[Congressional Record Volume 158, Number 159 (Tuesday, December 11, 2012)]
[Senate]
[Pages S7714-S7715]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
THE FISCAL CLIFF
Mr. DURBIN. Mr. President, I have to answer some of the comments made
earlier by the Republican leader as he talked about the state of
negotiations between the President and Congress as we face the fiscal
cliff. He said at one point that the President is calling for raising
taxes $1.6 trillion. That is true. But I would call to his attention
that the Simpson-Bowles Commission suggested that 40 percent of the $4
trillion in deficit reduction comes from revenue and taxes. What the
President is suggesting is entirely consistent with that bipartisan
group's call for more revenue and taxes as part of our deficit
reduction.
The President has made it clear, though, that he wants to protect and
insulate middle-income families from any income tax increases, and I
agree with him. We should not raise the income taxes on those making
less than $250,000 a year. I voted that way in July. We sent the bill
to the House. It sits there. It languishes in the House because the
Speaker will not call it. He has his chance this week or next to call
that bill on the floor of the House of Representatives to avoid any tax
increase on middle-income families. That is an important bill for us to
get done before we leave at the end of this particular session of
Congress.
Let me say that $1.6 trillion in taxes over 10 years is not an
unreasonable amount. The tax rate the President is asking for is the
rate that was in place during the expansive period in our economy under
President Bill Clinton. To argue that the President has gone too far in
asking for tax and revenue is to ignore the obvious. It is the same
percentage asked for by Simpson-Bowles, if not less, and it is a tax
rate that, frankly, ruled in this country at a period of time when we
had more jobs and businesses created than ever in recent history.
A second argument that was made by the Republican leader is that
there is a proposal from the President to raise the debt ceiling at his
whim. Those are his words. I beg to differ. What the President has
proposed is exactly the McConnell procedure. Senator McConnell of
Kentucky suggested to us that we have a process for extending the debt
ceiling that allows Members of Congress to vote to approve or
disapprove and ultimately for the President to decide whether to sign
into law--their resolution of disapproval, for example. That, of
course, could lead to a veto and another opportunity for Congress to
vote again.
This was a process Senator McConnell suggested. It was a way out of a
bind when the House Republicans and others threatened to shut down the
economy over the debt ceiling extension, which is, in fact, the
mortgage of the United States of America. It would have otherwise led
to the first major default on America's debt in our history, with
calamitous results when it came to the impact on our economy.
For the Republican leader to come to the floor and criticize the very
same procedure he suggested and voted for I think is hard to understand
and explain. Last week he came to the floor and suggested that we
enshrine it in law. He offered the bill on the floor. Senator Reid came
and said: We accept your invitation, and we will take a rollcall vote
on that, at which point Senator McConnell filibustered his own bill
that he had introduced, I recall, earlier in the day. I think he made
history in the Senate, filibustering his own bill when we had a chance
to vote and pass it.
I would say this notion that the President is looking for an
extraordinary power when it comes to the debt ceiling is not quite
accurate. I say to the Senator from Kentucky, if we accept your
approach to it, it will give the Senate and House a voice, but we will
not risk default.
Third, the Senator from Kentucky was lamenting the size of government
growth. When we took a look at the last time we balanced the budget and
had a surplus in Washington, it was under President William Jefferson
Clinton, a little over 12 years ago. What has happened to spending
since President Clinton's balanced budget? It has gone up
substantially. Where has it gone up? In domestic discretionary
accounts, which are often the target of speeches like Senator
McConnell's today? No. That has basically been flatlined when you take
inflation into consideration. The dramatic growth in government
spending since we were last in balance has been in two areas. One of
those was in military spending. I might add that the reason it has
grown dramatically is we have been at war in Afghanistan and Iraq. The
[[Page S7715]]
President has extricated us from Iraq, and we are in the process of
leaving Afghanistan.
If you want to know why government spending has gone up so fast,
there has been a 64-percent increase in military spending since the
budget was last in balance. There was no increase in domestic
discretionary spending when you take inflation into account but 64
percent in military spending. That is why spending has gone up. Yet,
when they suggest we will cut spending in the sequester, people say:
You cannot touch it; it has to continue to grow. I question that. I
think we can be safe as a nation and really address the wasteful
spending taking place in the Pentagon as well as every other government
agency.
Where else is there a growth in government spending? The same
analysis by Senator Inouye says that since the budget was in balance,
the expenditures in entitlement spending have gone up 30 percent--30
percent. It is a substantial pool of money. Why? Because yesterday
10,000 Americans reached the age of 65, today another 10,000, tomorrow
another 10,000 and every day for the next 18 years as the boomers
arrive. To lament the growth in entitlements is to ignore the obvious:
we have more people calling on Social Security and Medicare for help.
People have paid into these systems for a lifetime and now--I think
quite rightfully--expect to be covered by the same programs they have
supported for so many years in their working lives.
Is the Senator from Kentucky suggesting that we need to cut back when
it comes to eligibility in Social Security and Medicare? That would
sure restrain the growth, but it would be fundamentally unfair and
unwise to tell people who paid in a lifetime to Social Security and
Medicare that now you do not get your benefits.
Let's be honest about the growth in government spending. When you
have wars that you do not pay for, when you have entitlement programs
created, such as the Medicare prescription Part D, unpaid for, when you
have a growth in entitlements just by the demographic growth in
America, that accounts for a lot of the increase in spending.
There is one other key element. A large measure of the increase in
Federal spending has been increased health care costs, and we estimate
that in the next 10 to 20 years, 70 percent of Federal budget outlays
will grow because of increased health care costs. We addressed this. We
went after the growth in health care costs with the President's
ObamaCare--the health care reform bill--in an attempt to contain it and
had not one single Republican who would join us in that effort. Not
one. We ended up passing it exclusively as a Democratic bill. That is a
shame because I think Democrats and Republicans should share the same
goal of trying to reduce the increased cost of health care spending.
When it comes to the President's offer, we need a bold approach
again. We need to contain the spending costs as we already have,
already cutting $1 trillion in spending to date. We need to have
revenue sources, which the President has asked for, and we need to look
at entitlement programs--I want to be very specific--not entitlement
cuts per se but entitlement reform. Untouched, Medicare runs out of
money in 12 years. That is a challenge to each and every one of us
today--not 12 years from now but today. What will we do in the next
year, looking at entitlement programs such as Medicare, to make sure
they have a life well beyond 12 years? I think that is a responsibility
we should face squarely, and it should be part of this deficit
negotiation. I am not for a quick fix that is introduced in the next
couple of days or hours; rather, I would like to see a thoughtful
repair and reform of Medicare and other entitlement programs so they
will continue to be in service in the future.
____________________