Federal deficits projected to grow to almost $2 trillion next year have triggered creation, by President-Elect Trump, of a Department of Government Efficiency (DOGE). DOGE’s goal is to cut federal spending by $2 trillion.
Led by Trump loyalists Elon Musk and Vivek Ramaswamy, DOGE is an advisory committee without legislative power. Its mission includes working with both the White House and the Office of Management and Budget. In conjunction with this Administration effort, both the House and Senate are organizing to work with DOGE to smooth the way through the legislative process for DOGE recommendations. In the Senate, the effort is a caucus to be led by Sen. Joni Ernst (R-IA). In the House, a subcommittee of the Oversight Committee will focus on DOGE recommendations. The subcommittee chair will be Rep. Marjorie Taylor Greene (R-GA).
A primary focus of the DOGE efforts will be streamlining the regulatory process and cutting existing regulations, say Musk and Ramaswamy. In a Wall Street Journal article last month, the two highly influential Trump lieutenants said of their DOGE task, “President Trump has asked the two of us to lead a newly formed Department of Government Efficiency, or DOGE, to cut the federal government down to size. The entrenched and ever-growing bureaucracy represents an existential threat to our republic, and politicians have abetted it for too long. That’s why we’re doing things differently. We are entrepreneurs, not politicians. We will serve as outside volunteers, not federal officials or employees. Unlike government commissions or advisory committees, we won’t just write reports or cut ribbons. We’ll cut costs.”
Prospects: Recent history is littered with commissions and special committees aimed at controlling federal spending, reducing deficits and reforming government programs. The last one that succeeded was in 1983 when a commission recommended Social Security program reforms that Congress enacted.
In short, spending cuts based on reducing the size and scope of government may well be popular in theory, but when push comes to shove, most government programs have had enough support among lawmakers and their constituents to survive the budget ax. On the other hand, many lawmakers believe the current regulatory process has resulted in substantial government overreach. At least some of DOGE’s probable recommendations—to the extent they require Congressional approval rather than being solely based on executive orders—are likely to win support from lawmakers.
NAIFA Staff Contacts: Diane Boyle – Senior Vice President – Government Relations, at dboyle@naifa.org; or Jayne Fitzgerald – Director – Government Relations, at jfitzgerald@naifa.org.