What is most important to me and many of my colleagues is that we enact a budget based on principles, not politics.  I believe we should start by honoring our promises, and I remain committed to paying down the national debt, while providing responsible tax relief and ensuring our most pressing needs are met.   

The Administration’s budget calls for a $2 trillion tax cut (including the resulting increased interest costs) that disproportionately benefits the wealthiest one percent of our society.  However, the budget fails to explain how our other national needs can be funded.  When properly accounted for, the $1.4 trillion “reserve,” which the budget resolution delineates as available for “additional needs,” would not even cover the costs of maintaining current programs, let alone support the initiatives the President himself proposed during his campaign.      

We would all like to reward hard-working Americans by returning some of their tax dollars, but we also have an obligation to pay down as much of our publicly held debt as we possibly can.  We ought not pass these bills onto our children, as the Bush Administration and this budget resolution propose.  

Further, we should use our current prosperity to enhance those federal programs relied upon by some of the most vulnerable members of society.  Our senior citizens, as well as younger generations, deserve to know that the Social Security system will be strong and viable, whether they need it now or in twenty years.  We must reform and strengthen Medicare, without slashing benefits or increasing costs for seniors.  And we must provide an affordable prescription drug component for all seniors.  

This budget resolution would cut appropriated federal programs that are absolutely vital to our nation’s small business, worker, health, environmental protection, and housing needs.  The Bush budget also shortchanges our vast transportation and infrastructure needs, decreases funding for critical law enforcement programs, and cuts budget authority for the benefits our veterans need and deserve.  And at a time when an energy crisis is threatening large portions of our country, why would the Administration propose to cut our energy budget below current levels?

Furthermore, the Small Business Administration (SBA) would receive a cut of over 46 percent in its overall budget.  Small businesses are the backbone of Rhode Island’s economy and account for more than 95 percent of the jobs in the state.  They bring new and innovative services and products to the marketplace and provide business ownership opportunities to diverse and traditionally underrepresented groups.  Many of these small businesses rely on the valuable loan assistance and technical training programs offered by the SBA.  These cuts could severely impact Rhode Island’s small business community, just when we need their contributions the most.    

I support a more balanced approach to our federal budget that allows for a significant tax cut, but also takes into consideration a wide range of short and long-term budgetary needs.  It is for these reasons that I will support the Democratic and Blue Dog alternatives.  

Under the Democratic alternative, we could extend the solvency of Social Security and Medicare and have a sizable tax cut that would benefit every family.  This measure would also allow us to adequately fund our top priorities, including education, prescription drugs, defense and small business, and still retire all redeemable public debt by 2008.  

The Blue Dog Budget Alternative would set forth a five-year budget framework to account for the uncertainties in long-term budget forecasts.  The plan provides for retiring over half the publicly held debt by 2006 and eliminating back-loaded tax cuts and unnecessary spending increases.  By reserving half of the on-budget surplus for the next five years, we could continue to pay down the debt and strengthen Social Security and preserve Medicare.  Finally, like the Democratic alternative, the Blue Dog budget sets aside a pool of money to help states and localities improve their voting systems in time for the next federal elections.  The Bush framework completely ignores this urgent need.

The Bush Administration’s budget threatens the quality of life of millions of Americans.  There are many tough choices ahead, but I firmly believe that with cooperation and an eye towards operating within a responsible framework, this Administration and Congress can and should develop a budget that will ensure that everyone’s needs are met.  I encourage my colleagues to join me in rejecting this ill-conceived Republican proposal and supporting instead a sensible, well-balanced budget resolution that speaks to the needs of every American family.