Concerns are rising in Washington regarding the status of an agreement between House Speaker Nancy Pelosi (D-Ca.) and the White House to raise the discretionary spending caps imposed by the Budget Control Act of 2011. If nothing is done, the government will run out of funding and have to shut down on October 1, 2019. The current budget caps will expire at that time and the sequestration process will automatically trigger around $120 billion in across-the-board cuts to domestic and military spending. The United States breached the debt limit on March 5, 2019 and the Treasury Department is now taking extraordinary steps to guarantee the nation will not default.  

With $22 trillion in debt, it is critical that Congress adhere to the budget caps to keep Washington’s runaway spending in check. The sequester expires in 2021, and it should be extended to curb future spending.

If Congress and President Trump reach a deal to raise discretionary spending, all new spending must be fully offset by spending cuts. Any budget agreement should not add to the debt.

The Republican Study Committee (RSC), the largest caucus of conservatives in the House of Representatives, is leading the effort to contain the growing size and scope of the federal government. The Wall Street Journal reported on July 22, “Rep. Mike Johnson (R., La.), the chairman of the conservative Republican Study Committee, a group of around 150 conservative Republicans, spoke with President Trump on Saturday about his concerns with the still-developing budget agreement. ‘We believe the White House and congressional leadership should be prepared to walk away from this if necessary,’ Mr. Johnson said in an interview. ‘I’m encouraged after speaking with the president.’”

If a deal is reached without the fiscal restraint suggested by the RSC, taxpayers could be hit with an additional $2 trillion in deficit spending.