Telehealth for America Act of 2008

Madam Speaker, I am planning to reintroduced legislation in the House of Representatives aimed at addressing the looming financial crisis facing the Nation, the Securing America's Future Economy, SAFE, Commission Act. The bill would establish a national bipartisan commission that will put everything--entitlement spending as well as all other Federal programs and our Nation's tax policies--on the table and require Congress to vote up or down on its recommendations in their entirety, similar to the process set in 1988 to close military bases. Mandating congressional action on the panel's recommendations is what differentiates this commission from previous ones.

Support for the bill is coming from both sides of the aisle. I submit for the record an analysis by the Heritage Foundation and a letter of support from the Concord Coalition.

This legislation will be good for the future of America.

The Heritage Foundation,

Washington, DC, July 14, 2006.

The Wolf SAFE Commission Act: A Chance To Get the Budget Back on Track

(By Stuart Butler)

The recent Mid-Session Review by the Office of Management

and Budget underscores the facts that sensible tax reform

stimulates the economy and that faster growth swells revenue

to the government as a byproduct of new jobs and extra income

for Americans. The review also confirms the overall,

disturbing long-term budget picture indicated in the

Congressional Budget Office's (CBO) long-term forecast. Under

current law, both taxes and spending will rise rapidly during

future decades towards European levels, with an ever-growing

government taking a larger and larger proportion of the

nation's income and threatening America's future economic

growth. Decisive action is needed.

But faced with this threat, Washington is paralyzed. Rather

than seriously tackling the tsunami of entitlement spending

that will hit the budget after the baby boomers begin to

retire, Congress actually made the situation far worse by

enacting the huge Medicare prescription drug benefit. And

while the Bush tax reforms have significantly helped in the

short term, even if made permanent they would shave only

about one percentage point from the future growth in taxes.

Absent any additional reforms, the CBO forecasts that, with

the Bush tax cuts extended, federal taxes will top 20 percent

of GDP by about 2025 and approach 23 percent of GDP by 2045.

The historical average, and today's level, is just over 18

percent of GDP

With Congress polarized and paralyzed, some Members of

Congress, along with President Bush, are exploring the idea

of a bipartisan commission as a way to break away from the

path of rapidly rising spending and taxes. President Bush

pressed for an entitlements commission in his State of the

Union address. Senator Judd Gregg (R-NH) has sponsored

legislation (S. 3521) that includes a commission to review

the long-term solvency of Social Security and Medicare.

Meanwhile, Representative Frank Wolf (R-VA) has crafted a

commission bill (``The SAFE Commission Act,'' H.R. 5552)

specifically intended to win bipartisan support for bold

action to secure the country's fiscal and economic future.

Senator George Voinovich (R-OH) has introduced that bill in

the Senate (S. 3491).

Commissions can help break a political logjam. They can

also become vehicles for action that achieves a short-term

political fix and yet does little in the long term or even

makes things worse. So the political dynamics and mandate of

a commission are critical. Fortunately, the Wolf commission

bill recognizes these facts of political life and offers

real hope for sensible action. A reason for this is that

in its instructions to the commission, the bill wisely

combines reform with fiscal changes in a manner that could

achieve a breakthrough.

The core of the fiscal problem is the sharp projected rise

in future entitlement spending, especially spending on

programs for middle-class retirees. Contrary to many people's

perception, taxes are not falling--as noted, taxes are

projected to rise steadily to record levels under current

law, in real terms and as a percentage of GDP. Still, in

today's political deadlock many lawmakers maintain that tax

revenue must be part of the equation if they are to have the

political ``cover'' to accept curbs on popular entitlements.

But for good reasons, conservatives strongly resist the

idea of raising taxes. For one thing, taxes are not the

problem--spending is. Moreover, raising tax rates or

instituting new taxes would threaten economic growth,

compounding the economic harm associated with government

spending. Further, raising taxes likely would reduce the

pressure on Congress to curb spending or, worse still,

encourage lawmakers to increase their spending promises.

The Wolf bill seeks a solution to this political equation.

It creates a bipartisan commission intended to address the

unsustainable imbalance between federal commitments and

revenues while increasing national savings and making the

budget process give greater emphasis to long-term fiscal

issues. While the commission could consider a range of

approaches, the bill places emphasis on two: reforms that

would limit the growth of entitlements while strengthening

the safety net and tax reforms that would make the tax system

more economically efficient and improve economic growth. The

commission would hold public hearings around the country to

discuss the long-term fiscal problem, and its recommendations

would receive fast-track consideration by Congress.

By combining a slowdown in entitlement spending with

reforms to strengthen assistance to the needy, a commission

proposal could win support of liberals and others who worry

that surging middle-class retiree spending in the future will

crowd out safety net spending. And by placing an emphasis on

pro-growth tax reform, a commission proposal could also lead

to some additional revenues not by raising taxes but thanks

instead to faster economic growth--just as the Bush tax

reforms produced the recent sharp increase in federal

revenues. Combining these features in a commission proposal

could lead to a package that conservatives, liberals, and

moderates all believe would advance their agendas--a

necessary result for an economically sound agreement to

succeed in a polarized Congress.

Some might argue that appointing a commission to address

the long-term fiscal situation is an abrogation of

responsibility by Congress. In an obvious sense, it is. But

the Wolf bill also shows that lawmakers recognize that

America's budgeting system is broken and in the current

environment cannot lead to a responsible long-term federal

budget. Representative Wolf's commission proposal seeks to

alter those destructive dynamics in order to secure a sound

economy for future generations.

The Concorde Coalition,

Arlington, VA, June 28, 2006.

Hon. Frank Wolf,

House of Representatives,

Washington, DC.

Dear Mr. Wolf: On behalf of The Concord Coalition, I am

writing to express our deep appreciation for your leadership

in sponsoring the Securing America's Future Economy, SAFE,

Act, which would establish a bipartisan commission to

recommend legislation addressing our Nation's unsustainable

long-term fiscal outlook.

We strongly agree with you that the need for serious action

is not just an economic imperative but a moral one as well.

We also share your view that partisan divisions in Washington

have become so wide that a commission may now be the only way

forward on this issue. By establishing a fiscal policy

commission with a broad mandate, meaningful public

engagement, and the ability to consider all policy options,

your legislation represents a very constructive step toward

bringing about consensus solutions.

The demographic and fiscal challenges facing the budget in

the years ahead are well known. Analysts of diverse

ideological perspectives and nonpartisan officials at the

Congressional Budget Office (CBO) and the Government

Accountability Office (GAO)

have all warned that current fiscal policy is unsustainable

over the long-term.

What is needed now is a clear commitment to address these

issues in a straightforward, generationally equitable and

bipartisan manner. Achieving consensus around the hard

choices that must eventually be made will require open minds

and bipartisan cooperation. Your legislation would establish

a process to do just that.

Recently, The Concord Coalition organized a forum with

experts from across the political spectrum to discuss the

possibility of establishing a bipartisan commission to deal

with our longterm fiscal outlook. Three conclusions from the

forum stand out:

The commission must have meaningful participation and input

from a broad range of views. Bipartisan support is essential

to enacting and maintaining policies that will put the budget

on a fiscally sustainable course.

The commission should have a broad mandate with no

limitations on what policy options the commission can

consider or preconditions on what must be included--or not

included--in a proposal. Everything must be on the table,

including revenues as well as entitlements and other

spending.

The commission should engage the public in a dialogue about

the long-term fiscal challenges and the tradeoffs that will

be necessary to bring about a more secure and sustainable

economic future.

The Concord Coalition commends your proposal because it

recognizes each of these conclusions. The SAFE Act would

establish a bipartisan commission of experts and legislators

appointed by the President and Congressional leaders of both

parties. The Commission would be directed to hold hearings

across the country and incorporate the input from the public

in its report. This is a very welcome provision. The public

should be treated as if it were, in effect, a member of the

commission. Doing so will enhance the commission's

credibility and help build acceptance for its

recommendations. Our experience hosting meetings around the

nation on this issue has demonstrated that when the American

people are armed with the facts and given the opportunity for

honest dialogue, they are willing to set priorities and make

the hard choices that often are not made in Washington.

Most importantly, the Commission would be allowed to

consider all policy options to address the imbalance between

long-term spending commitments and projected revenues,

including reforms of entitlement programs and tax laws. In

our view, this is an essential prerequisite for attracting

well-respected individuals to serve on the commission and for

finding solutions that are both substantive and politically

viable.

We particularly commend you for your willingness to

consider constructive suggestions for changes to achieve

broader bipartisan support and increase the prospect that the

commission will produce a balanced proposal that can be

enacted into law. In that regard, we would suggest a few

changes that we believe would strengthen the bill and help

ensure the commission receives the bipartisan support

essential to its success.

We believe the commission would have greater credibility if

the appointees were more evenly divided between parties,

potentially with some commission members appointed jointly or

as a result of bipartisan consultation. Further, we would

suggest that the commission have bipartisan co-chairs. We

would also encourage you to consider a more expansive

legislative process, which would allow for greater debate of

policy tradeoffs by allowing the consideration of budget

neutral amendments. Those who oppose the priorities and

tradeoffs recommended by the commission should be challenged

to say what they would do instead and given the opportunity

to put forward alternative policies to address the problem.

A commission isn't a silver bullet that will solve our

fiscal problems by itself. It will still take action by

Members of Congress and the administration to adopt the tough

choices. But a commission with credibility and bipartisan

support could provide the leadership necessary to ensure that

these issues receive the attention and serious consideration

they deserve.

You deserve great credit for your willingness to undertake

the difficult but absolutely essential task of focusing

attention on the tough choices our nation faces. The Concord

Coalition stands ready to assist in any way that we can.

Sincerely,

Robert L. Bixby,

Executive Director.