CBO's Ten-Year Outlook Raises Red Flags

Statement

Representative James Lankford (R-OK) was alarmed by several provisions in the latest deficit and debt projections from the Congressional Budget Office (CBO). Their Budget and Economic Outlook examines our national debt and deficit from 2014-2024. While the projections are hardly rosy for our nation's fiscal and economic future, a few key metrics proved House Republican efforts to reduce debt in the last three years to be partially successful.

The report states, "The federal budget deficit has fallen sharply during the past few years, and it is on a path to decline further this year and next year. CBO estimates that under current law, the deficit will total $514 billion in fiscal year 2014, compared with $1.4 trillion in 2009. At that level, this year's deficit would equal 3.0 percent of the nation's economic output, or gross domestic product (GDP)--close to the average percentage of GDP seen during the past 40 years."

"Since I came to Congress, I have proudly joined House Republicans in our fight to reduce the federal deficit each year from $1.4 trillion in 2009 to just over $500 billion this year, but we still have a long way to go," said Lankford.

"In the 2013 version of this report, I highlighted a key number in CBO's economic outlook report: the interest we pay on our national debt. Last year, CBO projected that based on current spending our interest payment on the national debt would be $857 billion in 2023. Now, that projection is slightly down to $819 billion in interest payments on our debt in 2024. To put that into perspective, that number is quadruple the interest we will pay this year on our debt.

"Our hard-fought battles in the House have worked to reduce spending, but we have only begun to scratch the surface of a long-term plan to eliminate deficit spending and bring down our skyrocketing national debt. Unfortunately, the House still does not have cooperation from the Senate or White House to prioritize eliminating our deficit spending. Federal spending on Obamacare will continue to add untold expenditures to our federal deficit in the years to come, and this Administration shows no signs of changing its culture of "spend now, pay for it later.'

"The CBO dire warning should remind all Americans where our nation is headed if we continue Washington's out-of-control spending spree. The upcoming vote on the 2014 debt ceiling is a prime opportunity to agree on a path to balance our nation's budget. On behalf of central Oklahoma, I will continue to work to support legislation that provides both short-term and long-term reforms to get our nation's fiscal house in order. We must avoid budget gimmicks that mask the real problems we face as a nation and work to eliminate federal waste, reform costly broken processes in Washington and provide transparency in federal agencies and programs," concluded Lankford.

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