The Budget Resolution has now been passed by the House (216-211) and by the Senate (51-50, with Vice President Dick Cheney casting the tie-breaking vote). This budget is, quite possibly, one of the worst examples of the failure of our elected representatives to meet their obligation to determine tax and spending outlines that address the priorities of the American people.

The Budget Resolution has now been passed by the House (216-211) and by the Senate (51-50, with Vice President Dick Cheney casting the tie-breaking vote). This budget is, quite possibly, one of the worst examples of the failure of our elected representatives to meet their obligation to determine tax and spending outlines that address the priorities of the American people.

The Budget Resolution has now been passed by the House (216-211) and by the Senate (51-50, with Vice President Dick Cheney casting the tie-breaking vote). This budget is, quite possibly, one of the worst examples of the failure of our elected representatives to meet their obligation to determine tax and spending outlines that address the priorities of the American people.

Not only does the passage of this budget resolution represent the complete failure of Congress to address the real needs of the country, but it has happened through behind-closed-doors negotiations and technicalities that obscure the process from the American people. Specifically (to the best of our understanding):

• While both the House and Senate now have a total reconciliation tax cut figure of $550, there is a special technicality limiting the Senate to $350 billion (unless there are 60 votes to go higher). This has the effect of postponing the actual debate on the nature and amount of the tax cuts, but only by a short while: the House and Senate tax writing committees are supposed to complete their tax bills by May 8, just a week and a half after they return from their current recess. In the end, though, the moderates in the Senate -- which represent the majority -- will not win. That is because once the Senate and House tax bills are conferenced, the Senate will need just 51 votes to pass the final tax cut bill, which is protected from filibusters. Thus, the Republican controlled conference can result in a tax cut as high as $550 billion, rendering the $350 billion lower figure essentially meaningless. During floor debate this afternoon, Senate Finance Committee Chair Charles Grassley (R-IA) stated that his committee would not write a tax cut larger than $350 billion – it is uncertain, however, what effect this statement will have on the size of the final tax cut package. In any case, OMB Watch maintains that a $350 billion tax cut is far too large.
  
  
• Altogether, the resolution includes nearly $1.3 trillion in tax cuts (and nearly $1.6 trillion when additional debt interest costs are included) over the next ten years. The expiring “pay-go” rules (requiring offsets to pay for the cost of new tax cuts or spending) were extended for five years, however the tax cuts included in this budget resolution and subsequent resolutions through 2008 are exempt from the “pay-go” requirement. The only way to stop those tax cuts would be to filibuster the bill.
  
  
• This budget resolution also re-establishes caps for discretionary spending for FY 2003-2005. The caps put limits on spending at unrealistically low levels—representing actual cuts. There is no longer a "firewall" between defense and non-defense discretionary, so increased defense spending will further decimate domestic investment.

Sens. Olympia Snowe (R-ME) and George Voinovich (R-OH), who had been holding firm for a maximum tax cut under reconciliation of $350 billion, both voted for this costly and unfair budget resolution after intense White House lobbying. While we think that a tax cut of any size at this time would have been completely irresponsible, the resolution passed by Congress includes an altogether wreckless and unacceptable $1.3 trillion in tax cuts, of which as much as $550 billion can be passed under reconciliation protections that make them nearly impossible to stop.

Rather than a budget, this is fudge-it. It is a sleight of hand by tax cut ideologues in defiance of the majority of the American public, not to mention common sense. Congress has now passed a budget resolution; unfortunately, it wasn’t the right one.