September 1, 2001
EDITORIAL
Chicago Sun-Times
BYLINE: Jan Schakowsky
We must put family needs first, writes Jan Schakowsky
BODY:
President Bush was caught with his hand in the Social Security trust
fund "borrowing" money for his tax cut to the rich. According to figures
released by the nonpartisan Congressional Budget Office, the president's
tax cut and a slowing economy will force the government to tap into the
Social Security surplus to the tune of $9 billion just to meet the budget
shortfall this year, and $30 billion over the next four years. Even the
president's so-called priorities, like additional money for education and
defense, can't be funded.
For eight years, the Democrats succeeded in keeping our nation's fiscal
house in order. We enjoyed the longest sustained economic growth and hundreds
of billions of dollars in surplus that we used to meet critical domestic
needs, such as hiring more teachers and putting more cops on the streets.
But in just eight short months, Bush squandered the surplus to cover the
$1.7 trillion tax cut for the rich--and keep a campaign promise to his
wealthiest contributors. The biggest chunk of the tax cut, 43 percent,
goes to the richest Americans. Some individuals will benefit by millions
of dollars. To name two examples: Vice President Dick Cheney and Treasury
Secretary Paul O'Neill will see income tax savings of $1.7 million and
$3.5 million, respectively. And under this tax cut, top Bush administration
officials, including the president, will see more than $88 million in tax
savings. Meanwhile, 21 percent of Americans will receive no tax savings
whatsoever.
The minute the tax cut was signed into law, it became impossible to
fund many vital programs and services and jeopardized others that our community
has fought to protect over many decades, including Social Security and
Medicare. In a CBS 2/Sun-Times poll, more than three-quarters of Chicago
area voters said that preserving Social Security is more important than
the tax cut. Yet the rationale for the budget-busting tax cut was that
we had a huge "surplus" in the federal budget. That's an odd way of thinking.
Would any American family say that they had a surplus in their household
budget if they had no health insurance or a decent roof over their head,
retirement security or couldn't afford to send their child to college?
Of course they wouldn't. But as an American family, that is exactly what
happened when Congress passed the president's massive tax cut.
It is not too late to put family needs first. The Bush tax cut is a
gradual plan that is to be phased in over a decade. According to Citizens
for Tax Justice, four out of five taxpayers will receive most of their
tax breaks from changes that occur this year. After 2001, more than half
of the remaining tax cuts would benefit the wealthiest 1 percent of the
population. We should put the brakes on. There's no need to allow those
tax cuts that disproportionately benefit the wealthy to take effect until
we've first met the needs of the majority of Americans.
That is why I will be introducing the Family Needs First Act that will
delay any additional cuts in the top income tax bracket (those making more
than $373,000 a year), and will impose a moratorium on the estate tax repeal
until we: * Assure Americans that doing so will not jeopardize the Social
Security or Medicare trust funds, or force cuts in benefits; * Add a comprehensive
prescription drug benefit to Medicare; * Provide full funding to modernize
schools and add 100,000 teachers; * Significantly reduce the number of
Americans with "worst case" housing needs.
No rational CEO would decide it's more important to give big bonuses
to top-paid executives than to invest in the business to make it prosperous.
We should have the same standard for the president running our country.
Rep. Jan Schakowsky is a Democrat from Illinois' 9th Congressional District.
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