Democrats Use Nonexistent “Savings” to Pay for their Agenda Leaving Tax Increases or Cuts in Other Programs As Only Other Options
WASHINGTON – Today, a Washington Post article ("House Democrats Propose More Spending for Military and Education," 11/01/06) outlines part of Democrats’ plan to produce "savings" through changes to the nation’s successful Medicare Part D program. Unfortunately for taxpayers, the so-called savings don’t exist.
"Democrats aren’t telling the truth about their agenda. They want bigger government and more spending – and they use funny math to pay for it. Their ‘savings’ to pay for all this increased spending doesn’t exist. That leaves tax increases or other program cuts as the only options left for Democrats to pay for their hundreds of billions of dollars in proposed new spending," said Ways and Means Chairman Bill Thomas (R-CA). "Republicans have fought for increased health care access and lower taxes for Americans – a formula that is working and delivering results."
The estimated "savings" come from the Democrats’ plan to allow the federal government to "directly negotiate" drug prices for seniors – a proposal that has been refuted by the nonpartisan Congressional Budget Office (CBO). CBO estimates that "the Secretary would not be able to negotiate prices that further reduce federal spending to a significant degree," and that any such savings would be negligible. By law, Congress is required to use CBO as its official scorekeeper – which deems the official cost or savings a legislative proposal would have on the federal government and on American taxpayers.
Click HERE for more information on how Republicans have provided health care solutions.
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