Below is an interesting exchange of ideas on the new budget proposed by the White House that took place in the Senate:
http://www.opednews.com/articles/1/genera_ed_tubbs_0802...nate_hearing_exc.htm
Remark 3: The president’s budget effectively would cut veterans VA medical benefits by requiring most current recipients to pay an up front fee for medical services.
Senator Sanders: Thank you very much Mr. Chairman, Jim . . . I strongly concur with Senator Conrad’s (D-ND) comments about what a disastrous budget this is, and the very negative impact that it will have on the future of this country and our kids, and our grandchildren. But I want to take this discussion a little bit away from the issue of the national debt, as important as that is, and the deficit. I want to talk about this budget means to ordinary human beings, and to try to understand the moral values that have been placed in this budget, or I should perhaps say the lack of moral values. Ah, Senator Bunning (R-KY) a moment ago talked about tax burdens in this, ah, country.
Ah, but let me talk about, ah, who pays the taxes, who earns the money in this country. Mr. Director, as I’m sure you’re aware, the United States has by far the most unequal distribution of wealth, income and wealth, of any major country on earth, and increasingly we’re looking more like Brazil and Mexico than we are like Europe and Scandinavia, and other industrialized, ah, countries. When Senator Conrad talks about legacy, for this president, what we should be aware of, since President Bush has been in office, five million more people have slipped into poverty, the middle-class has shrunk, the median-family income has declined by over a thousand dollars, eight million Americans have lost their health insurance, three million Americans have lost their pensions, and yes! some people have done very well. And those are the people on top (right arm points into the air). And of all of the statistics that we throw out around here, I want to throw out one statistic that I want to get your comment on.
Director Nussel, according to the latest reports from the IRS, the wealthiest 1/10th of 1 percent, one-tenth of one percent, three hundred thousand men, women and children, now earn more income than do the bottom 150 million Americans! One-tenth of one percent, more income than 50 percent of the American people, and that gap is growing wider. What is your sense about what it means to the future of this country, and economic justice that we have such an unequal distribution of income and wealth?
Director Nussel: Well, first of all, ah Mr. San . . ., ah Senator Sanders, I, ah, ah, I have not thought about that question. I will, I will . . .
Senator Sanders: Don’t you think it’s a question that you should think about?
Director Nussel: I will give it some thought. Ah, I have given some thought to, ah, tax distribution, and tax reform, and, ah, I would agree with you that, ah, our tax code, ah, needs to be reformed. And there are, ah, there are, ah, problems within our tax code that, ah, that, ah, need to be rooted out, and that we have the top 1 percent of the tax code, of the people paying taxes in this country pay 40 percent of all the taxes. The top 5 percent pay 59 percent . . .
Senator Sanders: But you’ve given me an example of the facts that the wealthiest one-tenth of one percent earn more income than do the bottom 50 percent.
Director Nussel: They also pay taxes.
Senator Sanders: Of course they pay taxes, but not proportionate to what they earn.
Let me ask you another question, a moral question. Let’s forget about being in the United States Senate, let’s get down to basic morality. In your budget (pointing his right index finger at Director Nussel), you propose over 700 billion dollars in tax breaks for the wealthiest three-tenths of one-percent; 700 billion dollars in tax breaks for millionaires and billionaires at the same time as you want to eliminate, among other programs, the low-income weatherization assistance program, as you want to make massive cuts in the (indistinct, sounded like Lydie) program, which you are very familiar with. Well, in Vermont, and all over this country, Iowa, I dare say (NOTE: Nussel, prior to appointment as Ch of OMB, had been a GOP Representative in the House), it is getting cold. Older people cannot afford to keep their homes warm. What is the moral justification for giving over 700 billion dollars in tax breaks to millionaires and billionaires, and then cut back on programs which keep people warm, which provide health care for desperate people, and which provide many other basic necessities? Give me the moral justification for that.
Director Nussel: The, ah, tax, ah, cuts the president proposed in 2001 and 2002 and 2003 are distribute much further than the top one-tenth of one percent.
Senator Sanders: But I’ve given you an example of how it impacts the top one-three-tenths of one-percent; seven hundred billion dollars. Tell me why the richest people in this country need tax breaks while poverty is increasing.
Director Nussel: Look, ah, look, I would guess under that, that you received a tax cut.
Senator Sanders: I may have. But I’m talking about millionaires and billionaires. And I don’t need a tax break. You don’t need a tax break. Tell me, why should the richest people . . .
Director Nussel: Why don’t I need a tax break?
Senator Sanders: Because you’re doing well and other people are going hungry in America. And people, the middle-class is shrinking.
Director Nussel: So it’s my responsibility . . .
Senator Sanders: (Indistinct) I’m not talking about you, I’m talking about millionaires and billionaires . . .
Director Nussel: Then take anyone, take . . .
Senator Sanders: For example, you want to repeal the Estate Tax. Is that correct?
Director Nussel: (Nods head up and down)
Senator Sanders: All the benefits of the Estate Tax go to the richest three-tenths of one-percent. If the Estate Tax is completely repealed, the Walton family, which is worth 80 billion dollars, which owns Wal-Mart, will get over 30 billion dollars in tax relief. Do you think the Walton family needs 30 billion dollars in tax relief, when you’re cutting back on healthcare, when you’re cutting back on programs that feed hungry people; hungry senior citizens? Let me hear the moral, your administration talks a lot about morality, and family values. Now tell me about the morality of giving tax breaks to the Walton family, worth 80 billion dollars, and cutting back on the needs of the most desperate. Look! As far as that, . . . justification for raising the fees of our veterans who are getting into the VA hospital, that will drive veterans off of the VA.
Director Nussel: Well, these are the, ah, these are the, ah, veterans who, ah, have incomes that are higher than . . .
Senator Sanders: Yuh, twenty-seven thousand dollars a year. You know, what I want to hear is a simple, man to man, man to man . . . You tell me about tax breaks for billionaires and cutting back on the needs of veterans and low income people.
Director Nussel: First of all, I don’t what the tax bill is for the Walton family. I don’t know how much they pay.
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