"A year ago, we delivered the first balanced budget in a generation," Grassley said. "We created surpluses as far as the eye can see. The debt is finally being paid down. Our children have a brighter future because of it. Social Security will be saved for Baby Boomers. I believe in this vision. Taxpayers shouldn't have to bankroll a government that's out of control."
Grassley said fiscal discipline is so important that he voted against a $520 billion omnibus spending bill because it violated the spirit of the Balanced Budget Act. Despite spending transgressions at the session's end, he said, the 105th Congress made significant progress on restoring the government's finances, improving taxpayer rights and other achievements. He described accomplishments including:
* The first balanced budget in 30 years.
The Balanced Budget Act of 1997 and related policies resulted in a $71 billion budget surplus, the first since Neil Armstrong walked on the moon in 1969. In the short-term, a balanced budget means lower interest rates on home mortgages, car loans and student loans. In the long-term, it means surpluses to preserve programs such as Medicare and Social Security.
* The Taxpayer Relief Act of 1997.
This bill provided the first major tax cut in 16 years. It included a $500 per-child tax credit for middle-income families, education tax credits, estate and capital gains tax relief and a Grassley- sponsored provision to restore the tax deductibility of interest on student loans for higher education.
* Medicare reform and improved access to rural health care.
The Balanced Budget Act preserved and reformed Medicare to extend its solvency for future retirees. Grassley won approval for his legislation to bring equity to a Medicare payment formula for seniors who choose managed care. He took aim at a grossly unfair reimbursement rate that kept older Iowans from having access to benefits available to seniors elsewhere, including prescription drugs, eyeglasses and doctor wellness visits.
Grassley also won approval for his rural health care first aid kit. That included the Medicare Dependent Hospital program, the Rural Health Care Improvement Act for critical access hospitals with fewer than 15 beds and the Rural Health Care Protection Act to help key Rural Referral Centers remain viable.
* IRS reform.
For the first time in 46 years, the government's tax collection agency is getting a major overhaul. Congress passed sweeping reforms to change the way the Internal Revenue Service treats taxpayers. Grassley helped lead the effort to put taxpayers first.
* Greater financial accountability from the Department of Defense.
Grassley won approval in the omnibus bill to keep a requirement that the Pentagon match disbursements with obligations before making payments of more than $1 million. He also held a hearing to expose the ease of embezzling money from the Department of Defense due to weak internal accounting controls.
* Extension of the ethanol program and fair treatment for Iowans in the highway bill.
Iowa's economy stands to make large gains from the commitment Congress made this year to ethanol and Midwestern transportation needs.
The highway bill contained Grassley's amendment to extend the ethanol tax credit to the year 2007. The program's expansion will increase ethanol's $4.5 billion annual contribution to farm income, lessen America's growing dependence on foreign oil and create jobs in rural communities.
The highway bill also contained a significantly better share of the gas tax dollars paid by Iowans in federal funding for Iowa highways, bridges and mass transit systems.
* Agricultural research and rural development.
This year, Congress passed an agriculture research bill that allocates $1.8 billion over five years for new research, crop insurance and a fund for rural America. As an agricultural center, Iowa benefits from these initiatives.
* The Drug-Free Communities Act.
Congress passed and the President signed a bill Grassley sponsored to take money from the federal bureaucracy and get it to grass-roots groups across the country. The Drug-Free Communities Act provides funding every year for grants targeting illegal drug use by young people. The bill complements Grassley's statewide community anti-drug coalition, FIT, or Face It Together.
* Nursing home enforcement reform.
As chairman of the Special Committee on Aging, Grassley forced improvements in the federal system for enforcing laws to protect nursing home residents nationwide. A federal study that he requested described the enforcement system as weak and ineffective.
Grassley said he achieved many gains for Iowans through his senior positions in the U.S. Senate. In addition to holding the chairmanship of the Special Committee on Aging, he is a senior member of the Finance, Judiciary and Budget committees. He is chairman of the Narcotics Control Caucus. The only working farmer in the U.S. Senate, he is a member of the Agriculture Committee.
"In the 105th Congress, I put my seniority hard at work," Grassley said. "When it was all over, this Congress delivered for Iowa. Iowans will notice a real, positive difference in their lives."
