Katrina Is No Excuse to Scrap Spending Discipline in "Reconciliation" Bills, Nine Citizen Groups Tell Congress

(Alexandria, VA) -- The fiscal pressure from Hurricane Katrina is reason for Congress to reaffirm, not reject, the budget blueprint now on the table for "reconciliation" with appropriation bills, nine citizen organizations told lawmakers today. An open letter from the groups, mobilized by the 350,000-member National Taxpayers Union (NTU), urged Senators and Representatives not to "unduly delay or waver when it comes to moving forward with ... the spending cuts and growth-enhancing tax cuts" contained in the Budget Resolution enacted earlier this year.

"Congressionally-passed relief for hurricane victims may be necessary, but continued strong economic growth nationwide is equally important, both for continuing the recovery process in affected regions and to ensuring that refugees from the hurricane have the ability to rebuild their own financial lives," the letter stated.

The nine signatories collectively represented several million supporters, comprising much of the grassroots movement on behalf of limited government. Joining NTU on the letter were: FreedomWorks, Americans for Tax Reform, the American Conservative Union, the American Shareholders Association, the Council for Citizens Against Government Waste, the Small Business and Entrepreneurship Council, the American Association of Small Property Owners, and Americans for Prosperity.

The participants noted that federal revenues grew 13.7 percent in the first 11 months of Fiscal Year 2005. Thus, instead of tax hikes, Congress should look to offsets in federal spending (even beyond the slowdowns in the Budget Resolution) to control the deficit. "After all, given the massive amount of unforeseen spending for hurricane relief, it makes sense to move forward in constraining spending elsewhere in the overall budget," the groups contended.

"Congress must make tough choices when it comes to spending restraint, and reconciliation is an important part of this process," the statement concluded. "Our groups look forward to working with you to ensure that the Katrina disaster doesn't turn the budget into another disaster for taxpayers."

NTU is a non-partisan citizen group working for lower taxes, smaller government, and greater economic freedom at all levels. Note: The text of the letter, along with other materials on post-Katrina fiscal policy, is available online at www.ntu.org.

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