Monday, June 25, 2018
Opinion

Column: Road map to a grand bargain on budget

It's been 2½ years since the National Commission on Fiscal Responsibility and Reform that we co-chaired released its final recommendations on charting a path toward meaningful and bipartisan debt reduction. Since then, we have traveled the country, speaking to hundreds of thousands of Americans of all ages, incomes, backgrounds and ideologies about our debt challenge.

No matter our audience, those we spoke with shared two things: a thirst for the truth about what it will take to right our fiscal ship and a willingness to be part of the solution so long as everyone is in it together.

Unfortunately, in Washington, the past two years have been defined by fiscal brinksmanship. Policymakers have lurched from crisis to crisis, waiting until the last moment to do the bare minimum to avoid catastrophe without addressing the fundamental drivers of our long-term debt.

To be sure, some progress has been made the past two years. Policymakers have enacted about $2.7 trillion in deficit reduction, primarily through cuts in discretionary spending and higher taxes on wealthy individuals. Yet what we have achieved so far is insufficient.

Nothing has been done to make our entitlement programs sustainable for future generations, make our tax code more globally competitive and progrowth or put our debt on a downward path. Instead, we have allowed a "sequestration" to mindlessly cut spending across the board — except in those areas that contribute the most to spending growth.

But there are seeds of hope that a bipartisan agreement might be achievable.

In December, the two parties were as close as they've ever been on a plan to put our fiscal house in order. Although they did not reach agreement, we continue to believe that broader compromise is possible.

There are significant, substantive differences between the parties on key issues. But we hope that instead of retreating to their respective partisan corners, leaders in both parties will work to bridge the divide.

That's why we released a new plan this month that builds on the most recent negotiations between President Barack Obama and House Speaker John Boehner. In crafting it, we drew on the conversations we have had with policymakers from both parties in the past two years, and we worked to address concerns raised about the plan we put forward in 2010. This new plan represents what we believe is both necessary and politically possible, highlighting areas where there is bipartisan agreement and outlining ways to bridge differences on other areas.

The plan we propose would achieve $2.5 trillion in deficit reduction through 2023, replacing the immediate, mindless cuts of the sequester with smarter, more gradual deficit reduction that would avoid disrupting a fragile economic recovery while putting the debt on a clear downward path relative to the economy over the next 10 years and beyond. Importantly, the plan would achieve this deficit reduction while respecting the principles and priorities of both parties.

Our proposal contains concrete steps to reduce the growth of entitlement programs and make structural changes to federal health programs, such as reforming the health care delivery system to move away from the fee-for-service model and gradually increasing the eligibility age for Medicare. At the same time, it would provide important protections and benefit enhancements for low-income and vulnerable Americans, such as an income-related Medicare buy-in for seniors affected by the increase in Medicare's eligibility age and greater protections against catastrophic health care costs for low-income seniors.

Our proposal recognizes that additional revenue must be part of a comprehensive deficit-reduction plan for both substantive and political reasons. Our plan raises revenue through comprehensive tax reform that lowers rates, improves fairness and promotes more vibrant economic growth.

These structural reforms are accompanied by spending cuts in all parts of the budgets put forward by both parties, including cuts to defense and nondefense programs. The plan also includes a shift to the chained consumer price index to provide more accurate indexation of provisions throughout the budget, with a portion of the savings devoted to benefit enhancements for low-income populations. Together, these policies would put the debt on a downward trajectory as a share of gross domestic product — and would keep it declining for the long term.

Our proposal is not our ideal plan, and it is certainly not the only plan. It is an effort to show that a deal is possible in which neither side compromises its principles but instead relies on principled compromise. Such a deal would invigorate our economy, demonstrate to the public that Washington can solve problems and leave a better future for our grandchildren.

© 2013 Washington Post

Comments
Editorial: Handing out gift cards like candy at CareerSource

Editorial: Handing out gift cards like candy at CareerSource

Itís hard to pick the biggest outrage in the financial and ethical swamp that has swallowed Tampa Bayís two primary job placement agencies, CareerSource Pinellas and CareerSource Tampa Bay. Is it the boiler room atmosphere where CareerSource recruite...
Published: 06/21/18
Updated: 06/22/18

Family separation crisis is not over

The family-separation crisis that President Donald Trump created is not over. The executive order Trump signed Wednesday purporting to end the routine tearing of children from their undocumented parents stands on uncertain legal ground. U.S. border a...
Published: 06/21/18
Updated: 06/22/18
Editorial: State help needed to staff hotlines with veterans helping veterans

Editorial: State help needed to staff hotlines with veterans helping veterans

Veterans can help veterans deal with trauma resulting from military service in a way no one else can. Thatís the theory behind a special hotline set up in the Tampa Bay area that proponents are hoping to take statewide.The expansion would cost some $...
Published: 06/21/18
Updated: 06/22/18
Editorial: With Supreme Court ruling, Florida should collect sales tax from online retailers

Editorial: With Supreme Court ruling, Florida should collect sales tax from online retailers

It turns out the U.S. Supreme Court has a better grasp of the economic realities of the 21st century than Congress or the Florida Legislature. The court ruled Thursday that states can require online retailers to collect sales taxes even if the retail...
Published: 06/21/18
Updated: 06/22/18
Editorial: Congress should ban splitting kids, parents

Editorial: Congress should ban splitting kids, parents

The shocking scenes of immigrant children crying after being taken from their parents at the border exposed a new level of cruelty by the Trump administration, and though the president reversed course Wednesday, Congress needs to end the shameful pra...
Published: 06/21/18

Editorial: Florida needs to explain its own price gouging

In the wake of Hurricane Irma last fall, Attorney General Pam Bondi vowed to scour Florida to prevent businesses from exploiting consumers by price gouging. It turns out she could have just looked down the hall in the state capitol. Based on reportin...
Updated: 4 hours ago
Sessions kickstarts action on marijuana

Sessions kickstarts action on marijuana

Good job, Jeff Sessions! It seems the attorney generalís misguided attempts to revive the unpopular and unjust federal war on marijuana may be having the exact opposite effect ó prompting a new bipartisan effort in Congress to allow states to legaliz...
Published: 06/18/18
Updated: 06/21/18
Editorial: A court victory for protecting Floridaís environment

Editorial: A court victory for protecting Floridaís environment

A Tallahassee judge has affirmed the overwhelming intent of Florida voters by ruling that state lawmakers have failed to comply with a constitutional amendment that is supposed to provide a specific pot of money to buy and preserve endangered lands. ...
Published: 06/18/18
Updated: 06/20/18
Editorial: Trump should stop taking children away from parents at the border

Editorial: Trump should stop taking children away from parents at the border

Innocent children should not be used as political pawns. That is exactly what the Trump administration is doing by cruelly prying young children away from their parents as these desperate families cross the Mexican border in search of a safer, better...
Published: 06/17/18
Updated: 06/19/18

Editorial: ATF should get tougher on gun dealers who violate the law

Gun dealers who break the law by turning a blind eye to federal licensing rules are as dangerous to society as people who have no right to a possess a firearm in the first place. Yet a recent report shows that the federal agency responsible for polic...
Published: 06/17/18
Updated: 06/18/18