By DANIELLE ULMAN
Capital News Service
WASHINGTON, D.C. (Oct. 1, 2007) - President
Bush has tightened the reigns on government spending since
Democrats came to power in order to pacify the GOP base, said
Rep. Steny Hoyer, (D-Md 5th), in a major speech at the National
Press Club Friday.
The charge came as Bush said he will veto eight of the 12
appropriations bills for fiscal 2008 because of Democratic plans
to spend $23 billion more than the president proposed.
The fiscal year will end Sept. 30, so without new spending
authorization, the government would be forced to shut down.
Instead, Congress sent a continuing resolution to the White
House Friday, which allows the government to run through the
middle of November, said Sean Kevelighan, press secretary for
the Office of Management and Budget.
Bush is expected to sign the
resolution, but the White House said Congress should "do its
job" and write appropriations bills that the president can sign,
Kevelighan said.
That's exactly the posture Hoyer said he expected from the administration.
"The bottom line is the administration is itching to instigate
an appropriations fight with Congress in a vain effort to,"
pander to its conservative base, he said.
The House Majority Leader excoriated Bush for not vetoing any
appropriations bills over the past six years while Republicans
ran Congress, even though spending has grown by an average of
7.1 percent every year.
Spending under President Clinton grew at an average rate of 3.9
percent a year, he said.
"The Bush administration has been radically irresponsible in terms of
fiscal matters with deficits increasing," said Gar Alperovitz, a
professor specializing in fiscal crisis at the University of
Maryland.
"The Clinton administration produced major budget surpluses
which were decimated by the Bush administration," he said.
The Clinton administration had a net surplus of $62.9 billion.
Hoyer called the spending habits of the Republican-lead
Congress the reason behind their "train wreck" of a fiscal
record, pushing the deficit to nearly $1.4 trillion over the
past six years by refusing to pay for their tax cuts and
entitlement spending increases.
"So, forgive me for dismissing the Republican Party's
claim that it is fiscally responsible," he said.
To put the deficit in perspective, Hoyer said every
American owes $29,688 on the national debt, and the ballooning
budget shortfall is costing state and local governments every
day.
Hoyer said the deficit has a direct impact on average
citizens in terms of health care and the safety of their
streets. In the long run, he said, programs such as Social
Security and Medicare could be affected.
"Cutbacks in programs mean that the pressure increases
at the state and local level," Alperovitz said.
"Cuts at the national level come home to roost in every
city in the United States."
One way local governments are rebounding is to go into
business to make up for tax cuts.
"Governments are going into business in property
development, cable and in environmental projects, by capturing
methane from garbage dumps to make energy," Alperovitz said.
"It's a way to supplement from the financial crisis."
He suggested that fiscal relief would not come until
2009, when the Democratic Congress can allow Bush's tax cuts for
the nation's top earners to expire.
"I don't think we're going to get any change on tax
policy or on Iraq until the next administration," he said.
"The top 1 percent of Americans now has almost as much
income as the bottom 150 million Americans, which is an
extraordinary fact, and they ought to be taxed accordingly,"
Alperovitz said.
But not everyone agreed. Richard Falknor, executive vice
president of Maryland Taxpayers' Association, a bi-partisan
group against tax hikes, said raising taxes on the wealthy is
not the answer.
"If public spending is curtailed it hurts. But raising
the taxes for high-wage earners is not going to work," he said.
"Otherwise, who is going to be around to play a role in
Governor O'Malley's schemes? No one, they're going to get out of
Dodge," he said.
Hoyer said Democrats have reinstated their
"pay-as-you-go" budget rules, which require them to offset 80
percent of new spending by cutting other expenses, and 20
percent of spending with new taxes.
Much of the additional $23 billion requested in the
appropriations bills would cover cuts proposed by Bush to
education, medical research and law enforcement grants.
"Please, Mr. President, do not lecture us about fiscal
responsibility," Hoyer said. "And please, do not tell us that we
cannot find funding to invest in our children, our
infrastructure and our future when you are proposing to spend
another $190 billion on the war in Iraq."
