WASHINGTON, MARCH 29, 2007 -- “The economy continues to grow, producing jobs and creating new opportunities,” said Rep. Cliff Stearns (R-Ocala). “Congress must maintain the pro-growth policies sustaining this expansion. Before we enacted tax relief in 2003, economic growth was a pitiful 1.1 percent. After tax relief, we have seen average economic growth of 3.5 percent each year. Before 2003, unemployment was 6.1 percent; it is now 4.5 percent. This budget plan of the House majority calls for massive new spending and will lead to a tax increase of $400 billion over 5 years.”??The House today approved H.Con.Res. 99, the Budget Resolution for Fiscal Year 2008. This budget includes an increase of $24 billion in non-defense, non-security spending above the President’s request. This is on top of the $23 billion in non-emergency spending included in the emergency spending bill covering the ongoing Global War on Terror. “This plan will lead to higher taxes; over 6.7 million Floridians will see their taxes increase by an average of $3,000,” explained Stearns.?? House Budget Tax Increases 2010 2011 The Top Tax Rates Move Higher Ordinary Income… 35% 39.6% Capital Gains… 15% 20% Estates… 0% 55% Child Tax Credit… $1,000 $500 Lowest Tax Bracket… 10% 15%

Stearns, who was one of only 48 House members recognized by the National Taxpayers’ Union last week with an “A” rating on fiscal responsibility, supported a substitute proposal that would balance the budget by 2012 without increasing taxes. “This substitute is designed to produce a budget surplus by 2012 without using excess Social Security receipts,” added Stearns. “In addition, it contains entitlement reforms that would make Medicare and Medicaid more sustainable and more flexible.” This proposal, which was defeated, also would provide $8 billion more for veterans programs than the budget that the House adopted.