
Katrina Could Cause a Needed Reevaluation of Priorities in Congress
by Guest Blogger, 9/19/2005
Hurricane Katrina has shaken up Congress' fall schedule immensely, as its focus has shifted to respond to the immediate needs of the Gulf region utterly devastated by the storm. Congress has passed more than $62 billion in aid, as well as
Of the reconciliation measures laid out by Congress in April's budget resolution, some could prove to be extremely harmful. Reconciliation was expected to result in lawmakers:
- cutting $35 billion from expected mandatory spending over five years ($10 billion was expected to be taken from Medicaid);
- enacting $70 billion in tax cuts over five years (Senate Finance Committee Chairman Charles Grassley (R-IA) was expected to use reconciliation to, among other things, extend the 2003 dividend and capital gains cuts and provide one year of alternative minimum tax relief); and
- raising the federal government's debt ceiling to $781 billion (for the fourth time since President Bush took office in 2000).
- a) Dangerous budget and tax cuts in reconciliation,
b) Efforts to repeal the estate tax, and
c) Priorities that would force the nonprofit sector to carry more of the load.
