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Gregg: Senate Democrats' Budget Fails To Control Spending Or Long-Term Debt Crisis

Press Release

Location: Washington, DC

Senator Judd Gregg (R-NH), ranking member of the Senate Budget Committee, today reacted to Senate Democrats' fiscal year 2011 budget resolution, which was approved by the Committee by a 12-10 vote. The reported resolution includes Senator Gregg's amendment to stop the abuse of the reconciliation process by limiting new spending in a reconciliation bill to 20% of the gross savings instructions.

"Despite massive deficits and debt as far as the eye can see, this budget fails to make any progress on getting the government's spending and borrowing spree under control. It fails to effectively restrain spending, finding only $4 billion in cuts in a $3 trillion budget, a comparative drop in the bucket.

"On the issue of long-term debt, the budget kicks the can down the road by taking no action. The debt continues on a path to double in five years and triple in ten years. Reconciliation instructions of $2 billion in this resolution are actually dangerous, since the Democrats' budget resolution last year included a $2 billion reconciliation instruction and the Congress used it to spend $2.6 trillion.

"In addition to the spending and borrowing, this budget actually weakens Pay-Go as a tool for budget enforcement, exempting the AMT patch, the doctor fix and estate tax on top of the emergency designation that is already abused.

"This budget means more spending, more deficits, more debt, and inevitably less prosperity for our children as a result. Revenues will be above the historical average by 2020, so the real issue is Congress' spending binge. Unless we get our spending and debt under control, we are on a path to fiscal disaster in the very near future. Our inaction today will have very serious consequences for our children tomorrow."

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