Congressman Rich McCormick Introduces The Incentivize Savings Act

WASHINGTON - Congressman Rich McCormick (GA-07) has introduced the Incentivize Savings Act, a groundbreaking piece of legislation aimed at addressing the nation's unsustainable fiscal trajectory. With federal agency spending increasing by 51.7% from fiscal year (FY) 2019 to FY 2024, and deficit spending rising by 85.9% over the same period, it is clear that our current system is broken.

The Incentivize Savings Act aims to incentivize federal agencies and employees to identify savings, rather than the current structure that encourages them to spend all appropriated funds. Under this legislation, if an agency does not spend all the money appropriated to it within a given timeframe, the unspent funds will be allocated as follows: 49% will be used to pay down the national debt, 49% will remain appropriated to the agency for an additional year, and 2% will be used for agency retention bonuses.

Since the start of the second Trump administration this year, the Department of Government Efficiency has already saved the federal government $205 billion, or roughly $1,273.29 per taxpayer. The Incentivize Savings Act builds upon these efforts by providing a long-term solution to encourage fiscal responsibility across all federal agencies.

"Our nation's fiscal situation is on a horrible, unsustainable trajectory. We cannot continue to spend money we don't have and burden future generations with an ever-growing national debt. The Incentivize Savings Act is a commonsense solution that rewards federal agencies for finding savings and using taxpayer dollars more efficiently. By paying down the debt, allowing agencies to retain unspent funds, and providing retention bonuses, we can create a culture of fiscal responsibility in Washington,"said Congressman Rich McCormick.

Congressman McCormick's legislation has the potential to transform the way the federal government manages its finances. By incentivizing savings and promoting a more responsible approach to spending, the Incentivize Savings Act is a crucial step towards securing a brighter fiscal future for our nation.

The full text of the Incentivize Savings Act is available here.

Congressman McCormick explains the Incentivize Savings Act here.

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