Vice-Chairman Rokita Responds to President's 2016 Budget Request

Statement

Representative Todd Rokita, Vice Chairman of the House Budget Committee, released the following statement in response to the President's Fiscal Year 2016 Budget, saying:

"Yet again, the President has proposed an irresponsible budget that punishes success, provides false promises to the American people, and never brings the budget into balance. It increases spending by $2.4 trillion, increases taxes by $2.1 trillion, and will add $8.5 trillion to the debt if implemented.

I am fighting for all people so they can build better lives for themselves and their families. To that end, I'm working with my Budget Committee colleagues to craft a responsible plan that restrains spending without heavy-handed tax increases, balances the budget within ten years, and restores the principles that make our nation exceptional."

Key Facts: The President's FY 2016 Budget

Tax Increases

· Despite $2.1 trillion in new tax increases, President Obama's budget never balances--ever.

· Major proposed tax increases include higher levies on savings and investment, small businesses, and increases in the costs of hiring workers.

· These tax hikes would stunt the economic growth needed to get Americans back to work, and come on top of $1.7 trillion in tax hikes already imposed by this Administration.

Spending Increases

· The President's budget increases annually-appropriated spending for next year by $74 billion relative to current law. Over 5 years, he would increase such spending by $322 billion.

· Next year alone, the President's budget would grow total federal spending by $259 billion, or 7 percent.

· Total spending will increase by 65 percent ($2.4 trillion) in 10 years under the President's plan.

Interest Costs Skyrocket

· President Obama's plan more than triples interest costs, which remain the fastest growing item in the budget.

· Interest on the debt this year would be $229 billion, but would rise to $785 billion in 2025 under his plan.

· At the end of President's plan, annual interest costs would be larger than his proposed spending for national defense, Medicaid or the combined total of all non-defense agency spending.

Debt Climbs

· Since 2009, we've added $7.5 trillion to the debt and spent $21.1 trillion.

· The President's budget plan would add $8.5 trillion to the debt.

· Cumulative deficits would amount to $5.7 trillion, and gross debt would climb to $26.3 trillion in 2025.

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