Hoyer: America’s Businesses and Families Deserve the Certainty from Tax Reform, Not Piecemeal, Unpaid-for Tax Extender Bills

WASHINGTON, DC - House Democratic Whip Steny H. Hoyer (MD) spoke on the House Floor this afternoon in opposition to House Republicans' two unpaid-for tax extender bills that add $93 billion to the deficit and undermine the prospect of comprehensive tax reform. One bill is being considered today, the other bill will be considered tomorrow. Below are excerpts and a link to the video:

Click here to watch the video.

“The Chairman [Paul Ryan], who was the Chairman of the Budget Committee, offered a budget which cut food stamps $125 billion. This bill is called ‘Fighting Hunger Incentive Act.’ $125 billion cut in food stamps, and, I tell you, my friend voted for $40 billion cut in food stamps in the Farm Bill. I’m not for free lunches. I’m for a lot of these tax cuts, but I’m not for taking it out of the mouths of children and feeding.  I’m not for taking it out of N.I.H.  I’m not for taking it out of our national security. We’ve got to pay for what we buy. I vote that way.”

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“I don't know about you, but I’m for Simpson-Bowles. The problem with Simpson-Bowles for some people is, it paid for what it did, just like the [Rep. Dave] Camp [tax reform] bill. The Camp bill made tough choices, and it was a zero-sum game in the sense that it cut taxes and it paid for them. A zero-sum game – just like you had to run your business, because, if you didn't run your business that way, you would have gone bankrupt.”

“But I tell my friend: yes, we're following bad policy. This bill, you can argue for the merits. I get that. The next bill you can argue for the merits. And the bill after that, and the bill after that, and the bill after that. And you then caused $600 billion in deficit spending that your kids and my kids will have to pay for, because we're too old to be around long enough to pay for it.”

“So I rise against this bill, not because I’m against fighting hunger. Everybody ought to be against hunger. When you talk about fighting hunger, don't cut food stamps by $40 billion. Don't suggest the way we pay for a tax cut is to cut $125 billion from food stamps over the next ten years, as the Chairman did. I disagree with that policy.”

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“Mr. Speaker, this is one of two bills that we're considering on the Floor this week to make tax cuts permanent. And it's unfortunate that neither of these bills is paid for – one year or permanently. Together they would increase the deficit by $93 billion. Nobody's suggesting we're going to pay for that, so our kids will pay for it.

“Democrats support extending many of the preferences we're talking about, but we're also deeply concerned about America's fiscal future.  And I’ve voted that way, not just talked that way. I hear a lot of talk from my friends in the Majority about the debt.  But that talk too often fails to translate into fiscally responsible policy. It didn’t in 1981, when we cut taxes deeply and increased the national debt from the time I came in, under Reagan, 189% – more than any President that's been President during my term in the last thirty-four years. We've seen these two tax bills before, when Republicans brought them to the Floor last Congress along with several other permanent tax cuts, which together would have ballooned the deficit by more than $600 billion.  That’s twice what we'll spend on medical research at N.I.H., ten times what it would cost to expand community college access.

“I also hear my friends on the other side of the aisle talk about a broken tax system. I tell my friend, that system is going to remain broken unless we do what [Rep. Dave] Camp did. Did I agree with everything in Camp? No.  But I respected him for putting together a package of tax reform that gives what Mr. Ryan says we need – and I agree with him.  Certainty. People need to know. These ought to all be permanent. There are indeed tax credits that ought to be permanent so people can plan.

“America’s businesses and families deserve the certainty that comes from tax reform, not partisan, piecemeal bills that undermine tax reform. That's what [Senator] Roy Blunt was talking about. Roy Blunt has already been quoted, so I won't repeat the quote, but what he said is: as long as the Finance Committee feels there's an opportunity for overall tax reform, I think you’re not going to see a quick response to individual bills coming over.

“That's why this is bad policy. Because you're not going to get from here to there unless you have a comprehensive bill that makes the tough tradeoffs and summons the courage of this Congress to pass meaningful, permanent, paid-for tax certainty for our citizens.”