Sunday, September 12, 1999
Bunning: Now is time for tax cut
But Ky. senator believes Clinton will veto bill
BY PATRICK CROWLEY
The Cincinnati Enquirer
FORT MITCHELL — U.S. Sen. Jim Bunning said he can't remember a better time during his 13 years in Washington than right now to cut taxes for the American people.
“The average taxpayer pays 20.8 percent of their income for federal taxes,” Mr. Bunning, R-Southgate, said Saturday before attending a campaign fund-raiser in Fort Mitchell.
“We have a budget surplus in the trillions of dollars and we're sending a $792 billion tax cut plan to the president next week,” he said. “The time to cut taxes is when you have a surplus, so the time to cut taxes is now.”
But Mr. Bunning said he is “95 percent sure” that President Clinton will veto the Republican-backed tax cut this week.
“My gut feeling is we will not give him a second (tax cut bill), we'll take all of the money in the surplus and apply it to the federal debt, and then negotiate with a new president for a tax cut in 2001,” he said.
Republicans are showing their frustration with Mr. Clinton, who favors a smaller tax cut of $250 billion to $300 billion and using the rest of the $3.4 billion surplus to reduce the nearly $6 trillion federal debt, shore up Social Security and pay for federal programs.
But the GOP probably won't send the president a second or negotiated tax-cut bill, giving Republicans what they plan to use as an issue in the 2000 presidential and Congressional elections.
“Once the president gets the tax bill, he'll veto it and that will be that,” Sen. Mitch McConnell, a Louisville Republican, said last week.
“That issue will be history ... and we'll take our case over the next several months to the American people and let them know about the tax cut they didn't get because of Bill Clinton,” he said.
Over 10 years, the $792 billion bill would have reduced
all income tax rates by 1 percentage point, eased the marriage penalty on many two-income couples, eliminated estate taxes and the alternative minimum income tax, reduced capital gains taxes, expanded pension and 401(k) laws and provided numerous business tax breaks.
“The sad part about the tax bill dying,” Mr. Bunning said, “is that it would have done so many good things.”
While Congress won't have a tax bill to pass, there is other legislation Kentucky's senators are expecting to be voted on this fall.
Mr. Bunning said Congress is working to get all 13 federal spending bills passed. He said eight of the bills have passed the Senate, 11 have passed the House and eight are in conference committee, where members of both parties hammer out differences in legislation.
Failure to pass the bills by Oct. 1, the beginning of the federal government's 2000 fiscal year, could result in a shutdown of government serv ices, something both parties are working hard to avoid.
“Those spending bill are our top priority right now,” Mr. Bunning said.
A bill changing the way Americans pay in to the Social Security system may be voted on this year. Several bills, including some with significant bipartisan support, have been filed and are being considered, Mr. Bunning said.
Mr. Bunning's bill would gradually allow Americans to invest their Social Security taxes into private investment accounts similar to 401(k) retirement plans used by millions of workers. Those accounts invest money in the stock market and provide a better return than Social Security is getting, he said.
A financial services bill that would allow banks, investment firms and insurance companies to own one another and offer each other's products is also likely to be heard this year.
“You could deal with one company for all your financial services needs,” said Mr. Bunning, who favors the bill. “All the other major countries in the world already have their financial industry set up that way. We'd just be catching up.”
Critics have said the bill would concentrate too much financial power and too much money in just a few large companies, putting retirement and other accounts at risk if the companies fail or perform poorly.
Mr. McConnell said the so-called Patient's Bill of Rights measure that would reform HMOs and allow them to be sued by consumers will probably be voted on, as will new gun control measures that would require background checks at gun shows.
“The questions on the background checks is: Will they be instant, or will there be a three-day waiting period?” Mr. McConnell said. “If you have the waiting period, then you effectively shut down every gun show in America.”
Mr. McConnell said he will also once again “lead the opposition” to any attempts at campaign finance reform. He is known as the most ardent opponent of such legislation.
Rhodes at 90
Working to keep the good name of Sabin
Patrols zero in on I-275
Drivers' dispute on I-275 ends in two-car crash, two hurt
Habitat for Humanity builds homes, confidence
House changed mother's life
Waco's ashes still smolder
GOP plays hardball and strikes out
Lawmakers snub urban schools
Little blessings grow, thanks to reproductive center
'Sopranos' may be an offer the Emmys can't refuse
Kiesewetter's picks for Emmys
Concert bands play on
Foundation concerts honor Russian bandleader
List of Tristate concert bands
Cincinnati's notable music men (and one dog)
123 pounds later, friend celebrates new life
Clooney sings at NY cabaret
Coney Island to turn Celtic for two days
Fitton becoming model center for community arts
GET TO IT
Handicapped parking is difficult to qualify for
Kool Keith's wild show a thrill while it lasted
Skyline serves fine helping of local tunes
'Skyline Time' adds spice to oldies
This 'Nothing' has everything
Kenton County Fiscal Court must choose jail site
Allen to move quietly on settlement
Appeal targets 3-strike law
Bunning: Now is time for tax cut
CityFest celebrates Monroe's growth
'Hope VI' development plans stall
Judge's new bench on easier street
Mother Nature retakes coliseum land
Sculptor chisels legacy in limestone
Survivor's advice: Get prostate exam
Trash now art with a message
TRISTATE DIGEST
Trustee wants Clearcreek to keep rural feel
Walton residents eat, greet at fest
