Mr. Speaker, pursuant to House Resolution 409, I call up the conference report on the Senate concurrent resolution (S. Con. Res. 21) setting forth the congressional budget for the United States Government for fiscal year 2008 and including…
Mr. Speaker, pursuant to House Resolution 409, I call up the conference report on the Senate concurrent resolution (S. Con. Res. 21) setting forth the congressional budget for the United States Government for fiscal year 2008 and including the appropriate budgetary levels for fiscal years 2007 and 2009 through 2012.
Mr. Speaker, I yield myself such time as I may consume.
This budget resolution which we present today did not come easily. It comes from months of hard work, hearings, and negotiations. The end product is a good budget, not perfect, I will admit. Not complete but worthy of support. Indeed, it requires our support if we do not want the process to fail again, as it did last year when no concurrent resolution was passed and only two of 11 appropriation bills were enacted.
This budget moves us to balance over the next 5 years. Along the way, it posts smaller deficits than the President's budget. It adheres to the pay-as-you-go principle and contains no new
mandatory spending that is not paid for, and it funds ``program integrity initiatives'' to root out wasteful spending, fraud, and tax evasion.
Within this framework, our budget does more for veterans' health care, more for children's health care, and more for education. Here in a nutshell are the basics of this budget:
This budget comes to balance in 5 years and runs a surplus of $41 billion in the year 2012. Contrast that with the President's budget, which remains always in deficit. This budget allocates $954 billion to discretionary spending, or about $75 billion more than this year, of which about $50 billion is for national defense. This total includes $450 billion for nondefense discretionary, or about $23 billion more than this year.
This budget not only abides by the PAYGO principles, it extends them, establishing a Senate PAYGO rule and calling for statutory PAYGO as well.
The concurrent resolution before us, like the House resolution, sets defense spending at levels the President requested, though it targets resources to the troops and conventional forces. It provides more for homeland security than the administration requested, and it funds the recommendations of the 9/11 Commission. So it is strong on defense, internal and external.
This budget does all of the above, and I would emphasize this, it does all of the above without raising taxes. The tax cuts enacted in 2001 and 2003 all remain in force, unaffected in any way by this resolution. As originally written and enacted, most of the tax cuts expire on December 31, 2010. In our budget resolution, we separated out the middle income tax cuts and made it the policy of our resolution to extend those tax cuts when they expire.
In this concurrent resolution, we go even further. We install a trigger that facilitates the extension of these tax cuts so long as the House waives its PAYGO rule and so long as the tax cuts extended do not exceed 80 percent of the surplus projected by OMB for the year 2012.
This budget's basic objective is to get back to balance. That is the bottom line. In such a budget, we can't have everything we want, but we do believe that some promises should be kept above all others, for example, the promises we've made to our veterans. This resolution increases funding for veterans health care in 2008 by $6.7 billion, 18.3 percent above the current year.
We also do not believe that children's health care and education should be sidetracked while we seek to work out ways to balance the budget. This budget accommodates an increase of $50 billion to expand the Childrens Health Insurance Program, so-called SCHIP, and cover millions of uninsured children. This budget also provides $4.6 billion over current services for education, job training and employment services. That includes more money for No Child Left Behind, for special education and student loans.
Lacking any other arguments, our friends from across the aisle, our Republican adversaries, will claim that this budget resolution raises taxes, as they have repeatedly and wrongly. Let me answer that claim emphatically. This budget does not raise taxes by one penny. Period. Not by one penny.
On the contrary, the 2008 budget resolution accommodates the extension of the middle income tax cuts, pays for a 1-year patch to prevent the AMT from coming down on middle income taxpayers, and calls for reform of the AMT, consistent with PAYGO principles, to save middle income taxpayers from this stealthy tax.
This budget is fiscally sound, a solid framework, is balanced from the top line to the bottom, and I urge support for it.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, before yielding to the majority leader, let me set the record straight with respect to revenue flows.
If you look in the Congressional Budget Office projections of revenues in the budget, you will see that for the period 2008 through 2012, cumulative revenues are projected to be $15.3 trillion. If you subtract 176 for that to account for the agreement we've made with the Senate, which will facilitate the adoption and extension of the middle income tax cuts adopted between 2001 and 2003, then our number for total revenues, according to CBO is $14.828 trillion. The President's budget, total revenues are $14.826 trillion. We are $14.828 trillion, the President is $14.826 trillion; $2 billion difference. This is the biggest tax increase in history? Give me a break.
And how about the Republican's own revenue stream. You start from the same baseline. They have to use CBO numbers too. $15.3 trillion. Deduct from that $447 billion, which they have in tax cuts during that period of time, the baseline number for them becomes $14.556 trillion. That is a difference of $272 billion over 5 years, less than $50 billion a year over that period of time. This is absurd. This has gone on and on and on, as the speeches claim, and we will refute it every time it's raised today.
Mr. Speaker, I now yield 1 minute to the gentleman from Maryland, the distinguished majority leader.
Mr. Speaker, I yield to the gentleman from Texas (Mr. Gene Green) for the purpose of making a unanimous consent request.
(Mr. GENE GREEN of Texas asked and was given permission to revise and extend his remarks.)
I yield 2 minutes to the gentleman from California (Mr. George Miller).
(Mr. GEORGE MILLER of California asked and was given permission to revise and extend his remarks.)
Mr. Speaker, I yield 2 minutes to the gentlewoman from Connecticut (Ms. DeLauro).
Mr. Speaker, I yield 1\1/2\ minutes to the gentlewoman from Pennsylvania (Ms. Schwartz).
Mr. Speaker, I yield 1\1/2\ minutes to the gentleman from New York (Mr. Bishop).
Mr. Speaker, I yield 2 minutes to the gentleman from Texas (Mr. Edwards).
Mr. Speaker, I yield 2 minutes to the gentlewoman from California (Ms. Woolsey).
Mr. Speaker, I yield 2\1/2\ minutes to the gentleman from Illinois (Mr. Emanuel), the distinguished chairman of our caucus.
Mr. Speaker, I yield 2 minutes to the gentleman from New Jersey (Mr. Andrews).
(Mr. ANDREWS asked and was given permission to revise and extend his remarks.)
Mr. Speaker, could I inquire of the Chair how much time is left and who has the right to close?
Mr. Speaker, I yield myself 3\1/2\ minutes.
We can't have this debate without having a few charts on the floor, and it always bears reminding what's happened over the last 6 years because it is truly a fiscal phenomenon.
When President Bush came to office in 2001, he had an advantage that few Presidents in recent history have enjoyed, a budget in surplus. I'm talking big-time surplus, $5.6 trillion by his estimate, over the next 10 years, $5.6 trillion. That was the year 2001. In the previous year, a Clinton year, we ran a surplus of $236 billion.
By the year 2004, under the stewardship of this administration and this Congress, because Republicans controlled the House, controlled the Senate and controlled the White House, under their stewardship, the $5.6 trillion surplus was converted to a $2.8 trillion deficit, enormous swing of $8 trillion in the wrong direction, and that $236 billion surplus in the year 2004 became a deficit of $412 billion.
Incredible, but that is what we have had for the last 6 years. That's the record over the last 6 years which cannot be denied. Here it is right here.
As a consequence of the deficits that have been run, this simple little chart that I bring down here again and again, because it bears reminding everybody what's happened over the last 6 years, shows that when Bush came into office we had a debt of $5.7 trillion. The debt today is over $8 trillion, $8.8 trillion. That means there's been an increase in the national debt of $3.1 trillion, and if we continue upon the fiscal path that this administration has taken, by the time they leave office the debt of the United States will be $90.6 trillion.
Look at the accumulation of debt over this 8-year period of time. We've never seen anything like it. These are the people who would criticize what we are doing.
Now, there has been a lot of talk about tax increases. Let me show you this little chart here, because it shows graphically, and emphatically, something called debt service. The increase in the interest on the national debt that has to be paid, talk about entitlement reform, this is the one true entitlement. It's obligatory, it has to be paid. Interest on the national debt has increased from about $156 billion a couple of years ago to $256 billion, and it's on its way north to $300 billion in a short period of time. This is a debt tax.
Yes, you may have cut taxes in 2001 and 2003, but, because you have borrowed to make up for the loss of revenues and added to the debt of the United States, you, we, our children and their children, will be paying this debt for years to come, and compare this huge mountain of debt service, interest on the national debt, to other priorities.
Education, the light blue block; veterans health care, the green block; Homeland Security, the blue block, all of them are dwarfed by interest on the national debt. So here is the debt tax that you have left us owing, left our children owing, left generations to come owing.
This is the debt tax that will have to be paid because it simply cannot be cut. That's what we are struggling with today because of the fiscal management of this government over the last 6 years.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, I reserve the balance of my time.
I reserve the balance of my time.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, I reserve the balance of my time.
Mr. Speaker, I yield myself the balance of my time.
Mr. Speaker, this is a good budget. I would be the first to say it is not a perfect budget, but I would be the first to argue that it is worthy of our support.
Indeed, I think it requires our support if we don't want to see the budget process fail abjectly once again, as it did last year under Republican control when no concurrent budget resolution was ever enacted, passed, and only two of 11 appropriation bills were passed.
The bottom line, this budget moves us to balance over the next 5 years. Along the way, it posts smaller deficits than the President proposes, it adheres to the pay-as-you-go principle, which is the rule of this House, contains no new mandatory spending that is not paid for, and it funds five program integrity initiatives to root out wasteful spending and fraud and tax evasion.
Within this framework, it does more for veterans health care, far more, more for children's health care, far
more, and more for education, lots more.
Here in a nutshell are the basics of the budget: This budget runs to surplus of $41 billion in the year 2012. Contrast that with the President's budget which is always in deficit. This budget not only abides by pay-as-you-go principles, it enhances them by establishing a new Senate PAYGO rule and calling for reinstatement of the statutory PAYGO rule as well. This budget does all of the above, I will say this emphatically one last time, does all of the above without raising taxes.
The tax cuts that were enacted in 2001 and 2003 remain in full force and effect, unaffected in any way by this budget resolution. As enacted and originally written, most of these tax cuts expire on December 31, 2010, and that has nothing to do with our budget resolution.
But in our budget resolution, we identified all of the middle income tax cuts, many of which we supported at the time passed, and we made it the policy of our resolution to extend these tax cuts when they expire.
In this concurrent resolution, we go even further. We install a trigger that will facilitate the extension of these tax cuts so long as, number one, the House waives PAYGO; and, number two, the tax cuts extended do not exceed 80 percent of the surplus projected by OMB by the year 2012.
This concurrent resolution in other respects sets defense spending levels that the President requested. Why is spending so high? It contains $145 billion in supplemental expenditures.
And let me say one thing about the argument one of the leaders of the other party made on the House floor just a few minutes ago about the amount of debt that is being added to the national debt. What we are talking about is taking a big battleship and turning it around slowly. We have inherited the basics of this budget. Much of the spending that we are carrying forward was dictated over the last 6 years. The same for the revenue flow of the budget we are undertaking. It is going to take time to turn this big battleship around. But as we do, the best we can do is, number one, have a concurrent budget resolution with the binding effect of budget law for the first time in a long time; and, secondly, this concurrent resolution which will put us back on the path to a balanced budget.
For those for whom a balanced budget is something of a moral imperative because of the debt we are leaving our children, the right vote today, the only vote today is the vote for this budget resolution, and I commend it to every Member of this House, Democrat and Republican, and urge their support.