Velazquez on Cut, Cap and Balance

Washington, DC – Rep. Nydia M. Velázquez (D-NY) delivered the following statement today during House floor debate on H.R. 2560 :

“As we debate how to avert the default crisis, we should acknowledge what got us into the current mess. The real reason that the United States faces this dilemma dates back to a series of irresponsible tax cuts. $2.5 trillion in tax giveaways -- that were unpaid for and went disproportionately to the wealthiest Americans -- put us on an unsustainable path.

"We were told tax cuts would provide an economic boost. So, what did we get for this enormous addition to the deficit? Was our economy strengthened? Were new jobs created? The answer is a resounding no. The median income for working families fell by 2.4 percent during the first ten years these tax cuts were in place -- while food, housing and other necessities became more expensive. Job creation plummeted to 33,000 new jobs a month -- the lowest levels since President Hoover. The record is clear -- giving tax breaks to the wealthy without paying for it ballooned our deficit --but didn't create jobs.
Now, the proposal before us would not just continue this misguided policy -- but make it worse. It won't create jobs for Americans, but will slash services working families rely on. Make no mistake -- this plan begins the dismantling of Medicare and Social Security. Meanwhile, subsidies for Big Oil companies and tax breaks for billionaires would be locked in.

"Most of all, at a time when our economy is struggling, this bill would cost hundreds of thousands of American jobs. If you like 9 percent unemployment, you will love this bill.

"We need a serious discussion on how to resolve the debt crisis, while protecting working families. Time is running out and a default on the federal debt is not an option. Rather than wasting time on this outrageous legislation -- which will never become law --we should be crafting a solution that strengthens our economy for the long term.

"I urge a no vote and yield back the balance of my time."