The federal government plans a $1.56 trillion budget deficit for FY2011. This would be America’s biggest budget deficit ever.
America cannot afford such deficits and Americans are already taxed enough, so a tax hike is not an option.
The defense budget is too small and the US military is already forced to cope with too few resources, so a reduction of the defense budget would be a foolish mistake.
This means that the federal government needs to choose priorities, define its role, and significantly reduce nonessential spending. Therefore, I’ve devised this list of 50 spending reduction proposals, based on my Blueprint for a Balanced Budget.
My proposals are:
1) Cancel all unspent stimulus funds. The stimulus will cost $862 bn by the time all of it is spent, but a large part of it – maybe even a majority of it – has not been spent yet.
2) Cancel the TARP program and devote 100% of repaid TARP money to debt payment.
3) Cancel the Obama socialized medicine scheme.
4) Reduce the cost of federal welfare programs by no less than 50%. Welfare programs currently cost $888 bn per year (FY2010 data).
5) Cut and consolidate all federal teen pregnancy prevention programs and all federal housing programs. Reduce their costs by no less than 50%.
6) Aggressively prosecute anyone who defrauds taxpayers money. $120 bn of the annual Medicaid program budget, and $60 bn of the annual Medicare program budget, is defrauded every year by criminal organizations such as the Mafia. Total annual savings: $180 bn.
7) Close the Department of Education. It’s unconstitutional and it’s degrading, not improving, American schools. The annual saving: $49.697 bn.
8) Close the Department of Agriculture. It’s unconstitutional and it needlessly duplicates state agriculture departments. The annual saving: $25 bn.
9) Close the DHUD. It’s unconstitutional. The annual saving: $41.590 bn.
10) Close the Federal Transit Administration, which distributes federal funds for pork projects masquerading as transit systems, which few people ride. The annual saving: $5.335 bn.
11) End all federal farm subsidies. Sorry Midwesterners, but American taxpayers are not obliged to subsidize agriculture, and besides, it won’t collapse without federal farm subsidies. Unsubsidized agricultural products are not more expensive than those which are subsidized. The annual saving: $57 bn.
12) End all federal ethanol subsidies and wind turbine subsidies. The annual saving: $7 bn.
13) End all federal subsidies for solar panels.
14) Reduce the budget of the DHS (which is the worst federal waster of money ever) by 10%. The DHS can still protect America if it ends or reduces unnecessary programs (e.g. grants for states, which are wasted, and body scanners, which are misused by guards to look at passengers’ genitals). The DHS should also merge the USCIS with the CBP and the ICE. However, it should receive enough funding to complete the border fence. The annual saving: $4.5 bn.
15) Halve the federal travel budget.
16) Halve the federal car fleet, from 500,000 cars to 250,000 vehicles, while requiring that all of these vehicles must be produced by American corporations in factories located in the US.
17) Halve the budget of the Congress.
18) Halve the budget of the Executive Office of the President. The annual saving: $283 mn.
19) Abolish the BATF and the DEA of the DOJ. The BATF is a relic of the Prohibition Era, and the DEA is used to wage the disastrous War on Drugs. Also, reduce the number of attorneys employed by the USDOJ. Stop running America’s largest law firm after the CA state government.
20) End the war on drugs. Tax drugs. The annual saving: $77 bn.
21) Close the EPA.
22) Enact the Fair Tax and close the IRS. The annual saving: $12 bn.
23) Enact all the domestic department rescissions proposed by Sen. Tom Coburn.
24) Cancel the federal high-speed railway program. HSRs are not feasible in the US.
25) Institute a law which will say that all federal funds not obligated or spent during the FY for which they were authorized, nor during the next fiscal year, must be cancelled. Currently, the federal government has $1 trillion of funding authorized for past fiscal years, but not obligated nor spent.
27) Reduce the number of presidential appointees by half. The annual saving: $1 bn.
28) Ban all earmarks forever. The annual saving: $25 bn.
29) Sell all unneeded federal property, thus making a profit of $83 bn (which should be devoted exclusively to debt payment) and saving taxpayers the annual cost of maintaining it, which is $25 bn.
30) Reduce the budget of the Department of State by 50% by abolishing the USAID agency, the Disarmament Agency, the FMF program, and many other unneeded DOS programs, and by closing American embassies in Damascus, Harare and Minsk.
31) Abolish the HRSA and the FDA of the DHHS. The FDA dares to decree what drugs and food you’re allowed to buy.
32) End all American contributions to the UN’s budget, withdraw the US from the UN, and expel the UN from the US. The UN is a virulently anti-Semitic organization which serves as nothing more than a forum for dictators and Islamic terrorists to utter anti-American and anti-Semitic rants. If it loves Iran and Syria, it should relocate to Tehran or Damascus.
33) Abolish the National Infrastructure Bank. The annual saving: $5 bn.
34) Abolish the Equal Opportunity Commission, the National Endowment for the Humanities, the National Endowment for the Arts, the US “Institute of Peace”, the Neighborhood Reinvestment Corporation, the Federal Trade Commission and the Federal Communications Commission.
35) Abolish subsidies for Planned Parenthood clinics. The annual saving: $336.7 mn.
36) Abolish subsidies for the US Postal Service, Amtrak, and the CPB. The annual saving: $4 bn.
37) Halve government printing costs. The saving: $2 bn.
38) Close Fannie Mae and Freddie Mac – the government-owned banks which created the current economic crisis.
39) Close the SA&MH program of the DHHS.
40) The federal government must be computerized and adapted to the information age. (http://newt.org/tabid/102/articleType/ArticleView/articleId/2835/Default.aspx)
41) Restore the 1996 welfare roll reform legislation.
42) Abolish the SCHIP program.
43) Merge the DC Police with the Capitol Police.
44) Replace only 50% of retiring federal employees.
45) Ban federal funding for embryonic stem cell research programs.
46) Abolish all unnecessary federal regulations, including CAFE standars, the Davis-Bacon Act, and the Sarbanes-Oxley Act, and save the costs incurred by the federal government by enforcing them.
47) Raise the retirement age.
48) Abolish the Department of Commerce minus the Census Bureau and the NIST.
49) Merge the DOE with the DOI, to create one Department responsible for all natural resources of the US, governed by a single Secretary.
50) Deny any federal funding, or other benefits, to illegal aliens. (http://www.americanthinker.com/blog/2010/08/the_fiscal_burden_of_educating.html)
These spending reduction proposals would be more than sufficient to balance the federal budget, and would generate surpluses which would allow America to eventually pay its debt.
Most politicians – including most Republicans – won’t even dare to propose any specific spending cuts. There are only a few noble exceptions, such as Sharron Angle, Anna Little and Marco Rubio.