Rep. Barry Loudermilk (R-GA) today moved to require the federal government to live within its means by introducing a balanced budget amendment to the U.S. Constitution.
“Instead of steamrolling American families with heavy tax and regulatory burdens every year, the federal government must change its reckless ways, and stop the vicious cycle of spending that risks our nation’s long-term fiscal stability and buries our next generation under an unsustainable mountain of debt.
“Many states, including Georgia, operate under a balanced budget, and do not spend more than they take in. This responsible approach to budgeting should be mandatory at the federal level as well, especially as our national debt continues to climb toward $20 trillion. That is why I, and other conservatives, have joined together in proposing a much-needed balanced budget amendment to the U.S. Constitution. This ten-year plan gives Congress the time it needs to get its financial house in order and come up with long-term solutions to tackling our out-of-control spending. The time to turn the page on Congress’ reckless spending is now – not later, when our grandchildren are handed the bill.”
The proposed balanced budget amendment to the U.S. Constitution would take effect in the 10th fiscal year after its ratification. In addition to the balanced budget provision, this amendment requires a two-thirds vote in each chamber of Congress to increase the deficit or raise federal spending levels beyond 18 percent of the U.S. gross domestic product (GDP) for the previous calendar year. This amendment will prevent the federal government from continuously absorbing higher amounts of revenue relative to the economy.
If enacted, the balanced balanced amendment would require an average annual spending reduction of $54 billion of our current $4 trillion budget, if revenues remain stable – amounting to a modest 1.4 percent reduction each year.
