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Johanns: Checks, balances missing in U.S. budget
McCOOK, Nebraska -- U.S. Senator Mike Johanns detailed concerns Wednesday afternoon regarding an unsustainable national debt and his belief it could be corrected if "checks and balances" were restored to government. The open coffee meeting was held at the Keystone Business Center in McCook.
"We have seen very one-sided government over the last couple years and need to get checks and balances back in place," said Johanns, referring to the fact that the Democratic Party has had control in both the House of Representatives and the United States Senate since the 2006 general elections.
"Our legacy is the debt we pass on to our children. We will be significantly limiting what our children can do," said Johanns as he displayed information detailing the President's Fiscal 2011 Proposed Budget that calls for $3.834 trillion in spending with $2.567 trillion in revenues, leaving a $1.267 trillion annual deficit. As Johanns displayed a graph showing who owned the country's national debt, he went on to raise concerns about the country reaching its "credit-limit maximum" and the ripple effects of the interest rates being increased as a result of nearing the limit that lenders are willing to risk.
"This is a standard of living issue," said Johanns. "Our children and grandchildren will have their own crisis to deal with, and they'll also have this deficit to worry about."
In response to questions from the audience, Johanns criticized the 1099 requirement which was included in section 9006 of the health care bill. "Saying the amendment is a paperwork nightmare is an understatement," said Johanns. The requirement forces businesses to produce IRS form 1099 for any vendor in which more than $600 is spent annually. Johanns said that the amendment hurts small businesses by costing them money on paperwork and discouraging them from hiring beyond a certain number of employees, all in the name of information reporting that the IRS has said is useless to them. "1099 was just an attempt to raise revenues. It is nothing more than the federal government saying to businesses that we needed revenues so you're going to pay for it," said Johanns. He has introduced pending legislation that he hopes will be acted upon in September which would repeal the 1099 requirement in the health care bill.
Johann also fielded questions from the crowd regarding immigration, saying he didn't "believe there will be any kind of effort on immigration legislation this year. The attitude is that if we don't fix the border problems, you can't pass a bill directed at immigration. Fix the border, then solve the work permit issues. Stay tuned, we'll see what proposals come out after the first of the year."
Johann said he was excited about the number of citizens getting involved and taking action in regards to the country's politics.
"I can't tell you how satisfied I have been over the last year to see and hear the response from people. It's the end of a work day today and I have a room full of engaged and interested individuals. It's about checks and balances, people."