CSE Urges House of Representatives to Oppose Motion that Would Enforce “Pay-As-You-Go” Provisions

On May 5th, 2004, CSE President Paul Beckner sent the following letter to Members of Congress.

Dear Member of Congress:

Citizens for a Sound Economy (CSE) and its 360,000 members urge the U.S. House of Representatives to reject the motion that is being offered this afternoon by Rep. Dennis Moore (D – 3rd) of Kansas as it would instruct the Budget Conferees to agree on pay-as-you-go enforcement provisions regarding direct spending increases and tax cuts.

The concept of “pay-as-you-go” is sound in the sense that if Congress wants to increase spending on some programs, it has to provide offsetting cuts in spending somewhere else. However, certain legislators such as Rep. Moore want to apply these rules to tax cuts—- despite the fact that tax cuts are not spending, and tax reform and tax relief can actually boost government revenues. Indeed, tax cuts are the ultimate spending restraint— the best kind of portion control— because they keep the money out of Washington, D.C. in the first place. “Pay As You Go” rules should only apply to spending programs.

Again, please vote against Rep. Moore’s motion when it is brought up this afternoon. Thank you.

Respectfully,

Paul Beckner, President
Citizens for a Sound Economy
www.cse.org