Tax cuts adversely impact programs for the poor
gazetteonline.com

The following Letter to the Editor was published in the Cedar Rapids Gazette
 
by Ellen Fisher

The Gazette's Nov. 11 editorial, "Tightening government's belt", applauded congressional efforts to cut spending but ignored the impact of tax cuts. House Republicans led by Rep. Jim 'Nussle, R-Iowa, are trying to cut $54 billion over five years primarily from programs that benefit the poor — food stamps, school meals, Medicaid, student loans, foster care, child support enforcement, etc.

The budget deficit cited as rationale for the cuts has been greatly enlarged by four successive years of tax cuts benefiting the very wealthy, and Republicans hope to add $70 billion in additional tax cuts this year. For the 2005 tax year the wealthiest 0.2 percent of taxpayers will receive almost $35 billion from already enacted Bush tax cuts, an amount that exceeds the annual cost of the food stamp program.

The poverty rate last year rose for the fourth consecutive year, marking the first time on record that household incomes failed to increase for five straight years. During this time costs for housing, energy, medical care and prescription drugs rose sharply, so it isn't surprising that in October the U.S. Department of Agriculture reported that hunger increased for the fifth straight year. Speaking of the current economic recovery, Philip Swa-gel of the conservative American Enterprise Institute said, "The gains have gone to owners of capital and not to workers."

With hunger and poverty both increasing steadily, the entire Iowa congressional delegation should be urged not to cut programs that protect the poor. No new tax cuts should be passed, and those already enacted should be allowed to expire.

Ellen Fisher lives in Cedar Rapids.