Mike Koffenberger for 4th District PA

A Plan

Mentioned in my “Issues” page is a comprehensive plan to begin tackling the problems that have plagued our country for some time. There are many naysayers that feel America’s best days are behind her. However, I think that making some of the necessary reforms outlined in this plan are a way to bring our country back to fiscal sanity.

The Comprehensive Reform Plan

Is all lost? Should we give up? Absolutely not. That is not in our blood as Americans. There are ways that we can get back to some sense of fiscal sanity and responsible government. The road to do so however will most likely not be made by those in office at the present time. There are a few in Congress that would, but they are outnumbered. Here are some steps that we MUST take if we are to turn this country around.

First, a balanced budget amendment must be instituted. If you and I as citizens must balance our personal budgets, so should our government. We are over $14 trillion in debt, and adding to it each day. We cannot run up the charge cards any longer. Declaring bankruptcy is not an option. Our debt is the most dangerous threat we face today; much greater than any threat from a terrorist attack. The consequences resulting from any of the countries that we owe money to dropping the American dollar as their reserve currency, would create mass inflation and financial chaos. The debt must be addressed and reduced. All foreign aid should immediately cease. The practice of placing earmarks in bills for spending must be outlawed. No corporate welfare or agricultural subsidies should continue. We must reign in the spending, and that continues with the second step of the plan.

The second thing that must be done, if the rest of this plan is to work, is to take a look at “The List” tab on this website. On that list are government agencies and policies that we can no longer afford. If we as citizens are expected to handle our financial affairs responsibly, there is no reason why the government can not do the same. When we are having trouble paying our bills, we cut things from our spending that we can afford to do, so that we can purchase the things that we need. The federal government is broke. It borrows money from other countries and the Federal Reserve Bank keeps printing money…making it more worthless every day. It is time that we demand that the government live within its means. That means programs that may benefit you, a family member, or a friend will be cut. They have to be. The majority of them (if not all) are unconstitutional. If the programs are to continue, the decision to do so must be made in the states and implemented and paid for there.

These cuts would have to include the big four: Medicare, Medicaid, Social Security and Defense. I have just used all four of the “holy four” that cannot be mentioned. These are the four “sacred cows” that must be spared, according to those in office now, or the people will vote them out. If Congress and the President were honest with you, they would tell you that they are expensive, unaffordable and are not sustainable. They vote to increase the taxes paid into them to further “kick the can down the road.” This only leaves our children and their children to address the problems that we should have addressed. Social Security and Medicare WILL NOT be there for our children. It is estimated that by the year 2040, the number of those over the age of 80 will outnumber those under the age of 5. Will the official retirement age (the age you must reach to collect Social Security benefits) be 80 then? 90? Remember each time the age is increased, they do not want you to collect Social Security for that long because you will drain the input coming in at the time. There is no magic bank account that holds every penny that you have ever had taken out of your paychecks. It is not being held for you until you retire and are able to use it. What is taken out of your check today was most likely spent 10 years ago. It is time we face reality. It cannot continue.

So what are we to do? Social Security, Medicare and Medicaid MUST be phased out over time. In addressing Social Security, I would propose that for those in their first year of working to those in their fifth year of working, would receive a check from the government for what they have already paid into Social Security. Those in years six to ten would receive the option of the same. Anyone over ten years in the work force could also remove themselves voluntarily from the Social Security program, however they would not receive a payment from the government. No new entrants would be allowed into Social Security. For those that are retired and living on Social Security payments, and those that are about to retire, the payments would still continue. Reducing government from “The List” would help to pay for the checks and the reduction of taxes coming in to pay for current benefits. After several decades, Social Security would be officially ended. Medicare and Medicaid must be ended in much the same fashion, and if individual states wish to continue these programs, they can do so at their own expense.

It must then be suggested, but not mandated, that those receiving the checks (from work years 1 through 10) put them into a retirement savings account. Placing them into an account or fund dependent on the stock market is too risky in my opinion. A simple retirement savings account that can be dependent on the free market and competition amongst banks for your business would enhance these accounts. Also, it would be suggested, but not mandated, that employers can also enhance their benefits packages by offering to deposit a contribution into individual retirement accounts. These retirement accounts can also be portable to be moved from one employer to another as someone changes their job. A savings account guarantees that you will have your money at retirement as long as you put money into it. It is not dependent on highs and lows in the stock market, and it is not dependent on the federal government, who can decide at any time to end the program and not pay you. Similar accounts can be used for health care. Over time, removing the “middle man” (insurance companies) from health care would reduce costs. Catastrophic insurance plans can be purchased for needs greater than what can be saved over time. For those in need, or who can not take care of themselves, accounts can be set up for them and anyone can contribute into them. If we do not take care of ourselves and our friends and family in times of need, no one else will. Depending on the government to do so only makes it more expensive and subject to end at any time. We must make these changes, or similar changes, if we are to return fiscal sanity to the federal government.

Defense is the last of the “sacred cows” to be addressed. We must return our country to its foundations of being an independent and sovereign nation, that does not interfere in other countries and their affairs. What that means is ending our empire and removing the idea that the United States must have a stake and a say in every other country and their existence. We should never have been the policemen for the world at large. It is estimated that we spend more on our military than all other countries COMBINED. A great amount of that spending must be in all of the military bases that we have spread all over the world (in over 100 countries). We must end the wars in Afghanistan and Iraq and bring everyone home. We should not be building a base in either country, nor should we be building embassies in these countries. “You can’t say you support the troops if you don’t support the war.” This is nonsense. I work with many former military men and women. The vast majority of them share the same qualities: dependable, hard-working, honorable, and of great character. The best way that we can show our support for our men and women in the military is to BRING THEM HOME to be with their families. The decision to send our troops into combat should be the most difficult and carefully debated decisions that someone ever makes.

The decision to go to war must also be made by Congress, as is called for in the Constitution, not the President or a foreign entity like the United Nations. It should be noted that we have not constitutionally declared war since the vote by Congress prior to our entry into World War Two. The enforcement of “no fly zones” by bombing other countries is war. The decision to send ground troops into another country for a “peacekeeping mission” is war. We should not be doing these things. Would we accept another country building and staffing a military base in Adams County Pennsylvania? Would we support another country “monitoring our elections process”? Would we accept another country placing a puppet President in the White House that we the people do not want? Absolutely not, and we should never expect another country to do so either.

One of the few duties of the Congress is to defend our country. With our military spread out all over the world, we are not defending it. We have been on constant offense for several decades. Does this mean that we sit back and allow our country to be attacked first? Never! If there is evidence of an immediate threat to our country, then we go to war. We must also never let another country, even an ally, have control over our troops and their actions.

If the federal government and its spending can be reduced, the tax system is the next thing to be addressed. I would propose the elimination of all federal taxes, including income taxes. Only a national sales tax, on everything except food and medicine, is a fair taxing system. If we were to institute a national sales tax now, without vastly decreasing the size and scope of our government first, the tax rate would be outrageous. The sales tax would eliminate all the ridiculous loop holes and legislation that no one, not even agents of the Internal Revenue Service, can understand. Taxing would then be based on true spending and would affect the various income levels fairly. It would keep a check on the federal government and its spending, as any increase in the sales tax would have to be debated in public. There would be no new taxes hidden in legislation. You should also not be told that paying your taxes is patriotic. As they increase the tax burden on you and your family each year, does it make you feel patriotic for the increased theft of income, or does it make you angry?

It would be better to have no tax. Income, sales or otherwise. That would be true freedom. However, the basic Constitutional functions of the Federal government have to be paid for as well as the paying off of our debt. If someone has a better plan to change the tax system or eliminate taxes altogether, let me know. I have read others that would allow the government to receive revenue only from tariffs. That is still a tax on trade and would affect the cost of goods in one way or another.

The problem with a consumption tax is that it can easily be manipulated to higher levels by Congress. In the legislation/amendment, I would ensure that a stipulation of having a vote of 3/4 of Congress to pass any increase/decrease in the sales tax. It provides a better majority vote than 2/3 of Congress, and in such a vote, much debate and exposure would occur.

These proposals are not the end of reform. There are plenty of good ideas proposed each year that are ignored by the establishment elitists from both parties in Congress. This should just be seen as the start of returning our country to a state of fiscal sanity and responsibility. Can you see any of the current members of Congress proposing any of these items? Only a few would be so bold, but that is what is needed. Bold leadership that will do what is necessary for our survival. I hope that you will entrust me with your vote to go and fight for you in Washington. Democrats and Republicans are too wrapped up in partisan politics and political paybacks to seriously consider any of these reforms as a whole. The only thing that they consistently care about is staying in power, taking more of your money, and sacrificing the futures of your children and generations to come. They have not been public servants…they have been public offenders. It must come to an end!

Paid for by Mike Koffenberger for Congress, P.O. Box 202, Stewartstown, PA 17363

Treasurer: Kevin Koffenberger