The State of Our Economy

THE STATE OF OUR ECONOMY -- (House of Representatives - September 07, 2004)

The SPEAKER pro tempore (Mr. King of Iowa). Under the Speaker's announced policy of January 7, 2003, the gentleman from New Jersey (Mr. Pallone) is recognized for 60 minutes as the designee of the minority leader.

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Ms. SCHAKOWSKY. Mr. Speaker, I thank the gentleman from New Jersey for leading us in these Special Orders so that we can talk truth to the American people.

The fact of the matter is that a large majority of Americans do think that the country is going in the wrong direction. They do not think they are better off today. In listening to some of our colleagues on the Republican side, it sounds like they think that the American people just do not get it; that if they would just look at their charts and really understand the truth, they would understand that things are really better.

But the fact of the matter is that it is the Republicans who do not get it, or are not listening to the people who are telling them that no, in fact, maybe they do not even read the newspapers, except the articles they like to read, because the headlines, I think it was during the convention, in fact, that were saying that, in fact, a million more people now are without any health insurance in the United States of America, that more Americans have fallen into poverty in the United States of America. The fact that there is the kind of poverty that we have here in the richest country in the world is a disgrace in and of itself, or that there are people without health care.

We are facing health care issues in my family, and one of my loved ones was just in the emergency room, got a bill for one night in the emergency room, $16,500. Now, fortunately, she has health insurance. What if she did not? She would have a bill for $16,500. You find me an American family that can easily absorb that kind of thing.

Mr. Speaker, we know that college tuition is up. We know that wages for average workers are down. We know that there are problems in after-school programs all over. We know that property taxes are going up, often wiping out any possible tax benefit that they may have had on their income tax, if any. We know that seniors are going to be paying more for Medicare. Maybe they got a measly check for a refund on their income tax, more than eaten up by the increase that they are facing in their prescription drugs and then their Medicare premiums. So they better check it out. The American people understand the country is going in the wrong direction and the economy is not good.

But I bring my colleagues good news. I have found the people who are benefiting. My husband has a pilot's license, so he gets all kinds of mail and he got this in the mail, a beautiful picture of a private jet. And it says on the front, "Bank with it. Land the ultimate tax benefit with a Cirrus high-performance aircraft." You look on the back and it says, "Deduct up to 79 percent. Your defining moment is now. Better get moving. Take delivery of the internationally acclaimed Cirrus aircraft before December 31st, 2004, and you will be able to take off with more than you think. Interested, aren't you? For only $220,000, you can purchase a Cirrus srV." That is the low-end Cirrus plane. And, it says, "You must act quickly to take advantage of this incredible tax advantage. Delivery slots are limited for the remainder of 2004," and then they cite the Jobs and Growth Tax Relief Act of 2003. "If you ever needed an incentive to fly, this is it," they say.

The Jobs and Growth Tax Relief Act of 2003, this new law makes the purchase of a new aircraft financially more attractive than ever, by providing increased incentives for new aircraft purchases delivered before December 31, 2004. This law allows bonus depreciation up to 50 percent off the purchase price of the new aircraft, and then it talks about additional write-offs.

Anyway, so get out your checkbook; $220,000 for a Cirrus srV. Your total first-year deduction, first-year deduction, $172,800, or 79 percent.

So do not tell me that there are not people benefiting from this tax cut. We got another ad that my husband cut out from Flying Magazine which he subscribes to that shows the man with his jacket flung over his shoulder coming out of this airplane. I guess this is the guy who has benefited or can benefit from the tax cuts.

Now, you explain to people who do not have a job, have been looking for a job, who cannot afford that $16,500 bill in the emergency room of a hospital, who cannot send their child to college, who does not have any health benefits from the new job that he or she got because there are not any benefits, why this is so doggone important. "Bank with it. Land the ultimate tax benefit with a Cirrus high-performance aircraft."

These are the people, this is the priority of this administration, while the rest of us, of our I guess not very smart constituents who have not figured out how great the economy is and are struggling every night at their kitchen table to figure out just how to make ends meet and have a decent life for their family. You better believe that for most Americans, this means nothing. This is a slap in the face to them.

We can do better as a country. If they think the country is in the wrong direction, it is. It is topsy-turvy, when we are not looking at those people who want an after-school program for their child, or want to be able to send their kid to college, that we are going to be able to provide a 79 percent tax break to somebody buying a private jet.

I thank the gentleman for letting me talk about this tonight.

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