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In 2007, the federal government’s spending rose to an astounding $2.8 trillion– the equivalent of $22,000 per household. Growth in federal government spending, however, rarely translates into better services for the American people. Solutions for many public policy problems are best found in the private sector, and then at the State and local level–not in Washington, DC. Indeed, the federal government loses billions every year due to ineffective programs, poor management, waste, and fraud. And, the problem is getting worse. Within the next five years, federal spending is expected to reach more than $3.2 trillion, or about 20 percent of our economy; more than half of this amount is mandatory spending for entitlements. Increasing government spending is not the answer to our country’s problems. It is time to get it under control with better solutions and better management of our federal government.Balance the Budget and Eliminate Underperforming Programs

Congress has consistently refused to balance the budget and address the deficit. In fact, federal spending continues to grow at rates double inflation. This rate of growth in federal spending is not sustainable and must be brought under control. The following actions will result in better control of the growth of non-defense discretionary spending:

1. Limit Non-Defense Federal Spending to Inflation. Federal spending is expected to grow an average of 4.5 percent each year over the next five years. This growth is more than twice as fast as the estimated rate of inflation! Slowing the rate of growth in federal spending would help the federal government balance its books. Further cost savings can be achieved by limiting increases in the annual rates of growth for mandatory federal spending programs.

2. Implement a One-Year Hiring Freeze Pending Completion of Federal Government Strategic Assessment. Initiate a senior-level Administration assessment of the federal government’s activities to determine their proper alignment with national priorities. This assessment will permit a re-shaping of the federal government to best address these priorities. Until that assessment is completed, institute a one-year freeze on the hiring of all non-essential civilian workers and contractors. This will give a new Administration time to assess its personnel requirements in order to “right size” the federal workforce, commensurate with national priorities, to match staffing and contracting needs to agency responsibilities across the executive branch.

3. Conduct a Comprehensive Cost-Benefit Analysis of All Federal Programs. Over the past few years, the Office of Management and Budget’s Program Assessment Rating Tool has found that many federal programs are ineffective or only moderately effective. With the aid of rigorous cost-benefit analysis and relying on the Government Performance and Results Act, the President must work with Congress to determine which federal programs to eliminate, reduce, combine, or place on probation.

Enact Meaningful Earmark Reform

Congressional earmarks add up to tens of billions of dollars each year. In Fiscal Year 2006 alone, the cost to the American taxpayer was more than $64 billion. Even more disconcerting is the fact that many earmarks do not benefit the America people but only serve to support special interests. To accomplish real and meaningful earmark reform, the following actions must be taken:

1. Provide President with Line-Item Veto Authority. Congress can provide this authority without a Constitutional amendment. Such authority would better control spending and prevent the use of public funding for wasteful earmarks.

2. Direct Agencies to Ignore “Soft” Earmarks. “Soft” earmarks are those included in Congressional report language, but not in actual legislation. Failure to include such earmarks in the bill language itself makes it easier for Members of Congress to hide their earmarks and prevents the full House and Senate from voting on them. Federal agencies must not fund these “soft” earmarks unless they otherwise meet agency standards for a funding award.

3. Propose Legislation on Earmark Procedures. Promote greater transparency by urging Congress to approve legislation that requires the posting of all earmarks on the Internet for the public to view at least 24 hours before the underlying bill is brought to the floor for consideration.

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