Cuts in spending
The bill proposed to reduce total spending by $111 billion in FY 2012. The savings were divided as follows:
- Reduce non-security discretionary spending below 2008 levels, which saves $76 billion.
- $35 billion cut to non-veterans, non-Medicare, non-Social Security mandatory spending.
-Defense budget at President's level.
Cap future spending at a % of GDP
The bill proposed that federal spending would be scaled back based on the glide path for the fiscal years below as a percentage of the Gross Domestic Product (GDP):
Starting 22.5% of GDP in 2012 down to 19.9% by 2021.
(This forces Congress and President to pass legislation that benifits our economy if they want to spend more in the future.)
Pass balanced budget amendment
(supermajority required to raise taxes)