The goal of the Compact for America (“CFA”) initiative is for the states to propose and ratify the powerful balanced budget amendment that is contained in the Compact for a Balanced Budget into the United States Constitution in as little as one session year, with a target of July 4, 2017, and a "do or die" date of April 12, 2021 (when the Compact for a Balanced Budget already joined by the States of Alaska, Georgia, Mississippi and North Dakota sunsets).
Over two years in the making, the Compact for a Balanced Budget is now a reality. With the signing into law of the Compact legislation by the governors of Georgia and Alaska in April of 2014, an officially recognized organization of states is now ready to attack the problems of an out of control Congress and a level of national debt that is crippling our future generations. When states enter into a formal contract to legally obligate themselves among each other in an organized effort to achieve a common goal, such a contract is called a “compact”. Currently, there are over 200 compacts in existence, and each state is typically a member of 20 or more compacts.
Passage of the Compact
38 states are required to join the Compact before the amendment process goes live. State legislatures will have to pass the Compact bill which will be signed into law by the state governor. Congress is required to pass simple-majority resolutions in each house to activate the Compact. Once 38 states join the Compact and Congress passes the resolution, the states will then officially meet to formally propose and ratify the BBA payload into the U.S. Constitution.
The only Compact for America entity authorized to influence legislation either directly or by way of grassroots calls to action, without regard to the Educational Foundation's technical advisory services contract is Compact for America, Inc. ("Compact for America Action"), which is a not-for-profit tax-exempt social welfare organization under section 501(c)(4) of the Internal Revenue Code and recognized as such by the Internal Revenue Service. The Educational Foundation is making every effort to ensure its operations are not confused with those of Compact for America Action.