budget Briefing Booklet fy 2014 budget proposals — April 12, 2013 —
WHAT’S IN SIDE 01
INTRODUCTION
02
WHY A BUDGET MATTERS
04
CASE STUDY IN MEDICARE MANDATORY SPENDING Infographic
07
PRESIDENT, HOUSE AND SENATE BUDGET SUMMARIES INfographic
09
WHAT’S IN THE PRESIDENT’S BUDGET?
13
WHAT’S IN THE HOUSE BUDGET?
17
WHAT’S IN THE SENATE BUDGET?
01 INTRO TO THE BUDGET Each year, Washington is required by law to pass a budget by April 15. In theory, once the budget is enacted, Washington must pass 12 yearly spending bills to fund discretionary spending (agencies such as the Department of Defense and the Department of Education that are funded on a yearly basis) before the start of the government’s fiscal year (October 1). This sounds great in theory, but unfortunately, Washington has neglected to make it work in practice. Here is how the process is supposed to work: By the first Monday in February, the president is required by law to submit his budget to Congress. His budget is supposed to be an “opening bid”—a starting point for the House and Senate Budget Committees as they develop their budgets. This year, in a break with a 92-year tradition, Congress was the one to kickstart the budget process because the president did postpone submitting his budget until April 10, which is over 60 days past the deadline established by law. According to the National Journal, “The modern executive budget process...was established under the Budget and Accounting Act of 1921. The law also created the agency that would eventually become the White House Office of Management and Budget. And, every year since then...the president’s submission has represented the start of the budget process—until now.”1 Most of the discussion in the coming days will focus on the numbers. So why does a budget matter, and what proposals are on the table?
Why the Budget Matters One of the most important figures laid out in a budget proposal is the topline number for discretionary spending. Generally, discretionary spending is spending that occurs through the yearly appropriations process.2 While a budget might make many policy proposals, these policy reforms in a budget are just a blueprint. A future bill is required to be signed into law to make these types of policy changes such as tax reform or mandatory spending modernization. Another important part of a budget is reconciliation instructions, which is an optional procedure that is intended to allow some deficit reduction measures to be fast-tracked through the legislative process, bypassing the Senate filibuster.3 Reconciliation has evolved since its inception, so just because reconciliation is used one cannot necessarily count on it to cut spending. In summary, here is what is in a budget:
•Topline spending number for discretionary spending (excludes mandatory spending such as Medicare). •Reconciliation instructions to fast-track spending cuts and tax policy changes. •Policy proposals that suggest where a budget wants to take the country. These policy proposals would have to be enacted in a future law to actually take effect.
WHY A BUDGET NEEDS REFORM IThe actual budget resolution does not have the force of law, which means the budget resolution itself is primarily a messaging tool. Congress’ annual budget is passed in the form of a concurrent resolution. While the budget is supposed to be voted on yearly by both the House and the Senate, it is not signed into a public law by the president.4 So, it’s best to think of the topline discretionary spending number set by the budget and the opportunity to use reconciliation instructions to fast-track legislation as Congress using “selfenforcement mechanisms.”
03 There are two major ways Congress can spend money: discretionary spending and mandatory spending. And to really understand the mechanics of the budget, it is critical to understand this concept. Discretionary spending, as we discussed above, is spending that occurs through yearly appropriations acts.5 In general, funding provided through annual appropriations acts are considered to be non-permanent legislation. In other words, these yearly appropriations laws only apply for one fiscal year.6 Mandatory spending is spending that is controlled by laws other than appropriations acts. Programs such as Social Security, Medicare and farm commodity programs represent mandatory spending.7 In the case of mandatory spending, Congress sets eligibility requirements and benefit formulas. If a recipient meets the requirements, the spending generally happens automatically.8 A topline spending number set in the budget only includes discretionary spending. It does not set a serious enforcement mechanism for mandatory spending. While a budget can be used to for reconciliation to fast-track legislation to reduce spending, the largest mandatory spending program, Social Security, is specifically blocked from reconciliation.9
CASE STUDY IN MEDICARE MANDATORY SPENDING A budget can map out a path to change mandatory spending such as Medicare, but it does not actually change policy. A future law would be required to do that. However, since the budget contains few “self-enforcement mechanisms” for mandatory spending, it shows how badly the budget process needs to be reformed since mandatory spending makes up a majority of all federal spending. Medicare plays a vital role by providing needed health insurance for individuals aged 65 and older, as well as certain disabled persons.10 According to last year’s Medicare Trustees Report, in 11 years, the Hospital Insurance trust fund portion of the Medicare program, which funds in-patient hospital services for retirees, will be exhausted.11 The other large parts of Medicare, which included doctor office visits and prescription drug coverage are financed differently. They are primarily funded by the general revenues collected by the U.S. government. They are not financed by the Medicare payroll tax.12 Why will the Medicare trust fund that covers inpatient hospital services expected to be exhausted in a little over a decade? In addition to the rapid increase in health care costs per person, the same demographic changes that are affecting Social Security benefits are affecting Medicare benefits. With 10,000 baby boomers retiring every day, more and more people are entering Medicare.13 In 2012, 50 million people were on Medicare. In 12 years, that number is expected to be 72.8 million individuals.14 In 2011, there were about 3.3 workers paying Medicare payroll taxes for each Medicare beneficiary receiving benefits. By 2030, this number will decline to 2.3 workers. And by 2086, it will decline to 2.1 workers.15 As you can see, without reform, the structure of this portion of the Medicare program will remain unsustainable. As documented in the President, House, and Senate Budget Summaries section of this book, there are various ideas to reform Medicare.
FLATLINE MEDICARE’S FAILING HEALTH
IT’S AN IMPORTANT PROGRAM IN AMERICANS' LIVES, BUT ONE THAT IS IN DANGER OF FAILING THOSE WHO DEPEND ON IT MOST. WE TAKE A LOOK AT WHAT’S PLAGUING MEDICARE, AND WHAT IT MEANS FOR THIS IMPORTANT PROGRAM.
M
2
THE SIZE OF OUR TRUST FUND AS A PERCENTAGE OF HEALTH INSURANCE SPENDING 150% 140% 130% 120% 110% 100% 90% 80% 70% 60% 50% 40% 30% 20% 10%
SUSTAINABLE
UNSUSTAINABLE
2011
2012
2013
2014
SOURCES: 2012 MEDICARE TRUSTEES REPORT PEW RESEARCH CENTER.
2015
2016
2017
2018
2019
2020
2021
MEDICARE’S ENROLLMENT IS INCREASING
x 10,000 BABY BOOMERS RETIRING EVERYDAY
NUMBER OF MEDICARE ENROLLEES (JUST FOR HEALTH INSURANCE/PART A)
50 MILLION
65.5 MILLION
72.8 MILLION
80.6 MILLION
114 MILLION
2012
2021
2025
2030
2085
FORCING US TO PAY MORE THAN WE CAN AFFORD
I N 2 0 2 4 T H E H E A LT H INSURANCE TRUST FUND WILL BE EXHAUSTED.
MEDICARE CANNOT OPERATE WITHOUT A TRUST FUND, SO WITHOUT REFORM MEDICARE WILL BE UNABLE TO MEET ITS OBLIGATION TO AMERICANS.
07 PRESIDENT, HOUSE, AND SENATE BUDGET SUMMARIES On March 21, 2013, the House passed the House Republicans Budget titled “The Path to Prosperity: A Responsible, Balanced Budget” by a vote of 221 - 207.16 This budget follows a similar structure to the proposal released last year. The Senate also passed the Senate Democrats Budget, “Foundation for Growth: Restoring the Promise of American Opportunity.” It was the first budget the body has passed in nearly four years and passed by a vote of 50 - 49 on March 23, 2013.17 For the first time in the modern budget process, the House and Senate moved on a budget before the president released his on April 10, 2013. For a budget to be enacted, however, the House and Senate must pass the same version of the budget. The 1974 Congressional Budget Act calls for the final adoption of the budget resolution by April 15, in advance of the beginning of the new fiscal year on October 1.18 According to Stan Collender of Qorvis Communications, “No one I know in the federal budget community thinks the House and Senate will be able to compromise their differences and agree on a budget resolution conference agreement that would actually be binding and create the opportunity to use reconciliation.”19 If the House and Senate can’t agree on a budget resolution this year, it basically leaves us where we’ve been the last four years—without a budget. For the last four years, deficits have been well over $1 trillion. Before then, yearly deficits were $459 billion and $161 billion, respectively.
PAST BUDGETS passed
2004
late
didn’t pass
2005
didn’t pass
Didn’t pass LATE PASSED
2006
2007
late
late
late
didn’t pass
2010
2011
didn’t pass
didn’t pass
2012
2013
SOURCE: CONGRESSIONAL BUDGET SERVICE
09 WHAT’S IN THE PRESIDENT’S BUDGET? Discretionary Spending Limit If a budget is enacted, a discretionary spending limit sets an enforceable cap on what the appropriations committee can spend next year • Set discretionary spending at $1.2 trillion for the upcoming fiscal year.20 Taxes • Raise $580 billion in additional tax revenue (by closing loopholes and reducing tax benefits for the wealthy) • Support corporate tax reform that closes loopholes and lowers the corporate tax rate as part of a revenue-neutral tax reform. • Tax carried interest as ordinary income: Carried interest is a term for the profits-based compensation paid to investment managers. Today, carried interest is taxed at 20 percent. In comparison, the top rate on so-called ordinary income is 39.6 percent. This change will not help to significantly reduce the deficit. It only raises about $13.5 billion over 10 years, which is a small change considering last year’s budget deficit was more than $1 trillion.21 • Prohibit individuals from accumulating more than $3 million in individual retirement accounts, which are tax-deferred accounts. Generally, one pays taxes when they take the money out of these accounts.Savers would not necessarily be impacted in the near future. However, down the road, more workers (especially younger individuals) could bump up against a limit on tax-deferred retirement savings.22 • Increase the death tax to 2009 levels: The plan would drop the per- person death tax exemption from $5.25 million to $3.5 million this year and increase the top tax rate from 40 percent to 45 percent.23 • Reduce the value of itemized deductions to 28 percent for certain high-income earners: According to the Wall Street Journal, “$100,000 in tax deductions would produce a break of $28,000 for a very-high income household, compared with $39,600 currently based on the top
tax rate of 39.6 percent. That change is projected to raise about $529 billion over a decade.”24 • Enact the Buffett Rule: Under this proposal, wealthy Americans would pay a minimum tax rate of 30 percent. One reason some wealthy Americans can pay a lower tax rate is because investment income is taxed at a lower tax rate than ordinary income.25 Deficit The president’s budget would run a $744 billion deficit for the next fiscal year. Unlike the House and Senate budget, the president’s budget is only projected for five years in the administration’s summary tables (whereas the House and Senate are 10 years). In five years, the budget would run a deficit of $475 billion. The president’s budget is never projected to balance.26 Spending The president’s budget proposes to eliminate the sequester spending cuts.27 He says these cuts could be replaced with a “compromise offer” the president made to the speaker in December 2012. Some elements of this offer include: • $200 billion in cuts from reductions to farm subsidies and reforms to federal retirement.28 • $50 billion in new infrastructure spending.29 • $1 billion in new manufacturing innovation institutes30
Other spending items included in the president’s budget: • $78 billion to fund universal pre-school education though increasing the tobacco tax.31 • Selling excess or underutilized federal property.32 • The president’s budget has an entire section on “cutting waste wherever we find it.” He proposes cutting improper payments, consolidating data centers, among other proposals.33
11 Social Security Reform In general, Social Security creates a basic level of monthly income once an individual reaches normal retirement age. It also provides benefits to certain disabled workers who are unable to work due to a disability.34 The Social Security Trust Fund will be exhausted in 20 years. If this becomes exhausted, Social Security recipients will only get about 75 percent of the benefits they are owed. The president proposes to use chained CPI for Social Security while protecting the most vulnerable. Currently, Social Security payments are adjusted to reflect any increase in the cost of living, as measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The CPI-W is one of the government’s Consumer Price Indexes (CPIs) that measure inflation.35 It’s best to think of the CPI measuring a standard and unchanging basket of goods and services. The Bureau of Labor Statistics updates the price index by looking at how the price of each good within the basket changed over a specific time period.36 Since the goods themselves have few changes but the prices change, the CPI is able to estimate how much the prices of those goods increase because of inflation and adjust its measure of the average cost-of-living accordingly. Unlike the CPI, the chained-CPI takes into account changes in buyer behavior. Sometimes when prices go up, individuals don’t just keep paying for the same items. People often substitute cheaper goods (i.e. buying a used car rather than a new car) when prices increase. As a result, changing to the chainedCPI would slow the increase in cost-of-living measurements.37 This would lower the annual payment increases for Social Security beneficiaries and increase taxes over time because it would shift some individuals into higher marginal tax brackets.38 While the attempt to extend the solvency of Social Security is positive step, the proposal does not appear to deal with the long-term structural problems within our budget. The nonpartisan Congressional Budget Office (CBO) estimates that a switch to the chained-CPI in fiscal year 2014 (October 1, 2013) would lower Social Security payments by nearly $130 billion over the next nine years and reduce other direct spending by about another $89 billion. Furthermore, over the same period, the CBO estimates that federal revenue would increase by $124 billion.39
Medicare and Medicaid Reform Medicare is a federal health insurance program for people who are 65 and over, people with certain kidney diseases at any age, and for people who have certain disabilities and cannot work.40 Medicaid is a health insurance program for low-income people and is administered by states. The states and the federal government fund the program.41 • Nearly $400 billion in health savings for Medicare, Medicaid, and other health programs by eliminating excess payments and fraud.42 • Increase certain premiums for Medicare doctor visits and prescription drugs.43
13 WHAT’S IN THE HOUSE BUDGET? Discretionary Spending Limit If a budget is enacted, a discretionary spending limit sets an enforceable cap on what the appropriations committee can spend next year Taxes
• Effectively at $966 billion (because it includes sequester spending cuts).44 • This number is about $18 billion below the discretionary spending level from fiscal year 2013 (including sequester spending cuts). • Reduce the number of income tax brackets: The reformed tax system would simplify the seven income tax rate system to two income tax rates, with a lower individual tax rate of 10 percent, and a top individual tax rate of 25 percent.45 • The top corporate tax rate would drop from 35 percent to 25 percent.46 • Repeal the Alternative Minimum Tax (AMT).47
Deficit The House budget would run a deficit of $528 billion for the next fiscal year.48 The budget is projected to balance in 10 years. Spending In August 2011, the Budget Control Act established a Joint Selection Committee on Deficit Reduction, also known as the “Super Committee,” to find further cuts in federal spending.49 But Washington failed America because the Super Committee failed to act, which triggered a process called sequestration. What is sequestration? By definition, sequestration makes spending reductions to get budget levels in line with statutory spending goals.50
•Between 2013 and 2021, defense spending would be reduced by $492 billion; nondefense activities would be reduced by $492 billion as well.51 •The Republican budget allows for reconciliation instructions, which would allow eight committees to produce spending reductions of at least $1 billion. •Many Republicans have been critical of the defense cuts in the sequester. Because of this, over the next decade, the House Budget provides approximately $500 billion more in defense spending over the sequester spending cuts.52 Other spending cuts: •Repeals the 2010 health care law’s exchange subsidies.53 •Cuts $31 billion from agriculture programs.54 Social Security Reform The budget requires the Congress and the president to submit plans to “shore up the Social Security Trust Fund.”55 Medicare Reform Beginning in 2024: • Medicare beneficiaries would get to choose between traditional Medicare or would get to select a choice of competitive private plans with premium support. • Medicare will be means-tested, so seniors with higher incomes will pay more.56 • Insurance plans could not deny coverage to people based on pre-existing conditions and could not impose prohibitively high costs on patients with chronic conditions. In addition, sicker beneficiaries would get more help with their premiums.”57
15
It is important to note that these proposals will not be put into place until 2024, so those Americans at or near retirement will see no changes. Medicaid Spending • Turns Medicaid “into a block grant program.”58 • Repeals the expansion of Medicaid under the president’s healthcare reform bill. This law expanded Medicaid to those at 133 percent of the poverty line.
WHAT’S IN THE SENATE BUDGET? Discretionary Spending Limit If a budget is enacted, a discretionary spending limit sets an enforceable cap on what the appropriations committee can spend next year • Effectively at $1.058 trillion (by replacing the sequester spending cuts “with an even mix of other spending cuts and revenue from ending certain tax breaks, allowing discretionary spending to rise in fiscal 2014 and succeeding years).”59 Taxes • Without being specific, the budget asks the Senate Finance Committee to increase taxes by $975 billion over the next 10 years through reconciliation.60 • In the budget blueprint, the Senate proposes “eliminating loopholes and cutting unfair and inefficient spending in the tax code for the wealthiest Americans and biggest corporations.”61 Deficit The Senate Budget would run a deficit of $693 billion for the next fiscal year. Over the next 10 years, the budget never comes into balance. In 10 years, the Senate Budget projects a $566 billion deficit.62 Spending As we outlined in the House Budget section, sequestration makes spending reductions to get budget levels “in line with statutory spending goals.”63 The sequester went into effect because the Super Committee was unable to cut spending in 2011.64 The Senate budget replaces the sequester spending cuts with new revenue and alternative spending cuts.
17 New Revenue: • $480 billion raised by closing loopholes and ending wasteful deductions that benefit the wealthiest Americans and biggest corporations.65 • $240 billion from reduction in defense spending.66 • $100 billion in new spending for infrastructure programs and workforce development programs.67 • Sell excess federal properties. According to the Senate Democrats’ budget, “The federal government owns about 14,000 excess properties that need to be sold. The Senate Budget supports efforts to reform the management of real property to dispose of unneeded properties...to generate savings.”68 Alternative Spending Cuts: • $240 billion in discretionary spending cuts.69 • $23 billion decrease by through agriculture program reform.70 Social Security Reform In general, Social Security creates a basic level of monthly income once an individual reaches normal retirement age. It also provides benefits to certain disabled workers who are unable to work due to a disability.71 • The Senate Budget does not propose a specific reform to Social Security.72 Medicare Reform Medicare is a federal health insurance program for people who are 65 over, people with certain kidney diseases at any age, and for people who have certain disabilities and cannot work.73 • Allows prescription drugs to be imported from certain foreign countries.74 • Prohibits Medicare from using vouchers.75 • Allows Medicare’s Sustainable Growth Rate (SGR) formula to be reformed or replaced.76 The SGR formula was put into place to control Medicare spending by the Balanced Budget Act of 1997.77 According to the Medicare trustees report, under current law, the SGR formula would reduce doctor payments by more than 30 percent in 2013.78
However, the report noted that an override in the payment reduction is a “virtual certainty.”79 • Finds $275 million in new health care savings in Medicare and Medicaid without making structural changes to the programs.80 Medicaid Spending Medicaid is a health insurance program for low-income people and is administered by states. The states and the federal government fund the program.81 • Opposes the House Republican budget to turn Medicaid into a block grant program. 82 • Finds $275 million in new health care savings in Medicare and Medicaid without making structural changes to the programs. 83 CONCLUSION Washington has operated without a budget for four years. Rather than determining spending levels through a thoughtful, responsible blueprint, Congress has spent money without a budget, which makes it easy to understand one reason why Washington has done little of late to address our country’s biggest problems. Passing a budget isn’t about politics. It’s about keeping our economy healthy. It’s not a Republican issue. It’s not a Democrat issue. It’s an American issue.
1. National Journal. In Break With 92-Year Tradition, Congress Will Kick Off Budget Process. March 11, 2013. http://bit.ly/WkPAdn 2. Congressional Research Service. Introduction to the Federal Budget Process. December 2, 2010. P. 19. http://bit.ly/ZpACjo 3 Congressional Research Service. The Budget Reconciliation Process: House and Senate Procedures. August 1.0, 2005. http://bit.ly/8upB7m 4. Congressional Research Service. Introduction to the Federal Budget Process. December 2, 2010. P. 12. http://bit.ly/ZpACjo 5. Congressional Research Service. Reductions in Mandatory Agriculture Program Spending. May 19, 2010. http://bit.ly/12PG1UI 6. 31 U.S.C. 1301. http://1.usa.gov/XFLcZh 7. Congressional Research Service. Reductions in Mandatory Agriculture Program Spending. May 19, 2010. http://bit.ly/12PG1UI 8. Congressional Research Service. Reductions in Mandatory Agriculture Program Spending. May 19, 2010. http://bit.ly/12PG1UI 9. Congressional Research Service. The Budget Reconciliation Process:House and Senate Procedures. August 2005. P. 77. http://bit.ly/8upB7m 10. Congressional Research Service. Medicare: History of Insolvency Projections. June 11, 2012. Summary. http://bit.ly/Q048cx 11. The Board of Trustees, Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. The 2012 Annual Report of the Board of Trustees of the Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. April 23, 2012. P.6. http://go.cms.gov/LQovuw 12. The Board of Trustees, Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. The 2012 Annual Report of the Board of Trustees of the Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. April 23, 2012. P.21. http://go.cms.gov/LQovuw 13. Pew Research Center. Baby Boomers Approach 65 — Glumly. December 2010. P.1. http://bit.ly/Yqsl3M 14. The Board of Trustees, Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. The 2012 Annual Report of the Board of Trustees of the Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. April 23, 2012. P.209. http://go.cms.gov/LQovuw 15. The Board of Trustees, Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. The 2012 Annual Report of the Board of Trustees of the Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds. April 23, 2012. P.72. http://go.cms.gov/LQovuw 16. U.S. House of Representatives. Office of the Clerk. Results for Roll Call 88. March 21, 2013. http://1.usa.gov/ZO1hII 17. United States Senate. U.S. Senate Roll Call Votes 113th Congress - 1st Session. March 23, 2013. http://1.usa.gov/WVGGo8 18. Congressional Research Service. Introduction to the Federal Budget Process. December 2, 2010. P.12. http://bit.ly/ZpACjo
19. Politico. Morning Money: Why Dueling Budgets Don’t Matter. March 29, 2013. http://politi.co/14fheyb 20. Office of Management and Budget. The President’s Budget for Fiscal Year 2014. Historical Table 8.7. Accessed April 10, 2013. http://1.usa.gov/cVXCRE 21. Politico. The ‘carried interest’ debate. February 2013. http://politi.co/ZPI2MV 22. Wall Street Journal. Who Saves $3 million in IRAs? In the Long Run, Youngest Workers. April 10, 2013. http://on.wsj.com/ZmFnKs 23. Bloomberg. Obama Leans on High Earners for More Taxes in 2014 Budget. April 10, 2013. http://bloom.bg/YkqRYO 24. Wall Street Journal. Obama Seeks Overhaul of Corporate, Personal Taxes. April 10, 2013. http://on.wsj.com/14XqSEQ 25. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Strengthening the Middle Class and Making America a Magnet for Jobs. April 10, 2013. PP.18-19, 36. http://1.usa.gov/14bFDEW 26. Office of Management and Budget. The President’s Budget for Fiscal Year 2014. Historical Table 1.1. Accessed April 10, 2013. http://1.usa.gov/cVXCRE 27. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Fiscal Year 2014 Budget Overview. April 10, 2013. http://1.usa.gov/hgPZnb 28. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Reducing the Deficit in a Smart and Balanced Way. April 10, 2013. P.35. http://1.usa.gov/17qWUIVf 29. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Strengthening the Middle Class and Making America a Magnet for Jobs. April 10, 2013. http://1.usa.gov/14bFDEW 30. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Strengthening the Middle Class and Making America a Magnet for Jobs. April 10, 2013. PP.8. http://1.usa.gov/14bFDEW 31. Financial Times. Obama challenges Republicans on budget. April 10, 2013. http://on.ft.com/YOgrQD 32. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Reducing the Deficit in a Smart and Balanced Way. April 10, 2013. P.44. http://1.usa.gov/17qWUIV 33. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Creating a 21st Century Government. April 10, 2013. http://1.usa.gov/16QUU9W 34. Government Accountability Office. Social Security Reform. May 2005. http://1.usa.gov/YquhJF 35. Social Security Administration. Cost of Living Adjustments. October 2012. http://1.usa.gov/Yqunky 36. Bureau of Labor Statistics. Consumer Price Index: Frequently Asked Questions. Accessed April 10, 2013. http://1.usa.gov/buQYMW 37. Congressional Research Service. The Chained Consumer Price Index: How is it Different? February 24, 2006. Summary. http://bit.ly/16Q073L 38. Bloomberg. Chained CPI’s Diminishing Returns for U.S. Budget. April 7, 2013. http://bloom.bg/Y7mCzL 39. Congressional Budget Office. Preliminary Estimate of the Budgetary Effects of Using the Chained CPI for
Mandatory Programs and the Tax Code Starting in 2014. Accessed April 10, 2013. http://1.usa.gov/XsyfP0 40. Centers for Medicare and Medicaid Services. What is Medicare? September 2011. http://1.usa.gov/hOywdo 41. Centers for Medicare and Medicaid Services. What is Medicare? September 2011. http://1.usa.gov/156q0hr 42. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Reducing the Deficit in a Smart and Balanced Way. April 10, 2013. P.37. http://1.usa.gov/XFLn6Z 43. Office of Management and Budget. The President’s Fiscal Year 2014 Budget: Reducing the Deficit in a Smart and Balanced Way. April 10, 2013. P.38. http://1.usa.gov/XFLn6Z 44. Subscription only. Congressional Quarterly. The Budget Resolution for FY 2014. March 18, 2013. http://bit.ly/ZPHA1b 45. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.24. http://1.usa.gov/17tB3AO 46. Internal Revenue Service. Figuring Tax: Tax Rate Schedule. Accessed March 12, 2013. http://1.usa. gov/ZjTn90 ; House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.20. http://1.usa.gov/17tB3AO 47. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.24. http://1.usa.gov/17tB3AO 48. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.77. http://1.usa.gov/17tB3AO 49. Congressional Research Service. The Budget Control Act of 2011: Budgetary Effects of Proposals to Replace the FY2013 Sequester. November 9, 2012. Summary. http://bit.ly/ZPHWVn 50. Congressional Research Service. Budget Sequesters: A Brief Review. March 8, 2004. P.2. http://bit.ly/XFM1S2 51. Congressional Budget Office. Testimony of Douglas W. Elmendorf on Discretionary Spending. October 26, 2011. P.15. http://1.usa.gov/ZLonVo 52. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.62. http://1.usa.gov/17tB3AO 53. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.28. http://1.usa.gov/17tB3AO 54. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.57. http://1.usa.gov/17tB3AO 55. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.43. http://1.usa.gov/17tB3AO 56. Subscription only. Congressional Quarterly. Ryan Budget Includes Premium Support, Means Testing for Medicare. March 12, 2013. http://bit.ly/ZpC4ST 57. Subscription only. Congressional Quarterly. Ryan Budget Includes Premium Support, Means Testing for Medicare. March 12, 2013. http://bit.ly/ZpC4ST 58. House Budget Committee. The Path To Prosperity: A Responsible, Balanced Budget. March 12, 2013. P.31. http://1.usa.gov/17tB3AO 59. Subscription only. Congressional Quarterly. A Wide Gap Between House, Senate Blueprints. March 13, 2013. http://bit.ly/XFMmnM 60. Government Printing Office. S. Con. Res. 8. Section 201. March 2013. http://1.usa.gov/Yqtzfr 61. U.S. Senate. Foundation for Growth: Restoring the Promise of American Prosperity. March 2013. P.61. http://1.usa.gov/1519wXI
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For more information on the facts that affect your pocketbook, visit us at: thepublicnotice.org [published April 12, 2013]