Sen. Chuck Grassley (R-IA) issued the following statement on the budget proposal released by the President today. Grassley is the second-most senior member of the Budget Committee.
"Fiscal conservatives have a big challenge before us as the budget surplus appears to be burning a hole in the administration's pocket. Yet, paying down the national debt is the best way to ensure that our children and grandchildren have a shot at the American dream.
"I plan to bring Midwestern common sense to the table during our work in the Budget Committee. Just a few years ago, the experts projected $200 billion budget deficits as far as the eye could see into the future. A thriving economy ? along with the balanced budget first sought by the Republican Congress and finally agreed to by the President in 1996 ? turned that around. Now we have the very good news of even bigger budget surpluses expected well into the future.
"I'm standing guard to make sure years of hard work for the taxpayer don't unravel at the first scent of a bigger surplus. The President's plans for more government spending could mean an outbreak of surplus fever on the Potomac. What's worse, if the projected surpluses don't pan out, the administration's plans for a frenzy of new spending could send the federal budget right back in the red.
"In my view, if the budget forecasts hold, we need to meet our goals of paying down the debt and saving Social Security. I'm also committed to tax relief so that families can keep more of what both mom and dad work so hard to earn. An across-the-board tax cut would make it easier to save for their children's education and their own retirement.
"I appreciate the fact that the president has picked up many of the initiatives advanced by members of Congress: education reform, long-term care and retirement income security for baby boomers.
"Agriculture is the shining star in America's trade deficit, thanks to the quality and quantity of our farm products. It was good of the President to recognize this by pledging that USDA will take action to overcome 700 separate trade barriers this year and generate 6000 trade ?leads' for U.S. agricultural export sales. I'm glad to see the White House make this commitment to expanding our world market share, and as chairman of the International Trade Subcommittee I will help and make sure the job gets done. I hope one of the first items on the administration's ?to do' list is to break down the barrier to sales of U.S. pork in China, the biggest market in the world.
"The President's budget states that USDA will continue to expand the application and availability of revenue insurance, but a commitment has not been made by the President to the additional funding that will be needed to improve federal crop insurance.
"I'm very concerned about the fact that the president's budget includes very small Medicare hospital payment updates for the next several years. This kind of one-size-fits all is very bad for the rural hospitals in Iowa. We're in a situation where special treatment is necessary because the profit margin for rural hospitals is so much more narrow than it is for the average hospital nationwide."
"I'm also concerned about the commitment made in the President's budget to counter-drug programs. I worked to secure a Midwest High Intensity Drug Trafficking Area to help deal with the methamphetamine problem in Iowa. This funding supports federal, state, and local law enforcement efforts in the Midwest to stop meth trafficking. Last year, we provided $184 million for the 20 HIDTAs nationwide. The Midwest HIDTA received $9.5m for FY99, with a discretionary increase of $2.4m. The President's budget released today asks for $186 million for HIDTA. I want to make sure that the Midwest HIDTA is adequately supported and that rural meth initiatives are funding to help stop trafficking and local production and help with lab clean ups."
I also will work to ensure that there is adequate funding for the Drug Free Communities Act, which I successfully sponsored in the 105th Congress. Congress authorized $30 million for this popular national program in fiscal 2000. This year, the administration has only asked for $22 million below what has already been authorized. We need to make sure that funding is in line with community needs. In the last grant cycle, $100,000 was sent to Marshalltown."