--The Cut, Cap, and Balance Act meets the criteria of the Cut, Cap, and Balance Pledge:
1) It substantially cuts spending;
2) It creates enforceable spending caps;
3) It requires congressional passage of a Balanced Budget Amendment to the U.S. Constitution that includes a spending limitation and a super-majority to raise taxes before the debt ceiling can be raised.
--The debt held by the public has more than doubled in just the past five years. Interest paid on the national debt is expected to more than triple over the next ten years.
--Many economists believe the US faces a Greek-style debt crisis within the next five years if we do not get our fiscal house in order very soon.
--The federal government has hit the $14.292 trillion debt limit set in February 2010. Raising the debt ceiling without significant spending cuts is simply a tax increase on future generations.
--Moody’s Investors Services has said the AAA rating of US government bonds is in jeopardy unless Congress passes “a budget that includes long-term deficit reduction.”
--Standard & Poor's has said it will downgrade US debt if the US doesn't 1) cut spending substantially and 2) REFORM the way it budgets, to control future spending.
--The Cut Cap and Balance Act (CCB) would meet the tests set forth by Moody's and S&P, so we never again face this kind of debt problem. In short, "CCB=AAA."
--The Cut, Cap, and Balance Act is a long-term deficit reduction package that will ensure we get back on the path of fiscal sanity and are not downgraded from our AAA bond rating.