Will the House Spending Bill pass the Senate?

The McCarthy Biden brokered deal will likely pass the House, but the Senate might be a different monster

Ted Cruz and others are pushing hard to reject the deal that came together at the last second. While this could lead to some form of unknown default, the principles involved might be worth whatever cost this is.

In a nutshell, we had a pre-covid budget just over 4 trillion dollars. In fact, 2018 was the first time we ever went over 4 trillion dollars and it took us 10 years to move from 3 to 4 trillion. Due to one time Covid relief our budget exploded to 6.5 trillion and 6.8 trillion in 2020 and 2021. But now that Covid spending has expired and the emergency is officially over, many in the Government want the 6 trillion dollar budgets to be the new normal, rather than attempt to pull us back into the spending range we were at pre-Covid.

In other words, we are not going back to the 4 trillion dollar budgets as our baseline for spending. Nope. And apparently we are going to just float by the entire concept of 5 trillion dollar budgets as well and just float right into 6 trillion as the new normal. In fact, if the Administration and Democrats have their way, our outlays will exceed 7 trillion dollars by 2026 and 6 trillion will be in our rear view mirror. Moving from 4 trillion to 7 trillion should have taken about 25-30 years. We are reducing this to about 8 years.

This type of spending logic would make a drunken sailor blush.

Oh... and if our previous 4 trillion dollar budgets are only inflated to anything less than the enormous numbers the Biden administration has cooked up, the Democrats are demanding this is a "spending cut". As in we used to spend 4 trillion in the pre-covid world. We want to spend 6.4 trillion. If we only get to spend 5.9 trillion you are cutting spending. Go figure.

Meanwhile, our current 10 year projected budget deficit is over 20 trillion dollars. That is more debt than we accumulated in our nations pre-covid history. But we are now pretending that it apparently is no big thing. More troubling is the fact that these calculations are based on pretty amazing projections for revenue. It is likely that we come up short on these revenue projections leading to even larger deficits and a larger debt.

Here is the real problem.

McCarthy and gang are playing politics. They want to finally "win" a battle over our debt limit and possible Government shut downs (or defaults). While I understand the reasoning for hoping for a win here, should it be done at the expense of our fiscal sanity? The larger issue is that people simply do not understand exactly how much money we are spending and why it seems to be a problem. As long as it doesn't bother them, then the idea of allowing our country to default is going to be a loser. But ever since Covid we are throwing numbers in the trillions around like it is no big thing. People seem to buy into this thinking.

This type of thinking will be our doom.