I’ve read 2 books this week by conservative and progressive authors outlining the consolidation of working-class voters of all racial/ethnic groups into the modern Republican party. 

I recently outlined some steps that either party could take to address the challenges that working- and middle-class families face in a meritocratic world. 

R-E-S-P-E-C-T

I’ve outlined other policy steps below that might convince the two-thirds of the electorate that are working and middle class that they are the priority. My rough-cut estimate is that these changes would improve the federal budget deficit by 2% of GDP. 

Government Structure

1. Sunset laws requiring reapproval of substantive changes after the first 10 years.
2. Bipartisan staff recommended simplification and clean-up laws, one functional area per year, package approval, no amendments.
3. Independent staff recommendation of lowest 10% benefit/cost ratios for regulations by agency every 10 years, package approval, no amendments.
4. Implement balanced budget across the business cycle law that considers unemployment rate and debt to GDP levels.
5. Require spending cuts or funding sources for new spending programs.
6. Require federal programs to have a minimum 20-year payback from investments.
7. Migrate to minimum 80% federal funding of all federal programs assigned to states.
8. Outsource the USPS by region, maintaining 3 day per week delivery minimums.

Government Services

1. Determine paternity for all births, set and enforce child support agreements, provide basic level support from the state as required.
2. Provide home childcare volunteer refundable tax credit up to $100 per week.
3. Greatly expand availability of 1-2 year National Service programs for young adults and senior citizens.
4. Invest in nominal co-pay front-line mental health screening, intervention, listening, training, group sessions and counseling services for less critical conditions. 
5. Expand veterans hiring preferences to state and local governments, government suppliers and large employers.
6. Invest in prison to work transition programs.
7. Allow large employers to setup new employees with default 1% contribution to local United Way/Community Chest umbrella funding services.
8. Allow any group of 10 states to create a “medicare for all” health care program as a substitute for the Affordable Care Act.
9. Allow any group of 10 states to create a private insurance-based (qualify in 2 states, qualifies for all states to ensure competition) health care program as a substitute for the Affordable Care Act.

Housing and Transportation

1. Restrict issuance of new building permits in counties that do not have one-third of permits proposed for units below the existing median unit property value.
2. Auction regional licenses for private firms or states to offer low annual milage limit used car leases low to medium credit score individuals using federal funding for the inventory.
3. Create voluntary 5% of income home down payment savings program that accumulates to $50,000 after 10 years of full-time employment contributions.

Retirement

1. Make social security employee tax payments optional after age 62.
2. Remove social security payment offsets from earned income after age 65.
3. Auction to private firms the right to offer standard 401(k) financial advisory services for 0.5% of asset value with 100% federal match below $50,000 and 50% federal match below $100,000.

Education and Labor Market

1. Make any overtime or shift premium pay non-taxable (alternative to 10% rate in original proposal). Reduce taxable wages by 10% for hours worked between 6pm and 6a.
2. Tax university tuition income above $15,000 at 25% rate to fund public colleges.
3. Create German-style public-private partnerships for broad range of vocational training opportunities.
4. Offer career and technical training grants for up to 2 years equal to state subsidy of college education.
5. Offer workers up to $5,000 for relocation or temporary housing as an alternative to up to 2 years of unemployment benefits. (alternative to tax credit for moving expenses)
6. Provide alternate sets of courses and experience to meet minimum requirements for standard level high school diploma, rather than requiring gateway courses like Algebra II.
7. Offer an all-industries state administered “career skills” certification program that can be earned in 3 years of employment and classes, including some classes for academic credit in high school.
8. Require governments and large employers to justify any strict “BA needed” job requirements versus “education and experience” options.

Safety Net

1. Create a self-funded unemployment lump-sum payment system based on prior 5 years earnings. 4 months award available after 10 years. 6 months after 15 years. 8 months after 20 years. (Alternative to higher benefits and bridging option)
2. Maintain a present value of future social security benefits asset balance for each participant. After age 35, allow once per decade 10-year term loan at 10-year T-bill plus 2% for up to 20% of balance, maximum of $50,000 loan balance. Repayment through social security system earnings.
3. Provide payroll contribution funded ($200,000 max) annual income catastrophic family medical insurance (>$100,000/year) to all citizens. (alternative to $25K government provided fund)
4. Eliminate all specific import tariffs, but levy a 3% tariff on all goods to “protect” domestic producers and help fund government programs. (alternative to 0%)
5. Pay-off all student loan debt for professional degree medical professionals serving 5 years in non-metropolitan county or metropolitan county with less than 300,000 population.
6. Subsidize high-speed internet for rural counties.
7. Offer 10 year T-bill interest rate financing for qualified “low cost” retailers to build stores more than 15 miles away from any existing qualified store.
8. Levy a $500 per employee annual “closing costs” fee on large employers (250+) for a maximum 20 years to fund local redevelopment programs starting with $5,000 per discontinued employee.
9. Levy a 0.5% of annual rentals fee on landlords to fund local redevelopment of abandoned properties and areas.

Professions

1. Staff state professional licensing boards with a minority of regulated active professionals. Reduce licensing requirements to meet public safety standards.
2. Require states to provide tuition free medical care and residency spots for one doctor per 10,000 citizens each year.
3. Reduce medical school preparation requirement to 3 years.
4. Offer reciprocal medical licensing arrangements with 30 leading countries and expedited review and specific qualifications training and experience requirement defined for all others within 90 days of application.
5. Set a national cap on individual and class-action lawsuits at $2 million per person, adjusted for inflation.
6. States contract for metro and area multiple listing services and limit total real estate commissions to 4% of transaction value.
7. Require financial advisors to meet the fiduciary standard of professional care, putting the client’s interests first.
8. Set maximum prices per service and per hour for home and auto repair firms.
9. Certify public advisors to provide general advice on consumer economics, budgeting, banking, investing, real estate, insurance and health insurance for $100/hour to citizens, with a $50/hour, 8-hour maximum annual refundable tax credit.

Taxes

1. Starting with the 35% tax bracket ($462,501 married filing jointly), reduce allowable itemized tax deductions to 0 at $2 million of income.
2. Add a 40% tax bracket at $2 million of income.
3. Levy a 5% of excess price paid on personal vehicles sold for more than $50,000, boats for more than $100,000 and recreational vehicles for more than $100,000. (alternative to 10% above $1M)
4. Add a 10% surcharge to tax rates for residential properties larger than 5,000 square feet. (alternative to surtax above $2 million)