“Rust Belt city benefits from Bidenomics” headlined an article last month in the Wall Street Journal, detailing the economic rebound being experienced by Terre Haute, Indiana, a former manufacturing center in decline for many decades.
Suddenly, due to an infusion of stimulus funding from the 2021 American Rescue Plan Act and the 2022 Inflation Reduction Act, this community is experiencing such a windfall that the mayor is “running out of room on his whiteboard” tracking infrastructure projects. New factories are being built, new home starts have tripled, long vacant properties are rehabbed. The venerable Charlie’s Pub and Grub will get a new roof and awnings.
The new initiatives in Terre Haute are part of the hundreds of billions of dollars in federal subsidies supporting manufacturing, housing, and clean energy ventures doled out during the Biden administration.
But one question was never asked. Where is all this money coming from? You might think “taxpayers,” but the truth is that we spend $2 trillion more every year than we take in. There are no available tax-derived funds available to distribute.
Instead, we spend fantasy money, loans charged off to future generations who don’t vote yet. We really do love them, just not as much as the luxury of getting to have things that we don’t have to pay for.
The Terre Haute story, just one of thousands like it, contains several insights into why spending cuts are so difficult and rare. The public habits of mind we have developed about the role of government and the responsibility of government to live within its means are the ultimate reason we have fallen into such fiscal danger.
Earlier generations of Americans would have been alarmed, not heartened, at the gigantic unfunded Biden spending surge. We instead assume that none of us should endure hardship or decline and that if we do, it is the duty of government to rescue us. Personal responsibility is outmoded.
Government has never been known for its efficiency, so all these “free” things are actually quite expensive. The good news is we still have a productive economy that has generated 1.4% revenue growth, net of inflation, since 2001, the last year the budget was balanced. Reasonably prudent governance would have achieved budget surpluses.
But that’s not what happened. Politicians spent so much feeding our welfare addiction that spending grew by an inflation-adjusted 3.0% annually, creating the true crisis we now face. Present projections by the Congressional Budget Office indicate spending will continue to outpace revenues, absent reform. Our national debt stands at an unimaginable $36 trillion, while borrowing costs are rising.
We’re in deep trouble. It may well be too late to avoid fiscal collapse. Interest on the national debt, the only truly non-negotiable item in the budget, tripled during the Biden years. It now exceeds total defense spending.
Interest payments amount to half of the total amount borrowed We are borrowing money to pay interest on the growing sums already borrowed, with no plan in place to reduce the debt amount, the dreaded Doom Loop.
Yet at this point, millions of families and seniors, businesses and governments manage their finances based on the expectation of federal subsidies, without which they presumably would be bereft. Over 75% of the federal budget goes to support these private expenditures.
Can Trump be the white knight who rescues us from fiscal doom? The logistics aren’t all that ominous (e.g., raising the retirement age of Social Security by two years would help), and Trump has generated more support for cost-cutting than any politician in memory. But it’s a matter of simple arithmetic. We can never balance the budget without addressing entitlements. That’s where the money is.
Entitlements are termed “mandatory” spending, but they are really just creations of Congress which can legally amend them at will, if they have any.
Unfortunately, Trump so far shows more interest in the low hanging fruit (Department of Education, USAID, obvious fraud) than in the hard work of convincing the American people that substantial entitlement reform is risky but necessary. Without him, Social Security and Medicare will remain No-Go zones even for budget hawks.
The task only gets harder as time passes. We’ll see soon.
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.
Thanks to DOGE and four wunderkind coders in Treasury’s basement, Americans learned this week that their government sent millions to fund a “DEI musical” in Ireland, a “transgender comic book” in Peru, electric vehicles in Vietnam, and an Anthony Fauci exhibit at the NIH Museum.
Faster than Ludicrous+ mode on a Tesla, the Trump admin’s new code bros are sifting through the financial ledger of America’s spending. Just 20 days in office and the new administration has saved the American taxpayer billions of dollars — exactly what Trump promised on the campaign trail. And as the president’s third week unfolded, news worsened for Democrats and America’s permanent bureaucratic state.
It seems the permanent bureaucracy borrowed the U.S.S.R.’s media playbook, funneling millions to left-wing news organizations such as The New York Times, Politico and Reuters. Evidently it wasn’t enough that a Republican in the newsrooms of our state-run media outlets, PBS and NPR, is rarer than a cogent sentence from Kamala.
Democrats, meanwhile, have decided that this Deathstar boondoggle of government spending at its worst is the hill they want to die on. Conservatives watched with glee as Rep. Maxine Waters, Sen. Chuck Schumer, et al, led the Charge of the Lightweight Brigade to USAID’s former headquarters. Cue dopey chant: “wE Will wiN!” (2025 update—no, you didn’t).
Before all the spending porn (as the great Louisiana wag, Senator John Kennedy dubbed it), Democrats’ opinion polls were in the gutter, with a disapproval rating of 57%.
Do the Dems think rushing to the barricades to defend out-of-control spending will earn them the respect and admiration of the American public? Expect their approval ratings to continue to sink like the Hindentanic.
USAID is just the beginning.
Wait until DOGE bites into the Department of Defense, which has never passed an audit.
In 2019 while on reserve duty at the Pentagon, I was thrown into yet another meeting chockablock with PowerPoint slides, so beloved by our military. This particular meeting was to cover the results of a service-wide audit. To summarize about 187 slides and 2 hours: we failed.
All the top brass in the room somberly listened to the auditors describe $5 billion worth of missing aircraft engines, leases for buildings and land that did not exist, accounting systems closer in age to the abacus than a modern spreadsheet, and miles of missing debits and credits.
As the most junior officer in the room, I kept quiet but closely studied the faces of my superiors. They too, kept quiet, only murmuring “next slide” as disaster after financial disaster was flashed across the screens.
My inner fiscal hawk prayed that the service chief would flip the table over and channel Col. Nathan “YOU CAN’T HANDLE THE TRUTH” Jessep. But he remained impassive and the meeting dissolved with a whimper and no plans for reform.
That night leaving D.C., I happened to bump into a very senior republican senator at Reagan National Airport and thought it my civic duty to share the (unclassified) events of earlier in the day. I told the venerable appropriator that the audit had revealed billions in waste, fraud, and abuse, and even suggested he should make a request to see the failed audit for himself.
(In the hindsight afforded by three years working in the U.S. Senate, I now know how utterly naive this moment was).
He paused a moment, then said, “Well, you know how these things are. That’s Washington for you.”
I felt sick at the time, which is likely the same feeling many Americans are having this week as they see the grift laid bare in our nation’s capital.
But the good news is that Trump and his DOGE team have restored the hope that government might be right-sized and returned to solid financial footing.
On Friday, when he was asked about the job Elon Musk is doing, the President remarked, “I think we’re going to be very close to balancing budgets for the first time for many years.”
What a tantalizing prospect — a government that spends within its means may truly bring about the golden age of America promised in the president’s inaugural address.
Morgan Murphy is a contributor to The Daily Caller News Foundation, military thought leader, former press secretary to the Secretary of Defense, and national security advisor in the U.S. Senate.
“Due to the recent executive order issued on January 28, 2025 Phoenix Children’s is indefinitely pausing gender-affirming medical care for children under the age of 19,” read a notice issued by the hospital to patient portals involved in their gender transition program.
Like Trump’s other executive orders, the president’s mandate ending gender transitions for children quickly faced legal challenges.
As a result of its pause on the gender transition program, Phoenix Children’s Hospital arranged for its pharmacists to wean program children off of any puberty blockers or hormones.
On Monday, parents also received letters from providers Vinny Chulani and Ashish Patel advising of the end to puberty blockers and hormone replacement therapy.
The hospital marketed its Gender Support Program as the most comprehensive in the state. The program offered consultation for parenting strategies, endocrinology consults, and referrals to mental health providers and specialists for various procedures.
These consultations would explore the use of puberty-suppressing medications as well as masculinizing and feminizing hormonal therapies. The hospital also provided support and advocacy for social transition endeavors in schools and the public through legal name and gender marker changes on identifying documents.
At one time, the hospital affiliated its Gender Support Program with the Arizona Trans Youth and Parent Organization.
Public details of the program in recent years became less available. After AZ Free Newscovered Phoenix Children’s Hospital’s gender transition program at length, the hospital scrubbed more public information of its program from its website.
The extension of transgender ideology to children offered a sort of community for parents affirming the gender dysphoria of their children. Parents of children who underwent gender transition procedures offered by Phoenix Children’s Hospital would join the Gender Proud Patient and Family Advisory Council.
Activist groups issued a statement lamenting Phoenix Children’s Hospital’s decision as a “betrayal” to their cause.
“Gender-affirming care has been shown to significantly improve the mental, emotional, and physical health of transgender youth,” said the coalition. “To remove access to this care in Arizona is a direct attack on the trans community and the families who have fought tirelessly for their children’s well-being.”
Those who signed onto the statement: Tami Staas, the Arizona Trans Youth and Parent Organization; Carol Tappenden, the Education Action Alliance (formerly GLSEN Arizona); Brandie Reiner, NASW Arizona; Dustin Griswold, Family Planning Associates Medical Group; Jeanne Casteen, Secular AZ; Civia Tamarkin, National Council of Jewish Women Arizona; Nate Rhoton, one-n-ten; Grace Chenal, SIGA Therapy; Darrell Hill, ACLU of Arizona; Lynn Davis, Rabbi Joseph H. Gumbiner Community Action Project; Lori Shepherd, Tucson Jewish Museum & Holocaust Center; Athena Salman, Reproductive Freedom for All Arizona; Maria Ingalla, psychiatric mental health nurse and practitioner; and Jodi Liggett, Arizona Center for Women’s Advancement.
AZ Free News is your #1 source for Arizona news and politics. You can send us news tips using this link.
Attorney General Kris Mayes joined a secret compact with 21 other attorneys general to resist President Donald Trump’s efforts to end birthright citizenship.
The Heritage Foundation’s Oversight Project obtained the secretive agreement, dated a little over a week after Trump won reelection.
🚨SECRET BLUE STATE RESISTANCE AGREEMENT OBTAINED – BIRTHRIGHT CITIZENSHIP🚨
We have obtained a secret agreement between 22 blue states, DC, and San Francisco, signed beginning on November 8, 2024. This agreement, just 3 days after President Trump's landslide election win,… pic.twitter.com/7AsqgCjlcX
Per the agreement, the 22 attorneys general agreed to engage in collaborative legal and communicative efforts to resist Trump’s immigration enforcement initiatives, including those deemed confidential and/or privileged.
Per the agreement, all shared information would be used for the development of processes such as pre-suit investigations, litigation strategies, complaints, dispositive motions, merits briefs, and amicus briefs. The agreement prohibited third parties from accessing any of this shared information. The agreement extended its definition of shared information to include all documents, materials, information, and communications exchanged between the attorneys generals’ offices prior to the agreement.
The agreement did allow for public records access to the shared information, but required the attorneys general to give five days’ notice, minimum, to the other attorneys general about the request before it was due.
“The Parties have agreed that they have a common interest in developing potential litigation to challenge executive action related to ending or curtailing birthright citizenship,” stated the agreement.
The other attorneys general to enter the secretive agreement oversaw California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maine, Massachusetts, Maryland, Michigan, Minnesota, New Jersey, Nevada, New Mexico, New York, North Carolina, Oregon, Rhode Island, Vermont, Washington, Wisconsin, as well as Washington, D.C.
The city and county of San Francisco, California also joined the agreement last month.
Trump issued an executive order ending birthright citizenship during his first day in office. The order extends to children born of illegal immigrant parents in the U.S. It prohibits the federal government from issuing or accepting citizenship documents from persons born under those circumstances after its effective date, which is scheduled to take place later this month.
“[T]he Fourteenth Amendment has never been interpreted to extend citizenship universally to everyone born within the United States. The Fourteenth Amendment has always excluded from birthright citizenship persons who were born in the United States but not ‘subject to the jurisdiction thereof,’” read the order.
The order flies in the face of longstanding court precedent on the matter.
That precedent led three federal judges in separate cases to block Trump’s executive order ending birthright citizenship. The first two occurred in Washington and Maryland, with the third occurring on Monday in New Hampshire.
Mayes joined Arizona to the case blocked in the Washington district court earlier this month. Based on the timeline of the secretive agreement and the filing of their lawsuit, it appears the case emerged directly from that agreement.
“The court’s decision to block this illegal executive order nationwide protects the basic right to birthright citizenship guaranteed by the 14th Amendment,” said Mayes. “I will keep fighting to protect the Constitutional rights of all Arizonans from the Trump administration’s illegal actions.”
Several of those states signed onto the secretive agreement — Washington, Oregon, and Illinois — were partnered on the lawsuit with Mayes.
AZ Free News is your #1 source for Arizona news and politics. You can send us news tips using this link.
One of Arizona’s most powerful lawmakers was in Washington, D.C., this week to attend a significant event at the White House.
On Wednesday, Arizona Senate President Warren Petersen attended an event at the White House, where President Donald J. Trump signed an executive order to keep men out of women’s sports.
The executive order stated that, “In recent years, many educational institutions and athletic associations have allowed men to compete in women’s sports. This is demeaning, unfair, and dangerous to women and girls, and denies women and girls the equal opportunity to participate and excel in competitive sports.”
President Trump’s order went on to mandate that, “It is the policy of the United States to rescind all funds from educational programs that deprive women and girls of fair athletic opportunities, which results in the endangerment, humiliation, and silencing of women and girls and deprives them of privacy. It shall also be the policy of the United States to oppose male competitive participation in women’s sports more broadly, as a matter of safety, fairness, dignity, and truth.”
Petersen has been instrumental in leading legal efforts to defend Arizona’s Save Women’s Sports Act in 2022. After a panel of the U.S. Court of Appeals for the Ninth Circuit ruled to sustain an injunction against this law, Petersen and other Arizona officials appealed to the Supreme Court of the United States to request a hearing at the nation’s high court. The state is still awaiting the Supreme Court’s decision on whether to accept cert on the case.
I am on my way to the White House. Trump is about to make girls sports great again. No more stolen titles. Girls can again pursue their dreams. 70 percent of Americans agree on this issue. And Republicans are delivering on multiple fronts and from all three branches. We have…
In a statement previewing his appearance at the White House, Petersen said, “The war against women and girls is now taking a dramatic turn for the better, and sanity is being reinstated. This is exactly the common sense that Arizona and America voted for. Thanks to President Trump, American girls can once again pursue their dreams. No longer will athletic titles be stolen from them by males. An overwhelming 70% of Americans agree on this issue, which is a key reason why approval ratings of Democrat elected officials are at an all time low.”
🚨FOR IMMEDIATE RELEASE: Senate President @votewarren Joins President @realDonaldTrump at White House for Executive Order Signing to Ban Men from Women's Sports
Petersen added, “I’m proud to join President Trump today in Washington D.C. for this historic moment. He is going to make girls’ sports great again, and I know that he will never stop fighting for us.”
According to a recent poll from Gallup, 69 percent of Americans believe that transgender athletes “should only be allowed to play on sports teams that match their birth gender.” This number was a seven percent increase in public perception over two years.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.