Wrong Medicine

By U.S. Senator Jon Kyl You can't spend more than you make just ask any American family on a budget. Families have to set priorities when spending the money they earn. If a family increases spending in one area of the budget, it limits spending in another, or risks going into debt. And, in order to pay off a debt, a family would normally cut back its spending to pay off the money it owes. These are simply common-sense, responsible principles. Shouldn't the government then follow these principles when spending taxpayer dollars? Unfortunately, if the recently unveiled Democratic budget is any indication, the federal government has no plans to play by these rules. The proposed Democratic budget will spend billions of taxpayer dollars, even increasing spending at a time when the economy is slowing and the government must be ever-more careful with each dollar. Spending billions more in taxpayer money is the wrong medicine for an economy that is getting sick. At a time when Americans are struggling to meet their mortgage payments and pay for the rising costs of groceries and gasoline, 43 million American families will owe an additional $2,300 in taxes under the Democratic proposal. Eighteen million seniors will owe $2,200 more, and 27 million small businesses the core of our job market and engine that drives our economy will each be hit with an additional $4,100 on their tax bill, potentially forcing lay-offs and decreasing the number of available jobs on the market. The proposed Democratic budget increases federal spending by $22 billion over the President's request for 2009, and $211 billion over the next five years. The overall level of spending in this budget is actually understated because the Democrats raid the Social Security trust fund and spend $775 billion that would otherwise be used to pay for future retirement benefits. Instead of reducing the debt as promised, congressional Democrats intend to allow the national debt to climb by $2 trillion by 2013! That's more than $6,000 in extra debt for every American. Without any way of paying for these spending increases, Democrats are left with their old standby: raising taxes. By failing to extend the current tax rates, the Democratic budget would raise taxes by $1.2 trillion on 116 million Americans. The budget does, however, make room for $35 billion of so-called, "economic stimulus," so that Congress can spend more on roads, home heating subsidies, and unemployment insurance. I believe these resources would be better utilized to actually help the economy by giving taxpayers more certainty about their taxes this year. Congress should extend expiring tax provisions such as the higher education deduction and extend current income tax rates. If one wants to help the economy, don't raise taxes. Last year, congressional Democrats crafted their first budget after a decade of minority status. That budget revealed the Democrats fiscal plan for the country: tax hikes and a spending free-for-all. This year, their proposed budget is more of the same. I'm going to fight the spending increases and tax hikes that threaten to take more money from hardworking American families and support more sensible alternatives.