In the past 15 months, the Administration, with Congress’ approval, is incurring more than $5 trillion in additional debt.  That is two years of budget deficits (last year $1.4 trillion and this year $1.5 trillion) plus more than a trillion dollars in bailouts and new spending programs.

Having helped balance our Federal budget from 1998 to 2001, I know that it can be done.  That is why my votes have not supported bailouts or deficit spending increases.  If spending is not controlled, I am greatly concerned that not only will inflation hurt Americans, but both the value of our currency and our nation’s credit rating will also suffer.

Budget Notes:

* Through the first seven months of the current fiscal year, the federal government amassed $800 billion in deficit spending, and the annual deficit is on track to approach last year’s record of $1.4 trillion.

* CBO projects the President’s budget plan will increase the public debt to $20.3 trillion by 2020.

* China has just bought $17.7 billion of U.S. debt, bringing its total holdings to $895 billion.

* With federal spending spiraling out of control, House Democrats have failed to even propose a 2011 budget.

* The House has passed an annual budget resolution every year since the current budget rules were put into place in 1974.

Improving healthcare services for our veterans and seniors continues to be one of my top priorities.

In our 7th Congressional District several initiatives and projects, including major medical facilities to serve our veterans are making promising progress. Construction on the new VA Medical Center in Orlando is on schedule, with Phase 1, Foundations and Superstructure, to be completed by the end of this year and opening of the hospital in August of 2012.  

The new 120 bed Clyde E. Lassen VA nursing facility in St. Johns County is also on schedule to open September 2010. In Putnam County a new VA clinic at the Palatka Mall will open its doors to veterans August 2010. These new VA medical facilities are important because they will help lessen the pressure from the overstressed clinics and nursing homes in the surrounding area.

Several years ago I authored and passed legislation to expand veteran’s preference in securing employment. Stars and Stripes newspaper quoted the Chairman of the Veterans Affairs Committee at that time, calling my bill “…perhaps the most important improvement in veteran’s preference in more than 50 years.”  Currently my efforts are directed toward providing our veterans and returning military with better access to credit and financial programs and opportunities to compete for transportation and infrastructure jobs and businesses.  Many of our veterans have been hit hard by the economic downturn, and I remain committed to assisting them in every way possible. I am working on legislation to ensure that opportunities for business and employment under federal contracts expand veteran’s preferences.

Federal funding for veterans programs will be increased for the new fiscal year, which begins on October 1.  Reducing the backlog in processing veteran’s benefits claims is one of my top priorities. Congress is considering a VA request for a 27% increase in funding to pay for processing of claims. With this funding the department hopes to increase the speed of processing and also fund an expected increase in claims. Increasing veteran’s medical care funding is also important, particularly as our veteran population ages. The proposed FY2011 budget includes a $3.7 billion increase in veteran’s medical care funds over the previous year.  These additional funds will help will help provide comprehensive health care services to veterans in a timely and convenient manner. 

Knowing that the concurrent receipt benefit, which is eligibility for retirement and VA disability compensation, is important to our veterans, we have worked for a number of years to ensure that all of our disabled military retirees who are entitled to disability compensation are not penalized by having their retirement pay reduced. I have consistently cosponsored legislation to correct this inequity.  In 2004 Congress approved a significant change in law and provided $22 billion to allow military retirees with a 100% disability rating to receive full retirement and disability payments. Congress has also authorized a concurrent receipt program for military retirees with a disability rating of 50% or higher to be phased in over ten years.  The proposed phase-in for retirees will include the entire VA disable population included by 2014.  While some progress has been made to end this unfair offset, we will continue working to correct this inequity and grant full concurrent receipt to all disabled veterans.

Protecting Medicare

Medicare is our Nation's most important health care provider to millions of our senior citizens.  I will not support any legislation that attempts to diminish the benefits that our senior's have worked for during their lifetime.  That is why I did not support the Obamacare half trillion dollar proposed cuts to Medicare.  I will work to repeal this provision or any action by federal government to ration or reduce medical healthcare benefits for our seniors.

Preserving Social Security Benefits

I believe that Social Security is a sacred trust between the government and its citizens and therefore benefits should not be reduced.  In Congress, I will never support a reform plan that reduces benefits for people already retired and those nearing retirement.  It is important too that we work to address funding shortfalls so that our nation's younger workers also have the promise of a full retirement.

The biggest threat to the social security surplus has been wasteful spending.  While the President and Congress could easily ignore or put off addressing the long-term financial soundness of this federal program, it is the responsible thing to examine our long-term options.

While I will never support any reform which would reduce the benefits for people already retired or for those nearing retirement, it would be irresponsible to allow our younger generation of Americans to inherit a bankrupt retirement system. If we do not address serious future funding problems, Social Security will face significant long-term debt. Among the most serious challenges is that people today live much longer than when the system was created, fewer workers are paying taxes into the system and the return on those taxes is far below market value.

The number of young workers paying taxes to finance the benefits of current retirees under Social Security is rapidly declining. In the 1930's, there were 41 workers contributing to the benefits of each retiree. Currently, the system has 3.3 workers funding the retirement benefits of each individual. That ratio of workers further declines in future years as the Baby Boomers begin to retire in 2008. The Social Security Board of Trustees has estimated that the program will begin to run deficits by 2018. Between 2000 and 2025, the number of seniors over 65 in our country increased by 76%.  We have enough assets to fund the benefits of todays seniors; yet in the coming years, we will have far too few workers to provide financing for the future benefits of today's younger generations.

The average American today lives much longer than when Social Security was first introduced. Social Security was originally intended to provide only temporary relief for seniors living in retirement. However, it has grown into a much broader system providing permanent benefits to all American retirees, spouses, dependents and the disabled.  Today's seniors are living much longer in their retirement years than when the system was created.  This has put great financial strain on the program.

Current retirees and those nearing retirement are greatly dependent upon Social Security because for most it is their sole source of retirement income. The current Social Security system will be solvent to pay for the benefits of those 55 years of age and older.  For them Social Security will not change in any way.  However, leaving this problem to future generations and future Congress' is simply irresponsible.

I believe our current system of taxation has grown into a confusing, unfair and burdensome system. That does not even take into consideration the mounting cost to run a huge IRS bureaucracy or the cost of an army of CPAs and accountants to prepare the mountains of forms required by current tax law. The Fair Tax promises a straightforward equitable approach to taxation, insures funding of vital national programs, and brings transparency and accountability to tax policy.

I have been a cosponsor of H.R. 25 and a supporter of the Fair Tax Bill in both the 109th Congress and the 110th Congress, and again in the current 111th Congress.  The time for Congress to act on the important issue of tax reform is sooner rather than later.  In spite of growing national support, and significant co sponsorship in the House, no hearings have been held and the current House Leadership has refused to consider the measure.

I believe we can develop a smooth transition to a new tax system. I am confident that once implemented the Fair Tax plan will be simpler for taxpayers and easier to understand, and eliminating the IRS will greatly reduce paperwork, bureaucracy and the drain on our economy.
I have testified before the House Ways and Means Committee to express my support for the Fair Tax Proposal.

I have urged Congressman Rangel, the Chairman of the House Ways and Means Committee to schedule a hearing and Fair Tax author, John Lindner has personally met with the Chairman in an effort secure a commitment to a hearing. Rather than address tax reform, the current house leadership acted to raise taxes, voting a $683 billion tax increase on American taxpayers.

We need to redouble our efforts to give the Fair Tax a fair hearing and ensure that a full and open debate relating to tax reform takes place in the new Congress.