Blog Archives
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.
Keith Fimian Releases First TV Ad of 2010 Campaign
Keith Fimian, candidate for Congress in Virginia’s 11th District, released his first TV ad today. The ad, “Mess,” which focused on the budget deficits and Congress’s inaction to address the economy. Fimian released the following statement regarding the release of the new ad:
“I am excited to announce that my campaign is again the first one on the air in this race. First radio and now TV taking on Gerry Connolly and Nancy Pelosi for the ‘mess’ they have created. Their policies are destroying our economy, from the government healthcare takeover to their failed stimulus to their trillions in debt,” Fimian said.
“I am the only candidate in this race who has created even one job—and I have created hundreds of them. I have the know-how to get our economy moving again. These are skills career politicians simply do not possess. We need more than the same tired rhetoric from career politicians to clean up the mess Connolly and Pelosi have created in Washington,” Fimian said.
“My campaign is the leader in the fight against liberal Gerry Connolly,” Fimian added. “I out-raised my primary opponent in his first quarter in the race and I am the first one on the airwaves. I am the only candidate with the message and resources to defeat Gerry Connolly.”
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.
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.
Spends Too Much, Taxes Too Much and Borrows Too Much
Guest Post by Congressman Bob Goodlatte
Two weeks ago President Obama delivered his State of the Union address to a joint session of Congress. In his speech the President called for fiscal discipline and specifically addressed the need to reduce wasteful spending from the federal budget. However, earlier this week the President sent a $3.8 trillion budget proposal to Congress, which spends too much, taxes too much and borrows way too much.
This fiscally irresponsible proposal will significantly increase the tax burden on American families and small businesses to pay for new wasteful government spending while heaping trillions of dollars of debt on future generations. Facing a slowing economy and an increased cost of living, Americans have to tighten their belts and carefully budget their hard-earned money. The federal government must do the same.
Under the President’s budget, the federal government will run up a record budget deficit of $1.6 trillion in fiscal year 2011. This is the largest deficit as a share of the economy since World War II. The national debt would double over five years and triple by FY2019 from FY2008 levels. Paying the interest on this debt would set American taxpayers back roughly $6 trillion over the next decade. In fact, Senator Kent Conrad, the Democratic chairman of the Senate Budget Committee, described the federal budget as “unsustainable.”
Additionally, the President’s budget includes more than $2 trillion in tax hikes, with a nearly 20 percent jump in the first year alone. This includes tax increases on small businesses, investors, and families. The last thing American families and small businesses need right now are new taxes that make it harder to save, invest, and hire.
Finally, during the President’s State of the Union Address he proposed a spending freeze. Unfortunately, the truth is that the President’s proposed freeze only covers 1/8th of the federal budget and will not start until next year.
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. Regrettably, the President’s budget will lead to record spending, record deficits and record debt. In stark contrast to these reckless fiscal policies, I have consistently voted for the tightest budgets possible each year.
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, and Congress cannot be allowed to ignore these tough decisions when creating spending policies for the federal government. I continue to urge the leadership of the House to work in good faith to pass a responsible budget that reins in government spending and puts our nation’s families first.
To contact me about this or any other matter, please visit my website at www.goodlatte.house.gov.
The Ramifications of Obama's Budget
If President Obama’s budget gets passed, there is something other than growing debt that will be hampering the U.S. economy. Currently, the U.S. has a Triple-A debt rating, and Moody’s warns that this would come crashing down.
Americans for Limited Government President Bill Wilson mentions that this is no coincidence, as the President’s budget will add an additional $10.6 Trillion to the national debt. Additionally, the U.S. Senate voted to increase the debt ceiling by $1.9 Trillion, which would bring the national debt limit to $14.294 Trillion. Wilson also mentioned, “it was time “to set aside partisan differences and work together, not to ‘reduce the deficit,’ which means nothing, but to reduce the debt. The hour grows late. The nation cannot afford Congress continuing to borrow and print its way into a financial Apocalypse to pay for unsustainable entitlement programs. The national debt is a near-term problem, and there is not a moment to lose.”
Perhaps, we need to place more focus on getting out of debt by reducing government spending and looking at certain unnecessary government programs that need to be eliminated before looking to pass costly initiatives, such as government-run health care.
Phantom Zip Codes: Just Another Stimulus Flaw
Recovery.gov provided lots of entertainment in the beginning with its phantom Congressional Districts. After all, Virginia had more districts and I was even running for the 51st Congressional District seat.
Thanks to a report from Jim Scarantino of the New Mexico Watchdog, there appears to be more errors in the same report…this time with non-existent zip codes.
More errors in the same report. I am really beginning to question if accuracy will ever be conveyed through these reports.
