The Congressional budget resolution should establish national priorities in a responsible manner. Congress should follow these principles to craft a budget:
Put forward a real budget
The most important part of a budget resolution is to have one.
In the 45-year history of the budget resolution, either the House or Senate Budget Committee has always passed a budget resolution.
Set responsible fiscal goals and develop a plan to achieve them
Select budget targets that result in a declining debt-to-GDP ratio.
Set revenue and spending levels to meet those goals.
Include specific plans to address spending and revenue
Suggest spending reforms to slow the growth of health and other mandatory spending and to increase revenue.
Include reconciliation instructions for assumed mandatory savings and revenue.
Limit discretionary spending to reasonable, but realistic, levels.
Enforce the PAYGO requirement that legislation does not add to the deficit
Require full offsets for any revenue reductions or mandatory spending increases.
Maintain and strengthen PAYGO and other rules restraining legislation that would increase the deficit over the medium or long term.
Rely on credible and realistic assumptions
Use economic assumptions based on Congressional Budget Office estimates.
Evaluate legislation from a current law baseline.
Improve the budget process and budget enforcement
Enforce spending and revenue levels in the budget resolution.
Limit abuse of the Overseas Contingency Operations designation and of Changes in Mandatory Programs.
Incorporate interest effects in CBO and Joint Committee on Taxation cost estimates.
Advance budget process reforms.
Anticipate negotiating with the other chamber
Recognize divided government as an opportunity for bipartisan consensus.
Prioritize governance and our shared fiscal future over partisan messaging.
