Rep. Gardner co-sponsors “Business Cycle Balanced Budget Amendment”

WASHINGTON D.C. – Congressman Cory Gardner (R-CO) has co-sponsored a newly introduced version of a balanced budget amendment that would force government to react to ups and downs in revenue the same way a private business reacts. 

“There are so many different ways to structure a balanced budget amendment, and this approach stands out as an exceptionally reasonable way to provide for our current needs without burdening future generations,” Gardner said.

The “Business Cycle Balanced Budget Amendment” would essentially limit spending based on revenue levels of the past three years, providing a stable approach to spending caps. In response to the boom and bust cycle our economy goes through, the BCBBA would force government to budget itself in a countercyclical manner. Put another way, it would prevent drastic spending increases during good years while also giving the government cushion to operate if revenues suddenly decrease.     

The proposal also phases in over 10 years and allows flexibility for responding to emergency situations.  To read BCBBA click HERE.