Update from U.S. Senator John Cornyn
Friday, February 13, 2009

President Obama has stated that we cannot rely on the same strategies that got our economy into this crisis to get us out of it. I agree. I voted against the economic stimulus bill because I believe it represents a missed opportunity to enact a stimulus package that will help small businesses create jobs and grow our economy. So, we must recognize the policies that haven’t worked – and get behind the ones that will.

I believe that the first thing any economic stimulus must do is address the root of the problem, which is the housing market. Homeowners are struggling with high mortgage payments, and our financial system is burdened with bad debt. So I supported a plan to lower mortgage rates to as low as four percent for millions of homeowners. This would quickly cut a huge expense in many family budgets, and reduce the risk of more foreclosures – providing immediate relief to a troubled sector of our financial markets.

Second, we must deliver the kind of broad-based tax relief that works. I offered an amendment to the stimulus bill that would have reduced the 10 percent income tax bracket to 5 percent, and lowered the tax bill for everyone who files a tax return by April 15. Lowering marginal tax rates can be a game-changer for every taxpayer’s budget, and for our economy. This approach worked for John F. Kennedy, it worked for Ronald Reagan, and it can work for us.

Third, we must support additional funding for programs that are delivering results, and for urgent national priorities. One such priority is national defense and border security. The National Guard Bureau reports that many units, after fighting wars and responding to natural disasters, have billions of dollars in unmet equipment needs. We need to give these brave men and women the tools they need to defend our country and our communities, while creating jobs at the same time.

As for Texas, we are promised many benefits in this bill, but we will also pay the costs. The Congressional Budget Office estimates that the stimulus bill will actually reduce growth in the long term. Rest assured, though, that I will be fighting to ensure that Texas is treated fairly and gets its fair share of funding for important sectors like border security, defense, transportation, and education.

A better approach to the stimulus bill was available, and remains available. I pledge to work with the Administration to ensure that the accountability and transparency measures promised in the package are effective. I will also continue to build support for alternatives that will create more opportunity for our families and small businesses, and restore our economic strength.

For more information on these and other topics, go directly to my Web site. To view floor speeches, interviews and other video messages from me, please visit my YouTube Channel. To receive additional updates, please select the issues that interest you listed on the right. It’s an honor to serve you in the United States Senate.

Sincerely,
U.S. Senator John Cornyn