Post by gsoflittledove on Jan 31, 2010 5:11:51 GMT 12.75
Hensarling Statement On The President’s Appearance At GOP Retreat
“I have great respect for President Obama… But, again, he didn't answer my specific question on whether he would continue us on a path to tripling the national debt and increasing government spending to 24.5% of the economy.”
WASHINGTON, DC — Congressman Jeb Hensarling, Vice Ranking Member of the House Budget Committee, released the following statement and fact summary sheet after President Obama challenged his facts on House Republican budget priorities verses Democrat budget priorities:
“I asked the President today if he intended to propose the type of spending that has put our nation on the path to bankruptcy. Unfortunately, he didn’t assure taxpayers that he was committed to stopping the spending.
“The President also challenged the facts I presented to him about House Republican budget priorities and Democrat budget priorities. I am happy to provide him with the following facts to back-up my statements. I stand by what I said.
“I have great respect for President Obama. I am grateful he chose to address the House Republicans – and I give him credit for accepting our invitation. But, again, he didn't answer my specific question on whether he would continue us on a path to tripling the national debt and increasing government spending to 24.5% of the economy.
Assertion: “The Republicans proposed a (Fiscal Year 2010) budget that ensured that government did not grow beyond the historical standard of 20% of GDP.”
FACT: Under the budget proposal put forward by House Republicans, spending as a percent of GDP is 20.7% of GDP in 2015, and in 10 years is at 20.7% of GDP. Source: House Budget Committee Republicans "The Path to American Prosperity" Budget Alternative, Table S-1 www.house.gov/budget_republicans/press/2007/pr20090401_gopbudget.pdf. Historical standard is 20.7% of GDP. Source: Heritage Foundation s3.amazonaws.com/thf_media/2010/pdf/wm_2780.pdf
Assertion: “It was a budget that actually froze immediately nondefense, discretionary spending.”
FACT: The House Republican budget froze non-defense/non-veteran spending for 5 years (FY2010-14). Source: House Budget Committee Republicans “The Path to American Prosperity” Budget Alternative, Page 39 www.house.gov/budget_republicans/press/2007/pr20090401_gopbudget.pdf
Assertion: “It spent $5 trillion less than what was ultimately enacted into law.”
FACT: The House Republican budget called for $36.913 trillion in spending over 10 years, whereas CBO estimated in March that the President’s budget would spend $41.726 trillion over 10 years. This is a difference of $4.813 trillion over a 10 year period.
Source: House Budget Committee Republicans "The Path to American Prosperity" Budget Alternative, Table S-1 www.house.gov/budget_republicans/press/2007/pr20090401_gopbudget.pdf and CBO’s Baseline and Estimate of the President’s Budget, June 2009 www.cbo.gov/ftpdocs/102xx/doc10296/06-16-AnalysisPresBudget_forWeb.pdf
Assertion: “What were the old annual deficits under Republicans have now become the monthly deficits under Democrats.”
FACT: According to CBO's September 2009 Monthly Budget Review www.cbo.gov/ftpdocs/105xx/doc10552/09-08-mbr.htm, July 2009’s deficit was $181 billion. According to CBO’s December 2009 Monthly Budget Review www.cbo.gov/ftpdocs/108xx/doc10825/12-4-09MBR.htm, October 2009’s deficit was $176 billion. Comparatively, according to OMB’s Historical Tables (Table 1.1) www.whitehouse.gov/omb/budget/Historicals/, Republicans’ last annual deficit was $160.7 billion in FY2007.
Even Republicans worst annual deficit - $412.7 billion in FY2004 according to OMB’s Historical Tables (Table 1.1) www.whitehouse.gov/omb/budget/Historicals/ – pales in comparison to Democratic deficits. According to CBO’s January Monthly Budget Review www.cbo.gov/ftpdocs/108xx/doc10869/December2009MBR.pdf, in the first 3 months of FY2010 (October-December 2009) alone, Democrats have run up a deficit of about $390 billion - $22.7 billion shy of the GOP’s worst annual deficit.
Assertion: “The national debt has increased 30%.”
FACT: According to CBO’s January 2010 Budget and Economic Update (Table F-1) www.cbo.gov/ftpdocs/108xx/doc10871/AppendixF.shtml#1096834, the debt held by the public at the end of FY2008 was $5.803 trillion, and at the end of FY2009 was $7.544 trillion. This is an increase of 30%.
Assertion: “Your administration proposed a budget that would triple the national debt over the next 10 years.”
FACT: According to CBO’s June 2009 estimate of the President’s Budget www.cbo.gov/ftpdocs/102xx/doc10296/06-16-AnalysisPresBudget_forWeb.pdf, debt held by the public would rise from its 2008 level of $5.803 trillion to $17.126 trillion in 2019, which is 2.95 times larger than the 2008 level.
Assertion: “Will that new budget, like your old budget, triple the national debt and continue to take us down a path of increasing the cost of government to almost 25% of our economy?”
FACT: According to the President’s FY2010 budget (Table S-1) www.whitehouse.gov/omb/budget/fy2010/assets/summary.pdf, debt held by the public is set to rise from $5.803 trillion in FY2008 to $16.027 trillion in FY2019, which is 2.76% times larger. Also, the President’s budget shows spending as a percentage of GDP at 24.4% for FY2010. CBO’s June 2009 estimate www.cbo.gov/ftpdocs/102xx/doc10296/06-16-AnalysisPresBudget_forWeb.pdf of the President’s budget also shows federal outlays at 24.5% of GDP in 2019.
Bill