Senate Budget Committee Chairman Patty Murray, D-Wash., claimed in her opening statement today that the Senate Democrat budget supposedly reduces federal deficits by $1.85 trillion over ten years. But as Sen. Mike Crapo, R-Idaho, demonstrates in his questioning of Democratic Senate Budget staff above, all $1.85 trillion of those deficit savings are completely phony. Transcript below:
Crapo: There are very few if any occasions when Congress has ever actually moved into the second year of one of the budgets that it has adopted. Because each year Congress would go in and adopt a new budget with a new first year and a new set of out years. And then the next year there would be another first year and a new set of out years. And the out years are all interesting projections and interesting assumptions and claims about what we will or should do in our budget, but they are not the reality. The reality is the first year. And so the question that I have is what happens in the first year of this budget? Particularly, do the outlays in the first yer of this budget exceed the outlays of last year’s budget? And if so by how much in both dollars and percent? Do we know that?
Dem staffer: Um, are you talking about 14 over 13 sir?
Dem staffer: So, by about $116 billion higher in 14 over 13.
Crapo: Can you give me a rough percentage?
Dem staffer: About 3 percent.
Crapo: And in terms of the overall budget deficit reduction that is achieved, whether it is through the taxes or the spending reductions that are claimed in the budget, what percentage of those are achieved in the first year? In other words, you are talking about a $1.85 trillion deficit reduction over ten, how much of that happens in year one?
Dem staffer: There are spending savings in year one, but in total it is about no in the first year.
Crapo: It’s about what?
Dem staffer: It’s zero in the first year in total because there are spending savings and spending costs.
Crapo: So I didn’t understand you. It’s zero in the first year?
Dem staffer: Yes, sir. On net, sir.
Crapo: Which confirms my worry.