For the 4th installment in the If I were King proposals, I will submit my proposal for
the Federal Budget, the deficit and how we construct the Budget. Again, as stated
in the Graduated Flat Tax proposal, this proposal ties in with others that will follow
in due time.
The Federal Budget:
1) I would require Congress to pass legislation making it "LAW" that the Federal
Budget must be ballanced EACH and EVERY year with the following exceptions:
a) Natural catastrophic disaster (ie. Katrina)
b) Man made catastrophic disaster (ie. 9/11)
In these instances additional funds may be approved in excess of the Budget and their
overrun cost will be addressed the following year.
2) The Federal Budget each year will be determined by the ACTUAL revenue received
the previous year AND NOT on projected revenues for the current year. I realize that the very first year
this is enacted, there could be some cuts in various programs, however the "belt tightening"
will only be for one year!
3) As each Budget is passed and upon completion of that Calendar Year, when the
actual figures come in and if there is a REAL EXCESS of revenues, these additional
revenues will be allocated as follows:
a) 50% of the excess revenues for any Calendar Year will be paid into a Catastrophic
Disaster Relief Fund which CAN ONLY be spent for that reason!
b) 25% of the excess revenues for any Calendar Year will go to pay down on the
National Debt and for that reason ONLY.
c) 25% of the excess revenues for any Calendar Year will go to the Social Security
Retirement Fund and Congress WILL BE BARRED from borrowing against this fund.
4) I will insist that Congress pass legislation that makes it ILLEGAL for Congress
to borrow against the Social Security Retirement Fund.
5) I will insist that Congress pass legislation with regards to Line Item Veto power
for the President.
As each year passes and there is real growth in the economy, there will be an increase
in the revenues received and therefor there will be additional money each year for
the Budget to grow as needed. With this program in place, our Nation can look forward
to REAL Fisical Constraint and Disciplin. Our economy, our currency and our relations
with other Nations can only improve when our economy is strong and dynamic.
Sincerely,
I. R. Know 1