Rehberg Lays Out Principles for Real Economic Stimulus Package
Montana's Congressman Denny Rehberg today outlined the principles he believes need to be at the core of the economic stimulus package. According to Rehberg, any stimulus package legislation must be timely, targeted, temporary and transparent. The bill is expected to be considered by the full House later this week before it is taken up by the Senate.
"Montanans need a temporary hand up, not a permanent $825 billion expansion of the federal government," said Rehberg, a member of the House Appropriations Committee which debated the "so-called" stimulus bill last Wednesday. "Despite the name, this isn't a stimulus bill - it's an unprecedented attempt to advance the interests of very few special interest groups at the expense of hardworking taxpayers."
"There's no reason to permanently medicate a temporary illness," said Rehberg. "It's a mistake to use this legislation as the launch pad for a lot of new government programs and government jobs that we'll be paying for long after the economy has recovered. We need to quickly get the medicine where it will do the most good - in the hands of the small businesses that create jobs and the taxpayers who will keep them in business. And we need to take all necessary precautions to guard against the fleecing of the American taxpayer."
Rehberg is working with colleagues in offering workable alternatives to the current House stimulus plan. The plan will likely include tax cuts for individuals and small businesses, assistance for the unemployed and measures to stabilize home prices.
"I look forward to working with the President to reach a balanced solution," said Rehberg. "We aren't going to get another shot at this, so it's more important than ever that we lay partisanship aside in the interest of doing the right thing for the American economy."
Rehberg's Road to Recovery
Timely, Targeted, Temporary and Transparent
Timely: Any spending or tax proposal should, in fact, produce a short-term "jolt" or "jump start" of the economy. This is the fundamental objective of a stimulus proposal. This is not the place for long-term spending projects.
Targeted Stimulus: The plan should favor tax incentives and reductions, not only for consumers to encourage spending, but also for businesses, both small and large, to increase their ability to innovate, expand and create new jobs. Tax incentives and reductions are proven to be more effective than spending stimulus, and have an immediate effect in that money for consumer spending and business expansion become available immediately through lower withholding or estimated tax payments. Any spending proposal should have a favorable cost/benefit ratio. That is, the proposal should be cost-effective in creating a "multiplier effect" on the economy that is greater than the cost incurred.
Temporary: Any spending allocations are for one-time-only projects. There should not be an increase in the baseline of programs in future budgets, nor should new federal spending obligations be created.
Transparent: Each tax dollar spent should be subjected to the highest standards of transparency in order to foster responsible stewardship on behalf of taxpayers.