Iowa senator pitches Elon Musk on $1 trillion in federal spending cuts

By: - November 25, 2024 6:12 pm

President-elect Donald Trump, center, sits with, left to right, businessman Howard Lutnick; Iowa U.S. Sen. Joni Ernst; Ernst chief of staff Lisa Goeas; and billionaire entrepreneur Elon Musk at Mar-a-Lago, Trump’s Florida estate, last weekend. Ernst gave Musk a letter about suggested cuts in government spending. (Photo courtesy of Ernst office).

WASHINGTON 鈥 Iowa Republican Sen. Joni Ernst began proposing ways to cut government spending to the Trump team this weekend, but she鈥檒l need to convince her colleagues in Congress if her ideas are going to have any chance of taking effect 鈥 like ending the manufacture of pennies and nickels and curbing overpayments for Pentagon goods.

Ernst, chair of the newly created government efficiency caucus in the Senate, hand-delivered her letter to President-elect Donald Trump this weekend at Mar-a-Lago in Florida, according to her office.

She also gave聽to Elon Musk and Vivek Ramaswamy, the two close Trump allies picked to drastically cut government spending through the so-called Department of Government Efficiency, or DOGE.

鈥淲hen faced with proposals to trim the fat from Washington鈥檚 budget, members of Congress from both parties act like Goldilocks,鈥 Ernst wrote in the letter. 鈥淚t鈥檚 too little or too big, always too hard, and never just right. But the real 鈥榤ake-believe鈥 of this fairy tale is that it鈥檚 impossible to reduce Washington鈥檚 budget without causing pain.鈥

The Department of Government Efficiency isn鈥檛 really a federal department, since Congress hasn鈥檛 voted to create or fund it. And, in general, the executive branch is limited in its ability to increase or decrease federal spending without Congress鈥 approval.

Trump tried to get around Congress鈥 authority over spending during his first term, but was largely unsuccessful due to the Impoundment Control Act, a 1974 law that prevents a president from withholding money that Congress has approved.

The nonpartisan Committee for a Responsible Federal Budget notes in a聽 that in 2019 Trump 鈥渨as accused of violating the ICA by withholding $214 million in security assistance funding for Ukraine.鈥

鈥淎llegedly, the Trump Administration was attempting to coerce Ukraine into investigating his political opponents in the run-up to the 2020 election,鈥 CRFB wrote. 鈥淭his accusation, which was eventually backed by an independent ruling from the Government Accountability Office, became the premise for the House鈥檚 impeachment of President Trump in December 2019. The Trump Administration eventually released its hold on the funds in question.鈥

If Trump tries to prevent the federal government from spending money Congress has provided, lawsuits likely would result, possibly putting the issue before the conservative-leaning Supreme Court.

Congress could also seek to repeal or amend the 1974 law, but would need to find the votes in the House and Senate to do so. Lawmakers would likely want to consider how a Republican Congress changing the law to help a Republican president could be used by a future Democratic administration.聽

鈥楲iving high off the hog鈥

Ernst鈥檚 letter pitches about $1 trillion in spending cuts to Musk and Ramaswamy, even though they do not have and will not have the constitutional authority to cut any federal spending if the DOGE remains outside the government.

Ernst wrote in the letter that her efforts to reduce government spending during her tenure in the Senate have been 鈥渁 very lonely fight鈥 since both 鈥淒emocrats and Republicans always come together in agreement over one issue: living high off the hog.鈥

Ernst established the DOGE Caucus earlier this month to push for specific spending cuts after Trump takes office on Jan. 20, 2025.

North Carolina鈥檚 Ted Budd, Texans John Cornyn and Ted Cruz, Oklahoma鈥檚 James Lankford, Utah鈥檚 Mike Lee, Kansan Roger Marshall, 海角社区鈥檚 Bernie Moreno, Missouri鈥檚 Eric Schmitt, Florida鈥檚 Rick Scott and Alaska鈥檚 Dan Sullivan have all joined the group that鈥檚 made up of Republican senators.

In her letter, Ernst sought several spending cuts, including to the Defense Department, taking an approach similar to that in years past of the senior Republican senator from Iowa, Chuck Grassley.

鈥淭he Pentagon has never passed an audit and is unable to fully account for its budget. By its own estimates, DoD wastes $125 billion on bloated bureaucracy and inefficiency,鈥 Ernst wrote. 鈥淒oD could save $527 million just by streamlining the duplication and unnecessary overlap within its storage and distribution centers. DoD overpayments are legendary and the department is still overpaying nearly $1 million for spare parts. This includes a nearly 8,000 percent mark-up for a soap dispenser than the shelf price and $1,220 for a coffee cup.鈥

Ernst wrote that someone should also address bonuses paid to government contractors.

鈥淭he Pentagon is paying millions of dollars in unearned bonuses, including $10.6 million to a contractor that created 鈥榓 life and safety concern鈥 for airmen by failing to provide the necessary parts for jets,鈥 she wrote.

Ernst is a member of the Armed Services Committee, which drafts the Pentagon鈥檚 annual policy bill called the National Defense Authorization Act. But she isn鈥檛 a member of the Appropriations Committee, which puts together the annual Defense spending bill.

Office space, pennies and nickels

The federal government, she wrote, should consolidate office space to reflect that many workers no longer head into a physical office five days a week.

鈥淭he government also owns 7,697 vacant buildings and another 2,265 that are partially empty,鈥 Ernst wrote. 鈥淎n additional $14 million is being spent leasing underutilized space and nearly $1 million more for its maintenance.鈥

The federal government should stop manufacturing pennies and nickels, which Ernst wrote cost more than they are worth. Instead, the government should change the 鈥渃omposition of the coins.鈥

Ernst wrote at the end of the letter she would send more suggestions to Musk and Ramaswamy in the future.聽

Last updated 5:19 p.m., Nov. 25, 2024

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Jennifer Shutt
Jennifer Shutt

Jennifer covers the nation鈥檚 capital as a senior reporter for States Newsroom. Her coverage areas include congressional policy, politics and legal challenges with a focus on health care, unemployment, housing and aid to families.

海角社区 is part of , the nation鈥檚 largest state-focused nonprofit news organization.

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