[Congressional Record Volume 152, Number 89 (Tuesday, July 11, 2006)]
[Senate]
[Pages S7289-S7290]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                            DEFICIT DECLINE

  Mr. FRIST. Mr. President, I wish to take a few moments to comment on 
some very good news the administration is releasing right now as I 
speak.
  As required by law, the administration today releases its updated 
estimates for this year's Federal budget. Compared to their estimate 
last winter that the Federal deficit would top $423 billion, today's 
news that the deficit will decline to $296 billion is a testament to a 
dynamic and growing U.S. economy. That is 30 percent less than what had 
been forecast in just February.
  It is an economy that exceeds $13 trillion today, the largest of any 
country in the world. It is an economy with an annual growth rate that 
has consistently exceeded that of the other advanced economies around 
the world--England, Japan, Germany, France, Italy, and, indeed, the 
entire Euro area. It is an economy that has grown $3.2 trillion since 
the end of 2000. It is an economy battered by corporate scandals, the 
terrible devastation wrought by September 11, and the worst natural 
disaster in centuries to visit our shores. It is an economy that has 
grown despite the more than tripling of oil prices in less than 5 
years.
  All this while fighting an ongoing battle to defeat global terrorism.
  It is an economy that has grown steadily for the last 4 years and 8 
months. It is an economy that has experienced job growth every month 
for the last 34 consecutive months and added over 5.4 million jobs 
since September 2003. It is an economy that provided 151 million 
Americans jobs just last month--the largest ever in history. It is an 
economy with a 4.6 percent unemployment rate last month

[[Page S7290]]

which was below the average of the 1960s, below the average of the 
1970s, below the average of the 1980s, and below the average of the 
1990s.
  In short, it is an economy that has grown because of the grit and 
spine of the American worker, whose productivity exceeds that of all 
others. It has also grown because of explicit policies designed to 
lower tax burdens on the American public, to reduce the burdens of 
unnecessary and costly Government regulations, to limit the growth of 
unnecessary Federal spending, and then to step back and let the 
American workers release their great entrepreneurial competitive 
spirit.
  The result: For the first 9 months of this fiscal year, total 
Government receipts rose by nearly 13 percent compared to the same 
period last year. That increase represents the second highest rate of 
growth for that 9-month period in the past 25 years, surpassed only by 
last year's strong record. Corporate tax receipts have grown over 26 
percent, and individual tax receipts have grown 14 percent the first 9 
months of this year.
  When this strong growth in tax receipts is laid alongside spending 
that has grown about half as fast, it is no wonder the estimates 
released today show the Federal deficit declining rapidly.
  We are making progress to bring our spending and revenue into line. 
Despite the cost of the Global War on Terrorism, despite the drain to 
our Treasury from Hurricanes Katrina and Rita and increasing costs of 
our health care system, we are making progress.
  More needs to be done, and we cannot rest on the progress made to 
date. We must continue to limit the growth of unnecessary, parochial 
spending in the Federal budget. We must continue to find ways to lower 
the cost of providing health care to our seniors and to workers and 
their families. We must find new sources of energy for the future. We 
must invest the taxpayers' dollars wisely in those areas which will 
continue to increase our competitive advantage in a growing, 
competitive global economy. We must continue to lower tax burdens on 
families and businesses so they can plan, invest, and continue to 
contribute to a growing economy in the years ahead. We must do all this 
and more while continuing to strive to achieve fiscal balance. Today's 
figures confirm for me that we can and we will achieve these blessings 
for future generations.
  I yield the floor.
  The ACTING PRESIDENT pro tempore. The Senator from Nevada.

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