The Federal government must stop its borrowing and spending binge. The debt is a burden on our economy, our currency, our foreign policy, and our future. This is beyond pork barrel spending. We must address entitlement programs - not just to save money - but to give Americans confidence in their future.

 

• "Every legislator and politician knows this spending can't be justified, so why do they do it? Because it gets politicians praised -- and re-elected. There's no courage involved in spending more money. Drawing a line on spending is hard and fraught with criticism. When I vetoed $458 million of excessive spending in the budget this spring, I knew that community newspapers across the Commonwealth would decry my elimination of local pet projects. And, I knew that the Legislature would over ride most of my vetoes. In fact, they over rode all of them, to a chorus of community acclaim. But someone has to say no."
  • Governor Romney, Boston Globe, September 12, 2006

 

• "I don't want to add entitlements. I want to find ways to reform our entitlement programs."
  • Governor Romney, Boston Globe, January 27, 2006)

 

Related Links

 

• Ask Mitt Anything: Cutting Government Waste
• In The News: \"Romney Can Return Fiscal Sanity To The U.S.\"
• Watch Mitt TV: \"An Opportunity In Disguise...\"
• Watch Mitt TV: Controlling Government Spending
• Watch Mitt TV: On Innovation and Transformation of Government
• Watch Mitt TV: On Reining In Federal Spending
• Watch Mitt TV: On Spending Restraint

 

Romney left a 2 Billion dollar rainy day fund in Massachusetts.

 

 

Learn About Mitt----Mitt TV-----News-----Issue Watch

 

Gov. Romney on Fiscal Policy

 

Governor Mitt Romney and Spending

 

 

Governor Mitt Romney and Spending Press Releases

 

2007

 

• Mar 01, 2007; Policy Briefing: Restraining Government Spending
• Jan 12, 2007; Governor Mitt Romney Offers Emphatic Support for DeMint Amendment on spending Reform

 

2006

 

• 11-10-2006, Romney withholds $425 million in spending
• 07-08-2006; Governor Romney signs $25.2 billion FY 2007 state budget; reduces spending by $573 million to maintain fiscal discipline
• 06-24-2006; Romney vetoes wasteful spending, cites need to maintain fiscal discipline
• 11-10-2006; Romney withholds $425 million in spending

 

2005

 

• 06-30-2005; Governor Romney signs into law $23.8 billion budget for fiscal year ‘06; budget maintains balance, restores spending to key accounts

 

2004

 

• 06-03-2004; Romney delivers first dividend on reform; announces $500m estimated budget surplus for fy04, files supplemental spending bill
• 06-25-2004; Romney signs $22.402b fiscal year 2005 'no new tax' budget; takes fiscally conservative approach by issuing $108.5m in vetoes

 

2003

 

• 11-26-2003; Romney signs economic stimulus, supplemental budget bills; vetoes $80 million to reign in excess state spending
• 02-26-2003; Romney unveils $22.858 billion fiscal year 2004 spending plan; closes budget gap without new taxes, but with reforms, efficiencies, reductions

 

 

Governor Mitt Romney and Spending Quotes

 

The Federal government must stop its borrowing and spending binge. The debt is a burden on our economy, our currency, our foreign policy, and our future. This is beyond pork barrel spending. We must address entitlement programs - not just to save money - but to give Americans confidence in their future.

 

2006

 

• “While Massachusetts regained its economic strength, we resisted new spending we could not afford and avoided tax increases that could damage our recovery. Choosing fiscal discipline and reform has paid off, and we are now in a position financially to make important new investments in areas that will improve the lives of all of our citizens.”
  • Governor Mitt Romney, 01-25-2006 Press Release

 

• "I don't want to add entitlements. I want to find ways to reform our entitlement programs."
  • Governor Romney, Boston Globe, 01-27-2006

 

• "It struck me that there were three courses to take; two easy, one hard," Romney said of his fiscal crisis. "Those courses included simply raising taxes or alternatively, borrowing money. I rejected both of those as being too hard on working families and too punitive to future generations. Instead, I chose the third, more difficult course, which was finding ways to reduce spending, cutting back government, and using every vehicle imaginable to restore fiscal discipline, allowing us in the future to invest in education, healthcare, and the environment and job creation."
  • Mighty Mitt Romney, By Shawn Macomber, 04-21-2006 Interview

 

• “I cannot in good conscience agree to spending money from the rainy day fund in a year of record high revenues. The spending in these bills would put Massachusetts on the same road to ruin we’ve been down before Most of the cuts I have made are for projects that would be nice to have, but which we cannot justify paying for out of rainy day funds. A smaller number of these projects are just pure pork. Four years ago, we had a serous budget crisis in this state, and a lot of hard work went into putting Massachusetts back on solid footing. For this, the Legislature deserves credit. But if we don’t maintain fiscal discipline today, big problems are sure to follow tomorrow. A 15 percent retroactive pay raise for judges is excessive. I am proposing a more modest increase that is fair to both the judges and to the taxpayers.”
  • Governor Mitt Romney, 06-24-2006 Press Release

 

• "Every legislator and politician knows this spending can't be justified, so why do they do it? Because it gets politicians praised -- and re-elected. There's no courage involved in spending more money. Drawing a line on spending is hard and fraught with criticism. When I vetoed $458 million of excessive spending in the budget this spring, I knew that community newspapers across the Commonwealth would decry my elimination of local pet projects. And, I knew that the Legislature would over ride most of my vetoes. In fact, they over rode all of them, to a chorus of community acclaim. But someone has to say no."
  • Governor Mitt Romney, Boston Globe, 09-12-2006

 

• "Domestically, we’re going to have to stop spending too much money. And we’re also going to have to stop using so much oil that we’re getting from countries that don’t like us. And, of course, our spending problem is related to our entitlement problem. So we’ve got a lot on the table. My approach on each of these issues would probably be a little different than the other folks who are looking at the race, but that’s something time will tell."
  • Governor Mitt Romney, 12-28-2006 Interview with Robert B. Bluey, Mitt Romney Discusses Iraq War, Reagan's Influence and Gay Marriage

 

• “After taking office nearly two years ago facing a $3 billion budget deficit, we had to make some difficult decisions to restore fiscal balance in Massachusetts without raising taxes. While we still have more work to do, we are on the right track. As a result, we can now add spending in those key areas that we all agree are priorities.”
  • Governor Mitt Romney

 

2005

 

• “Our unemployment rate is low, jobs are being created and the economy is getting stronger. Massachusetts state government is in a position to increase spending on vital programs and still keep our promise to the voters by lowering the income tax.”
  • Governor Mitt Romney, 01-26-2005 Press Release

 

• "We changed that with time and began looking for regional strategies. I think we're doing a better job. But if you look at where the money has gone, the tens of billions that have gone out to states and localities overwhelmingly has gone to where we could spend it, and that's on first response and communication systems, command centers and so forth. We need those things, but it has not been a spending strategy based on a completely layered view of how we can protect the homeland, and that's something we have time to do now."
  • Governor Mitt Romney, 09-07-2005, Homeland Security: Status of Federal, State, and Local Efforts

 

• “No matter how you look at it, this is extremely positive news for the people of Massachusetts. Revenues were up across the board in every single category. There are more people working, our business sector is healthy and creating jobs and consumers are spending money.”
  • Governor Mitt Romney, 10-03-2005, Press Release

 

2004

 

• “We are on a mission to double housing starts in Massachusetts and this is one approach to help get us there without spending new taxpayer dollars. These new resources are critical at a time when public funds are limited, but the need for new housing is enormous.”
  • Governor Mitt Romney, 01-26-2004 Press Release

 

2003

 

• "Our problem is simple: spending is high and cash is low. When we began our transition two months ago, every indication was that the current budget was balanced. That is not the case, and immediate, hard action is required to achieve fiscal balance."
  • Governor Mitt Romney, 01-10-2003 Press Release

 

• "A true partnership means sharing in good times and bad. In good times, the Commonwealth shared its prosperity with cities and towns. Now that the state has hit hard times, we need cities and towns to join us in tightening their belts. Our problem is simple: spending is high and cash is low. When we began our transition two months ago, every indication was that the current budget was balanced. That is not the case, and immediate, hard action is required to achieve fiscal balance," said Romney. According to Romney, his current "9C authority" would force disproportionate cuts on the elderly, poor and disabled. "If we are forced to balance this budget on the backs of our seniors and the poor, we will expose the core services of government to disproportionate cuts," said Romney. "That is not fair. The best solution is to spread the burden."
  • Governor Mitt Romney, 01-10-2003 Press Release
    • An address to the Massachusetts Municipal Association.

 

 

• “Figures like these highlight the serious need for improved statewide coordination and better allocation of our resources. It’s not simply a matter of spending money – it’s a matter of spending it smartly. To the maximum extent possible, public agencies and departments have to work together more closely to better assist homeless individuals and families as they try to transition out of shelters and into permanent housing.”
  • Governor Mitt Romney, 02-14-2003 Press Release

 

• "Tonight, we stand at a crossroads. On the one hand, we can take the same way we've tried before, raising taxes to keep up with our spending. Frankly, I don't like what I see at the end of that road. Raising taxes again hits working families hard. It scares off employers, both new and old. It's time to declare that the road to Taxachusetts is a dead end street."
  • Governor Mitt Romney, 02-25-2003; Massachusetts State of the State Address 2003

 

• "The first is Common Sense for the Commonwealth that I have just described. The second brings spending programs to levels we can afford. When it comes to caring for the poor, the disabled and the elderly, Massachusetts is one of the most generous states in the nation. And despite facing the worst fiscal crisis in a generation, we will stay one of the most generous. Even more remarkably in light of the record budget gap, our total state spending for Health and Human Services will GROW next year under my budget. Let me say that again: Health and Human Services will actually GROW next year."
  • Governor Mitt Romney, Massachusetts State of the State Address 2003 02-25-2003

 

• “That is why we are going to hold the line on taxes and spending, cut red tape, and keep our budgets balanced without overburdening the engines of commerce.”
  • Governor Mitt Romney, 03-04-2003, Press Release

 

• "Two, we reform. Yes, we reduce spending in some areas. That’s unavoidable. But we do so as part of a process of broad-based restructuring. We preserve core services now, and position ourselves to better realize the promise of state government in the long term."
  • Governor Mitt Romney, 06-02-2003, TESTIMONY ON AN ACT TO REFORM, RESTRUCTURE, AND REVITALIZE GOVERNMENT

 

• "I commend you for completing this budget in a timely manner without raising taxes and without using our dwindling Stabilization Fund reserves. However, because I believe that available revenues will not be enough to support the level of expenditures you have recommended, I am vetoing $201 million to ensure that the Fiscal Year 2004 budget is balanced and that we maintain a more sustainable level of government spending."
  • Governor Mitt Romney, 06-30-2003

 

• "However, in austere fiscal times, we cannot spend more than we have. Therefore, I have reduced spending to a level that is immediately necessary."
  • Governor Mitt Romney, 11-26-2003 Press Release

---

“Binge Spending Days are Over”

 

by Mitt Romney

 

“When I took office, the Massachusetts economy was down. My team and I went to work to find ways to economize and to eliminate duplication and waste. We cut back on ‘nice to have’ spending that we just couldn’t afford.”

 

“Over the past three years, Massachusetts has come back. Businesses are hiring again… Our state and local tax revenues are going through the roof… On June 30 the Legislature passed a budget that spent not only all of the record tax revenues and all of the billion-dollar surplus, but also $500M from the rainy day fund. Every legislator and politician knows this spending can’t be justified, so why do they do it? Because it gets politicians praised—and re-elected. There’s no courage involved in spending more money.

 

Drawing a line in spending is hard and fraught with criticism. When I vetoed $458M of excessive spending in the budget this spring, I knew that community newspapers across Commonwealth would decry… and that the Legislature would over ride most of my vetoes. But someone has to say “no.”

---

Spending Data

• The budget’s bottom line is $23.22 billion, a 2.4 percent increase over anticipated current year spending. Romney also filed a $93.7 million supplemental budget for Fiscal Year 2005, which includes $28 million to replenish the snow and ice removal account. 01-26-2005 Press Release
• New budgetary spending is paid for by growth in tax revenues and savings from reforms instituted over the last two years. In the Medicaid program, the growth rate has been significantly slowed due to better management, efficiencies gained through new drug formularies and increased federal support. 01-26-2005 Press Release
• Romney vetoed just over $200 million from the spending plan to meet his constitutional requirement to balance the budget. The budget proposes to spend $300 million less than the $22.4 billion that is projected to be spent in the current fiscal year. 06-30-2003 Press Release
• Because of faulty revenue assumptions and because the Legislature did not adopt all of his reform proposals, Romney vetoed $201 million in spending, the largest of which was a $23 million reduction in the Additional Assistance category of local aid. He also rejected several items in the budget, saying they take the state in the wrong direction. 06-30-2003 Press Release
• Romney said the transfer is possible because of the success in reducing spending with the Governor’s Office, freeing up funds for other purposes. Spending in the Governor’s Office has dropped from $5.6 million in FY02 to $4.6 million in FY06. Spending is anticipated to drop again in the current fiscal year. 11-03-2006 Press Release

---

 

 

Also See

 

• Budget Balancing
• Economy
• More

 

 

Governor Romney's Five Factors That Accelerate Growth And Assure Economic Leadership:

 

- Skilled, Educated, Motivated People

 

- Free Trade, On The Level

 

- Capital And Savings

 

- Innovation And Technology

 

- Consumer Freedom

 

Governor Romney's Five Braking Factors That Decelerate Economic Growth:

 

- Excessive Taxation And Spending

 

- Excessive Regulation

 

- Excessive Burdens On Business Activity

 

- Excessive Health Care Costs

 

- Excessive Energy Costs

 

Governor Romney's Initiatives To Ensure America's Continued Economic Growth:

 

Below are excerpts of Governor Romney's remarks as prepared for delivery.

 

MAKING THE 2001 AND 2003 TAX CUTS PERMANENT: "Which course is better for America? A European model of high taxes and regulations? Or, low taxes and free trade - the Ronald Reagan model? That's the choice the next President will make. Some are already fighting to implement a massive tax increase. Instead, we should make the tax cuts permanent."

 

- REFORMING THE TAX CODE: "However, making the tax cuts permanent is only the first step. We also need reform of the tax code that moves towards a tax system that encourages growth, fairness, and simplicity."

 

TAX FREE SAVINGS: Governor Romney Proposes Allowing People To Save Tax Free. "It is time to make saving easy in America. I believe people should be allowed to earn interest, dividends and capital gains up to a certain amount a year, tax free and without restrictions on how or when their savings and investments are spent. As an example, let's say we chose $5,000 for joint filers as the annual tax free figure for dividends, interest and capital gains. This would help middle class families to be able to save and to invest - and spend their savings the American way: any way they want."

 

FISCAL DISCIPLINE: Unless Given The Line-Item Veto, Governor Romney Would Veto Any Appropriations Bills If They Exceed Spending Targets. "I have a fairly simple idea for keeping spending in check. Give Congress a spending target and then insist that it is met. If Congress does not meet the spending targets, then its appropriations bills should be vetoed. I regularly exercised my veto power while governor. The alternative is for the Congress to vest the President with a power held in some form by 43 governors, including this Governor - the line-item veto."

 

REGULATORY RELIEF: Governor Romney Would Reinstitute A Regulatory Relief Board To Cut Back Regulations That Choke Off Growth. "Our regulatory burden is also overbearing. I'd re-institute a regulatory relief board to cut back the regulation weeds that choke off growth. One that deserves pruning is Sarbanes Oxley - it's driving away IPO's, depressing jobs, and requiring billions of unnecessary cost. Executives who violate the law should go to jail, but the entire economy shouldn't have pay an inordinate price for the sins of the few bad actors."

 

NATIONAL TORT REFORM: Governor Romney Believes America Needs National Tort Reform, Not Reform State-By-State. "Another burden on our economic future is our out-of-control tort system. Last year, U.S. corporations spent more money on tort claims than they did on R&D. If innovation is the key to our long term leadership, then some tort lawyers are cashing out our country's future. I spoke with one member of the plaintiff's bar the other day. He said that the tort lawyers are ok with state reform, but not national reform. You know what state level tort reform means - it means that as long as there is one lawsuit-friendly state, they can sue almost any major, deep-pocketed company in America. No thanks, America needs national tort reform."

 

FUEL EFFICIENCY: Governor Romney Would Evaluate Reforms To CAFE Standards To Develop A Better Way To Get Higher Fleet Mileage Without Market Distortions. "What does this mean for Detroit? Well, it means that the automotive fleet will have to become more fuel efficient. CAFE improved mileage initially, but the consumer has gotten around it over the last couple of decades. CAFE has some real problems. It distorts the market. It penalizes the domestic automakers. It can ignore technical realities. So before I would change the CAFE standards, I want to sit down with every major knowledgeable party and evaluate each of the alternatives. A good number have been proposed; let's decide which is the best course by looking at the data and analysis, rather than by playing to the TV cameras Let's not forget that a far more fuel efficient fleet must be part of our energy future. The issue is which is the least distorting way to achieve it."

 

 

• Quotes, Press Releases, Photos, and all Videos on this page have been compiled by Myclob

 

 

 

The Federal government must stop its borrowing and spending binge.

 

http://mittromney.com/Issue-Watch/Stopping_Runaway_Spending

 

Spending

 

The Club for Growth is committed to reducing government spending. Less spending enhances economic growth by enabling lower taxes and diminishing the economically inefficient political allocation of resources.

 

Governor Romney's record on spending must be considered within the liberal political context in which he governed. The Massachusetts Legislature was (and continues to be) dominated by Democrats more interested in raising taxes than cutting government programs. Throughout his tenure, Romney's proposed cuts were met with opposition while the vast majority of his vetoes were relegated to the graveyard of overrides.

 

On balance, his record comes out more positive than negative, especially when one considers that average spending increased only 2.22% over his four years, well below the population plus inflation benchmark of nearly 3%.18

 

Governor Romney receives credit for actual spending in FY 2003, even though he entered office halfway into the fiscal year, because of the tremendous spending cuts he forced down the Legislature's throat in January of 2003. Facing a $650 million deficit he inherited from the previous administration, Romney convinced the unfriendly State Legislature to grant him unilateral power to make budget cuts and unveiled $343 million in cuts to cities, healthcare, and state agencies.19 This fiscal discipline continued in 2004, in which Romney continued to slash "nearly every part of state government" to close a $3 billion deficit.20

 

At the same time, Governor Romney clearly loosened the purse strings for FY 2006 and in his proposed budget for FY 2007 (final spending for FY 2007 is not yet available, and is partly the responsibility of Romney's successor, Governor Deval Patrick). With surpluses flowing into the state coffers, the Romney administration sought to undo some of the success it had achieved during the initial lean years.21 The result was a budget proposal for 2007 that was a whopping 10.12% larger than the preceding fiscal year.22

 

To his credit, Romney attempted to cut down on government spending by streamlining many duplicative and wasteful elements of Beacon Hill. Some of his more ambitious proposals were rejected by his über-liberal Legislature. These include: his plans to overhaul the wasteful Boston Municipal Court and close underused courthouses; merge the Massachusetts Turnpike Authority with the Highway Department; decentralize management of the University of Massachusetts; streamline the Alcoholic Beverage Control Commission; and phase out the obsolete Worcester State Hospital where employees outnumber patients nearly 3 to 1.23

 

Governor Romney successfully consolidated the social service and public health bureaucracy and restructured the Metropolitan District Commission.24 Romney even eliminated half of the executive branch's press positions, saving $1.2 million.25 He also used his emergency fiscal powers to make $425 million worth of cuts in 2006, taking particular aim at local earmarks, instead of allowing the Legislature to dip into the state's $1.2 billion rainy day fund.26 While there is no question that Governor Romney's initial fiscal discipline slacked off in the second half of his term, on balance, he imposed some much-needed fiscal discipline on a very liberal Massachusetts Legislature.

 

18Bureau of Labor Statistics & U.S. Census Bureau

19Boston Globe, 01/30/03

20Telegram & Gazette, 02/27/03

21Telegram & Gazette, 01/14/06

22Executive Office of Administration and Finance

23Telegram & Gazette, 08/03/03

24Telegram & Gazette, 08/03/03

25Associated Press, 01/28/03

26Boston Globe, 11/23/06