Broad coalition endorses principles for transparency and oversight of coronavirus stimulus spending

April 6, 2020

The Honorable Nancy Pelosi Speaker of the House U.S. House of Representatives Washington, D.C. 20514	The Honorable Kevin McCarthy Minority Leader U.S. House of Representatives Washington, D.C. 20514
The Honorable Mitch McConnell Majority Leader of the United States Senate Washington, D.C. 20510	Honorable Chuck Schumer Minority Leader of the United States Senate Washington, D.C. 20510

Dear Speaker Pelosi, Leader McConnell, Leader McCarthy, and Leader Schumer:

As the United States – and indeed, the world – grapples with the ongoing coronavirus pandemic, Congress and the President have taken a number of steps to alleviate the pain felt by consumers and businesses alike.

Each of our respective organizations has preferred public policy outcomes that we work to achieve, but in this time of crisis, we all believe it most important to put aside our disagreements and focus on the shared goal of doing what is best for the country.

Millions of Americans are currently out of work or otherwise underemployed and lack the ability to pay their rent and mortgages or for their food and prescriptions. Providing for these immediate needs, not making the same old mistakes of cronyism and waste, is therefore of paramount importance.

Forthcoming federal efforts simply must be crafted responsibly. To that end, we have outlined the following principles to guide your work during the coming months:

1. Focus on immediate relief, not larger policy goals. Relief that is timely, targeted and temporary is preferable to other types, and we should beware of attempts that aim for stimulus or economic engineering rather than relief.
2. Aim to provide targeted relief instead of stimulus. In the period immediately following an exogenous shock to our economy, our goal cannot be to stimulate, but to relieve. Our goal should be to forestall a larger economic crash, rather than attempt to stimulate a recovery.
3. Avoid the temptation of special benefits. The current economic difficulties are impacting businesses large and small, and it’s important that efforts to address the crisis do not play favorites or otherwise pick winners and losers. With everyone sharing in the pain, everyone should share in the solutions.
4. Enact measures that are temporary. The current economic situation makes fiscal tradeoffs difficult, but they must eventually be considered. All proposals should be substantial, but not permanent, and any further fiscal response should ultimately be tied to the duration of the COVID-19 outbreak.
5. Emphasize meaningful transparency. Accountability is key, and allowing aid to be tracked will ensure that it is effectively helping to alleviate the health or economic crisis. Assistance should be continuously evaluated to determine whether it continues to be warranted. After all, large-scale legislation that carries an unprecedented price tag necessitates an unprecedented level of independent oversight, not less.
6. Account for the spending today. Now may not be the time to talk about offsetting new federal spending, but the imperative to act quickly should not prevent us from guarding against unnecessary long-term costs. A website for tracking spending and an “emergency assistance account” for the pandemic would be effective tools to ensure that money is spent as intended and costs are offset over time.

As long as the scale and scope of the health crisis are unknown, the depth and duration of the economic crisis are also unknowable. The health response should be our primary focus, and we will all continue to support you in these efforts. The economic response should likewise be aimed at arresting economic disaster and focused on those who need it.

History will judge us by the actions we take today, but we all believe that together we can move the country past this crisis and get our economy growing again.

Sincerely,

Jonathan Bydlak Director, Fiscal & Policy Project R Street Institute	Jason Pye Vice President of Legislative Affairs FreedomWorks
Steve Ellis President Taxpayers for Common Sense	Danielle Brian Executive Director Project on Government Oversight
David Williams President Taxpayers Protection Alliance	Pete Sepp President National Taxpayers Union
Bob Barr Member of Congress, 1995-2003; President, Liberty Guard Bob Barr	Grover Norquist President Americans for Tax Reform
Steve Pociask President / CEO American Consumer Institute	Jim Waters President and CEO Bluegrass Institute for Public Policy Solutions
Greg Lawson Executive Director, Economic Research Center Buckeye Institute	Garrett Ballengee Executive Director Cardinal Institute for WV Policy
Andrew F. Quinlan President Center for Freedom and Prosperity	Chuck Muth President Citizen Outreach
James Turner Chairman of the Board Citizens for Health	Matthew Kandrach President Consumer Action for a Strong Economy
Kyle Wingfield President & CEO Georgia Public Policy Foundation	Louis Clark Executive Director and CEO Government Accountability Project
Patrice McDermott Director Government Information Watch	Mario H. Lopez President Hispanic Leadership Fund
Jon Caldara President Independence Institute	Carrie L. Lukas President Independent Women’s Forum
Heather R. Higgins CEO Independent Women’s Voice	Tom Giovanetti Director Institute for Policy Innovation
Meredith McGehee Executive Director Issue One	Dr. Bob McClure President & CEO James Madison Institute
Seton Motley President Less Government	Michael Ostrolenk National Director Liberty Coalition
Joe Lehman President Mackinac Center for Public Policy	Matt Gagnon Chief Executive Officer Maine Policy Institute
Jameson Taylor Vice President for Policy Mississippi Center for Public Policy	Adam Andrzejewski CEO & Founder Open the Books