WASHINGTON, DC-- Congresswoman Marcia L. Fudge (OH-11) made this statement in reference to passage of the “Cut, Cap, and Balance Act”, which would require spending cuts totaling $111 billion in the next fiscal year (74 days from now), which would equal 0.7 percent of the projected Gross Domestic Product (GDP), causing the loss of an estimated 700,000 jobs.

"We need to look at the situation in front of us. Republicans in Congress are willing to risk the credit and financial standing of the U.S. to propose an amendment that would destroy jobs and further harm the economy in the immediate future. They are ignoring the most pressing threat, defaulting on our debt, and pushing an agenda that would dismantle Medicare and Medicaid.  Everyone agrees that spending must be cut, but this is not the way to do it. We need fiscal responsibility and all the Republicans have offered is gimmicks," said Congresswoman Fudge.

The Republican proposal would cap spending each year at 18 percent of GDP. Accounting for population changes, the percent limit would mean slashing Social Security and Medicare well below the levels contemplated by the bipartisan Simpson-Bowles fiscal commission, as well as cutting discretionary spending by half or even more. It would require massive cuts to food inspection, air traffic control, research and innovation, and Head Start, depressing the economy more each year.

"We cannot allow this extreme proposal, which would put into action many of the detrimental changes in the Ryan budget, to move forward. It's reckless to risk defaulting on our debt while debating legislation that would most certainly cause extensive cuts to Medicare and Medicaid, throw millions of seniors into poverty and all the while protecting tax loop holes for oil companies and other corporations making billions in profit each year."

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