News Releases

Tuesday, July 11, 2006

Isakson Praises Forecasts of Smaller Federal Deficit
 Credits Tax Cuts, Urges Reform of Federal Budget Process 

WASHINGTON - In the wake of the latest forecasts showing that the federal budget deficit will be $127 billion less than projected, U.S. Senator Johnny Isakson (R-Ga.) today credited the tax cuts for helping to boost revenues and foster a strong economy. The new deficit forecast is 30 percent below the Administration's February forecast.

Isakson said that the tax policies enacted by Congress and the President have generated unparalleled economic growth, strengthened government revenues and helped to reduce the deficit. The economy has grown for 18 consecutive quarters, and the United States gained more than 5.4 million jobs during the last three years. The current unemployment rate remains at a low 4.6 percent.

"These numbers confirm what I have always believed — letting American taxpayers keep more of their hard-earned money pays far better dividends than sending that money to Congress to spend on another government solution," Isakson said. 

Isakson also urged passage of legislation he is co-sponsoring to further reduce the federal deficit and reform the federal budget process.

"We must take large and immediate steps to end the reckless spending that is threatening the future of our nation," Isakson said. "Congress must become better stewards of the taxpayers' money."   

Among other elements, the Stop Over-Spending ("S.O.S.") Act would implement procedures to automatically slow the rate of growth for mandatory programs if Congress fails to meet deficit reduction targets and would reinstate statutory caps on discretionary spending.