Sovereign States Act Could Save America

Revised and updated 12-6-14

The US has accumulated over $18 trillion in national debt and the upward spiral is an economic time-bomb waiting to explode. Recently, the world’s largest holders of US debt, China and Russia, have both instituted aggressive divestiture policies and actions that have resulted in a substantial pull out of US Dollar investments.

Belgium, using fraudulent documentation supplied by the US Federal Reserve, European Union and United Nations’ branch known as the International Monetary Fund (IMF), in an effort to stabilize international financial markets, has facilitated a dollar/debt buy-up to cover looses and prop up the dollar artificially. Had this not occurred, the world would currently be in economic shut-down and Depression mode right now under a dollar collapse scenario.

Even if the US began an earnest program to repay the national debt, it would take over 63 years, using 10% of current tax revenues yearly (not counting repayment of unfunded liabilities). In other words, the US national debt is never going to be repaid. And what is worse is that federal lawmakers and the White House show no signs of letting up on excessive spending and debt, hence the national debt is expected to keep growing until, finally, the inevitable financial collapse of the dollar arrives. Of course, any number of other factors could excel the dollar collapse reality. It is not a question if the dollar will collapse now, but simply when so how can the US and its citizens protect themselves and the nation when it happens?

The answer is contingency planning and preparations.

Combatting the Crisis Through Debt Repayment

Outside of leaving the US and world in economic shambles due to dollar collapse, what can be done to solve the problem before it takes hold? The State To Fed Tax Act is one proposal put out by Citizen America Organization analyst. In a nutshell, it would prohibit the federal government from raising revenues from all sources except through tariffs on international goods and services. States would be responsible for gathering taxes and paying them to the US Treasury under whatever in-state tax systems they choose. And the federal government would be required by law to use 17% of its revenues for debt repayment and prohibited from spending any revenues that exceed those collected and paid to the treasury by the States within the fiscal year (no more deficit spending). Of course, grave national emergency situations allow the States to approve temporary borrowing bonds for the Treasury in times of need. The measure required a Constitutional Amendment but given the certain realities of debt-dollar collapse, such a process would be expected ratified within months.

Combatting the Crisis Through Alternative State Currency Readiness

One potential solution is the installation of the Sovereign States Act (SSA) as a pre-emptive dollar collapse contingency and readiness plan.  Part of the plan would be done in advance of dollar collapse and remaining aspects would not trigger until actual dollar collapse occurs.

The basic concept is to remove the States from all federal government ties (especially financial), and to make them and their new money autonomous when the collapse comes. Once the new Sovereign State system stabilizes, the States would then create a new federal government system for their national defense and related foreign matter needs.

After dollar collapse and under the proposal, all States would become fully autonomous sovereignties again, with no direct economic, financial or taxation ties to the Federal Government. Each State would coin its own money and back it by hard resources. Preparations and coining of money would occur before dollar collapse but money circulation could be stalled until the time of actual dollar collapse. Readiness now helps to ensure a less bumpy ride for citizens and States post-collapse.

States would then assume full control and ownership of all federal lands within their own borders. Such  natural resource assets combined with precious metals, such as silver or gold, would then back the State’s currency and ensure value and integrity.

The new money could also be introduced in each state now, prior to the dollar collapse, until it fully replaces the US dollar as the standard currency within the State. This would make a dollar collapse scenario far less damaging to the States or their citizens.

Establishing The Federation of States Government

In order to ensure the States still have a viable federal government (as envisioned by the Founders and Constitution) but that is distinguished from the old version, the States would form a new and more perfect union (based on the principals already relied upon historically, pre-1900), but this time ensuring a far more restrictive role for the federal government.

To pay for the new Federation, States would collect taxes from their citizens and remit quarterly or yearly payments to a centralized Treasury. The Federation could only spend based on what is has collected from the States (not based on promises or debts but on actual funds in bank).

The Federation would no longer have the power of the purse, the power of creating debt, or the power to dictate down to States using coercive funding techniques—the yearly federal budget would be automatically set, based on actual tax revenues paid to it by the States (no deficit spending would be permitted, except by super-majority vote approval by the State governors and only based on emergency situations). Citizens of the States would vote nationally every 6-years to determine the exact percentage of tax revenues the States together are made to pay to support the Federation government—the power of the purse is put into their hands alone.

Today’s Federal Currency v. Sovereign State Currency

Federal Reserve Notes under then new system would become worthless (if not worthless already) and Sovereign State currency would then operate to insulate citizens and states from one another—if one State’s currency should fail, the other States could pick up the slack.

With the removal of the Federal Reserve, there would no longer be a Central Bank system. Each State would control its own financial sector and currency valuation independently. This would then translate to economic flexibility and mobility for all States. Each could pursue their own, unique economies in ways they see fit, without artificial interference from a Central Bank or government. States would then begin to mirror the normalized pattern of free markets that ebb and flow between growth and recessions but rarely issue patterns resulting in Depressions. And because the States are separate and sovereign, if one or more States falls into a recession, other stronger States will be able to provide the others with economic buffers.

SSA would spur States to seek stand alone policies that mirror other countries in the world. They would seek to foster the types of businesses and jobs that best suit their needs. State citizens would then have more opportunities and choices as States compete for their citizenship. SSA’s best benefit, however, is that it helps Americans avoid disaster when the Federal Reserve currency collapse on the world market. Those States (and respective citizens) who have more quickly transitioned to a State Currency system will feel much less pain as the dollar collapse scenario unfolds. However, once the dollar does hit bottom, and if States have not prepared, the climb out will be extremely difficult, placing great hardship on the citizenry–the possibility of widespread revolt becomes more likely as citizens desperate for food supplies and currency to buy them take matters into their own hands.

The United States and Fed-Gov System Improves, It Does Not Go Away

It is important to understand that the goal of the SSA is contingency preparedness for dollar collapse toward helping States and their citizens ride out the economic and fiscal storms. The birds eye view of the process looks like this:

Phase I = Dollar Collapse / Fed Gov Collapse / State Collapse / Societal Chaos & Disruption

Phase II = States Step In As Sovereignties / Issue Currency /   Societal Order & Calming

Phase III = States Reform New Federal Umbrella Gov (this time with less power and control over States but that seeks to adhere to the Founder’s original Constitution and their intents—citizen Inalienable Rights paramount and ensured).

Phase IV = An Optional Creation of a New Federation of States Currency (backed by precious metals).

While the original federal government will vanish (by its own hand and making) the new system that replaces it will be very similar (but much improved) when the process is complete. The power of the purse, however, is permanently removed from Congress and placed in the hands of the States and voters).

The Need For An Umbrella Federation For The States

The country must maintain a strong national defense so the Pentagon and its respective defense apparatus must remain in tact (and paid for by the States). Other items of national security interest to the States must also remain in tact within the federal system. Basically, any area or program or agency that is currently not part and parcel to most State systems will remain in tact and all those things that are redundant will be removed–control is transferred to the States.

Transitioning Federal Programs and Agencies To The States

As States take on the duties of being more independent countries, the federal government of today must forfeit its control over many aspects of our lives, including entitlements and agency services. Fortunately, most States already have many of the same agencies in place that the federal government provides so the transition will easy in that respect. In fact, States will see their revenues rise dramatically while the same services given to their citizens stays in tact because all of the program savings reaped from removing redundancies. For example, the federal government’s Environmental Protection Agency is duplicated in most States currently as a State Agency so all such tasks would now fall to the State’s EPA agencies—States get more control, less red tape, less expense and more agility.

Federal government entitlement programs could be transitioned over to States as well. All States currently run entitlement programs so the transition will not be difficult. For example, States would have a Social Security Retirement and Disability Program that mirrored the federal government system, but would now have more money to operate the programs (given that the budgets to operate such fed programs is no longer needed). States would be free to run their programs as they deem fit, without outside interference from the federal government.

The New Role of Congress and State Laws

The vast majority of new laws and decisions would come from the States and not Congress. The Post-SSA Congress would now focus only on creating laws that were related to the operating of the Federation of States and its smaller mission—which is now focused chiefly on dealing with foreign issues and trade as well as the national defense. Federal laws would no longer directly impact citizens or businesses because State laws would control (and redundant federal laws for similar things would not exist). This would, in turn, greatly reduce the control and influence of special interests and the central government’s corruption spread while also putting voters closer to their own government. State lawmakers would now been seen as having far more power than federal lawmakers and citizens having more voice in the more localized law making processes.

Understanding The Dollar Collapse and Why Readiness Is Vital

If States do not begin the process of preparing for the divestiture of the current federal government system and dollar, then when the dollar collapse comes, it will be too late. Citizens will lose their retirement accounts, entitlements will vanish, food supplies will be cut-off and chaos will rule the day. The nation will likely fall into a bitter revolution causing millions of deaths for decades to come. And States will likely lose their sovereignties altogether as revolutionaries take control of certain geographical sectors. Foreign governments, seeking opportunities, could also move on to the national landscape to take control of major resources. Instead of being propped up by State currencies, the entire national defense grid backed by a now failed US Dollar will collapse and take the national defense system with it—the country and all its citizens will be easy prey for foreign enemies.

Facing Facts With Early Preparedness

The collapse of the dollar is not a fantasy—it is a hard fact, inevitable, and unstoppable. What is not inevitable is how we chose to meet the crisis and resolve it in a way that has the least amount of impact to the American people and the nation on the whole.

Currently, the United Nations has its own contingency plan for dollar collapse. The UN is planning on moving in during the crisis period to assume control of the old United States once the dollar collapse turmoil has well engaged. We know this because the UN announced its intentions (on the UN website in 2010) to form an international government controlled by the UN’s life-appointed leaders (non-elected officials). All that is standing in their way is the last remaining Superpower–the United States. We can either help the UN or help America and Americans—not both!


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