The Way Forward: Three Pronged Approach

• Impose Budget Controls and Enhance Legislative Process

  • Discretionary spending caps
  • PAYGO rules on both sides of the ledger
  • Mandatory spending triggers
  • Automatic present value disclosures for legislative debate on major tax and spending bills
  • Provide summaries to Members of every key bill before they vote on it

• Improve Accounting and Reporting and Metrics:

  • Enhanced financial statement presentation (e.g. trust fund activity, intergenerational burdens)
  • Develop key national (outcome-based) indicators

• Re-examine Policies and Programs:

  • Restructure existing entitlement programs
  • Reexamine the base of discretionary and other spending
  • Review and revise existing tax policy, including tax preferences and enforcement programs
  • Expand scrutiny of proposed new programs, policies, or activities