| America’s economy is anemic and in need of an immediate infusion. The House Democrats have proposed a stimulus plan that is fair, fast acting and immediate. Our plan will quickly invigorate the ailing economy by creating over a million jobs and putting money into the pockets of hard working, unemployed and underemployed Americans. This is accomplished at a cost of only $100 billion over ten years.
By contrast, President Bush has offered proposals that continue his pursuit of class warfare. The centerpiece of his $674 billion plan is a repeal of taxation on stock dividends. The Bush Administration proposal sells our nation’s financial stability in return for $27,000 in tax breaks for the wealthiest .2% of income tax payers who earn over a million dollars annually. The eighty-two percent of Americans, who earn $75,000 or less per year, will realize an average of only $42 in tax breaks from President Bush’s stock dividend scheme.
As a member of the House Democratic Leadership, I helped develop our stimulus package that continues our party’s focus on keeping the national debt in check while stimulating our economy. We will achieve that by providing fiscal relief to individuals, small businesses, and financially strapped states.
Our first initiative was to immediately pass a retroactive extension of unemployment benefits for 26 weeks. The Bush Administration refused to support our plan and would only approve a 13-week extension. This Administration has the worst record for job creation of any President since data have been kept - losing on average 68,500 jobs a month since January 2001. Yet until this action this administration had only extended unemployment benefits once, and last December allowed more than 850,000 jobless workers to lose their benefits.
For those fortunate enough to still be working, the Democrats propose refunding 10% of the first $6,000 paid in payroll taxes, which amounts to $300 per individual and $600 for couples filing jointly. This refund coupled with the extension of unemployment benefits will facilitate an immediate infusion of cash into our ailing businesses.
Another of our proposals will come to the aid of these businesses by doubling the tax breaks for new investments by small businesses in 2003, and raising the tax write off to 50% for new equipment purchases. This will provide an immediate incentive for businesses to stimulate further economic growth.
The final piece of the Democratic economic stimulus plan provides assistance to states that are facing rising budget crises as the nation’s economy worsens. Our proposal will provide $10 billion in one-time grants for homeland security projects like improving security at airports, seaports, and rail facilities and public transportation. States would also receive a similar investment to assist with the increasing costs of Medicaid.
The Democrats’ economic stimulus proposal declares a truce to President Bush's class warfare policies, which have delivered devastating assaults on middle- and low-income Americans, and have destabilized the markets.
Our plan is designed to stimulate the job market. The Bush plan is an attempt to energize the stock market.
Our plan benefits low and middle income Americans. The President’s plan benefits the wealthy.
The benefits of our plan are immediate. The President’s plan is a hope for future benefits.
This anemic economy is sapping the strength of the workingmen and women we rely on to keep this country humming. It is time for a shot in the arm that gets our economy going again rather than another attempt to plump the fatted calf that all the experts say will not stimulate meaningful growth.
# # # |
U.S. Congressman 
