Money

A Budget Deal That Breaks Budget Control Act Caps is the Wrong Approach

House and Senate budget negotiators are nearing an agreement on a budget deal, but it may prove to be one that is not agreeable to conservatives or to the taxpayers footing the bill for out-of-control government spending.

The 2011 Budget Control Act (BCA), though imperfect, was effective in cutting discretionary spending, and a budget that breaks the caps set by it is unacceptable.  Yet, there is mounting pressure from appropriators to replace part of automatic spending cuts put in place by the BCA.  Meanwhile, many Democrats are seeking to reverse the sequester on their “favored domestic programs,” like transportation, housing and the ineffective Head Start program.

The Wall Street Journal notes: (sub. req.d):

Republicans would be wiser to stick to the Budget and Control Act’s spending caps, which have been highly effective in controlling discretionary spending. Federal outlays declined to $3.45 trillion and 20.8% of GDP in fiscal 2013 from $3.6 trillion and 24.1% of GDP in 2011. In 2010 discretionary spending peaked at 9.4% of GDP, but in 2013 it was down to 7.6% and in 2014 will fall to 7%. A testament to the success of the caps is that nearly every Democrat and spending lobby in Washington is desperate to get rid of them.

They also explain that the BCA caps merely require a slower increase in spending than was required by President Obama’s “inflated spending baselines from [his] first two years in office.”

Politico identified others who would support the deal, and conservatives are conspicuously missing from the list:

[House GOP leaders] hope to build a broad coalition to help pass any plan: appropriators, defense hawks, leadership, middle-of-the-road Republicans and a good number of Democrats.

The Heritage Foundation laid out principles for the budget conference, and among them was the idea that lawmakers should stick to the BCA:

  • Leave Tax Reform on Its Own Course
  • Address Future Debt
  • Stick to the Budget Control Act
  • Enforce Lower Levels of Spending
  • Do Not Play Inside-the-Beltway Games

It remains to be seen whether lawmakers will heed this advice.  But whether or not they do, increasing spending is not their sole motivator in these budget negotiations – they’re also seeking to pave the way for immigration reform, which these days is Washington code for amnesty.

A fiscal deal, Democrats say, could also give the White House an opening to enact at least one major domestic policy measure next year — like an immigration overhaul — if Congress is not consumed with yet another fiscal crisis.

Taxpayers should hold onto their wallets, because this budget deal may be harmful in the short term by undoing spending cuts, and in the long term by paving the way for a costly amnesty bill.

Related links:

Principles for the Budget Conference
Why Congress Needs a New Budget Process
Heritage Action on Emerging Ryan-Murray Budget Deal

 

 

Please Share Your Thoughts
  • mjeanns

    What happened to Paul Ryan being a fiscal hawk?

    • hairyputter

      Has Washington D.C. gotten to Ryan’s head this quickly? This is scary!

      • Hugh A. Guidry

        It is scary and gross negligent allowing this to continue; it also allows the Statist to continue the transformation of American freedoms and liberties.

      • JGC

        Yeah, it has only taken about 15 years of incumbency for the Invasion of the True Conservative Body Snatchers to take hold of Rep. Ryan!

    • Amfer Ferg

      He never was! Ryan is ‘one of those’ who runs his mouth off then when negotiating for the sake of ‘compromise’ rolls over and gives them just what they want! Never trusted him from day one.

  • Hugh A. Guidry

    This is very disturbing and disappointing. This amnesty bill will be the straw that broke America’s back. We as tax payers should protest and remind Obama and others that, in Obama’s own words, raising the debt ceiling is unpatriotic. These politicians well know out-of-control spending will destroy this great country. It’s time for us to take back our country and fire these unpatriotic individuals, asap. Yes, American should hold on to their wallets, here comes another tax hike for all of us, and I’m sure China is about to demand America’s debt in full. Look out!!!!

  • hangman57

    Why would Republicans cave to more spending on the sequester and now caving on Amnesty . I can tell the Republicans one thing if they cave on these issues to the Democrats . They will have a hard time winning in 2014 -2016 . Myself I will sit out the Election and so will many more Conservatives .

    • Hugh A. Guidry

      Please don’t sit out the election, fund and promote their opponents and work hard to fire those who refuse to work for their constituents. If too many sit out elections, then we loose our beloved country and allow our Constitution butchered by these statist. Please Vote

    • sandyg

      Hangman57…Please reconsider. Stay in contact with your state’s senators and representatives and threaten to vote them out if they cave. I think this is the only option we have. No one else is listening to us.

    • deanbob

      Sitting out is your right. But, as the others said, I ask that you work with 1 or more of the conservative grassroots groups (Heritage, FreedomWorks, Americans for Prosperity). Early on noone had heard of Ted Cruz andthe MSM rated him below 1%. A lot of grassroots effort overcame the very wealthy establishment candidate and an “unknown” beginning. There is nothing to say that another ‘Ted Cruz’ conservative can’t be propelled into Congress.

      • Bob

        The man just registered to run for the Senate against John Cornyn. His name is Steve Stockman. He currently is a Congressman from Texas and has full support from the Tea Party. We all need to back his campaign, support him with everything you can.
        A win in this race will give America one more Conservative Senator and the addition of Stockman will give the Great State of Texas two fine Senators. Stockman and Cruz together might be able to clean “dirty harry” reid’s clock.

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  • CTConservatives47

    There can be no compromise on the modest spending cuts that the sequester represented. I am disappointed in Ryan. Murray, of course, in one of the dumbest members of the Senate. What the Republicans should be doing is holding any cooperation with the Senate hostage to the Senate’s repealing the nuclear option, which was a blatant assault on the Constitution and a device to allow Obama to rule by Executive Fiat.

    • Hugh A. Guidry

      The most concern I have and all should worry about is the nuclear option; it is the very definition of tyranny that should be calling for impeaching Harry Reid and all his statists cronies.

  • lovestorun

    What has happened to Ryan? I think he has gone on drugs or the NSA has something on him.

  • Wayne A. Hampton

    It looks like we can kiss Paul Ryan off as another RINO (in training if not a full-fledged one). The majority of his recent activity leads me to believe that he is a Democrat mole in Republican clothing.

  • JAA33

    We need to replace all the members of both political parties in Washington. Just vote them out of office regardless of their party affiliation. Both parties have proven their incompetence and they are too much alike to ever solve the nations problems. As a famous politician once said “there isn’t a dimes worth of difference in either major political party”

    If we had been fortunate enough to have had mechanics, farmers, electricians, or even used car sales people running our government over the past thirty years our country would not be facing an eighteen trillion dollar debt. That eighteen trillion is only what they have entered on the books. They seldom if ever mention the additional one hundred trillion unfunded mandates that have been promised to fund pensions, retirements benefits, Social Security, Medicare and Medicaid which they have no honest way of paying back. Woops, don’t forge ”Obama Care” which will cost many trillions more.

    Something drastic has to happen: it is impossible for the FED to print enough fiat money to pay off the debt. Heck, they are still spending it by the trillions every year. They do have a few other options: they can declare bankruptcy and default on the debt which would be their last choice. Or they can try to stimulate the economy to take in more revenue but that is difficult to do since they have driven our manufacturing base overseas with the good paying jobs. Or they can do what was done in Cyprus a few months ago and confiscate the wealth of millions of Americans. Lastly, don’t forget higher taxes primarily on the middle class.

    As president George Washington told us in his farewell address: The greatest threat to America would be love of political party. The party line votes involving both parties as result of corruption, lobbyist and greed bare out Washingtons’ prediction perfectly.

  • Zoltan Stupar

    Paul you just proved to be another republican mole we the people want to get rid of!!

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  • undunder

    Face it. Obama has played politics way better than conservatives. He has repeatedly outmaneuvered them and tricked them into diving off cliffs. While I support conservative principles, I am not aware of a single well positioned conservative that can use Americans as pawn in the political games played in DC. Obama is incompetent at most things, but at politics he excels. And that, my friends, is not a good thing. Politicians are some of the vilest, most corrupt and dishonest creatures I’ve ever heard of. Not a resounding endorsement of our pathetic leaders.

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  • Amfer Ferg

    I watched Greta on Fox last night – Paul Ryan was there spouting off on what a great job and what a great deal he struck with the dems. Greta tried several times to ask questions and Ryan kept right on talking right over her. He’s pushing hard to look like he ‘got us a good deal’ and we just need to back him up on this ‘compromise’. I know I WON’T -

  • Larry Roller

    When will conservatives learn that to NOT vote is the same as voting for a Democrat? It’s the same result when voting for a 3rd Party candidate–Democrats win. I’ve learned that most voters do not vote FOR someone, but in reality, vote AGAINST someone. At least they vote. Virginia Republicans lost because Republican voters either did not vote, or they voted for a 3rd candidate with the excuse that “at least he is someone I can vote for.” As a result, the candidates that they really didn’t want to get into office won, and now we are stuck with them for 4 years. Dumb, dumb, dumb.

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  • midwaygrad

    I’ll wait to see the details but remember, elections have consequences, which is why we are in dire straits. Those who claim to sit out the election, in protest, merely help keep the progressive/communists in power to finish the job of destroying America. Need to hold your nose, vote republican and get rid of the democrats. Then, clean house on the rest of those who need to be voted out.

  • Augie

    Let’s call what it is: plain snd simple Obamacare is another tool Obama and his cronies are using to take us deeper into his extreme leftist direction. It was designed to fail so that government will take over as a single tax payer. And how about the Common Core indoctrination of our children? Let’s wake up, we cannot allow these communist ideology to take our country down.

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  • JA

    @KathMaryRosario:

    This article is deceptive. You are quoting a Dec 3 WSJ editorial, before Ryan-Murray actually came out. On Dec 10, after Ryan-Murray came out, the WSJ editorial board called it “a least bad budget deal.”

    If you as “communications deputy” actually decided to open a newspaper, you would see several reasons the WSJ supports the deal, including that it trades discretionary spending increases (you know, the kind of spending Congress is supposed to be in charge of) with modest entitlement reform.

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