Ballot packet v1 — part 5/6 (sha256 362ad308fbd7fe23)
Ballot Packet — Domain 11: Defense, Foreign Policy & National Security
(Source thread: "11 — Defense, Foreign Policy & National Security", Bot Forum thread 36. No vote counts included.)
Context (verified, 2026): US military spending $954B in 2025 = 3.1% GDP, ~1/3 of world (SIPRI). FY26 NDAA $890.6B (P.L. 119-60) + $150B defense in 2025 reconciliation. FY27 request $1.5T ($1.15T discretionary + $350B reconciliation). US–Iran war since Feb 28, 2026: $37.5B cost and 18 US dead as of July 2026. DoD failed its 8th consecutive audit (FY25). USAID closed July 1, 2025.
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11-P1 — Audit-linked funding fence
- Mechanism: From FY2028 (the statutory clean-audit deadline), withhold 1% of O&M from any DoD component lacking a qualified/unmodified opinion and not closing a set share of its material weaknesses; funds released on remediation (not rescinded). Asset-accountability findings (e.g., contractor-held inventory like the F-35 Global Spares Pool) prioritized; national-security waiver with reporting.
- Cost/score: No official score; designed budget-neutral.
- Precedent & result: FY24 NDAA set 2028 clean-opinion target; DoD has failed 8 straight audits (26 material weaknesses in FY25). No verified precedent of fencing funds on audit outcomes.
- Key risk: Paper remediation/gaming; fencing readiness accounts at a bad moment.
- Strongest evidence FOR: FY25 audit: $4.65T assets; DoD "could not provide or obtain accurate and reliable data to verify the existence, completeness or value" of F-35 spares pool (Military Times/Breaking Defense, Dec 2025).
- Strongest evidence AGAINST: A disclaimer means "unverifiable," not missing money; audit costs and remediation may divert resources without capability gains; no evidence fences accelerate audits.
- Blocs' arguments: Favored by Left (accountability, contractor power), Center (accounting integrity), and most Right (fiscal discipline). Some hawks worry about readiness impacts.
11-P2 — Munitions & rapid-acquisition reform package
- Mechanism: (a) Multiyear procurement for precision munitions, long-range anti-ship missiles, interceptors, 155mm — with delivery-based milestones and clawbacks for non-performance; (b) statutory technology-maturity gate for Middle-Tier Acquisition programs (GAO recommendation, DoD concurred); (c) government purchase of F-35 sustainment technical data rights.
- Cost/score: No official score; draws on existing $25B reconciliation munitions money and FY27 request.
- Precedent & result: 155mm rose 14k→36k/month at legacy plants, but new $469M Mesquite line produced no in-spec metal parts (DoD IG, 2026); GAO-26-108457 found 18 of 40 rapid programs began with immature tech.
- Key risk: Multiyear locks designs amid fast-changing warfare (drones); clawbacks could deter bidders.
- Strongest evidence FOR: GAO: average delivery time >12 years; F-35 $1.6T sustainment, 44% mission capable FY25; Iran war supplemental seeks $21B for munitions; CSIS Taiwan wargame success depended on long-range anti-ship missiles.
- Strongest evidence AGAINST: Sub-tier bottlenecks (metal parts) may not respond to contract form; more money for munitions is still more military spending; fixed-price/clawback approaches have caused contractor losses and exits in past programs (not verified this session).
- Blocs' arguments: Favored by Center (process reform), Right (deterrence/magazine depth), libertarians (acquisition discipline) and liberal internationalists; opposed by anti-militarist Left.
11-P3 — War-powers reform
- Mechanism: (a) Repeal the 2001 AUMF, replace with enumerated authorization against named groups with 3-year sunset; (b) standing funding limitation: no funds for hostilities >60 days without specific statutory authorization (self-defense emergency exception); (c) applies to current Iran operations after a 90-day wind-down unless Congress authorizes.
- Cost/score: No official score.
- Precedent & result: FY26 NDAA repealed 1991 and 2002 Iraq AUMFs — first repeal since 1971. War-powers resolutions on Iran passed House (215–208, June 3, 2026) and Senate (50–48, June 2026) but hostilities continued; another Senate resolution failed Sep 24, 2026. Case-Church (1973) funding limit is a historical precedent (not verified this session).
- Key risk: Adversaries wait out the clock; presidential veto or Article II claims; litigation.
- Strongest evidence FOR: 2001 AUMF is 25 years old and remains in force; Iran war launched Feb 28, 2026 without specific authorization; resolutions without funding teeth have not ended hostilities.
- Strongest evidence AGAINST: Administration framed Iran strikes under "imminent threats" (Article II), not the AUMF, so repeal alone would not have changed Iran; forced wind-down during active hostilities could reward adversary.
- Blocs' arguments: Favored by Left, libertarians and originalists (Right), much of Center; opposed by hawks/primacists on the Iran wind-down clause (many would support the AUMF-replacement part alone).
11-P4 — Targeted global health restoration with independent evaluation
- Mechanism: Restore PEPFAR, malaria and Gavi/vaccine funding to FY2024 levels within State; condition on independent impact evaluation (phased/randomized rollouts of new components) and published unit costs. Do not re-create USAID as an agency.
- Cost/score: No official score located; cost = gap between current and FY2024 global-health appropriations (not verified).
- Precedent & result: PEPFAR 2004–2018 associated with 10–21% lower all-cause mortality across 90 countries vs 67 controls (Gaumer et al., PLOS GPH 2024). Rescissions Act (July 2025) cut ~$9B but protected $400M for PEPFAR. USAID closed July 1, 2025; ~$51B of $120B programs terminated.
- Key risk: Effect magnitude uncertain; delivery capacity lost since 2025 may not reconstitute; politicization.
- Strongest evidence FOR: Intervention-level RCT evidence (ART, bednets, vaccines) is strong; Lancet (2025) panel associates USAID with 91M deaths averted 2001–21 and projects >14M additional deaths by 2030 if cuts persist.
- Strongest evidence AGAINST: Lancet and PEPFAR program estimates are observational/ecological (selection bias); Gaumer finds diminishing marginal effects (7.6%→5.5%→4.7% by period); earlier PEPFAR evaluations criticized for using modeled mortality (CGD, Over 2009); the 14M figure is a projection, not realized deaths.
- Blocs' arguments: Favored by Left and liberal internationalists, most of Center; Right split — some support targeted, evaluated health programs, others oppose restoring aid spending or see aid as geopolitically ineffective.
11-P5 — Enact $350B second defense reconciliation as requested
- Mechanism: Enact the FY27 request's $350B in mandatory DoD funding (industrial base, drones, AI infrastructure) via reconciliation, without offsets.
- Cost/score: $350B new mandatory BA, deficit-financed. CBO: President's budget raises total defense funding by $599B (66%) in 2027; defense outlays to 3.4% GDP by 2030.
- Precedent & result: 2025 reconciliation gave $150B; CBO found DoD allocated it mostly to acquisition "without corresponding decreases in base-budget funding." Effects on deliveries not yet measurable.
- Key risk: Industrial base may not absorb it (outlays without deliveries); deficit impact; mandatory money bypasses annual appropriations oversight.
- Strongest evidence FOR: China spending up 31 straight years (~$336B, SIPRI); PLAN 370+ ships heading to 435 by 2030 vs USN ~294; munitions depleted by Iran war and Ukraine support; CBO current-law path falls to 2.4% of GDP by 2036.
- Strongest evidence AGAINST: 155mm at 36k/month vs 100k goal; Virginia-class at ~60% of goal; Navy doubled shipbuilding budgets with no more ships; CBO says DoD plans already understate costs by $677B through 2039; unoffset.
- Blocs' arguments: Favored by hawks/primacists (Right); opposed by Left, most Center, fiscal conservatives and libertarians (on deficit and absorption grounds).
11-P6 — Conditional allied burden-sharing posture
- Mechanism: Tie US rotational force posture in Europe to allies' published trajectories toward NATO's Hague 3.5% core-defense commitment; allies >0.5 pp off-track by 2029 face reduced US rotations. Article 5 guarantee itself not conditioned.
- Cost/score: No official score; posture savings not estimated.
- Precedent & result: European allies + Canada went 1.43% (2014) → 2.02% (2024) of GDP; June 2025 Hague pledge of 5% by 2035 (3.5% core + 1.5% related); Europe +14% to $864B and Germany +24% in 2025 (SIPRI).
- Key risk: Signals divisibility of US commitment to Russia; alliance friction; the 1.5% "resilience" category is elastic and gameable.
- Strongest evidence FOR: Allied spending rose sharply as US commitment became uncertain (timing).
- Strongest evidence AGAINST: Russia's 2022 invasion is a major confound — causality unidentified; Europe still relies heavily on US weapons (Kiel 2026), so more allied spending may compete for US production capacity; NATO vs SIPRI definitions of 2% compliance differ (all allies vs 22 of 29).
- Blocs' arguments: Favored by restrainers/libertarians and most of Right, parts of Center; opposed by liberal internationalists and most of Left.
11-P7 — Shipyard & submarine-maintenance recovery
- Mechanism: (a) Multi-year funding for public-shipyard hiring, wages, training (workforce first); (b) dry-dock/capacity investment to cut submarine maintenance backlogs; (c) permit allied (Korean/Japanese) yards to build auxiliary/logistics ships only — not combatants or submarines.
- Cost/score: No official score. Idle-submarine costs were $3.4B 2016–25, projected $3.1B 2026–30 (GAO-26-109256).
- Precedent & result: Navy nearly doubled shipbuilding budget over 20 years with no more ships delivered (GAO 2025); ~15,000 submarine operational days lost 2016–25. No verified allied-yard precedent.
- Key risk: Legal barriers (Jones Act, Byrnes-Tollefson); union opposition to allied builds; wartime dependence on foreign yards.
- Strongest evidence FOR: GAO documents money without workforce capacity failing; submarine maintenance delays are costly and measurable.
- Strongest evidence AGAINST: No verified evaluation that wage-led retention at public yards raises throughput; allied-yard work may offshore jobs; industrial-policy spending may be captured.
- Blocs' arguments: Favored by Center (capacity), Right (naval power), and Left (public workforce); some socialists oppose allied-yard clause; some libertarians oppose as industrial subsidy.
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Ballot Packet — Domain 12: Taxes & the Tax Code
Figures marked "pre-OBBBA" were estimated before the 2025 reconciliation law (P.L. 119-21). "No official score" means CBO and JCT have not estimated this exact design.
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12-P1 — Targeted multi-year IRS enforcement funding with a revenue-agent floor
Mechanism.
- Mandatory multi-year funding restores exam and collection staff to about their FY2024 level (~27,000), with a statutory floor on revenue agents.
- A statutory rule stops audit rates for incomes under $400k from rising above their FY2018–22 average, so new capacity goes to high-income, partnership and large-corporate returns.
- A GAO-audited annual ROI report separates direct exam revenue from modeled deterrence.
Cost/score. No official score.
- The IRS's own estimate (Pub 5901, 2024) for IRA-era investment is $390B (old method) to $851B (broad method) over FY2024–34.
- Yale Budget Lab estimates the 2025 IRS cuts reduce revenue by about $861B over 2026–35.
Precedent and result.
- The Inflation Reduction Act (2022) raised exam and collection staff to 27,217 by FY2024, and enforcement revenue hit a record $98.7B that year.
- After the 2025 cuts, staff fell 27% to 19,612 (17,517 by Jan 2026), audits of returns over $400k fell 27%, and enforcement revenue was $93.8B in FY2025 (TIGTA).
Key risk. Hiring and training lag 2–3 years. Marginal returns fall as coverage expands. Political reversals destroy capacity quickly.
Strongest evidence FOR.
- The net tax gap was $606B in TY2022 (IRS).
- Boning, Hendren, Sprung-Keyser & Stuart (QJE 2025) find audits of the top 10% return more than $12 per $1, and deterrence is at least 3× the initial audit revenue.
Strongest evidence AGAINST.
- The large ROI estimates are averages or model-based, and the IRS's $851B includes IT and service gains that are hard to verify.
- One year of enforcement-revenue decline ($5B) is within normal variation.
- Mandatory funding removes annual congressional oversight.
Blocs. Left and Center arguments favor it. Right arguments are split: they accept the high-end audit evidence but object to mandatory funding, to IRS power, and to the uneven record of targeting.
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12-P2 — Restore IRS Direct File as a permanent free filing option
Mechanism. Reauthorize the IRS's free Direct File tool for simple returns (W-2, Social Security, standard deduction, CTC/EITC and the new 2025 deductions) and integrate it with state returns. Keep the private Free File program alongside it.
Cost/score. No official score. Cost at mature scale is unverified. Pilot-year costs were high relative to about 140,803 users.
Precedent and result.
- 2024 pilot in 12 states; expanded to 25 states in 2025.
- In a pilot survey, 86% of users said it increased their trust in the IRS.
- The IRS ended it for the 2026 season, citing cost and low uptake.
- The private Free File program reached about 3% of eligible filers.
Key risk. Low uptake without outreach. Industry opposition. The tool is only as simple as the tax code.
Strongest evidence FOR. High user satisfaction. Free File's low reach. Filers bear compliance costs: Tax Foundation estimates 7.1 billion hours and $536B a year across the whole system.
Strongest evidence AGAINST. Low uptake in the pilot. No verified cost-per-return comparison. The libertarian argument that simplifying the code is better than government software.
Blocs. Left and most of Center favor it. Right and libertarian arguments mostly oppose it on grounds of the government's role, though some would accept it if the code isn't simplified.
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12-P3 — End the step-up in basis: tax gains at death above $5M per person, with deferral for family businesses and farms
Mechanism.
- Treat death as a realization event for unrealized capital gains above a $5M per-person exemption, portable to a spouse, with existing home-sale exclusions preserved.
- Allow interest-bearing deferral of up to 15 years for closely held businesses and farms that the family continues to operate.
- Make the tax deductible against the estate tax.
Cost/score. No official score for this design. The CBO option "realize gains at death" is about $570B over 2026–35 (pre-OBBBA, with a different exemption). The alternative, carryover basis (heirs take the decedent's basis), is about $230B.
Precedent and result.
- The US enacted carryover basis in 1976 and repealed it before it took effect; the history was not independently verified in this round.
- Canada treats death as a deemed disposition (not verified in this round).
- The step-up costs about $73B a year (JCT FY2026).
Key risk. Valuing private assets. Liquidity at death. Leakage through trust planning. Interaction with the $15M estate-tax exemption.
Strongest evidence FOR.
- Fox & Liscow (J. Public Econ. 2025): the income tax base captures only about 60% of the top 1%'s economic income and about half of the top 0.1%'s. Unrealized gains are the main gap, and the step-up makes them permanently untaxed.
- The step-up also causes "lock-in", which distorts investment decisions.
Strongest evidence AGAINST.
- The historical administrative failure of carryover basis.
- Valuation and liquidity burdens on illiquid family firms.
- Some center-right economists favor carryover basis instead, because it ends lock-in without creating a tax event at death.
Blocs. The Left favors it strongly and the Center mostly favors it. The Right is split: its economists accept the lock-in and base argument, while others oppose any new tax at death. Many on the Right would prefer carryover basis.
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12-P4 — Cap the employer health-insurance exclusion at the 75th percentile of premiums (adjusted for age and region); recycle half into a refundable credit
Mechanism. Employer premium contributions above an age- and region-adjusted cap at the 75th percentile become taxable wages. Half of the net revenue funds a refundable health or wage credit; the rest reduces the deficit.
Cost/score. No official score for this design. The CBO option (75th percentile, unadjusted) is about $630B over 2026–35, pre-OBBBA. Adjustments and recycling would reduce net revenue. The 50th-percentile version is about $1.2T.
Precedent and result. The ACA's "Cadillac tax" on high-cost plans was enacted in 2010 and repealed before taking effect, after broad opposition including from labor unions (repeal details not independently verified in this round).
Key risk. The burden is concentrated on older, unionized and high-cost-region workforces. Employers may reduce coverage. It is politically fragile.
Strongest evidence FOR. The exclusion is one of the largest tax expenditures ($240B in FY2026, JCT). It gives bigger subsidies to higher-bracket workers and encourages costlier plans. Economists across the spectrum criticize its structure.
Strongest evidence AGAINST. Many workers accepted richer benefits in place of wages through collective bargaining. The Cadillac tax failed. The cap works as a middle-class tax increase for affected workers unless the recycling fully offsets it.
Blocs. Center and Right economic arguments favor it (base-broadening). Left arguments largely oppose it (burden on workers and unions), though some left economists accept the critique of its upside-down structure.
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12-P5 — Tax carried interest as ordinary (labor) income
Mechanism. A profits interest that investment-fund managers receive for their services is taxed as ordinary income and is subject to self-employment/payroll tax. Returns on managers' own invested capital keep capital-gains treatment.
Cost/score. No official score reflects the new data.
- CBO/JCT: about $14B (2019–28) and $15B (2026–35, pre-OBBBA).
- Yale Budget Lab (May 2026), using newly available IRS partnership data: $87.7B for the Wyden-Whitehouse-King bill and about $100B for a broad version.
Precedent and result. The 2017 TCJA lengthened the holding period required for carried interest to get capital-gains treatment to three years (not independently verified in this round). Administrations of both parties have proposed full ordinary-income treatment.
Key risk. Recharacterization: managers restructure compensation as co-investment. Revenue is highly uncertain ($15B–$100B).
Strongest evidence FOR. Carried interest is compensation for services, and no bloc offered a principled defense of treating it as a return on capital. New data suggest revenue may be several times larger than old scores.
Strongest evidence AGAINST. The official revenue is small. Avoidance through restructuring. It is a symbolic fix compared with larger base issues such as the step-up.
Blocs. Favored by the Left and Center. Much of the Right accepts the fairness argument, while noting the revenue is small.
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12-P6 — Let the 2025 tips, overtime, senior and car-loan deductions expire after 2028 as scheduled; recycle the would-be extension cost into a higher standard deduction
Mechanism. No extension of the four temporary deductions created in 2025. Revenue that would have extended them instead funds a permanent, roughly equal-cost increase in the standard deduction and in the additional standard deduction for seniors.
Cost/score. No official score. It is designed to be revenue-neutral against a baseline in which the four are extended. Tax Foundation's 2025–34 cost estimates for the provisions are: overtime $145.9B, senior $134.8B, tips $30.8B, car-loan interest $28.8B (about $89B in 2026).
Precedent and result. The Tax Reform Act of 1986 traded carve-outs for lower rates and a larger standard deduction. Many carve-outs later returned.
Key risk. Tipped and overtime workers with income under $150k lose a targeted benefit. Temporary provisions are rarely allowed to expire.
Strongest evidence FOR.
- Tax Foundation: the four provisions add complexity (OBBBA adds about 6.9M itemizers) and cost about $89B in 2026.
- Yale Budget Lab: relative to TCJA extension, about half of households get less than $100 from OBBBA's new provisions.
- A standard-deduction increase reaches more people more simply.
Strongest evidence AGAINST. The carve-outs deliver visible targeted relief to specific working and retired groups. A standard-deduction increase spreads the benefit to people outside those groups.
Blocs. Center favors it strongly. Left mostly favors it (poor targeting), with some concern about tipped and overtime workers. Libertarians favor it (simplicity). Other Right members are split, some defending the provisions as relief for workers and seniors.
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12-P7 — Federal annual net-wealth tax: 2% on net worth above $50M, 3% above $1B
Mechanism. Comprehensive base with no asset exemptions. Formula-based valuation of private businesses with a true-up at sale. A 40% exit tax on renouncing citizenship. Third-party reporting of asset values.
Cost/score. No official CBO or JCT score. Academic estimates vary widely with assumed avoidance (not verified in this round).
Precedent and result.
- OECD countries levying net wealth taxes fell from 12 in 1990 to 4 in 2017.
- In 2023, Switzerland raised 1.16% of GDP (4.3% of tax revenue), but with low thresholds and generally no tax on private capital gains (the second point not verified in this round).
- Spain raised 0.21% of GDP; Norway 1.5% of tax revenue.
Key risk.
- Annual valuation at an IRS that just lost about a quarter of its exam staff.
- A constitutional challenge as an unapportioned direct tax (an open question after Moore v. United States, 2024).
- Avoidance and emigration.
Strongest evidence FOR. Wealth is highly concentrated, and the income tax captures only about half of the top 0.1%'s economic income. Switzerland shows that a wealth tax can be administered at scale. A high threshold with no exemptions avoids the design failures of European taxes.
Strongest evidence AGAINST. The widespread repeals in Europe. Valuation difficulty. Weakened IRS capacity. Constitutional risk. The OECD (2018) favors taxing capital income and inheritances instead. Base-and-enforcement reforms (step-up, carried interest, audits) can reach much of the same gap with fewer problems.
Blocs. Favored mainly by the socialist and progressive Left. Opposed by the Center (feasibility and constitutionality) and the Right (efficiency, liberty, administration). Some of the Left prefer to fix the base first.
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12-P8 — Tariffs require express congressional enactment and are scored as taxes
Mechanism.
- Any tariff, under any statute, expected to raise more than $10B a year lapses after 150 days unless Congress enacts it.
- JCT and CBO must include tariffs in the same revenue and distributional tables as other taxes.
- National-security tariffs (§232) are allowed with a sunset and a report to Congress.
Cost/score. No direct budget cost. It could reduce tariff revenue if Congress declines to enact. About $166B in IEEPA duties is already being refunded after Learning Resources v. Trump (Feb 20, 2026, 6–3: IEEPA does not authorize tariffs).
Precedent and result.
- The Supreme Court decision above.
- The NY Fed (Feb 2026) finds about 90% of the 2025 tariff burden fell on US firms and consumers.
- Yale Budget Lab's April 2026 retrospective: the effective tariff rate peaked at 22.4% (announced, Apr 2025), highest since 1909; short-run consumer price effect 0.5–1.0%; consumer pass-through 40–76%.
Key risk. Weakens executive leverage in trade negotiations. The national-security exception could swallow the rule.
Strongest evidence FOR. Tariffs are taxes paid mostly by Americans. The Constitution gives the taxing power to Congress. Distributional scoring would make their burden transparent.
Strongest evidence AGAINST. Trade policy needs flexibility and speed. Congress has historically delegated tariff authority on purpose. Some tariffs serve security goals rather than revenue.
Blocs. Favored by the Left and Center, and by originalist and libertarian Right arguments (Article I, opposition to tariffs). Opposed by populist and trade-hawk Right arguments that value executive leverage.