Today the House will consider the Budget Resolution Conference Report for 2009. The report calls for record tax increases, increases discretionary spending by $241 billion above the President’s level over 5 years, and does nothing to reform entitlements or earmarks. Below are some of the highlights of what this budget WILL do:
- Raises taxes by at least $683 billion over the next 5 years. These include increases in marginal tax rates; elimination of the 10-percent bracket for lower-income taxpayers; restore the marriage penalty, the death tax, as well as install higher tax rates on investments.
- Authorizes More Than $1 Trillion over and above entitlements. The conference report increases so called “discretionary spending” by $21 above the President’s request, pushing it above $1 trillion for 2009. This translates to a spending increase of $241 billion when extended over 5 years.
- Entitlements Continue on Automatic Pilot. This budget does nothing to address the growing entitlement problem. Medicare and Social Security alone currently face $40 billion in unfunded liabilities, and that figure is growing unchecked every year.
- Record Debt Increase. Although Democrats claim to balance the budget by 2012, the conference report results in the largest debt increase in history – from $8.951 trillion in 2007 to $9.575 trillion in 2008 – and increase of $624 billion this year.
- No Earmark Reform. Having repeatedly decried the scandal of earmarks, the Majority does nothing in the budget to address them. Last year’s appropriations bills included some 11,000 earmarks totaling $14.8 billion – and under this budget, the trend will continue.
Not only will this budget stifle economic growth, it will increase our debt level, and authorize an enormous amount of money for discretionary spending. That isn’t even accounting for what the budget fails to do! ….Scary thought isn’t it?