In spite of the nation's dire need to extend and improve the life of Medicare, pay down the national debt and fund critical domestic programs, Republicans in the House are pushing a reckless tax cut. They want to spend real money today that may not be there tomorrow unless we adopt devastating spending cuts. Once again, they are setting us up for future deficits. The House-passed bill is a bonanza for the wealthiest Americans. The plan actually adds to the debt rather than pay it down.
New debt means more interest payments by the federal government.
Even if interest rates were to stay the same, we could see on-budget deficits reappear as early as 2005. The magnitude of this tax break for the wealthy would also cripple domestic services. According to the Office of Management and Budget, we would need to cut domestic spending by 27 percent over 10 years, including a 17 percent decrease in defense spending. If we keep defense spending at the levels recommended by the President, the tax cut would require a 43 percent cut in domestic spending in 2009. National parks, like the San Antonio Missions National Historical Park, could see cuts in operating budgets.