Government Spending

No government has ever spent its way to prosperity. Our proposals help governments be fiscally responsible so citizens can be prosperous.

<p>No government has ever spent its way to prosperity. Our proposals help governments be fiscally responsible so citizens can be prosperous.</p>


Contact: Lucy Caldwell
(602) 633-8986


Compact for America is exactly what Founders intended to check Washington


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Even in his sunset years, Ronald Reagan understood too well that Congress will never tie its own hands when it comes to debt spending. Lamenting the repeated failure of Congress to propose a Balanced Budget Amendment, Reagan wrote on May 23, 1994:

We can’t depend on Congress to discipline itself . . . we must rely on the states to force Congress to act on our amendment. Fortunately, our Nation’s Founders gave us the means to amend the Constitution through action of state legislatures . . . . That is the only strategy that will work.

Contact: Lucy Caldwell
(602) 633-8986

Better government practices will protect programs and services during next recession


In 2011, the Pew Center on the States published a study calling attention to the increasing inaccuracy of states’ revenue estimates. Looking at data from 1987 through 2009, one thing Pew shows seems obvious enough: During recessions, states tend to overestimate revenues and during periods of economic growth, states tend to underestimate revenues.

As Arizona debates the merits of a proposed plan to expand Medicaid, we should consider whether it’s even legal. As currently written, the plan is unconstitutional. That’s because it gives sweeping power to the Director of AHCCCS (Arizona’s Medicaid program) to make law, a job the state’s constitution says must be left to the legislature.

Two years ago, when the Legislature considered reining in handouts to the solar industry by the Arizona Corporation Commission, the hearing room was packed with lobbyists opposing the move. Solar subsidies, they argued, were the cornerstone of the state’s job creation program.

(Kevin Mooney, The American Spectator)

You may be wondering what the “sequester,” or cuts in federal funding due to a Congressional budget impasse, will mean for Arizona schools. The estimated reductions in federal money to Arizona schools could amount to $17.7 million, but before we stock up on canned goods and head for the hills, let’s put in perspective what $17.7 million represents.

In a recent unanimous decision, the Arizona Court of Appeals held that school districts can't spend bond money on unapproved purposes when voters authorized that money for specific projects. This decision protects the state constitutionally-guaranteed rights of taxpayers and ensures that governments can't renege on their bond agreements with the voters.