Obama vows line-by-line budget review
President-elect Barack Obama vowed today to get rid of federal programs that no longer make sense and run others in a more frugal way to make Washington work in tough economic times.
Obama said that to make the needed investments to create jobs, "we also have to shed the spending we don't need."
"In these challenging times, when we are facing both rising deficits and a sinking economy, budget reform is not an option. It is an imperative," Obama said. "We cannot sustain a system that bleeds billions of taxpayer dollars on programs that have outlived their usefulness, or exist solely because of the power of a politicians, lobbyists, or interest groups. We simply cannot afford it. This isn’t about big government or small government. It’s about building a smarter government that focuses on what works. That is why I will ask my new team to think anew and act anew to meet our new challenges.... We will go through our federal budget – page by page, line by line – eliminating those programs we don’t need, and insisting that those we do operate in a sensible cost-effective way."
He introduced the man who will be largely responsible for the budget, Peter Orszag, who will be director of the Office of Management and Budget and is now director of the Congressional Budget Office.
Obama said that Orszag "knows where the bodies are buried. "He knows what works, and what doesn't," he said.
As OMB deputy director, Obama named Rob Nabors, who is now staff director of the powerful House Appropriations Committee.
Obama repeated that there is only one president at a time, but declared that under the "extraordinary circumstances" it is important for him to reassure Americans that he is putting together a "first class team" and coming up with aggressive plans to jump start the economy.
"We don't intend to stumble into the next administration. We are going to hit the ground running," he said.
But while pushing through the stimulus plan quickly, his administration will not waste money, Obama said.
"We are not going back to business as usual when it comes to the budget," he said.
Spending restraint is even more important with the federal deficit expected to top $1 trillion in 2009 -- more than double the previous record. And that's before an economic stimulus package that could cost upwards of $500 billion over two years.
During the campaign, Obama pronounced that all his programs were paid for, but did not provide details of how he would slice spending to come up with money.
Also during the campaign, he objected to Republican rival John McCain's call for an across-the-board spending freeze (except for defense, veterans care, and entitlements).
"That's an example of an unfair burden sharing. That's using a hatchet to cut the federal budget," Obama said during their second debate. "I want to use a scalpel so that people who need help are getting help and those of us, like myself and Sen. McCain, who don't need help, aren't getting it."
During the press conference in Chicago, Obama declined again to go into much detail about spending cuts, though he mentioned subsidies to affluent farmers.
Asked about the mushrooming deficit, Obama said he would draw a line between immediate stimulus that is needed and longer-term programs that could add to the national debt.
He said his economic team will seek to find "two-fers" that will provide immediate and long-term benefit. He said tax cuts for the working class fits into that category, as do investments in medical technology that could reduce healthcare costs in the long term.
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Yes. Good talk. Please name some programs that you'll cut. National debt is $10.7 Trillion and climbing fast.
How about a 25 billion dollar economic incentive bailout for the VA?
Full speed ahead, this is what every local city and state goverment need to do
My question is, where is President Bush?
Do we have two presidents, or no president?
I think President Bush should either "take the lead"
on this financial mess, or just step down.
I have a feeling most people who read The Globe
wil vote "step down"!
It is truly sad that we are being reassured by the president elect while our current president remains conspicuously quiet. Still, I am very hopeful for the plans the Obama administration seems aptly prepared to implement as soon as they arrive in office.
There will be very few budget cuts, a few token ones for show, but that's it. Meanwhile, spending will mushroom to the point that President Bush would blush. Look for Obama to run a $1.5 trillion deficit next year.
Change you can believe in.
if you want to get jobs going , try helping out the small business people.
us small business people account for over 90% of new jobs that are made.
giving money to large companies is not the complete answer.
start this economy with tax breaks for new investments and equipment,
give companies who want to go green 0% percent finance up to 5 million dollars and make getting the money easy , not like it is today.
if you just give money away without producing anything for it we will be right back here in 6 months from now,. lets get america back to work. I want my new president to suceed,give me the tools and i'll do my part.
One quick way to cut a whole lot of money from the Fed. budget is to heavily lessen the amount we give to the "War on Drugs." We spend the same amount of money on all the nations’ petroleum as we do on this third, forgotten war.
Is it working? Not so much. Are their other, cheaper, tactics available to us, like focusing more on prevention and education? Of course. Massachusetts is going to save 100 million by decriminalizing marijuana alone. Something to think about.
"We will go through our federal budget – page by page, line by line – eliminating those programs we don’t need"
By "we" , Obama means 'we liberals' Programs that dont bribe and payoff the greedy liberal special interest groups, will be cut ruthlessly. Count on it.
Democrats and "efficient government" . Now we have heard it all....LOL
A Hybrid in every House!
As part of the auto-industry's plan ofr their bailout, how about a Hybrid in every House campaign? Auto companies need the development, and we need the gas and oil savings, and people cannot work without getting to work. Let's start with some Corporate social responsibility towards this democracy and its consumers who have driven the move towards globalization. It is this culture that affords the opportunities to obtain great wealth, and it is time for some reparations for main street.
HMcC
Here's a two-fer... We pay corn farmers subsidies to not grow corn. Meanwhile, the cost of corn has jumped due to the use of ethanol in gasoline. Cut out the corn subsidies, this will lower the cost of the ethanol additive as well as cut pork from the budget.
Start with the Omnibus Bill Process
Our lawmakers need to focus on individual bills that can be logically grouped together, instead of bills that are loaded with dual-sided lard that goes unchallenged through the process.
HM
Economic Models for Banks and Businesses
We have either non-profits or for-profit economic models. What about a lot of in between models that limit certain kinds of profitability or "charitability." Banks have draconian settings for overdrafts, for the number of days credit is available, and models that constrain the consumer. How about some teeth for the consumer like really good comparisons of banks and their practices. Credit Card companies have also run wild in the last 20 years, and the term "usery" is obsolete, despite being functionally practiced by many banks.
If I had the chance to run the government what would be my first act? I would get rid of many programs, agencies, and much of the bureaucracy, which sucks the lifeblood from the people.
#1 The department of Education. (JOHNSON)
The department of education provides no viable service in the federal state. It is unconstitutional because it violates the tenth amendment. Education should be a local matter left up to the communities and states. Every dollar provided to local schools comes with strings attached, which in most cases come in the form of federal mandates, which wind up costing more than the amount given. Furthermore the department of education being a typical government bureaucracy consumes more than 50% of it's collected by taxation funds in administrative burdens. Local and state governments are substantially more efficient. By eliminating the department of education the nation would get higher quality education, eliminate bureaucratic meddling in a locally administered function, eliminate federal mandates, and save billions of dollars in taxation.
#2 The Department of Energy (CARTER)
The department of energy's principal function in the last ten years has been in providing the PRC information enabling them to produce thermonuclear weapons systems. Again this agency is in violation of the tenth amendment. It has provided no service except for the employment of lots of bureaucrats. We did without this agency for 200 years without any problem and I see no reason for its existence.
#3 The Department of Homeland Security (BUSH)
What the hell do we have an army for? Better called the agency for insecurity, they have since inception in 2003 not: tightened up border security, expelled the over 13.7 million illegal immigrants, expelled the over 13,000 illegal immigrant felons that Justice wants deported. They have federalized airport screeners not increasing quality but only cost, produced a color coded alert system, cried wolf so often that we are becoming numb.
#4 AmeriCorps (CLINTOJUGEND)
This organization spends money (pays) people to learn how to be politically correct and to indoctrinate its members to become Democrats. Payrolls are outrageous. They have been unable to provide any auditing. This agency is a sinkhole for cash without any social redeeming value whatever.
# 5 The Legal Services Corporation (NIXON)
Supposedly to provide legal assistance to the poor, this agency has become part of the lawyer full employment institute. It has been used for numerous class action suites in which 65 to 80% of the collected funds wound up in lawyers coffers instead of the people it was set up to help. Wasting about $ 330 million per year this agency costs taxpayers billions in increased prices of consumer goods, and corporations in increased product liability insurance. They are the bane of landlords by preventing eviction for non-payment of rents.
#6 The Corporation for Public Broadcasting
This agency funds about 14% of all PBS costs, but that's not the entire story. Because PBS is set up as a tax-exempt corporation the government loses all corporate taxes, which they collect from all competitors. Furthermore numerous employees due to special contracts with PBS have become millionaires. The content of PBS Radio in particular is the furthest politically left of any American broadcast media. Per example almost all interviewees represent CFR, TC, or Bilderberger membership, absolutely no effort is made to balance political opinion, book reviews, commentary, on social, political, or judicial content.
#7 McCain Feingold Campaign Fiancé Reform Act. (Clinton)
This law was touted to clean up (dry up) cash contributions in electoral campaigns. What in fact this law does is to violate the first amendment, prevent the exposure of incumbent's records, restrict the flow of free information, and tilt campaign financing toward labor unions. (It will in all probability be struck by the Supreme Court as an illegal violation of the first amendment of the constitution)
#8 American Patriot Act (Bush)
This law violates the first, fourth, fifth, sixth, seventh, and ninth amendment to the constitution. It is the worst legislative act in the history of America. It was passed by congress before any legislator ever read it. The Supreme Court will in all probability strike it when it come before them.
#9 NAFTA (Clinton)
This illegally implemented by executive order agreement is economically the worst deal ever made by the United States with anyone or anything. America went from a trade surplus of $6.4 billon annually to a deficit of $34 billion annually with only two trading partners. We have lost 7 million manufacturing jobs and as a result of the agreement illegal immigration has crested at 13.7 million in the country by 2003.
#10 The Davis Bacon Act. (Hoover)
This law single handedly guarantees that the federal government will pay more for any contracting job than anyone else. On average this law increases the cost of federal projects by 38% over the going in community rate. The law was originally enacted to prevent black workers from taking jobs at lower pay than whites. It is no longer needed and should be scrapped.
#11 The Endangered Species Act. (NIXON)
The law gives bureaucrats wild ranging powers in dealing with wildlife. It has been miss-applied through the use of falsification of information. Per Example: The spotted owl case in which over 50 lumberyards and thousands of timber industries were destroyed in the Pacific N.W. Ten years after the enforcement of not cutting "Old Growth Timber" it was determined that: Spotted Owls did not count the rings on trees to determine their age before nesting in them, and secondly that there were thousands of pairs of nesting spotted owls from Golden Gate Park in SF all the way up to Canada. This law has cost the country billions upon billions of dollars for nothing.
#12 No Child Left Behind. (BUSH)
Better called no teacher left without a raise. It is a massive effort to federalize all education. The federal government has amply demonstrated its total lack of ability in educating or teaching anyone anything. The program federalizes standardized tests in some misconceived notion that such testing will improve education.
Well, this is a slap in the face to everyone that voted for him.....the're all on some dort of Federal aid as it is ........ooops!
Smarter government by the dumb idiots who voted for the Chosen One.
The people who voted for Obama do not know who controls Congress Dems or Repubs. 62,000,000 idiots need a super nanny.
President Bush is very busy pardoning his buddies. Why would he worry about the economic mess he has helped create when it doesn't affect him in the least. Whether or not Obama is the answer is still to be determined, but it is nice to know he is at least thinking of doing something rather than sitting back and counting all his money he has.
Not for nothing Mr. President-Elect, but where was this budget initiative and curiosity you're showing when you were a Senator and actually voting in committee on the budget? Oh that's right, you voted present and were on the campaign trail instead of doing the job you were elected by the people of Illinois to do.
NoNoNobama
You must has NoNoNoNobrains....
Idiot!
Hey, only Nixon could go to China and Clinton could reform Welfare. Perhaps Obama can stop the waste Liberals and Democrats push through our budget, year after year.
How about cutting a few billion dollars off of the over-bloated Military Industrial Complex?
Ah, the quadrennial promise about cutting government waste and unnecessary programs from the incoming administration. It's nice to see that Obama is like the rest of them after all.
So, we need fiscal restraint to reign in the budget deficit, but we also need huge government spending to jolt the economy. If that makes sense to you, I guess that explains why you voted Obama. Let's not even talk about the tax cuts/hikes he promised during the campaign, because we all know he didn't mean a word of it. At least he's appointing a bunch of moderates from the Clinton era. But, couldn't we have just elected Hillary? I'm totally confused by all the hype around this charlatan we've elected.
quitting Iraq like we quit Vietnam might provide some money. It's not the $10 billion a month we spend it's the after care we don't talk about. The cost to rehab all the PTSB soldiers, the pay for the limbs they lost while our president laughed at the notion of there ever being WMDs at this location.
And as for this bailout, we got to start clamping down on these multibillion dollar houses of cards before they dissolve the rest of the money on the gas for their yachts
what about cut off benefits for those people that have been on walfare for decades receiving government money.
Responsible Fatherhood Initiatives that are ripping children from their mothers!
Why can't we treat our cogressional leaders who are convicted of felonies like we treat military personnel who we dishonorabley discharge. Strip them of their benifits. By commision of a felony, they have now crossed a line in which theier is no retreat. If you want to build trust in our elected officials, treat them like any ordinary citizen. If you do the crime, you do the time, without your pension or healthcare.
Obama has inherited a depression. The Republicans are going to rest now. They know that he cannot fix the economy and will get much of the blame along with the Democrat party. This isn't the 1930's. our industry has been moved abroad. he has a "tar baby" on his hands.
# 14 heynow 98 you should be writing on this blog,smart cookie.