[Congressional Record Volume 148, Number 19 (Thursday, February 28, 2002)]
[Extensions of Remarks]
[Pages E224-E225]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




               STATEMENT REGARDING THE PRESIDENT'S BUDGET

                                 ______
                                 

                         HON. ALCEE L. HASTINGS

                               of florida

                    in the house of representatives

                      Wednesday, February 27, 2002

  Mr. HASTINGS of Florida. Mr. Speaker, I rise today to join with my 
colleagues in expressing my concern about the economic effects of the 
recently enacted tax cuts and how these tax cuts have affected our 
country's once sound economy.
  I begin, Mr. Speaker, by asking my friends on the other side of the 
aisle, where has the surplus, the very same surplus that was the 
largest in the history of this great nation just 1 year ago, gone? 
Well, I will tell you where the surplus has gone. On June 7, 2001, 
Congress rammed through the so-called ``Economic Growth and Tax Relief 
Reconciliation Act'' that had an effect opposite of its specified 
purpose. For those whose memories escape them, the Administration 
ensured the tax cut program would be a powerful economic stimulant to a 
slowing economy, while leaving the Social Security trust fund and 
Medicare surplus in tact. Yet, according to CBO's most recent 
projections, within the last year the overall cumulative surplus has 
been reduced by $4 trillion and now hovers at just $1.6 trillion. 
According to the CBO, about 60 percent of that decline is due to the 
tax cuts.
  Mr. Speaker, the facts are indisputable. However, some insist the 
down shift in the economy and the projected surplus is largely due to 
the nation's response to September 11, while CBO states the terrorist 
attacks contributed to only a small fraction of the deficit. Yes, 
September 11 was a tragic and unexpected event but it is because of 
unexpected or unforeseeable events why we, as a Congress, cannot draft 
intractable initiatives.
  It was not too long ago that I remember campaigning across South 
Florida and people were asking about issues such as Social Security, 
Medicare, and prescription drugs. Now, due to the Administration's 
faltering tax program, citizens are no longer assured that the nation 
will have adequate means to address its current needs and the long run 
costs of paying Social Security and Medicare benefits. Thus, the 
solvency of Social Security has been reduced by 10 years at the very 
least, and our ability to expand Medicare coverage has been paralyzed.
  And what about priorities such as building new schools? What about 
fixing our roads? Or what about paying off the national debt? As I 
mentioned, at the beginning of the 107th Congress this body was faced 
with a list of priorities that the American people wanted to address: 
education, prescription drugs, Social

[[Page E225]]

Security, the environment, energy and Medicare. Now, due to our 
plummeting surplus, we do not have the money to begin talking about 
these problems, let alone solving them.
  It is time to take action. It is time to be honest with the American 
people. It is time to discard ineffective policies that leave us with 
no hope of a balanced budget between now and 2011. It is time to stand 
behind initiatives that leave room for emergencies and ``rainy days,'' 
initiatives that do not exclude the average working man and woman, and 
initiatives that benefit not just 10 percent of the population but the 
entire population. It is time to implement an effective and proven 
resolution to tax cuts, Medicare, Social Security, unemployment, the 
national debt, and every other American priority.

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