The Explosion of Debt

The U.S. Federal Debt climbs billions of dollars each day.  This debt will probably be $20 trillion within five years and should raise grave concerns for every American. It took 30 years to get to this point and reducing this Federal debt to a manageable level will take years of effort and strong political leadership to make monumentally difficult decisions.

Many Americans can remember when the United States was a creditor nation. Our government loaned money to weaker nations. Now America is a debtor nation and owes trillions to foreign creditors. There are numerous reasons why America allowed this situation to develop: numerous unfunded mandates, unwarranted tax cuts, unfunded wars and the latest - the bail out of the investment bankers in 2008.

If this debt wasn’t daunting enough, America’s biggest creditor, China, is making noise. On the surface the comments earlier this year by Guan Jianzhong, head of China’s largest credit rating agency, seem to indicate that the Chinese do not believe in the U.S. ability to reverse course. Mr. Jianzhong said, “The US is insolvent and faces bankruptcy as a pure debtor nation...” and is on “… the verge of collapse, causing huge damage to the US and its strategic interests…” However, it is the U.S. that holds the cards here… but only for a short time. Almost $1 trillion of China's foreign currency reserves are U.S. debt. China will lose significant economic power if that debt is devalued. The U.S. has time to rectify this, but not a lot of time.

With China we are witnessing the world’s largest creditor attempting to exert its power and authority.  Unless America takes bold steps to manage its debt China will continue to extend its power and authority. Make no mistake; sacrifice by every American will be needed. Leaders with bold thinking and a world view are needed to replace the insular and ignorant.

The country must have new members in Congress who do have the boldness to think strategically and have that world view.  I have over 35 years of main street and business experience in Texas to bring a truly disciplined business approach to Washington to tackle the problem of this exploding debt.

The Escalating Deficit

• Sharp Reduction in Federal Spending
• Spending Control Audits
• Increase Government Revenue

The federal deficit will be nearly $2 trillion and our nation cannot sustain such a drain without threatening your family’s way of life. For a decade Congress carelessly wasted our tax dollars and voted for deficit budgets during a time of great prosperity. When I become your U.S. Congressman, I will work with like-minded colleagues to correct this immediately to bring our National Budget into the black and prevent this threat to our way of life.

Sharp Reductions in Federal Spending

Congress has proven it lacks the collective will to reduce spending. Entrenched incumbents, out of touch with the citizens in their own districts, continue the same game of borrow and spend. Our nation is angry, yet Congress dithers. When I am your U.S. Congressman I will work with fellow members to create Spending Control Audit Groups. These Spending Control Audit Groups will use techniques similar to those the IRS uses on taxpayers. Departments in the Federal Government will come under similar intense scrutiny.

Spending Control Audits

I will work to create legislation authorizing the creation of Spending Control Audit Groups for each of the fifteen departments of the Federal Government.  Members of each audit group will be honest business leaders and retired military leaders; those who have special knowledge of the workings of a given department.

The Spending Control Audit Group for the Dept of Defense will be retired military officers, called to serve their country again. These men and women know which systems in the Pentagon budget are unneeded waste and which systems are critical to National Defense and to our standing army. Likewise, each of the other fourteen Spending Control Audit Groups will be composed of members with specific knowledge of the department they review.

Each Spending Control Audit Group will create a list of existing programs specific to a department of the Federal Government, which the members have found to be wasting taxpayer money. This list will be sent to Congress to be voted on for elimination, with no changes. It will be a straight up or down vote with no changes to the list allowed.

Increase Government Revenue

Working Americans and honest businessmen cannot be victimized again with Republican tax increases to balance the budget. Wall Street robber barons, with bailed out investment bankers and grasping CEOs, almost destroyed honest small businesses and the lives of many Middle Americans. The ones who profited from the recession will be brought to heel. Implementation of a fair system to create governmental revenue to balance our National Budget must be a priority. Those who profited from and created the economic collapse of 2008 will be the ones to repay Americans, who have lost or are close to losing their way of life.

• With a fair revenue system working families will be protected as their financial capability increases.
• With a fair revenue system small businesses will keep more of their profits, enabling them to expand their financial capability and have a secure future.