Chairman Holland: Obama's budget both necessary and good for America

The following was submitted by Chairman Holland to newspapers throughout Utah on March 1, 2009

Americans are facing the most serious financial crisis since the 1930s. Job losses have totaled more than 3.5 million since January of 2008, with fully a third coming since December of last year.

This crisis didn’t appear over night and our recovery will take time. Median household incomes declined over the past eight years and more Americans have fallen into the ranks of the uninsured or underinsured during that time as well. Families that would have preferred to save for their children’s college education or for retirement were instead forced to use credit cards to meet the needs of their family and now the chickens have come home to roost.

Given these difficulties we face a choice. As our president points out in the conclusion of his recently released budget “We can put off for tomorrow what must be done today” or “We can jumpstart our economy and create or save millions of jobs. We can invest now to address the long-term drags on our economic competitiveness.”

We can choose to put off reducing the $2.2 trillion infrastructure maintenance backlog, put off building a more energy efficient economy and put off real health care reform because, as some argue, America just can’t afford to deal with these lingering problems right now. Or we can choose to invest now in jobs that will strengthen our infrastructure, reduce our reliance on foreign fossil fuels, enhance our children’s educational opportunities and expand access to affordable healthcare. These investments will pay far greater dividends in the long run than they will cost.

Most of our congressional delegation has chosen to argue, their party’s record not withstanding, now is the time to become “fiscally responsible.” In other words, when faced with the worst economic downturn in more than half a century fueled by plummeting demand the government should join the credit markets and struggling families and stop spending. They argue if the only entity left that can increase demand stops spending money too somehow our problems will be over.

When the government takes out a loan, it is worth asking whether what they want to spend that loan on will pay dividends in the future. If not, we most certainly shouldn’t borrow the money. However, if spending is necessary to recover from a serious economic downturn and we have lots of worthwhile things to invest in, the question of whether to invest should be moot.

We have highways and bridges to maintain or build, wind farms to construct, homes to weatherize and inefficient buildings to retrofit just to name a few of the worthwhile projects out there. All of these will pay off in the future by saving families money on their energy bills, reducing our reliance on foreign oil, create millions of jobs and lead to the development of new, cleaner technologies.

We also have children whose development doesn’t stop just because the credit market has. Educational opportunities lost during the early years of childhood are educational opportunities lost for life. Similarly, seniors dependent on programs like meals on wheels are no less hungry because the program was cut in the name of “fiscal responsibility.” This and other important programs are essential to their well being.

Americans rightfully ask themselves what they got out of the $5 trillion borrowed over the past eight years while Republicans were silent on the morality of what they now term “generational theft.” Our economy is no more efficient, healthcare is less affordable, and higher education costs have skyrocketed in spite of all the money borrowed during years of Republican control in Washington.

In spite of the skepticism the record of the past years generate, we can build a better tomorrow for our children and grandchildren. President Obama has committed to posting all spending online and has invited Americans to scrutinize the decisions being made in Washington. He has committed to investing this money in projects that will create needed jobs and enhance our economic and national security in the long-term. This isn’t about big government vs. small government. Its about government that works.

We won’t get out of this crisis by relying on the same old short-term quarterly thinking that go us into it. Nor will we get out by listening to those that borrowed and spent record amounts and have little to nothing to show for it. We will pull ourselves out of the recession and create a more innovative, efficient and educated America in the progress by making the investments we have delayed for too long.