Republicans Get One More Chance to Do the Right Thing

Republicans Get One More Chance to Do the Right Thing

By Dr. Thomas Patterson |

The last time Republicans lived up to their reputation for sound fiscal policy was almost 30 years ago. In March 1995, Speaker Newt Gingrich and the Republican House caucus, to the jeers of skeptics, resolved to balance the federal budget within seven years. They did it in four.

Yet ever since, Republicans have provided slight protection against the unending torrent of Democrat spending schemes. They talk a brave game of cutting when out of power but are mostly unable to curb their political urge to spend when they have the authority.

Consequently, the national debt doubled from $5 trillion to $10 trillion under the inattentive George W. Bush. Candidate Donald Trump in 2016 promised to pay down the debt completely over eight years. Sure. In just four years, the debt surged by $7.8 trillion, a 36% hike.

We’ve all seen the drill. Create an emergency spending need where none exists (climate change) or which could better be addressed in a more measured way (COVID), exaggerate the danger, create panic, open the spigot, take credit.

$4.1 trillion in new spending during the Biden years for these created “emergencies” have put Americans in extremely dangerous fiscal territory. The voters this time gave House Republicans one more chance to redeem themselves. Now the stakes are higher than ever, and the pressure is on.

The early rhetoric was promising. However, vows to “curb wasteful government spending” were followed by…reinstatement of earmarks. Those little pieces of unvetted local pork slipped into spending bills to benefit individual legislators. What a crushing disappointment.

Republicans swore off earmarks in 2011. But when a Democrat Congress brought them back in 2021, 120 Republicans partook, scooping up $5 billion for their own Bridges to Nowhere. A motion this year to disallow earmarks was overwhelmingly defeated in the Republican caucus.

15 conservative policy groups cautioned Republicans that “earmarks are one of the most corrupt, inequitable and wasteful practices in the history of Congress.” Each congressman earns his little cookie by supporting all of his colleagues’ polite graft.

Yet GOP appropriators claimed earmarks were their “constitutional duty” and actually help to control spending! What a crock.

The Republican face plant over a matter so obviously wrong gives fiscal conservatives the sinking feeling that they may not be up to the fight. Candidates barely mentioned the deficit/debt during the last election, in contrast to previous campaigns. What fiscal crisis?

Instead, Americans have been conditioned by their politicians to believe that no wants should be unmet, that we “deserve” lavish government benefits unyoked to effort, that thorny political issues from illegal immigration to educational failure can be solved by simply spending more, and that any fiscal consequences can be safely kicked down the road.

Republicans aren’t going to dig out of this hole any time soon. But they can start the process by doing the right thing right now.

As this is written, Republicans are negotiating an omnibus budget bill of nearly $2 trillion. The leadership has known for nine months this must be completed by year’s end, but once again thoughtful, thorough budgeting has given way to a 4,155-page bill delivered at 1:30 AM to legislators who can’t possibly understand its provisions.

The bill contains no program cuts, but instead a mix of mandatory spending, outrageous pork like LGBTQ “Pride Centers,” and a specific prohibition against funding for border security. Lawmakers must approve the bill now or, in the case of Republicans, be held liable for the dreaded government shutdown.

But economist Steve Moore has a better idea. Republicans only need to refuse to waive provisions of the 2010 Pay-As-You-Go Act. PAYGO has been routinely suspended in recent years, but just 41 of 50 senators refusing this time would result in $130 billion in mandatory “sequester” cuts, just 5% of the Biden spending splurge.

Alternately, Congress could cancel the $80 billion for 87,000 new IRS agents, take back $500 billion in unspent COVID funding, and/or scale back the “Green New Deal” subsidies, a relatively painless way to uphold the PAYGO rules.

Congressional Republicans will never have a better opportunity to begin the return to responsible governance. If they don’t have the will now, when will they?

Dr. Thomas Patterson, former Chairman of the Goldwater Institute, is a retired emergency physician. He served as an Arizona State senator for 10 years in the 1990s, and as Majority Leader from 93-96. He is the author of Arizona’s original charter schools bill.

Arizona’s State Budget Proves That MAG’s Proposed $70 Billion ‘Momentum’ Plan Is a Complete Failure

Arizona’s State Budget Proves That MAG’s Proposed $70 Billion ‘Momentum’ Plan Is a Complete Failure

By the Arizona Free Enterprise Club |

State taxpayers should not be bailing out a broken Maricopa Association of Governments (MAG) plan. But that’s exactly what lawmakers are doing in the recently enacted Arizona state budget. That’s right. Your elected leaders just passed a budget that includes hundreds of millions of dollars for road projects—all being paid for with your tax dollars. (You can see for yourself on pages 9-11 right here.)

At first glance, that probably doesn’t seem like a big deal. After all, it makes sense for tax dollars to go toward necessary road projects. But the problem is that these road projects are supposed to be paid for by the Maricopa County Prop 400 regional plan that was assembled by MAG…

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A Balanced Budget Constitutional Amendment May Be Our Only Hope

A Balanced Budget Constitutional Amendment May Be Our Only Hope

By Dr. Thomas Patterson |

Over the last few decades, no force on earth has been able to halt the explosive growth of U.S. federal debt.

At the conclusion of WWII, fiscal conservatives were aghast that our national debt had ballooned to $259 billion. By the end of the Vietnam War, it stood at $533 billion and, despite urgent warnings, was over $5.6 trillion by the end of the century. Today it stands at $30 trillion after the Biden administration’s horrific spending spree conducted on the pretext of limiting the fallout from COVID.

The reason is pretty simple. Spending other peoples’ money is politically popular. Taxes are not and budget cutting is risky.

We have developed a political culture in which the reelection of incumbents is the highest of all priorities. It is considered perfectly acceptable to just kick the can down the road and let future generations sort out the consequences of our selfishness.

So, for example, when Bush 43 attempted to propose desperately needed reforms for Medicare and Medicaid, he was mercilessly demagogued for “pushing granny over the cliff.” His Republican allies deserted him, and the effort collapsed. Nobody has tried any such thing since, although debt reduction is mathematically impossible without entitlement reform.

It doesn’t take a genius to see where this is going. Interest rates are rising while serious geopolitical threats are forming. We’re backing ourselves into a position of severe internal and external weakness at just the wrong time.

Yet the political class remains unmoved. Some pay lip service to fiscal discipline, but the spending goes on unabated. Student loans, accommodations for illegal immigrants, and missiles for Ukraine on the condition that no Russians will be harmed by their use are all embraced as if unlimited funds are available.

Fortunately, our forefathers anticipated that the government they created would attempt to exceed its limited constitutional powers. They gave the states a powerful tool to defend themselves—the right to amend the Constitution on their own.

Article V of the Constitution mandates that Congress “shall” call a constitutional convention when requested to do so by 2/3 of the states and that any amendments proposed, when ratified by 3/4 of the states, become “Part of this Constitution.”

The founders would be disappointed to know that the states have never exercised this extraordinary privilege. Thomas Jefferson, knowing how these things go, thought a convention of the states would be needed every generation or so to reign in federal government encroachments.

Instead, the states have stood meekly by as the federal government has far surpassed them in power and prestige to the point where calling a convention of the states is seen as an act of rebellion against authority.

But nothing else has worked to restrain federal spending. Millions of dollars have been spent to elect self-described fiscal conservatives, yet it’s beyond obvious that Congress will never reform itself.

Of course, the convention-of-the-states idea has its enemies. Opposition from the spenders on the Left is understandable because they don’t want to end their gravy train. But it is the alliance between the Left and conservative stalwarts like the Eagle Forum and John Birch Society which have effectively stalled progress.

Their arguments are inspired by fear. Their principal objection is the perceived threat of a “runaway convention,” the fear that in a constitutional convention, there would be nothing to stop special interest groups from pushing their agendas from banning abortion to banning guns.

Hogwash. Even if the state legislatures fail to limit the authority of Convention delegates, 38 states must ratify any proposed amendments. That historically has been a very strong protection.

Right-wing opposition seems mostly concerned that the convention could inflict lasting damage to the sanctity of our Constitution. The opposite is the truth.

Nothing could honor and strengthen the Constitution more than using its own provisions to enable us to address our most urgent modern threat. The other option is the Left’s practice of declaring a “living” Constitution that says whatever judges say it does.

It’s time for us to flex our democratic muscles and fulfill our destiny as free, optimistic, and proud Americans. Our republic may be in the balance.

Dr. Thomas Patterson, former Chairman of the Goldwater Institute, is a retired emergency physician. He served as an Arizona State senator for 10 years in the 1990s, and as Majority Leader from 93-96. He is the author of Arizona’s original charter schools bill.

Let’s Zero Out Arizona’s Income Tax—And End Tax Day Forever

Let’s Zero Out Arizona’s Income Tax—And End Tax Day Forever

By Matt Salmon |

If Tax Day were held in early November instead of April 15th, I doubt Republicans would lose a close election again.

The financial squeeze of the Internal Revenue Service’s (IRS) filing deadline always feels personal. But it especially hurts this year. On top of President Joe Biden’s proposal to hike taxes on everything from capital gains to married couples, families across the country are suffering from another hidden tax: historic inflation.

The nationwide Consumer Price Index (CPI) increased by 7.9 percent as of last month. In Arizona, where the average price of gas now exceeds $4.60 per gallon, the Phoenix area is suffering from a CPI increase closer to 11 percent. Wherever you look, workers’ paychecks just aren’t going as far as they used to.

It’s wrong.

Florida and Texas have it right. People deserve to keep the money they earn. That’s why, if I’m elected as Arizona’s next governor, I plan to eliminate our state’s income tax once and for all.

Republicans need to stay on offense. Democrats in the Grand Canyon State dream of turning us into California. They have been aggressive in their efforts to do so, from pushing a 78 percent hike on small businesses at the state level to ramping up tax and fee increases at the local level.

Conservatives cannot allow ourselves to be pacified by simply stopping these bad ideas. We should feel equally comfortable moving in the opposite direction. And so far, thanks to smart policymaking by Governor Doug Ducey and our state legislators, we have been successful in doing so.

Over the past few years, Arizona has indexed the state income tax rates to inflation; conformed the state income tax to the Internal Revenue Code after passage of the Tax Cuts and Jobs Act; exempted military retirement from the state income tax; and passed into law a 2.5 percent flat tax representing the single largest tax cut in our state’s 110-year history.

Along the way, Democrats repeatedly warned that further reductions in the income tax would plunge us into turmoil and bankrupt government services. In reality, our state budget is in better shape than ever, with $5.27 billion in projected surplus revenue this year and plenty of room to return money to taxpayers.

Our economy is booming, too. We experienced the third-fastest economic recovery in the United States coming out of the pandemic, and we are expected to add more than 720,000 jobs over the next ten years.

These are the fruits of freedom. It is well past time to go further.

By eliminating the state income tax, we will create a business environment so welcoming to new investment that we’ll be beating businesses and entrepreneurs off with a stick. These job creators won’t pay any income tax. But they will pay property taxes, sales taxes, and more—and our tax revenues, along with our economy, will continue to grow hand-in-hand.

The bottom line is that hardworking families deserve to keep the money they earn, especially in inflationary times like these when the American Dream feels so far out of reach.

Zeroing out this tax—and ringing in Arizona’s final Tax Day—is not just the smart thing to do. It’s the right thing to do. I am the only candidate for governor who has endorsed it. And, as our next governor, it’s exactly what we will do.

Matt Salmon, a former U.S. representative and co-founder of the Freedom Caucus, is a Republican candidate for governor of Arizona.