Federal Government Spending Crisis: $7T Budget


TCC President Jim Pfaff on Democrat propaganda and their lies that free speech leads to genocide.

Published: February 28, 2025
Network: The Conservative Caucus
Analysis: Conservative Caucus President Jim Pfaff


The Conservative Caucus President Jim Pfaff delivered a scathing analysis of runaway federal government spending, revealing how annual expenditures have skyrocketed from $4.5 trillion in 2019 to over $7 trillion today. In a wide-ranging discussion on February 28, 2025, Pfaff exposed the constitutional crisis created by an untouchable bureaucratic class that consumes taxpayer wealth while ordinary Americans struggle with inflation and economic uncertainty. His insights illuminate why the current push for government efficiency has become a defining battle of the Trump administration.

Topics Covered

The Underground Mine Storing Retirement Paperwork

The conversation began with an absurd example of government inefficiency: an underground mine facility storing approximately 22,000 boxes of retirement paperwork for 700 federal employees. When questioned about the logic behind this expensive storage solution, defenders claimed it was necessary “in case there’s nuclear war.”

Pfaff didn’t mince words about this justification. The argument that we must maintain massive paper archives in underground facilities for a hypothetical nuclear holocaust reveals the twisted logic that has infected government operations. As the discussion highlighted, if nuclear annihilation is truly the concern, Americans would be far better served memorizing Bible scripture than worrying about 401(k) paperwork.

The Real Issue

The mine storage facility represents a microcosm of federal waste: expensive, inefficient solutions defended by bureaucrats who refuse to acknowledge that technology and common sense offer better alternatives. Photos of the facility revealed water standing at the bottom—potentially damaging the very documents the government claims are so critical to preserve.

Federal Government Spending: From $4.5T to $7T

Pfaff delivered perhaps his most damning statistic: federal government spending has increased by approximately $2.5 trillion annually since 2019. This represents a staggering 55% increase in just six years, with the total annual federal budget now exceeding $7 trillion.

“We had about a $4.5 trillion dollar total annual spend in Washington DC in 2019 and now to this point after COVID it’s over $7 trillion. Sorry guys, we don’t need three more trillion dollars on an annual basis that is totally government largesse which is destroying the country.”
— Jim Pfaff, President, The Conservative Caucus

This explosion in spending hasn’t improved Americans’ lives—quite the opposite. While federal government spending has soared, ordinary citizens face crushing inflation, higher costs for basic necessities, and economic uncertainty. Meanwhile, six of the ten wealthiest counties in America now surround Washington, D.C., a telling indicator of where taxpayer money is actually flowing.

Pfaff emphasized that this spending increase has been “facilitated with Republican votes—not every Republican in Congress but most of them.” This bipartisan complicity in fiscal irresponsibility makes congressional Republicans “the weak link” in any reform effort.

The Untouchable Bureaucratic Class

The discussion turned to a 60 Minutes segment featuring Christina Dry, a former USAID employee who complained about being fired during the Trump administration’s foreign aid shutdown. Her lament—”12 days ago people knew where their next paycheck was coming from”—exemplified the entitlement mindset that Pfaff finds so troubling.

Pfaff, who spent nearly nine years working on Capitol Hill, expressed frustration with government employees who expect permanent job security while private sector workers face constant economic uncertainty. The vast majority of Americans who work in the private sector live with the perpetual possibility of downsizing, restructuring, or elimination of their positions. They don’t receive guaranteed annual cost-of-living raises or sail into generous government pensions.

“When these people in the DC area complain like this it drives me nuts… She didn’t take into account… the fear of thousands and thousands and thousands of people in North Carolina, Tennessee and South Carolina and Georgia who got totally pushed off to the side when this hurricane went through there not long ago and they’re still suffering greatly.”
— Jim Pfaff, President, The Conservative Caucus

The Civil Service Acts, passed primarily since FDR’s administration but dating back to the late 19th century, created this protected class under the theory that government needed “professional people.” The result is a workforce that is essentially untouchable, immune to the market forces and accountability measures that govern private employment.

USAID and Foreign Aid Mismanagement

Pfaff didn’t limit his criticism to bureaucratic inefficiency—he also addressed the substantive problems with agencies like USAID. According to Pfaff, USAID has been “totally massaging and twisting our political processes here in the United States illegally” for years.

The irony wasn’t lost on him: while USAID employees like Christina Dry earned estimated salaries of $150,000-$200,000 (with many married to similarly compensated government workers), Americans in disaster-stricken areas received inadequate assistance. Hurricane victims in North Carolina, Tennessee, South Carolina, and Georgia were “totally pushed off to the side” while foreign aid flowed freely overseas.

The DC Wealth Gap

Pfaff noted that fired government employees likely lived in tony row houses in downtown D.C. or Alexandria, Virginia, valued at $1.2-$2 million, while the rest of the country struggles with affordability. This wealth concentration in the nation’s capital—with six of the ten wealthiest counties surrounding Washington—demonstrates who truly benefits from expanded government.

The Constitutional Crisis of Federal Overreach

Perhaps Pfaff’s most provocative claim was his calculation that “somewhere between 60 to 80% of every dollar we spend in the federal government is unconstitutional.” This includes major entitlement programs like Social Security, Medicare, and Medicaid, which Pfaff argues are not authorized by Article One, Section 8 of the Constitution.

While acknowledging that these programs present “political matters” that require careful handling, Pfaff insisted that reform must begin by eliminating waste, fraud, and abuse. He pointed to Elon Musk’s transformation of Twitter (now X) as a model: Musk cut approximately 80% of the workforce and the platform not only survived but became profitable.

“50% of the people working in the federal government could be let go and we’re all going to be fine, by the way, just like happened to X under Elon Musk… that model should be working in the federal government.”
— Jim Pfaff, President, The Conservative Caucus

The ongoing lawsuits from fired federal employees claiming they “cannot be fired” illustrate the depth of the problem. Civil service protections have created a permanent bureaucratic class that views itself as beyond accountability—a fundamental violation of democratic principles where the government serves at the pleasure of the people.

Republican Senators Resisting Reform

Pfaff identified a troubling divide within the Republican Party regarding the scope and pace of reform. While House conservatives push for aggressive tax cuts and spending reductions in a single comprehensive bill, some Senate Republicans have lobbied President Trump to delay fiscal reforms in favor of other legislative priorities.

This represents a three-tiered fight: Senate Republicans wanting to postpone federal government spending cuts, House leadership seeking moderate reforms, and House conservatives demanding more aggressive action. Pfaff’s position is unequivocal: if Speaker Mike Johnson isn’t willing to go as far as the most conservative members of his caucus want, “he’s not going far enough.”

Particularly revealing was Senate Majority Leader John Thune’s comment in a media interview that Republicans need to “help [Trump] understand basically how the Senate works.” Pfaff found this telling: “You sit back and say particularly when you have this reconciliation opportunity, what do you mean? What is there to learn? You need to be aggressive and do what the American people just asked for so beautifully.”

The Reconciliation Opportunity

Budget reconciliation allows certain fiscal legislation to pass the Senate with a simple majority rather than the typical 60-vote threshold. This procedural tool gives Republicans the ability to enact significant spending reforms without Democratic support—if they have the political will to use it aggressively.

Pfaff’s message to congressional Republicans was clear: the American people delivered a mandate for change in the 2024 election. Any attempt to water down reforms or delay action represents a betrayal of that mandate and demonstrates why Republicans in Congress remain “the weak link” in the reform effort.

Key Takeaways

  1. Spending Crisis – Federal government spending has exploded from $4.5 trillion in 2019 to over $7 trillion today, a 55% increase that has fueled inflation and economic hardship for ordinary Americans while enriching the Washington, D.C. region.
  2. Bureaucratic Privilege – Civil Service protections have created an essentially untouchable government workforce that enjoys job security, guaranteed raises, and generous benefits unavailable to private sector workers who face constant economic uncertainty.
  3. Constitutional Overreach – An estimated 60-80% of federal spending may be unconstitutional, including major entitlement programs, highlighting the need for fundamental reform rather than merely trimming around the edges.
  4. Reform Model – Elon Musk’s transformation of Twitter/X—cutting 80% of staff while improving profitability—demonstrates that similar reductions in federal employment are feasible, with Pfaff estimating 50% of federal workers could be eliminated without harming government function.
  5. Republican Resistance – Senate Republicans represent the primary obstacle to meaningful reform, with some senators attempting to delay spending cuts and tax reforms despite the clear electoral mandate for aggressive action.
  6. Priorities Misalignment – While government agencies like USAID funnel billions overseas and their employees earn six-figure salaries, American disaster victims receive inadequate assistance, revealing a fundamental misalignment of government priorities.
  7. The Stakes – This battle over government efficiency and spending represents more than fiscal policy—it’s a fundamental question of whether America will be governed by an accountable, constitutionally limited government or an entrenched bureaucratic class that serves its own interests.

Share This Analysis

Join The Conservative Caucus

Stand with thousands of Americans defending constitutional principles and the rule of law.

Learn More

About The Conservative Caucus:
The Conservative Caucus is a grassroots public policy action organization, formed in 1974. Headed by President Jim Pfaff, the Caucus is committed to advancing free enterprise, limited government, and traditional values.

Originally broadcast February 28, 2025 on The Conservative Caucus.

Other Articles

The Conservative Caucus Logo

DONATE TO THE CONSERVATIVE CAUCUS AND HELP US TAKE BACK OUR COUNTRY.

Our mission is to create a grassroots conservative network, uniting people of widely varying backgrounds in peaceable defense of our country, our Constitution, and our common values rooted in liberty and equal rights.


Your donation to The Conservative Caucus is more than a financial contribution. It’s a stand for the principles that have made our nation great: liberty, prosperity, and the rule of law. When you give, you’re not just supporting an organization. You’re supporting a return to the foundational ideals that have guided our country from the very beginning.

Our goal at The Conservative Caucus is to champion these timeless principles in the policy arena and beyond. But we can’t do it without you. Your generous donation allows us to continue our vital work – influencing policy, holding lawmakers accountable, advocating for fiscal responsibility, and fighting to preserve the constitutional freedoms that underpin our great nation.

The road ahead may be challenging, but together, we can reclaim the vision our Founding Fathers had for America. Whether it’s a one-time gift or a recurring monthly contribution, your donation makes a real, tangible difference. Stand with us today. Help us take back our country. Your support could be the very thing that tips the balance in favor of a brighter, stronger, more conservative future for America.

Thank you for your unwavering commitment to our cause. Together, we will make a difference.

The Conservative Caucus Favcon

JOIN TCC IN STOPPING THE ATTACKS ON OUR FREEDOM.

If the liberals have their way, our speech will no longer be free, our guns will become outlawed, and every other right we cherish will be endangered. Let your voice be heard and tell our government to uphold the Constitution, and continue to keep America the land of the free and the home of the brave.

THE PLEDGE:

I join the overwhelming majority of conservative Americans to demand that the government no longer violate our Constitutional rights.

I stand with all Americans and affirm our Constitutional rights and urge all candidates and elected officials to affirm the same.

The Conservative Caucus Logo

Mr. Peter J. Thomas

Chairman

Peter J. Thomas is a veteran conservative political strategist and seasoned policy expert dedicated to upholding the principles of the Constitution and democracy. As a founder and the chairman of the Conservative Caucus, he has played a pivotal role in promoting and shaping the conservative agenda across the nation for over half a century.

Peter’s distinguished career includes key presidential appointments under Presidents Reagan, Bush Sr., and Bush Jr. Under President Reagan, he served as the New England Regional Administrator of the General Services Administration. During Bush Sr.’s administration, he was the Special Assistant to the Secretary of Small Business. Under Bush Jr., he rose to the position of Acting Assistant Secretary for Administration in the Department of Agriculture. Additionally, Peter gained invaluable insight into Congress as Chief of Staff to Rep. Peter Torkildsen (R-MA).

Peter’s dedication to conservative values is further demonstrated by his tenure as the National Field Director of TCC in its early years, when he oversaw chapters in most congressional districts. His diverse experience also includes, founding and presiding over the Massachusetts Foundation for Economic Research, serving as director of communications for Papa Gino’s restaurants, and earning accolades as a leading sales representative for State Mutual of America.