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Public Statements

Bachmann Calls for Real Stimulus that Creates Jobs and Supports Small

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Date:
Location: Washington, DC

Bachmann Calls for Real Stimulus that Creates Jobs and Supports Small

Today, U.S. Representative Michele Bachmann (MN-6), cosponsor of the Economic Recovery and Middle-Class Tax Relief Act, voted against the Democrats' so-called "stimulus" legislation, the $825-billion American Recovery and Reinvestment Act. She released the following statement regarding the vote:

"The Democrats' bill has a starting price of $825 billion - enough money to give every person living in poverty in the United States $22,000. In fact, the total cost of this one piece of legislation is almost as much as the annual discretionary budget for the entire federal government.

"To make matters worse, the nonpartisan Congressional Budget Office (CBO) estimates that the real cost of the legislation will be more than $1 trillion. The CBO reports that if Congress borrows more than $800 billion, it will burden future generations with an additional $347 billion in interest payments. That brings the total to more than a whopping $1.1 trillion.

"We must not forget our responsibility to the taxpayer simply because we label something a crisis or even a response to a crisis. The Democrats' have tried to sell this proposal as a transportation and infrastructure investment package. And, I'm all for investing in rebuilding our nation's roads and bridges and believe that government spending on transportation infrastructure projects is absolutely important. However, only $30 billion of the bill - or three percent - is for road and highway spending. And, CBO states that much of this spending will take several years to make any stimulative impact.

"My constituents understand that we cannot spend our way to prosperity and that serious consequences lie ahead if Congress goes down this irresponsible borrow-and-spend path. What the American people really need are long- term, permanent tax cuts which will impact families twice as fast as the Democrats' government spending in this bill. These tax cuts will spur job creation and help stabilize the economy over the long run.

"I support much-needed, incentive-based relief for small businesses, the job-creators and the backbone of our economy, and I believe we must reduce the financial burden that the federal government imposes on middle-class families. I'm a cosponsor of the Economic Recovery and Middle-Class Tax Relief Act, which is a real economic recovery plan that has NO welfare spending, NO pork-barrel spending, and NO bailouts. This package would immediately inject private capital into our economy and at the same time, it would lay the groundwork for sustained economic growth.

"Unfortunately, our nation has seen the mistakes of tax-and-spend government policies in the past and knows that they will not lead to long-term economic growth and recovery. It is imperative that Congress implements real, permanent tax relief for American families and stop this Washington spending spree that will burden many generations to come."

Bachmann also supported the Republican alternative to the Democrats' bill. This true stimulus bill includes such provisions as allowing small businesses to exclude 20% of their income taxes in order to grow their businesses and create jobs. Currently, small businesses pay 30% federal tax on $100 of their income.


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