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When economic conditions permit, states should accumulate budget reserves adequate to maintain services during recessions.
Deficit-reduction efforts should avoid cuts in programs that serve low- and moderate-income populations.
States should not tie essential spending programs to unstable revenue sources.
Efforts to reform entitlement spending should recognize the following factors:
Higher levels of government should provide adequate resources when mandating functions to lower levels of government.
Services should be implemented and operated by the level of government that can most appropriately and efficiently deliver them.
Public-benefit programs should ensure that families headed by grandparents and other caregiver relatives receive sufficient support for economic security and well-being.
Tax and spending decisions should be the purview of the legislative branch.
A balanced budget amendment to the U.S. Constitution should not be adopted.
Policymakers should enact effective and balanced rules for fiscal discipline.