This analysis of David Walker’s
remarks to the Austin CPA Chapter is submitted by Austin Chapter
member Michele
Heyman, CPA, CFE.
The Texas Society of CPA’s was honored
to present David M. Walker, Comptroller General of the United
States at the Town Hall meeting held at the Driskill Hotel on
Wednesday, September 7, 2005. As Comptroller General, Mr. Walker
is the nation’s chief accountability officer and head
of the U.S. Government Accountability Office (GAO). The GAO’s
mission is to help improve the performance and assure the accountability
of the federal government for the benefit of the American people.
Mr. Walker’s message was a call to action.
In his opinion, the United States has significant inherent problems
on our financial horizon more daunting than the war against
terrorism, the incremental costs of homeland security or the
recent costs associated with natural disasters. Our nation is
facing large and growing structural deficits in the future due
primarily to known demographic trends, raising health care costs
and relatively low federal revenues as a percent of the economy.
Mr. Walker encouraged all in attendance to read
the recently published report by the GAO entitled “21st
Century Challenges: The Need to Reexamine the Base of the Federal
Government” which is available to download from the
GAO website. The report presents a clear and compelling
case regarding where we are and where we are headed as a nation.
It discusses the fact that many of the federal government’s
current policies, programs, functions, and activities are based
on conditions that existed in the United States and the world
in the 1950s and 1960s. It also covers entitlements and other
mandatory spending, discretionary spending and tax policies
and programs that are outdated, ineffective, unaffordable and
/or unsustainable.
He indicated that “status quo” is
not an option and that the way forward is to do the following:
-
Implement new accounting and reporting approaches
and new budget control mechanisms for considering the impact
of spending and tax policies and decisions over the long
term.
-
Develop new metrics for measuring the impact
of policies and decisions over the long term (e.g., key
national indicators to measure our nation’s position
and progress over time and in relation to other countries)
-
Reexamine the base, and question existing
programs, policies and activities
Time is working against us and we are at a critical
point in our history. Mr. Walker stressed that the choices that
key policymakers make (or fail to make) within the next decade
will have profound implications for the future of our country,
our children and our grandchildren. It will take people with
courage, integrity and innovation to lead this great nation
and enable us to survive longer than any other Republic in history. |
