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Former U.S. Comptroller General David Walker on the impact of pension costs on the federal government’s rising debt.
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There again batted down to get -- DC congress has begun its five week vacation.
And that's our debt issued -- up by the -- they seemed to just go -- ceemea.
Former comptroller general David Walker says it's even worse than we think because the nearly.
Sixteen trillion that we see on our debt clock.
He says it looks more like seventy trillion David explain.
It's about fifty trillion dollars.
Too -- in the fact is is that when you had our total debt.
When you had unfunded pension and retiree health care for military and civilians unfunded Social Security obligations.
Medicare obligations.
The total liabilities and unfunded promises or about seventy trillion dollars and growing by ten million dollars a minute.
Ten million a minute a year and year -- know you're talking about underfunding and this is where.
The law was changed a few years back because of underfunded corporate plans and they said corporate.
Plans have to be funded you have to do -- your breaking though the pension law government I presume is exempt from that.
It exempt itself in time you talked earlier about California the fact is is that the federal government most state governments in many local governments have grown too big.
Promise too much.
Waited too long to restructure they need major transformational reforms.
And most of their problems were not that the debt that they have today.
It's the underfunded pensions the unfunded retiree health obligations outdated tax systems.
These other things it quite frankly -- multiple times greater than what's on the balance sheet and growing very rapidly David.
David a for years I mean I've been yelling for Ford.
Really a couple of decades that I've been on the error affected -- my -- show when I tell people you better.
Be prepared for your own retirement because a lot of these promises.
I don't see how they're going to possibly be met and I get calls from especially public employees and they tell we are just trying to scare everybody.
Well the truth is is that government is over promised in -- gonna have to restructure those promises it's gonna have to spend less over time.
Is gonna need more revenues over time to comprehensive tax reform.
The longer we might wait to make these changes the -- -- -- gonna have to be the last transition time.
And the more risk of having a debt crisis either the federal state or local level as you know in California.
You've got several municipalities and -- to declare bankruptcy.
You've got the state of California the frankly he's never gonna get a bailout from the federal government because the federal government itself.
He's got huge problem.
Well but there they've been -- -- and build number of big states have been looking around for.
For want to death but the interesting -- you're going to be starting a bus tour wanted to tell us what you gonna be doing.
But it -- the local level you have much more control over getting -- there -- pounding on those on the lawmakers heads does to get some sense into them.
But.
What is the solution to try to get Washington to.
Make it so that they do fund those pension plans for those government employees so they do have a retirement when they get there.
Well two things have to happen the Chief Executive Officer whoever that is the president the governor or the mayor.
Have to exert extraordinary leadership state the facts speak the truth talk about the tough choices provide a way -- to solve this problem that's equitable.
To workers to read -- to retirees as well as to taxpayers if you will.
We also have to make sure that the first three words the constitution come alive we the people we're responsible accountable for what does or does not happen.
You we've got government people who are spending our children's and grandchildren's money you've heard the -- story don't tax you don't tax may.
Tax the person behind the trade now -- don't tax you don't tax me tax -- -- on my name.
That's -- responsible it's unethical it's immoral and it has to stop -- a word we're going all over the country.
Ten million a minute dot com that's -- -- wanna find out where you're going what do you starting a what do you want people to do.
We're starting on September 7 in Manchester, New Hampshire.
We're going as far west as Las Vegas, Nevada is far south as Orlando Florida and then ending in Washington DC -- October -- We're going to primarily to swing states.
To -- to target undecided voters.
At a time that matters of places that matter.
To try to get them to focus on the economy jobs and fiscal responsibility.
To put pressure on federal candidates president senate and house.
To -- talk more substance and solutions so that we can solve this problem.
The president has to provide extraordinary leadership whoever that is the people have to pressure the politicians act in the interest of the country.
And their children and grandchildren or elsewhere in trouble.
Ten million a minute.
Dot com David Walker always good to see you and good luck with -- --
