ALG on "Gang of Six": 40 Percent of a Solution is No Solution

July 20^th, 2011, Fairfax, VA—Americans for Limited Government President Bill Wilson today blasted a non-binding proposal in the Senate as insufficient to meet the nation's debt crisis:

"Senator Tom Coburn, a member of the 'Gang of Six,' has admitted that the bill, if all of its $3.7 trillion in savings over ten years were even realized, would only  represent 40 percent of the solution to restoring order to the nation's fiscal house.  Coburn said even if enacted, Congress is 'going to have to change it because this is just 40 percent of the way.'  Only 40 percent of a solution is no solution at all, it is accepting failure when there is no margin for error. 

"Moody's has already warned that the McConnell plan, which only vaguely promises $1.5 trillion in savings, would not prevent a downgrade, as it falls short of its recommended minimum consolidation of $4 trillion over ten years.  It is likely the 'Gang of Six' plan will not avoid a downgrade either, because it defers much of its work to congressional committees, putting off the date any cuts would even be voted on.  In order to reassure credit markets, Congress needs to make big cuts now and put the nation on the path to a balanced budget — before Washington turns into Athens.

"To his credit, Senator Coburn has offered a real program that cuts borrowing by $9 trillion over ten years, and is a brilliant piece of work.  But even he acknowledges that he only has but a handful of supporters.

"That means the Senate has but one credible option in front of it, it is the bipartisan 'Cut, Cap, and Balance' plan that will cut borrowing by $5.8 trillion over ten years and send a Balanced Budget Amendment to the states.  Any plan that contemplates less savings, defers the hard work to back-room 'commissions' and stacked committees, and fails to balance the budget should not even merit consideration.  S&P has given us 90 days to avert a downgrade, meaning we need to act now, not kick the can down the road again.

"Every single Republican senator is a cosponsor of the Balanced Budget Amendment. So, they should get behind the one bill, 'Cut, Cap, and Balance,' that would force a vote on it, sending it to states for ratification.  Congress needs to act before the debt becomes so large it cannot possibly be paid back.  This is a ticking time bomb that we are running out of time to disarm."

Attachments:

"Harry's Problem," By ALG Senior Editor Robert Romano, July 20^th, 2011 at http://netrightdaily.com/2011/07/harry-reids-debt-ceiling-problem/

"'Cut, Cap, and Balance' or Bust," By ALG President Bill Wilson, July 19^th, 2011 at http://netrightdaily.com/2011/07/cut-cap-and-balance-or-bust/

ALG Letter to Members of Congress, July 14th, 2011 at www.getliberty.org/files/LetterCutCapBalance7-14-11.pdf

"The New Danger to U.S. Independence," by ALG President Bill Wilson, June 30^th, 2011. http://blog.getliberty.org/default.asp?display=3463

ALG on Deficit Commission: "We don't have 30 years to balance the budget"

November 11^th, 2010, Fairfax, VA—Americans for Limited Government (ALG) President Bill Wilson issued the following statement on the preliminary recommendations of the Obama deficit commission:

"The deficit commission does not contemplate a balanced budget until 2040.  It never contemplates reducing the overall $13.7 trillion debt, which will continue to grow year-on-end.  The American people want to pay down and retire the national debt, not continue to grow it.  We don't have 30 years to balance the budget.

"If Congress does not act to balance the budget and begin reducing the debt immediately, next year the Federal Reserve will become the number one holder of U.S. debt.  Failure to act now will mean the debt will soar past 100 percent of the Gross Domestic Product in just a few short years.  By 2018, if not sooner, our Triple-A credit rating will be downgraded.  In fact, China has already taken the step of downgrading us. The commission's recommendations, if enacted today, would not prevent one of these things from happening, meaning higher costs to paying the debt in the future, and a weaker dollar.  Ultimately, the dollar will lose its special status as the world's reserve currency. 

"By failing to outline the consequences of doing nothing, the commission starts out in exactly the wrong place.  Because it does not contemplate the real problems posed by the unsustainable debt, it offers the wrong solutions.  The commission focuses on gradually reducing the deficit, which is the wrong premise, when Congress needs to focus on reducing and eventually paying off the $13.7 trillion national debt.  Before it has even presented its final findings, Obama's commission has failed."



Shea-Porter Statement on Proposal Released by Co-Chairs of the Fiscal Commission

Washington, DC. – Congresswoman Carol Shea-Porter released the following statement on the proposal released by the co-chairs of the Fiscal Commission. 

 

“The draft proposal by the co-chairs of the Fiscal Commission is just unfair.  The burden is overwhelmingly placed on middle class and low-income families, as well as our nation’s seniors.  I sincerely hope that major changes are made before any final recommendation is released.”    



ALG Demands Obama Dismiss Andy Stern from Debt Commission, Discontinue White House Meetings Amid FBI Investigation

September 28^th, 2010, Fairfax, VA—Americans for Limited Government (ALG) President Bill Wilson today issued the following statement urging Barack Obama to fire former SEIU head Andy Stern from the National Debt Commission and to discontinue White House meetings with Stern amid an FBI investigation into the former labor head and other corruption at the union:

"Until such time that Andy Stern is cleared of all wrongdoing by the FBI, the Obama Administration must dismiss him from the national debt commission, and stop meeting with him.  No other person has met with the White House as much as Andy Stern, and now we learn he's at the heart of an FBI probe. 

"Obama must avoid even the appearance of impropriety and immediately distance himself from Stern.  Stern has no business sitting on a presidential commission while the FBI is investigating him, or meeting with top White House officials, including Obama.

"If the White House will not fire Stern, then members of Congress must urge Obama to do so.  Congress has a vested interest in the findings of the debt commission not being tainted by a union corruption scandal, and assuring that White House appointments are properly vetted."

Attachments:

A Stern Word on Obama's Debt Appointment, March 2010.

SEIU's Stern Tops White House Visitor List, Wall Street Journal, October 30^th, 2009.



NetRight Daily: Post Office To Lose $238 Billion

Post Office To Lose $238 Billion Over the Next Decade:  Fiscal Conservatives and libertarians have long opined on how the Post Office was the perfect example of why Government does not know best when it comes to business sense. And now, even the Postmaster General, John E. Potter, is aknowledging the inefficiencies that are created by the Federal Government and Unions.

A Stern Word on Obama's Debt Appointment:  Barack Obama announced his appointments to the Bipartisan National Commission on Fiscal Responsibility and Reform this past Friday, February 26th, nominating none other than Andy Stern. Stern is one of the White House's most frequent visitors, and President of the Service Employees International Union (SEIU), an organization with close ties to ACORN and a substantial Democratic campaign contributor.

What The Tea Party Movement Is Not -- A Short Primer: Columnist Kathleen Parker recently called tea partiers "the noisiest sector of the GOP." She chided members of the movement for attacking newly elected Massachusetts senator Scott Brown, who voted with Democrats in supporting a cloture motion on their $15 billion jobs bill. Brown, who conceded that the bill was imperfect, added that he hoped his vote would be "a strong step toward restoring bipartisanship in Washington."

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