Senator Corker: Put a ‘Straightjacket’ on Federal Spending (PJM Exclusive)
“We have a tremendous opportunity to get something real done,” Senator Bob Corker (R-Tenn) told me on the phone Thursday afternoon. He was speaking of the Commitment to American Prosperity Act, introduced earlier this week with support from Missouri Democrat Claire McCaskill and fellow Tennessee Republican Lamar Alexander.
“Ours,” Corker said, “is the first comprehensive cap, global cap, on spending.” The CAP Act, which I poked some fun at yesterday for its long-term goal to reduce and constrain the scope of the federal government, would limit all federal outlays to 20.6% of GDP after ten years. An “immediate” limit of 22.25% would go into effect in 2013.
Corker would like to “get to 18%,” which he said is about as big a share of the nation’s economy as Washington is ever effectively able to collect in taxes. But he calls the bill’s current limit “the most aggressive, realistic number” if we actually want to pass something.
And that’s the trick, isn’t it? Getting something passed. Especially given that the Party of Government still controls the Senate and the White House — but that makes McCaskill’s co-sponsorship so important. The Senate Democrats held the line on the ObamaCare repeal, but McCaskill represents at least one crack in party unity on the sp-sp-sp-spending side.
To get there, Corker has a three-part plan:
1. “This spring,” he told me, “we have to vote real cuts and pass them.”
2. Pass the Commitment to Prosperity Act later in the session.
3. “The third thing that needs to happen is a constitutional amendment.”
He admits “that takes a while to occur, two-three years, so we’ve got to move quickly.”
The bill itself steps back spending-per-GDP each year, until capped at that magic 20.6%. Along the way, the Office of Management and Budget “would sequester all accounts, including Social Security and Medicare, if Congress doesn’t have courage to make those cuts.” Automatic, across-the-board cuts, if Congress can’t decide for itself, and a two-third supermajority to override OMB or the Act itself.
“We call it a straightjacket,” Corker said, and you could practically hear him beam over the phone as he did.
Furthermore, if an amendment were to constrict spending to an even smaller percentage, the bill “automatically rejiggers to focus on the new target.”
We also spoke about some of his new colleagues and the changes on Capitol Hill. I asked, “I know yesterday’s ObamaCare repeal failed on party lines — but what do you expect those party lines to look like in January or February of 2013?”
“You know, I was the only new GOP member in 2006, and you gotta believe! I think we have a tremendous opportunity [in 2012]. I’d be surprised if we’re not in the majority.”
Corker also said the GOP Senate caucus is “working with the House incredibly well right now,” which is a refreshing change. Senators typically treat senators of the other party as the opposition, and House members, of any party, as the enemy.
On the new Republican faces, he said he’s “very pleased with the crop of new senators … all of them outspoken since day one.” Corker joked that “to give you an idea of what kind of life I have, I was watching C-SPAN [the other night] and Mike Lee was incredibly impressive.”
Up slightly north in Kentucky, he finds that “Rand [Paul] is very focused on spending,” and he has had “multiple conversations with him.” “Rob Portman knows so much.” And that, overall, the new Senate is “very soberly concerned about fiscal issues” — me, they just make me drink — and that “the caucus is untied to do the things necessary to get us on course.”
But most importantly, Corker said, speaking about his bill, “It’s a paradigm shift” to look at government as a percentage of GDP. “It causes people to focus on economic growth.” That is, with a solid cap in place, if you want to grow the size of government, you first must grow the size of the economy. That stands in stark contrast to the last two years, where the Democratic imperative has been to increase the size of Washington — and damn the torpedoes. The result has been a 25% increase in federal spending, while employment has stagnated — and with no end in sight for either problem.
“I don’t think we have time to play with this,” Corker concluded.
Indeed.
EPA – Gone. FCC – Gone, HHS – Gone, Energy Dept – Gone, Dept Of Education – Gone, Homeland Security – Gone, Dept of Labor – Gone, IRS – Gone (Flat tax), Fannie and Freddie – Gone, 50% cut in congressional staff allowance, Justice Dept – 50% cut (starting with holder).
That is the menu for the first year. Then we start cutting things that really matter……
Yes, many if not all of the agencies you name are wasteful and useless. Many circumvent the rights of states, others trod on individual rights, some are in the business of redistributing wealth, still others to confiscate private income, and yet others to promote a radical agenda. All are wasteful, divisive and seek to further the cause of central planning and control over the populace. Most (FCC, Energy, Education, Labor, Public Broadcasting, NEA, HUD) provide no benefit and actually work against the interests of the public. These should be disbanded. Others have overstepped their bounds (EPA, Homeland Security, HHS, Justice, IRS, Fannie & Freddie) and should be evaluated, restructured and forced to undergo varying degrees of defunding. Time to get real on what we the people need to accomplish to take back our country and put it on the right track.
Talk is cheap and there will be many crisies and distrations ahead, but if anyone can stay this course, Bob Corker can. He with Lamar Alexander must. They’re my senators and we’re holding their feet to the fire. We expect them to be sleeping in their offices at least four nights a week until 1-3 gets done!
Yawn . . . They’re already back peddling on their promises. The GOP and Tea Baggers do not possess the intellectual capacity nor the work ethic necessary to govern a country with 300+ million people. They know how to effectively mislead to get elected, however. It is very similar to the dog running after the car. They do not know what to do once they catch the car. America – please let the “facts” get in the way. This is why Tea Baggers are afraid to conduct interviews outside of FOX. They don’t like facts.
Have any of these cuts in spending created any jobs? NO
Has repealing the Healthcare Reform Bill created any jobs? NO
Has the GOP produced any legislation that will get people back to work? NO
What was it that the Tea Party wanted again? Here is what I predict for the 2012 election, GOP = PLOP meaning, the Republican party will be flushed down the toilet. Of course the Rethugs are breaking every promise! Who was it that expected the GOP to do any better,for the American people,than they have done for us in many years. Oh, and bye the way Republicans don’t control the senate, so I’m not sure where the Corker agenda goes other than to throw red meat to the bageers who will eagerly gobble it up.
Name a cut. Just one.
Name a repeal the Senate has approved and the President has signed. Just one.
The GOP has been in charge of one-half of one branch since January 3. The Democrats had two years all to themselves — and both houses of Congress for two years prior to that. So, just like our President has been advising us for (tick tick tick) 25 months now, I would counsel you to have some small measure of patience.
I’ll even give you 24 hours to provide honest answers to my questions. After that, I’ll give serious consideration to banning you for offensive language.
The fun and games after the implosion/downfall are anxiously awaited.
Stocks, tar & feathers being prepared.
Praetorian ridicules Republicans and Tea Party folks, obviously fogetting what he and his ilk put in to our White House. The American people won’t be fooled this badly for perhaps another 30 years….hopefully.
They already have, McCain got re-elected.
“… The Progressives do not possess the intellectual capacity nor the work ethic necessary to govern a country with 300+ million people. They know how to effectively mislead to get elected, however. It is very similar to the dog running after the car. They do not know what to do once they catch the car. America – please let the “facts” get in the way. This is why the Progressives are afraid to conduct interviews outside of the MSM. They don’t like facts.”
Well said Praetorian (with a small search/replace).
No cuts have yet been made in spending.
The healthcare bill has not been repealed.
How could we realize any benefits from actions not yet taken?
Is there absolutely nothing liberals can respond to responsibly?
Incidentally, were not the praetorian guards a sort of rent-a-cop crew?
Wannabe Joe Fridays; but with a Bill Maher lack of mentality-morality?
wouldn’t worry too much about these much needed cuts not taking place. once the economy implodes, the cuts will take care of themselves.
i do not see this administration going quietly into that future good night we are sooo looking forward to. let’s see, that will be in late (Nov/Dec) 2012, after the next election, right? why does that date sound so familiar? odd how things always come full circle. oooowweeeeeeeooooo spooky.
The problem is the mechanism itself;
Tying any expenditure to GDP is gaming the system. It is GDP itself that is the problem, an artificial number easily manipulated by any administration if they wish to increase spending.
This will not solve anything and is typical of Washington DC. The backbone to do right is no longer in place, therefore feel good legislation that accomplishes nothing and in fact create a worse problem take hold, in effect todays solution becomes tomorrows problem.
Manipulating GDP is incredibly easy and will certainly be a joint effort by both sides of the aisle, since it has always been in their interest to maintain massive deficits and continue the status quo. Increase wages of federal government employees; GDP rises. Pass Billion dollar renovations of any item(s), and GDP rises. There are dozens of tricks to raise GDP to allow increased spending.
This is another magic act by the greatest smoke and mirror professionals in World History, the US government.
Daveinga # 4 has it right; the economy has been pushed to the breaking point where the taxpayer is overwhelmed by burdens created;
40 years of Petro-dollar inflation coupled to massive entitlements tied to a shrinking Tax base tied to corrupt management. The perfect storm.
It would be surprising to see US dollar survive as a global currency past 2025…it will still be used to purchase good within US and sympathetic countries, but countries managing their economies and backing their currencies with hard asset are the future.
That is, with a solid cap in place, if you want to grow the size of government, you first must grow the size of the economy.
Tying any expenditure to GDP is gaming the system. It is GDP itself that is the problem, an artificial number easily manipulated by any administration if they wish to increase spending.
Bingo, Alex. While Corker may mean well, this is a fool’s errand. It’s not about GDP. It’s really not even about spending.
It’s about a federal government acting with willful disregard of the law, intruding itself into areas where it has NO authority to act.
The idea that government should concern itself with “growing” GDP is simply more of the same poison.
It ain’t their job!
To: Mark V: Amen!
The easy solution is not for government to either lead or to follow; but to get the Hell out of the way! Let the markets adjust themselves. Flush the Federal Reserve. Put the international bankers, eg., the Rothschild cabal, out of business. Guillotines are cheap and final.Go back on the gold standard, and stay on it.
Enforce a strict understanding of the Tenth Amendment and there will be no deficit.
“That government is best which governs least.”
Too little, too late and it would prove ineffective as well. Most comments are right. This would have been a nice idea 20 years ago, but it probably wouldn’t have worked, even then.
Only a wholesale return to Federalism will restore the republic. California may go bankrupt, but Wyoming would be able to limp along. Instead, when California, New York, et.al., go south, the Feds will be sure to drag the rest of us along in their efforts to bail out the profligate. Unfortunately, my home state of Oregon will be on the side of those being bailed out.
My home state, Washington, also. What happened to our northwest? Were we Californicated? Or did our own urban leftists purposefully flip the self-destruct button? Time for the “big one” to take out Seattle and Portland.
Corker and Alexander are RINO’s we will be able to move forward toward liberty only when they get out of the way.
20% of US GDP? They must be joking? Where in the constitution is the authority for that Mr Corker?
Mr. Alexander is a former Dept of Education Czar – they now consume $60 billion of our money and promote ‘social justice’ instead of education. No they are both awful.
I think he means straitjacket. Strait as in narrow.
The average American doesn’t have the stomach to order large and immediate cuts in government jobs and entitlements. What we need is a ramp down function – a five year plan that leaves us balanced, solvent and relatively debt free. Whether the end target level is pegged to GDP, population and cost-of-living, or something else doesn’t really matter. The goal ought to be small government performing only the essential functions, i.e. protecting our country and our borders, enforcing laws that protect our liberty and our property, preventing monopolies of any kind (labor and business) and keeping commerce open and free. We really don’t need all of that other stuff in spite of what Statists say.
Spending must be limited to a fixed percent of income. No more borrowing. That percent of income not spent must be used to reduce the debt. And the federal government must get out of most of the affairs with which it unconstitutionally choose to concern itself. That would include ALL earmarks.
If we do not emasculate the central government it will geld us.
Senator Corker is appropriately named
Whatever realm the federal gov’t has invaded in my lifetime (education, health, business…et al. and etc.)that realm has shot craps in exact measure of federal involvement and interference.
A bureaucrat (numbers of which have exploded near exponentially under this President) soon learns that his real job is maintaining his own, very often useless, position. And…what is that about not firing a federal employee ? Instant tenure ?
The problem is that we’re locking the barn door after the horses have escaped.
I was thinking of the TSA in the context of the infestation of the federal employee.
Unions are Barack Obama’s bread and butter, the primary group he “represents” in this nation. You know he’d pick a TSA head who would work for this stuff.
The land just keeps getting dumber and dumber.
Under the agenda of TSA head and not very bright John Pistole, your average airport groper will be even harder to fire
Pistole…announced Friday that he would used the power granted to him by Congress to authorize collective bargaining by airport security personnel
Corker is just another Republican and he is not much different from the Social Democrats. When these guys start talking about cutting over $1,000,000,000,000 from the budget, they will have only $500,000,000,000 to go. After that point, they can start talking about shrinking the size of the government. But, even if they cut the budget to that level, you still have to get them to stop getting the Fed to print more money to help them overspend their budget. What a joke. Corker is a joke. Meanwhile, everything we buy costs more of our money because our money is being made more worthless. They will either tax us to death or they will cause enough inflation to kill us. We get to choose only our poison. They will NEVER shrink the size of the government. It is a cancer which has already metastasized. Wake me up when the dissolution of this government begins. Sheesh. Thank you all for indulging my rant.