H.R. 1848, the "One Percent Spending Reduction Act of 2011" - Issues & Legislation - Congressman Connie Mack

H.R. 1848, the "One Percent Spending Reduction Act of 2011" - Issues & Legislation - Congressman Connie Mack

H.R. 1848, the “One Percent Spending Reduction Act”

Despite the short-term resolution of the debt ceiling issue, Congressman Mack continues to hear from people throughout the country who say “enough is enough” to Washington’s out-of-control spending habits.
That is why he introduced H.R. 1848, the “One Percent Spending Reduction Act” – also known as the “Mack Penny Plan” – which is a longer-term solution to our year-to-year deficits, which are leading to mounting national debt.
H.R. 1848 (click here to see bill text) would:

• Cut federal spending by 1% each year for 6 years,
• Cap spending at 18% of GDP in the 7^th year,
• Balance the federal budget in the 8^th year, and
• Save taxpayers $7.5 trillion over 10 years.

This bill currently has over 50 co-sponsors (click here to see list) and has a Senate companion bill (S. 1316) that was introduced by Sen. Mike Enzi (R-WY) and enjoys the support of several key Senators.
At present, H.R. 1848 has been endorsed by:

• FreedomWorks (click here to see letter)
• The National Taxpayers Union (click here to see letter)
• The One Cent Solution (click here to see letter)

Congressman Mack has appeared on numerous television and radio programs discussing the bill, as well. Click here to see clips from Fox News, Fox Business, CNN, MSNBC, and others.
For a one-pager on the bill, click here.
For articles and op-eds, click here.

A Path to Balancing the Federal Budget

The Mack “One Percent Spending Reduction Act of 2011” (H.R. 1848) will achieve a balanced federal budget, beginning in 2019, by bringing federal spending down to average federal revenue over the past 30 years, which is 18% of gross domestic product (GDP).
KEY PROVISIONS:
One Percent Spending Reduction per Year:  The Mack One Percent bill cuts total spending – mandatory and discretionary – by one percent each year for six consecutive fiscal years, beginning in fiscal year 2012.

• FY 2012 – $3.382 trillion*, less one percent => $3.348 trillion cap
• FY 2013 – $3.348 trillion, less one percent => $3.315 trillion cap
• FY 2014 – $3.315 trillion, less one percent => $3.282 trillion cap
• FY 2015 – $3.282 trillion, less one percent => $3.249 trillion cap
• FY 2016 – $3.249 trillion, less one percent => $3.216 trillion cap
• FY 2017 – $3.216 trillion, less one percent => $3.184 trillion cap

Overall Spending Cap in FY 2018:  The bill sets an overall spending cap of 18 percent of GDP beginning in fiscal year 2018.
Enforcement of Spending Cuts:  The one percent spending cuts would be achieved one of two ways: either 1) Congress and the President work together to enact program reforms and cut federal spending by one percent each year; or 2) If Congress and the President fail to do so, the bill triggers automatic, across-the-board spending cuts to ensure the one percent reduction is realized.
 *Congressional Budget Office March 2011 Baseline for Total Outlays minus Net Interest
Presently the Mack Penny plan enjoys the support of more than 50 co-sponsors in the U.S House