It was presented by the Campaign to the Fix the Debt.
The Campaign to Fix the Debt has named 6th District Representative John Delaney (D-Md.) as a Fiscal Hero. The organization says it presents this honor to members of Congress who distinguish themselves by casting fiscally responsible votes, and believing that reducing the national debt is a top priority, and work within their party and on a bipartisan basis to make improvements to the nation’s fiscal future.
“I have been determined since I’ve come to Congress to work on smart financial solutions, and change the fiscal trajectory of the country,” says Delaney.
He says right now the debt is manageable because interest rates are low. Currently, interest on the debt is 7% of the federal budget. “If interest rates were to be at the same level they were in the ’90’s today, then interest on our debt would be almost triple. It would be 20% to 21%. So that shows how sensitive we are to rising interest rates as it relates to the federal debt and its budget implications,” says Delaney.
In addition, if those interest rates go up and the cost of paying off that debt increases, “it will result in either very significant reductions in spending, or very significant tax increases,” he says.
The national debt is the amount of money owed by the federal government. The measure is the value of the outstanding Treasury Securities issued by the US Department of the Treasury. Right now, according an on line post by Wikipedia, the National Debt, as of April 30th, 2016, is about $19.1-trillion or about 106% of the last 12-months of the Gross Domestic Product.
Delaney says when he submits legislation into Congress, he makes sure it’s fully paid for. He cites his bill to rebuild the nation’s crumbling infrastructure. “We put forth a fully paid for, $1-trillion National Infrastructure Program, again, fully paid for by reforming our international tax system,” he says. “And the economic growth generated by this plan is projected to decrease the debt by almost $400-billion.”
The Campaign to Fix the Debt is a non-partisan movement to put the country on a better fiscal and economic path, according to a release from Congressman Delaney’s office.