Paygo

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Paygo

In the United States, the practice of the federal government not to authorize increased spending or tax cuts without offsetting it by decreasing spending or raising taxes in some other place. That is, under paygo, all legislation and spending must be revenue neutral. The intent behind paygo is to encourage responsible spending by the federal government. It was in place between 1990 and 2002, and in 2007 and 2008 and was again implemented in 2010. See also: Statutory Pay-As-You-Go Act of 2010.
References in periodicals archive ?
Debt levels are anticipated to remain low, as medium-term capital needs are expected to be met largely by pay-go financing.
While routine appropriations require offsetting budget cuts under Congressional pay-go rules, Fattah said there is ample precedent for emergency spending without offsets.
Early in this Congress, members agreed to adopt so-called Pay-Go budget provisions that require any new spending to be offset, either with cuts in spending for other programs, or by new tax revenue.
Pay-go will constrain Congress's ability to adopt new spending for affordable housing and other national priorities.
11 military campaigns in Afghanistan and Iraq, is partly a reflection of the removal of the pay-go spending rule.
Pay-go rules were adopted with the support of the first President Bush and a Democratic Congress and renewed in 1997 under a Republican Congress and President Clinton.
Pay-go claims to require that if Congress is going to increase the deficit with entitlements or tax cuts, it has to cut elsewhere or raise taxes.
Management has no near-term debt plans and capital needs appear moderate, assisted by pay-go spending.
It is ludicrous to suggest that we are going to reduce the deficit without applying pay-go rules to tax cuts that would add an estimated $2 trillion to the national debt over the next decade.
RATE INCREASE ENABLES PAY-GO FUNDING: The recent alignment of rates with the system's cost of service is expected to maintain solid debt service coverage levels and enable it to meet its most pressing capital need - equipment replacement.
We share the President's desire to reestablish caps on discretionary spending and to restore pay-go discipline in regard to entitlement spending.
Cash is expected to decline with pay-go capital funding requirements over the next several years and system transfers to the county's general fund beginning in fiscal 2013.