to grow to $156 TRILLION.
Perhaps, if the government would not waste the taxpayer’s money on unnecessary programs, we might not be in this situation. With Congress and President Obama determined to get their version of health care reform passed, the deficit will continue to grow in a rapid pace. Is this what we want our future generations to be saddled with? It’s time to curb the spending and focus on common sense reform.
Operation "Air, Land & Speed" Successful in Fighting VA Budget Gap Terror
From “The Truth About Cars“:
A federally funded ticketing blitz in the state of Virginia landed a total of 6996 traffic tickets this weekend. The blitz, dubbed “Operation Air, Land & Speed” coincided with frantic efforts by state officials to close a$2.2 billion budget deficit. Supervisors ordered state troopers to saturate Interstates 81 and 95 to issue as many tickets as humanly possible over the space of two days.
Despite liberal activists’ complaints, federal and state officials are effectively keeping the citizens safe and secure from the terror of abusive drivers and budget gaps:
Officers had no trouble delivering the requested number of speeding tickets with a total of 3536 ordinary speeding citations written. In addition, another 717 “reckless driving” tickets were filed, although these most often are simple speeding tickets that happen to carry a fine of up to $2500. Driving as little as 10 to 15 MPH over the limit can qualify for this enhanced punishment. On the other end of the scale, some 310 tickets were handed to drivers who either forgot to wear their seatbelts or made a choice not to do so.
Activists with the National Motorists Association pointed out that enforcement efforts may have concentrated on areas where speed limits are expected to rise to 70 MPH following Governor Bob McDonnell’s signature on legislation raising the state’s maximum speed limit (view law). This would mean a significant number of tickets were issued for conduct that will be perfectly legal in a matter of months. The group also indicated that state police tactics may run afoul of state law.
Tax Increases on the Horizon in Fairfax County
At a Board of Supervisors hearing on Tuesday, Fairfax County Executive Anthony Griffin released his budget recommendations for fiscal year 2011, which begins July 1, 2010 and goes through June 30, 2011. It should come as no surprise that the recommendations include bringing back the vehicle registration fee and a real estate tax increase. While the budget recommendations do have some cuts, such as no pay raises for county employees, there is one key agency that is requesting additional funds and it might contribute to more tax increases.
Now, it might not seem odd that the Fairfax County School Board is requesting additional funds, but the economic situation requires cuts in this agency as well. For example, Fairfax County is seeking more funds to pay for pensions and better health care coverage. Meanwhile, there are taxpayers struggling to keep their health care coverage. While public education is an essential service, the school board should look over their own specific budget and tailor it accordingly.
Speaking on the budget recommendations, Arthur Purves, President of the Fairfax County Taxpayers Alliance, said:
The county and school system went on a spending binge during the housing bubble. County and school salary increases far exceeded private-sector salary increases. In addition, county and school employee benefits costs soared to pay for pensions and generous health insurance, while the private sector-taxpayer is losing pensions and health insurance.
Specifically, the school board has a one-year $98M increase in employee benefits costs, of which $71M is for pensions, $15M is for retiree healthcare, and the rest for health insurance. If they do not get a tax increase, the school board will lay off teachers, increase class size, and cut band and sports to free up $98M. This is after an eight-year period where school salaries increased faster than taxpayer salaries.
The county also has a $35M increase in pension costs.
We believe it is unfair to raise taxes so that the county employees can be better compensated than the taxpayers. Instead, the county and schools should cut salaries to free up money to pay for employee benefits increases.
Perhaps, it is time to look at each department in Fairfax County and evaluate their budgets carefully. It is not the time for tax increases, rather it is the time to find where there is excessive spending and find ways to reduce it.
