Rep. Joe Pitts critical of latest Obama deficit budget

President Obama unveiled a $3.8 trillion budget for the 2013 fiscal year that begins on Oct. 1. The spending plan projects a $1.3 trillion deficit for the coming year and an increase in the national debt of more than $10 trillion over the next 10 years.

Rep. Joe Pitts, a Republican who represents Pennsylvania's 16th Congressional District, issued the following statement today on President Obama budget:

“Three years ago, the President promised to cut annual deficits in half by the end of his first administration. Today’s budget shows that he is far from accomplishing that goal. This budget raises taxes by nearly $2 trillion and still fails to come even close to balancing within the next decade.

“While the President says his budget will create an ‘economy built to last,’ trillion dollar deficits are no foundation for the future. We cannot have a healthy economy when our debt outpaces growth.

“The American people deserve an honest debate on the best way to balance the budget. Unfortunately, the President’s budget is not a serious plan for debt reduction. Also, for a third year in a row, the Democratic-led Senate will not even attempt to pass a budget. By contrast, House Republicans will again put forward a budget that puts us back on the right track.”

Rep. Pitts on Nov. Unemployment Figures

The Obama Administration announced Friday that U.S unemployment decreased to 8.6 percent in the month of November, sending a tingle up the legs of liberal media types everywhere. Nationwide, 120,000 jobs were created. However, participation in the labor pool dropped from 64.2 percent to 64 percent.

Rep. Joe Pitts, R-PA, released the following statement:

"While it was good to see the unemployment rate moving in the right direction, there are still more than 13 million Americans looking for jobs. Many of them have been trying hard to get a job for months or even years. In part, the unemployment rate fell because some Americans simply decided to stop looking. This is unacceptable. There is much we have to do in Washington to encourage a climate of job creation. I recently updated my plan for job growth, which is available on my website, www.house.gov/Pitts. Restoring our economy and creating jobs must continue to be Congress’ first priority."

Rep. Joe Pitts: Obama policies cost U.S. jobs

Pennsylvania Congressman Joe Pitts says Obama's anti-business policies are preventing U.S. firms from hiring.

From a recent op-ed:

Anyone who has owned or managed a business knows how many questions need to be answered before creating a new job. Do you really need another person, or can present employees become more productive? Will there be qualified applicants? How much time will it take to sort through all the resumes? Can the business afford to hire right now?

Before looking to hire new employees, a business owner has to be confident that the search will be worth the time and effort. The more uncertainties in the process, the more risky it will be to hire.

Unfortunately, now is a very risky time to hire. The May jobs report showed a net gain of only 54,000 jobs. Because of more Americans starting to look for a job, unemployment climbed to 9.1 percent.

Most recessions since the Great Depression have been followed by a rapid period of job growth. This time though we haven't seen that type of recovery. Last year's "Recovery Summer" never materialized, and this summer isn't shaping up to be much better.

Government stimulus has failed to hold down unemployment or create the conditions for a recovery. In fact, the increase in government debt contributes to economic uncertainty. Accounting for interest, the stimulus bill cost the government more than $1 trillion. Almost every dime of that money has been spent, but unemployment has barely budged.

Read the full column at the link below:

Obama policies cost U.S. jobs - pottsmerc.com

U.S. Unemployment Climbs to 9.1%

The U.S. Department of Labor released the May jobs report Friday showing unemployment climbing to 9.1 percent.

So much for the stimulus. So much for the bailouts. So much for deficit spending. So much for the socialist policies.

The Obama Recession continues into its third year.

Pennsylvania Congressman Rep. Joe Pitts issued the following statement:

"Millions of Americans are looking for jobs, but are finding few new opportunities. Today's jobs report is more evidence that the economic policies of this administration have failed. Trillions of dollars in government spending had an insignificant effect on employment and nearly doubled the national debt in less than three years.

Last November, the American people called for a new direction. House Republicans have energetically proposed solutions to empower job creators: reducing energy prices, cutting government red tape and reforming a burdensome tax code. We need the Senate and the President to work together with us on these jobs bills. Getting Americans working again has to be Washington's first priority."

Rep. Pitts on Budget Deal Keeping the Government Open

Republican Congressman Joe Pitts (R-16th) released the following statement late Friday after a budget deal to keep the government open was struck.

"While I'm disappointed that this was so difficult, I am glad that the House and Senate have reached an agreement to keep the government open. Our troops will be funded for the rest of the year, and there will not be a lapse in important services. We have made real cuts to the federal budget, but we will have to work harder still to get our budget under control."

Rep. Joe Pitts to Obama: 'We shouldn't be half-way at war'

Rep. Joe Pitts (PA-16) released the following statement after a Congressional briefing on the Obama Administration's military mission in Libya:

"Today, my colleagues and I were briefed on the Libyan engagement by Secretary of State Hillary Clinton, Secretary of Defense Robert Gates and Admiral Mike Mullen. Unfortunately, many of our questions remain unanswered.

"My first concern is that we are refusing to admit that this is a war. If anybody fired 160 missiles at us, flew bombing missions and sent in attack gunships, we would call that an act of war. This engagement and our involvement in it are both ill defined.

"Even after today's briefing, it is obvious that we do not have a clear picture of the Libyan rebels. In fact, there are reports that Al Qaeda militants are involved in the fight against Qaddafi. When we engage American forces, we must have clear goals and a strategy to accomplish these goals.

"As a young man, I fought in the Vietnam War, another engagement with unclear objectives and uncertainties about our allies. I know that the men and women of our armed forces are conducting this engagement with dedication and professionalism. The President should first seek direction from Congress, which has the constitutional power to declare war. Then he has a responsibility to give our troops the tools and direction to achieve the mission he has laid out for them.

"We shouldn't be half-way at war."

Obamacare: One year of broken promises

By Rep. Joe Pitts
Guest columnist

March 23 marks the one-year anniversary of President Obama's signing of the health care reform bill. On the day of the signing, the President singled out a business owner for praise saying, "I'm signing it for Ryan Smith, who's here today. He runs a small business with five employees. He's trying to do the right thing, paying half the cost of coverage for his workers. This bill will help him afford that coverage."

The President said that Ryan was trying to do the right thing, but Obamacare might still penalize his business. In fact, the law requires employers to pay more than 50 percent of employees' health coverage. If they fail to do so, they pay a hefty fine.

It seems like almost everyday we see new facts about Obamacare that don't square with the talking point promises that were made in the run up to passage. One of those talking points was that 4 million small businesses, like Ryan Smith's, would receive tax credits to help pay for covering employees.

Unfortunately, Obamacare's definition of small business is much more restrictive than typical. Only businesses with 25 or fewer employees qualify for credits. The Small Business Administration has a variety of definitions for the size of a "small" business. The definition ranges from 50 to 1,000 employees, depending on the industry. This means tens of millions of workers are employed at business too big to qualify for this help.

Every American was promised that if they like their plan, they could keep it. According to a survey by the National Business Group on Health, 26 percent of companies plan to discontinue insurance for current and future retirees. According to this same survey, over one-third of businesses are revisiting their health care strategy for workers and may exit the market.

To prevent millions of workers from losing their health care coverage right now, the Department of Health and Human Services has handed out more than 1,000 waivers to the law. While HHS is wise to grant flexibility for employers, the huge number of waivers demonstrates that the law is poorly written.

Despite all of the claims that Obamacare would reduce the cost of insurance, the Medicare actuary and the Congressional Budget Office have both crunched the numbers and found that spending increases because of the law. Overall spending on health care increases by $311 billion in the coming years.

Without the various budget gimmicks included in Obamacare, the law actually increases the budget deficit. In recent weeks, we've also looked close at some of the various spending programs contained in the bill. The program to set up health insurance exchanges in all 50 states actually has no cap on spending. The HHS Secretary can spend as much as she feels is needed.

While we estimate that Obamacare could increase the national debt by $701 billion over ten years, there are potential cost overruns everywhere. The bill could end up being much higher.

What do we get with Obamacare? Even after full implementation, millions of Americans will still go without insurance. This week, the Health Subcommittee took a look at the CLASS program contained in the law. In two decades, this program will go bankrupt, prompting another taxpayer bailout. Over 80 percent of businesses say the law has increased their administrative burdens.

I know that we can do better, but government mandates and bureaucracy won't expand care and increase the quality of health care. The United States came to its position as the world leader in health care innovation because we have a dynamic system grounded in free market principles.

The market works when prices are transparent and consumers have the freedom to make choices. As I lead the House Energy and Commerce Health Subcommittee, I'll be putting forward solutions that empower individuals to make their own choices. This means market-based alternatives like allowing for interstate competition, pooling across state lines, medical malpractice reform, giving individuals the same tax treatment as businesses, and reforming Medicare so that it works better for doctors and patients.

We have to repeal Obamacare, but we must still reform a health care system that excludes far too many Americans. The best way to provide is not by government mandate, but by empowering individuals.

Rep. Joe Pitts is a Republican who represents Pennsylvania's 16th Congressional District in parts of Berks, Chester and Lancaster counties.

'It is Still Morning in America'

It is Still Morning in America

By Congressman Joe Pitts

As we celebrate the 100th birthday of President Ronald Reagan, those who knew and admired him remember his consistent optimism. Reagan was no Pollyanna, but he saw that the best days of our country lay ahead of us.

In his first inaugural address he spoke encouraging words to a nation that felt it was in an unstoppable decline: "With all the creative energy at our command, let us begin an era of national renewal. Let us renew our determination, our courage, and our strength. And let us renew our faith and our hope. We have every right to dream heroic dreams."

He saw an exceedingly burdensome and bureaucratic government as a barrier to these dreams. To President Reagan, reducing the size of government was not weakening the nation; it was unleashing the American spirit.

He knew that restoring freedom and opportunity in America would have far-reaching consequences. Not only would the American economy be reinvigorated and job growth restarted, but the world would again be able to look at the United States as an example of what a free people can accomplish.

By 1980, the Cold War had dragged on for decades. Foreign policy analysts and media figures assumed that the communist bloc would be a permanent fixture. Some portrayed the United States and the Soviet Union as moral equivalents and ignored the repression and violence inherent in the Warsaw Pact governments.

Reagan rejected this view saying that, "The only morality they [the Soviets] recognize, is what will advance the cause of socialism." It was a grim view of our communist adversaries, but it was anchored by an optimism that the people living in those countries yearned to breathe free and would take off their shackles if the United States stood up for freedom.

Indeed, Reagan's view of the communist system did not prevent him from dealing with his Soviet counterparts with honesty and kindness. Despite ominous warnings from his political opponents, President Reagan was not a "cowboy" looking to start a nuclear war. Instead, he clearly saw that steadfast opposition would cause the Soviet bloc to crumble and radically reduce the threat of World War III.

Even in his most famous anti-communist speech, Reagan appealed to the better natures of the regime. He prefaced the famous "tear down this wall" by calling on Gorbachev to bring about peace and prosperity. He believed that resolution of the Cold War was possible and his efforts opened the door to lasting peace.

Today, we face similar difficulties both here and abroad. Our government debt is climbing uncontrollably and foreign nations, both friends and enemies, wonder whether the United States can still provide leadership.

Reagan knew that our country risked much by ignoring our debt: "You and I, as individuals, can, by borrowing, live beyond our means, but for only a limited period of time. Why, then, should we think that collectively, as a nation, we are not bound by that same limitation?"

During his administration, national security priorities prevented successful debt control. Now however, the debt is itself a threat to our economic and national security. But our debt does not define us as a nation.

I have confidence that we can come together here in Washington to meet our fiscal obligations and restore confidence in our government. We can never get there by restraining the ingenuity and the creativity of the American people. We can't get there by constructing a more sophisticated bureaucracy. We get there by freeing individual Americans whether they are starting a new small business, working hard in a factory, or healing patients in a hospital.

Ultimately, a strong and renewed America will remind the world that the best government is one by the people and for the people.

In his farewell remarks, President Reagan left us with these words: "I now begin the journey that will lead me into the sunset of my life. I know that for America there will always be a bright dawn ahead."

He knew that his role on the American stage was coming to an end, but he also knew that the American people would carry our nation forward to a better day.

Congressman Joe Pitts is a Republican who represents Pennsylvania's 16th Congressional District in parts of Berks, Chester and Lancaster counties.

Rep. Joe Pitts: It's still morning in America

Congressman Joe Pitts: It's still morning in America « The Daily Caller

Why Obamacare Needs to be Repealed

Court strikes down parts of Obamacare

Congressman Joe Pitts, R-PA-16th, incoming Chairman of the Energy and Commerce Subcommittee on Health, praised today's ruling in Virginia District Court striking down portions of Obamacare. Last week, after the House Republican Conference appointed Congressman Fred Upton (MI-06) Chairman of the House Energy and Commerce Committee for the 112th Congress, Pitts was tapped to chair the Subcommittee next year.

Rep. Pitts' statement:

"It shouldn't come as a surprise that a federal judge has determined that Obamacare's individual mandate to purchase insurance is unconstitutional. Early this year, Republicans warned that the law went too far, trampling on the individual rights protected in the Constitution. Democrats chose to ignore these concerns, and now the courts are working to protect the people from this legislative overreach.

"This certainly isn't the end of court battles, and it only reinforces the need to repeal the law as soon as possible. The many other provisions of Obamacare continue to damage our healthcare system, raising costs and disrupting access to care. I'm working closely with Chairman Upton and Republican leadership on our strategy for wholesale repeal of the law. Both Congress and the courts have a responsibility to uphold the Constitution."

Guest Column: Giving Thanks In America

Giving Thanks in America

By Congressman Joe Pitts

While we typically associate the Pilgrims in Massachusetts with the first American Thanksgiving, the first recorded day set aside for thanks was decreed in the Virginia colony in 1619. The settlers recognized the day their ship landed in the new world as an annual day of thanksgiving to God for a safe journey.

Two years later the settlers at Plymouth Colony would commemorate their first Thanksgiving. Our nation's early history is filled with religious and civil observances of thanks — from annual recognitions of a good harvest to General Washington’s declaration following the battle of Saratoga.

Our nation has always had so much to be grateful for. We have been blessed with a rich and beautiful country, with a government directed by the American people, and with courageous individuals who stand up and protect our liberty.

When the early English settlers first came to America, they hoped to find rich deposits of gold and silver to rival Spanish colonies. The original colonies were not rich with jewels and precious metals, but they were abundant in farmland, fish and game. These rich lands have made our nation the breadbasket to the world.

Later, our nation was able to take full advantage of the Industrial Revolution because of plentiful energy resources: coal, oil and natural gas. At the same time we appreciate the natural beauty of our forests, mountains, and wetlands. Today, we must concentrate on responsibly developing resources to protect the natural gifts given our nation.

Especially in an election year, we must give thanks for a constitutional government that is directed by the American people. It's easy to forget that fair and free elections are actually the exception and not the rule. In Burma, the ruling military junta recently held a sham election where it disqualified the political party of the Nobel Peace Prize winner, Aung San Suu Kyi.

Our recent election saw a number of incumbents defeated. Right now, these Members are moving out of their offices on Capitol Hill. Every single one of them is peacefully transitioning to their political opponent. Come January, Speaker Nancy Pelosi will hand the Speaker's gavel over to Republican Leader John Boehner. Just a few years ago, it was Boehner who was handing it to Pelosi.

We should be grateful that our country settles differences at the ballot box. For all the harsh words spoken before elections, we share a common recognition that power should not be achieved or maintained through violence. Sadly, this does not hold true in many nations.

Because there are enemies of freedom who seek to settle arguments with violence and terrorism, we need brave young men and women to take up arms in defense. We are grateful for our service members and veterans, especially those who are serving far away this Thanksgiving.

The recent Medal of Honor ceremony reminded us all about the sacrifices being made in Afghanistan right now. Staff Sergeant Salvatore Giunta was honored for the incredible bravery he showed when his squad came under attack from the Taliban.

Giunta acted quickly to help two wounded teammates and then ran into enemy fire to rescue another wounded colleague who was being dragged away by two insurgents. At the White House ceremony awarding him the decoration, Giunta accepted the award with the utmost humility, recognizing the efforts of his squadmates and the families of those who didn't survive the battle.

Because of brave military personnel working around the globe, we are able to enjoy liberty and prosperity. We must be thankful for those willing to put their life on the line to defend our nation.

God has granted us many good gifts here in the United States: a bountiful and beautiful country, a democratic and peaceful government, and individuals serving to protect our nation. It is only proper that we express our gratitude as we gather with family members over the holiday.

U.S. Rep. Joe Pitts is a Republican who represents Pennsylvania's 16th Congressional District, which includes portions of Berks, Chester and Lancaster counties.

Rep. Joe Pitts supports 'A Pledge to America'

A Pledge to America

By Congressman Joe Pitts

This week, House Republicans released a governing agenda that clearly shows the American people what we are working to accomplish in this Congress and in the future. The Pledge to America is grounded in timeless values and the needs of America today. We looked to the Constitution for guidance on the role of the federal government, and we listened to the American people through town hall meetings, phone calls, letters, and new technologies.

We know that the priority of every American is resurrecting this flagging economy. Despite a stimulus bill that will cost taxpayers over $1 trillion, unemployment soared to nearly 10 percent. Each report of new unemployment claims confirms that American workers and families are hurting.

There is a fundamental disagreement between Republicans and Democrats about the best way to move our economy forward. In the past two years, the solutions offered by the Administration and Congress have been government takeovers of the banking, healthcare, student loan, energy, and automotive industries.

I opposed bailouts and government takeovers when they were pushed by President Bush, and I've continued to oppose President Obama's efforts. The American economy doesn't succeed because of crafty government policies. It succeeds because Americans are free to innovate and invest.

The first objective of the Pledge to America is to create jobs, end economic uncertainty, and make America more competitive. This means standing against job-killing tax hikes that are due to take effect on January 1, 2011. Our plan calls for growing new and existing small businesses through a tax deduction equal to 20 percent of their business income. We also need to repeal the burdensome new tax-reporting requirement created by the health care reform bill. Finally, we need to make sure that bureaucracy is not strangling businesses seeking to create new jobs.

One of the greatest causes of uncertainty in the business community is the threat of massive tax increases to pay for a government that is growing fast. The Pledge calls for an immediate stop to stimulus spending. Over $200 billion remains unspent and we must act quickly to prevent more waste. This also means permanently cancelling the TARP bailout program and returning the money to the Treasury.

The federal government has grown at an extraordinary rate in the last two years. We must put the breaks on and revert to fiscal year 2008 levels. Once we've pared back spending, we need hard caps of the same type that allowed us to balance the budget in the 1990s. When I came to Congress, I co-wrote four consecutive balanced budgets that each paid down the debt. This wouldn't have been possible without hard restraints on the growth of government.

One way to get back to balanced budgets is to repeal the healthcare law. Contrary to White House claims, the Congressional Budget Office and Medicare’s own actuaries have shown that Obamacare will not pay for itself. This new law will be an extraordinary weight on government, businesses, and, most importantly, doctors and patients. We are committed to repealing the law and replacing it with free market solutions.

Every poll shows that trust of Congress is at a record low. The Pledge commits our party to giving Members and the American people time to thoroughly read legislation before it is considered. Congress needs to stop ignoring the Constitution and the limits it places on legislative power. We would require a statement explicitly citing the Constitutional authority that justifies a piece of legislation.

Finally, Congress has a responsibility to keep our nation safe. The Pledge commits House Republicans to strengthening our border, keeping detained terrorists out of the U.S., funding missile defense, and requiring tough sanctions on Iran.

I wholeheartedly endorse these policies, but my work also goes beyond what is in the Pledge. I'm listening to my constituents in the 16th District and introducing bills based on what I'm hearing from them. The recently introduced COBRA Affordability Act came about because of the struggles many have had paying for health insurance after losing a job.

Republicans are going to press for these policies to be enacted immediately. We're going to keep listening to the American people and offering clear solutions that put them in charge, not government bureaucrats.

Congressman Joe Pitts is a Republican who represents Pennsylvania's 16th Congressional District in parts of Berks, Chester and Lancaster counties.

Rep. Joe Pitts: Defending the Constitution

Defending the Constitution

By Congressman Joe Pitts

On September 17, 1787, the Constitutional Convention signed the final draft of the Constitution. That document has stood the test of time, providing both stability and liberty. Just before signing the Constitution, Benjamin Franklin noted that while it was a document written by men with their own failings and prejudices, it was nearly perfect: "Thus I consent, Sir, to this Constitution because I expect no better, and because I am not sure, that it is not the best."

The Constitution establishes the working principles of our legislative, executive and judicial branches. The Founding Fathers knew that these bodies would be in conflict, but that conflict would ensure that none of the three would hold ultimate power.

James Madison, writing in The Federalist, states that: "The accumulation of all powers, legislative, executive, and judiciary, in the same hands, whether of one, a few, or many, whether hereditary, self-appointed or elective, may justly be pronounced the very definition of tyranny."

The Constitution, however, did not establish the federal government as the sole governing power in the United States. In fact, Madison described the powers of the federal government as "limited and few." The separate states withheld significant power. This principle was reiterated in the tenth amendment: "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people."

Both the state and federal governments are meant to be guarantors of liberty. Where one may fail, the other can protect our rights. This means that the federal government acts properly when it ensures that every American, no matter who they are, has the right to vote. The states cannot void this right through outright discrimination or cumbersome requirements.

Sometimes, however, the states must stand up when the federal government oversteps its bounds. Some see Congress' power to regulate interstate commerce as providing the means to intervene in nearly every facet of modern American life.

This week in a courtroom in Florida, 20 state attorneys general brought suit against the federal government over mandates in the new healthcare reform law. Pennsylvania Attorney General Tom Corbett is one of the parties to the suit, and I applaud his defense of liberty in our state.

The attorneys general are contesting whether the mandate to purchase health insurance is constitutional. I do not believe that our Constitution grants our government the right to compel the purchase of insurance. When President Obama was on the campaign trail, he stated skepticism about whether mandatory insurance was the best way to fix healthcare.

He challenged Hillary Clinton's healthcare plan that included a mandate saying, "You can mandate it, but there's still going to be people who can’t afford it. And if they cannot afford it, then the question is, what are you going to do about it? Are you going to fine them? Are you going to garnish their wages?"

However, that is exactly what Obamacare will do. Each American will be required to provide documentation to the IRS that they have federally-approved health insurance. If an individual is not enrolled in a plan, they will be forced to pay a penalty.

I think that candidate Obama was right. The American people want to see healthcare costs controlled, but the new law takes away our liberty without reducing costs or improving care.

The federal judge overseeing the case has indicated that he will allow the suit to move forward. Arguments in the case will begin as early as December, and I hope that all Americans pay attention to this important debate about their basic rights.

While I hope that the judge strikes down portions of the law, I'm not going to wait for the judiciary to act. I'm already a cosponsor of legislation to repeal Obamacare, and I've also signed a petition insisting that Speaker Pelosi bring this legislation to the floor for an immediate vote. Today, on Constitution Day, I’m reminded that I also took an oath to protect and defend the Constitution of the United States of America.

Rep. Joe Pitts is a Republican who represents Pennsylvania's 16th Congressional District in parts of Berks, Chester and Lancaster counties.

44 Million Living in Poverty in Obama's America

Rep. Joe Pitts, who represents Pennsylvania's 16th Congressional District, released a statement today in response to new government numbers that show nearly 44 million Americans are living in poverty. That's 1 in 7 Americans. How's that for hope and change? The poverty rate leaped to 14.3 percent in 2009, the highest rate since 1994.

Rep. Pitts' statement follows:

"This underscores that this recession is not just about banks, bureaucrats, and statistics. I've seen the effects of increased poverty first-hand as I've visited food banks throughout the district. Real people are hurting and there should be no margin for error in our efforts to help people, revive the economy, and create jobs.

"Washington's response to the recession has so far been ideological, partisan, and ineffective. Good ideas have been ignored while Congress has been distracted by other fights that should have waited. This is the No. 1 reason Americans are so angry right now."

The full poverty report is available at: http://www.census.gov/prod/2010pubs/p60-238.pdf

Liberal Lois Herr #7: The Cruise, Part 2

YouCut slashes government waste

YouCut slashes government waste

By Rep. Joe Pitts

With limited resources, Congress cannot spend money lightly. The Congressional Budget Office estimates this year's deficit will total more than $1.34 trillion. This year, I've voted against a number of bills funding seemingly worthy government programs because they increased our already historic deficit.

I believe that in a time of such large deficits, Congress needs to make tough decisions about how we are spending taxpayer money. The longer we wait to get control of the federal budget, the greater the burden on future generations.

Over the past nine weeks the House has been in session, Republicans have offered more than $120 billion in cuts to wasteful federal government spending. These cuts could have been used to pay for extensions of unemployment compensation, COBRA health insurance assistance and state Medicaid assistance with tens of billions of dollars still remaining to reduce this year's deficit.

All of these cuts were offered as part of the YouCut program, an effort to include the American people in the fight to cut waste. Each week that Congress is in session, Republican Whip Eric Cantor hosts a poll on his website at www.republicanwhip.house.gov/YouCut The poll offers five different government programs that could be considered wasteful.

Participants can vote for the cut they support by voting online or sending a text message from their phone. The cut receiving the most votes is offered as a motion on the House floor and every Member has to decide whether they support the program.

What type of cuts have been winning polls so far?

One of the first cuts offered by the program was a freeze in federal civilian wages that would save $2 billion. Employees in the private sector and seniors on Social Security have seen their wages and benefits remain level because of the recession and low inflation. Even Congressional pay has been frozen for the past two years. However, federal employees received a 3.9 percent raise in 2010 and a 3.5 percent raise in 2009.

Another winning YouCut measure was legislation to require an expedited process for selling unneeded federal property with 80 percent of the revenue going to reduce the deficit. The federal government is the largest property owner in the U.S. While much of this land is valuable wilderness areas, national forests and national parks, the Office of Management and Budget estimates that the federal government is holding $18 billion in real property that it does not need.

The winning cut in week six aimed to stop taxpayer support for union activities. Some federal employees currently spend their entire workweek on union activity. Federal employees should be doing the business of the people, and union membership fees should be used to compensate workers for performing union organizing and lobbying. It's estimated that in a single year $120 million is spent paying federal employees who are doing union work.

The ideas for YouCut don't strictly come from Republican members. The latest winning entry was proposed by four Democratic Congressmen who have started a working group to reduce the deficit. The Advanced Earned Income Tax Credit allows certain taxpayers to receive a portion of their earned income tax credit throughout the year in their paychecks. An audit found that 80 percent of the recipients did not comply with all of the program's requirements and that the program is rarely used. Eliminating it would save $1.1 billion over ten years.

Each of the nine winning cuts has been offered by Republicans as a motion on the House floor. While none of these motions have passed, many have attracted bipartisan support from Democrats who are also concerned about our growing national debt.

Our debt isn't a Republican problem or a Democrat problem. Both parties have increased the deficit in recent years and it will take both parties working together to balance our budget and get our country back on a stable fiscal footing. I've proudly voted for each YouCut measure and so far more than 1.4 million votes have been cast in the weekly polls. A new poll is up on the website right now and I invite you to join the effort to rein in government waste: www.republicanwhip.house.gov/YouCut

U.S. Rep. Joe Pitts is a Republican whho represents Pennsylvania's 16th Congressional District in parts of Berks, Chester and Lancaster counties.

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Guest Column: VAT is no solution to budget woes

Why a VAT is no solution to our budget woes

Rep. Joe Pitts and Rep. Jim Gerlach

If you walk into an Apple store in the United States you can walk out with a brand new iPod for around $212. If you purchase from the same retailer in England, you can expect to pay the equivalent of $230. Why the difference? Much of this disparity is because of a value-added tax paid on manufactured products in Britain.

A value-added tax, or VAT, is a type of sales tax paid by raw materials producers, manufacturers, and retailers at each stage of production. This type of tax is common in most European nations, but does not exist in the U.S.

However, this situation may not last much longer. Paul Volcker, one of the President's top economic advisors, has publicly called for a new VAT. Speaker of the House Nancy Pelosi has said that Congress should look into creating the new tax.

It is certainly true that our federal government is facing a budget crisis; we just don't believe that a new VAT would balance our budget or allow our economy to create the millions of new jobs necessary to recover from the current recession.

Greece, Spain and Portugal have all assessed a VAT for decades. None of these nations has used the added VAT revenue to balance their budget. During the economic bubble, tax revenue from the VAT and other sources encouraged these governments to set up lavish public sector benefits and expand government programs.

Now with the economic downturn, many of these nations are facing catastrophic deficits. The VAT didn't make European governments responsible, why would we think things would be different in the U.S.?

Instead, the VAT is a drag on job growth. The last thing we want to do right now is reduce the buying power of a dollar through new taxes. But with a VAT, consumers would pay more at the cash register, businesses would pay more for accounting and the government would pay more to police tax payments.

Obviously, if you pay more for an iPod or other consumer goods, you will have less money to spend on something else. The VAT has a direct effect on consumer purchasing power.

Right now, sales taxes are only assessed when someone buys a consumer good. When a manufacturer sells a product to a retailer, no tax is assessed. But under a VAT, each business in the supply chain collects taxes. That means additional paperwork and accounting costs. Accounting is a worthy profession, but hiring another accountant to comply with the VAT isn't going to make a small business more profitable.

The complexity of the VAT system means that the government needs to hire additional IRS agents and auditors to enforce the tax. A 1984 estimate by the Congressional Budget Office showed that a VAT would lead the IRS to expand its workforce by more than 20,000. A new estimate would probably show a significant increase in the number of workers needed to enforce the VAT.

By the end of the year we could see a very serious debate about whether Congress should look to the VAT to balance the budget. The President's debt commission is searching for ways to balance the federal budget. In Washington one of the most talked about recommendations is the VAT.

Even the President himself has indicated that a VAT should be considered as a way to increase government revenue. We don't believe that the primary problem is a lack of revenue. Instead, we have a government that has grown beyond its rightful bounds.

From 1982 to 2007, the U.S. created 45 million new jobs compared to only 10 million in Europe. There are many causes for this disparity, but among the chief reasons is a much higher tax burden on Europeans.

We've joined together with 155 Members of Congress in a letter calling on the debt commission to reject the temptation to recommend a VAT and instead look for ways restrain government spending. A balanced budget doesn't have to come at the expense of American jobs.

The U.S. is one of the few industrialized nations that doesn't impose a VAT. We believe that what makes us different from other nations is what makes our economy the strongest in the world.

Rep. Joe Pitts is a Republican who represents Pennsylvania's 16th Congressional District. Rep. Jim Gerlach is a Republican who represents Pennsylvania's 6th Congressonal District.