This week, the House will consider legislation reestablishing statutory “pay-as-you-go” (PAYGO). In the 1990s, the Clinton Administration turned deficits into record surpluses due in part by adhering to PAYGO, a principle that compels Congress to pay for what we buy. However, under a Republican President and Congress, PAYGO was waived and allowed to expire, clearing the way for policies that wiped out those surpluses, including huge debt financed tax cuts for the wealthiest Americans that will have to be paid for by the next generation. Restoring our nation’s fiscal health will not be quick or easy, but reinstating PAYGO is an important step toward that goal. PAYGO has a history of bipartisan support, and Democrats hope Republicans will join them this week in supporting this proven tool for fiscal responsibility.
Click here to read summary of PAYGO legislation.