[Congressional Record Volume 158, Number 154 (Tuesday, December 4, 2012)]
[Senate]
[Pages S7363-S7364]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
FISCAL CLIFF
Mr. REID. Mr. President, it has been almost 3 weeks since we all met
with the President to avert that fiscal cliff we hear so much about.
Yesterday, after weeks of delay, and as the days dwindle and taxes are
set to go up for millions of families and businesses, Republicans in
the House finally showed up at the negotiating table.
Now we know why they have been holding their cards so close to their
vests. Their proposal would raise taxes on millions of middle-class
families. Their plan is to raise $800 billion in revenue by eliminating
popular tax deductions and credits that would reach deep into the
pockets of middle-class families. Republicans are so intent on
protecting low tax rates for millionaires and billionaires, they are
willing to sacrifice middle-class families' economic security to do so.
In the first year, unless we do something, middle-class families;
that is, people making less than $250,000 a year, will get an average
of $2,200 in additional tax, taxes they will have to pay.
Their proposal that we received yesterday was short on specifics, but
we do know from independent analysis that it is impossible to raise
enough revenue to make a dent in the deficit
[[Page S7364]]
without using one of two things: raising tax rates on the top 2 percent
or raising taxes on the middle class.
As my friend, the senior Senator from Missouri, said on the Sunday
talk shows, the Speaker has to make a decision whether it is more
important to keep his job or to do something about the economy that is
in such difficult shape in America. He has to make a choice.
The nonpartisan Tax Policy Center called it mathematically impossible
to reduce the deficit and give more tax cuts to the rich without
harming the middle class. This is the same thing President Clinton
talked about so often during the campaign, saying to everyone it is
arithmetic.
As usual, given the choice between millionaires and billionaires and
the middle class, Republicans again sided with the wealthy of this
country. In fact, their plan doesn't just keep rates low for the
richest 2 percent, it actually lowers them further. The Democrats' plan
would protect 98 percent of families and 97 percent of small businesses
from painful tax increases by asking the top 2 percent to pay a little
bit more to reduce the deficit.
The Republicans' plan, on the other hand, is more of the same. Not
only does it balance the budget on the backs of the middle class, it
voids our promise to seniors with steep cuts to Social Security and
Medicare, all to pay for even more handouts to the rich.
At least we now know where they stand. Republicans have sought cover
by invoking Erskine Bowles' name, but he has disavowed their plan in no
uncertain terms. We are glad to finally see Republicans joining in the
negotiating process instead of watching from the sidelines.
While their proposal may be serious, it is also a nonstarter. They
know any agreement that raises taxes on the middle class in order to
protect more unnecessary giveaways to the top 2 percent is doomed from
the start. It will not pass.
Democrats would not agree to it. President Obama wouldn't sign such a
bill, and the American people would not support it. That is in all the
polls that are in at press this morning.
The American people are tired of budget-busting giveaways to the
wealthiest few people who have enjoyed growing paychecks and shrinking
tax bills for more than a decade. The American people want a balanced
deal. Simple math dictates that a balanced deal must include higher
taxes on the richest of the rich. Republicans would be wise to keep
that in mind as negotiations move forward.
We are willing to compromise, but we also will not consign the middle
class to higher tax bills while millionaires and billionaires avoid all
the pain.
I have been told the leader of the Democrats in the House will file
today a discharge petition asking the Speaker to bring the bill to the
floor. All Democratic House Members, as far as I know, every one of
them will sign this discharge petition.
We have heard Republicans in the House who are willing to move
forward. If every Democrat signs this, we will only need about 25
Republicans to join. The American people should see that picture. With
25 Republican votes--25 Republican votes--middle-class America would be
able to rest assured that they will not have a tax increase at the
first of the year. Twenty-five Republicans is all it would take.
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