LIPINSKI HELPS PASS NEW LAW TO CONTROL SPENDING AND REIN IN THE DEFICIT
February 5, 2010
Yesterday, Congressman Dan Lipinski (IL-3) helped pass a bill establishing statutory pay-as-you-go requirements that will begin to restore fiscal sanity in Washington by requiring new mandatory spending and tax cuts to be offset so they do not add to the deficit. H. J. Res. 45, To Establish Statutory PAYGO Requirements and Permit Continued Financing of Government Operations, passed the House of Representatives by a vote of 233 to 187 and now goes on to the President to be signed into law. Congressman Lipinski helped introduce similar statutory pay-as-you-go legislation that passed the House last year.
“America is at risk of drowning in a sea of red ink,” Congressman Lipinski said. “While the economy has forced millions of Americans to cut back and make difficult decisions, Washington has gone on a borrowing spree to finance ill-conceived bank bailouts and a misguided stimulus plan that failed to do enough to help the middle class. This has exacerbated problems that began in the last decade. It’s time for Congress to return to the fiscal discipline that prevailed in the 1990s and led to a budget surplus. PAYGO was an important part of that discipline, so this bill is a good start to restoring fiscal sanity.”
Under the measure, if at the end of a session of Congress new entitlement spending or tax cuts were found to have resulted in a net addition to the deficit, the Office of Management and Budget would impose spending cuts to restore balance. A similar law was in place during the 1990s and until 2002. Currently, the House and Senate have pay-as-you-go rules, but they are often waived. That is why giving the rules the force of law is necessary.
In addition to his votes yesterday and in the past to fight the deficit, Congressman Lipinski is a cosponsor of the bipartisan SAFE Commission Act, H.R. 1557, which creates a 16-member panel that would be charged with submitting a plan to Congress for balancing long-term spending and revenues. If Congress failed to introduce its own such plan, the commission’s proposal would be automatically brought to the House floor for a vote.
“In many ways, the recession from which America is struggling to emerge was the result of excessive and reckless borrowing in the private sector,” Congressman Lipinski said. “The fact is that debt is intoxicating. But sooner or later, the bill always comes due, and the consequences can be dire. If our government and our country are to avoid another day of reckoning, we must start to live within our means. This bill is a good first step in that direction.”
Contribute Volunteer Lawn Sign Get Updates