PAYGO Rhymes With FIASCO

Ernest Istook / July 23, 2009

Big spenders want you to think they’re actually deficit hawks. They’re lauding themselves for passing PAYGO legislation in the U.S. House, with praise from President Obama. But this bill is more loophole than substance. And Congress retains the power to waive its flimsy requirements whenever it wishes.

PAYGO is about creating political cover, not about controlling spending. Supposedly, pay-as-you-go requires that extra spending in one area must be offset by reducing spending elsewhere, or raising taxes, or requiring the President to sequester funds before they are spent.

The Congressional Budget Office says the measure “would allow the Congress to enact legislation that would increase deficits by an amount in the vicinity of $3 trillion over the 2010–2019 period without triggering a sequestration.” (more…)