Fixing the Federal Budget, Part II

March 26th, 2009 by Red Renee

Peter Orszag
I’m not as smart as this guy, but I’ve got a few ideas…

The second in an extended series on constructive and real ways to fix the federal budget focuses on one specific area today- the Census.

It’s estimated that censuses in developing nations cost around $3 per person. It should then come as no surprise to you that with an estimated cost for the 2010 U.S. census of $20 billion, that works out to approximately $128 per individual/family in the U.S. (based on individual and joint tax filings- 156 million).

That’s our fantastic government at work- doing the same activity as developing countries for 43 times more money; woohoooo!

What would you do with $125 that I could save you and your family? Plenty I bet. How does it get saved? Easy, but first a history lesson.

The census is a partially dictated part of the Constitution, I say partially because the amendment was never actually ratified so technically it’s still sitting on the “To Do” pile of Congress.

Nonetheless, the Census is integral to seat apportionment for the House of Representatives plus dissemination of public funds for things like homeless shelters and other welfare programs.

We also know that, thanks to Team Obama, the Census can become highly politicized. Like the White House taking control of the process or ultra-lib, somewhat corrupt ACORN signing on to “help out” (don’t call us, we’ll call you).

The problem with the census is it’s grossly inefficient and badly managed, just like nearly everything else the Government gets its’ grubby hands on. And even with throwing $20 billion at the program, there are reports that the 2010 results will be inaccurate and unreliable.

My solution for the census is simple and twofold, and it involves the IRS of all agencies. And I can do it for $200 million which is 1% of what it currently costs.

The first part of the census is to count households. The simple solution to count those people is to include an extra form in tax filings. It’s real simple- if you want your tax refund, you must complete the census form as part of your 1040. If you owe money, if you don’t complete the census form, it would trigger an automatic audit.

You buy a couple dozen optical scanners, scan the tax census forms, and you’re finished. Sound too simple? It’s not. The Government makes it too difficult.

The second part of the census involves counting “non-filers”- homeless, illegals, etc.

Illegals shouldn’t get the benefit of social programs so that takes care of that group straight away.

The solution to count the homeless is also simple. Shelters and food banks must file tax returns annually as part their non-profit status. As part of that filing, they list profits which are tax exempt and expenses which are tax deductible. You simply take those expenses, derive a formula for people served-to-expenses (a PE ratio of sorts), you scan those forms, and have the ‘puters crunch the numbers.

When it’s all said and done, you have every household counted and you have very realistic numbers on homeless, just as good as the numbers that are currently derived.

And you’ve saved each and every American tax payer $125. Right back into their pockets and right back into the economy.

You’re welcome.

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    […] Red Renee added an interesting post on Fixing the Federal Budget, Part IIHere’s a small excerptI’m not as smart as this guy, but I’ve got a few ideas… The second in an extended series on constructive and real ways to fix the federal budget focuses on one specific area today- the Census. It’s estimated that censuses in developing nations cost around $3 per person. It should then come as no surprise to you that with an estimated cost for the 2010 U.S. census of $20 billion , that works out to approximately $128 per individual/family in the U.S. (based on individual and joint ta […]

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