Compact for a Balanced Budget Signed
April 12, 2014 Governor Deal signed HB 794, the Compact for a Balanced Budget Paulette Rakestraw Braddock and I sponsored in the State House and Hunter Hill carried for us in the State Senate. As the first State to enact the Compact, Georgia will serve as the Chair at the Constitutional Convention under the Compact. This a tightly drawn law. It limits all delegates appointed by each state to the Compact to adopting only the amendment language contained in the Compact. You can read exactly what is being proposed as the balanced budget amendment on page 3 of the Compact. The amendment is exceptionally well-drafted: forcing Congress to adopted balanced budgets, establishing a debt limit, forcing the President to prioritize spending if spending comes within 98% of the debt ceiling, requiring a 2/3 majority for Congress to raise any existing taxes so that cutting spending, eliminating tax exemptions, or shifting to a consumption-based tax like the Fair Tax are the preferred approaches over raising taxes in order to achieve a debt-free future for generations of Americans to come. This was a historic moment in Georgia’s and hopefully our Nation’s history. I would be remiss if I did not extend a special thank you to Julianne Thompson for her testimony during hearings and grassroots leadership, to Nick Dranias of Goldwater Institute for his legal advice and brilliance in constructing the Compact, and Chip Napolitano of the Compact for America for his passion and drive for fiscal liberty.