6. A Balanced Budget Amendment

.... The idea for a balanced budget amendment has existed for a long time, but has only been pursued seriously since about 1975. The following Balanced Budget Amendment is based on an initiative by the U.S. House of Representatives in January of 2011. It was a good plan but, like all such attempts, it contained a fundamental flaw: it bound the Federal Legislature to a requirement, and then gave them the ability to waive that requirement.

.... For some occasions, such as national disasters or emergencies, the legitimate need for deficit spending may arise. The problem is in defining those exceptions and limiting the overage that is authorized to the need itself. In the revisions below, necessary exceptions would be authorized, instead, by a coalition of the state legislatures:

`Section 1. Total outlays for any fiscal year shall not exceed total receipts for that fiscal year, unless three-fifths of the state legislatures shall provide by law for a specific excess of outlays over receipts.

`Section 2. Total outlays for any fiscal year shall not exceed 18 percent of economic output of the United States, unless two-thirds of the state legislatures shall make allowance for a specific increase of outlays above this amount.

`Section 3. The limit on the debt of the United States held by the public shall not be increased unless three-fifths of the state legislatures provide by law for such an increase.

`Section 4. Prior to each fiscal year, the President shall transmit to the Congress a proposed budget for the United States Government for that fiscal year in which total outlays do not exceed total receipts.

`Section 5. A bill to increase revenue shall not become law unless two-thirds of the whole number of each House shall provide by law for such an increase by a rollcall vote.

`Section 6. The Congress may waive the provisions of this article for any fiscal year in which a declaration of war is in effect. The provisions of this article may be waived for any fiscal year in which the United States is engaged in military conflict which causes an imminent and serious military threat to national security and is so declared by a majority of the state legislatures.

`Section 7. The Congress shall enforce and implement this article by appropriate legislation, which may rely on estimates of outlays and receipts.

`Section 8. Total receipts shall include all receipts of the United States Government except those derived from borrowing. Total outlays shall include all outlays of the United States Government except for those for repayment of debt principal.

`Section 9. This article shall take effect beginning with the later of the second fiscal year beginning after its ratification or the first fiscal year beginning after December 31, 2016.'.

.... Presently, 49 of the states have a balanced budget requirement. Therefore, if the federal legislature cannot seem to balance their own budget, it is proper for them to obtain guidance from state legislators who are better equipped to show them how.

.... Under this amendment, the state legislatures are drawn into the exception process, a written budget is required, and deficit spending must be tailored to the amount actually needed. Therefore, when the federal budget is over balanced, the states can review their planned expenditures and force them to consider extra spending cuts in wasteful areas, or negotiate with them to block-grant federal programs to state control, where they are typically handled more efficiently, as conditions for their cooperation and as methods for achieving the balanced budget itself.

The second problem with a balanced budget amendment is that the Federal Legislature may attempt to balance their budget on the backs of he states with unfunded mandates. Therefore the Super-Push Amendment is also needed, so the states can protect themselves from such abuse.