Hurricanes Rain on Bush's Tax Cut Parade

By David Sirota, In These Times. Posted October 4, 2005.

When President Bush kicked off his bid for re-election in the spring of 2004, he launched what was another in a long line of cookie-cutter conservative campaigns. There was the predictable pander to cultural conservatives with his high-profile introduction of a constitutional amendment banning gay marriage. Then, there was the well-worn chest-thumping on national security and the War on Terror (sans any mention of the still-at-large Osama bin Laden).

And then, finally, there was the most familiar theme of all: right-wing economics.

Bush proudly promoted the trillions in tax cuts he had passed as supposedly helping the economy, and then went on the attack. "The tired, old policies of tax and spend," Bush said, referring to Democrats, "are a proven recipe for economic disaster."

The implication in Bush's statement is one America has been hearing for years from the right: namely, that conservatives' agenda of tax and spending cuts is not tired, but rather somehow "new," and is, most importantly, a path to success.

But with New Orleans residents still bailing water from their streets, that seemingly impenetrable axiom of American politics has crumbled almost as quickly as the infrastructure supposedly protecting our Gulf Coast during Hurricane Katrina. "Tax and spend" was not the recipe for economic disaster -- tax and spending cuts were.

This is a reality visible in the numbers. Year after year, the Bush administration insisted on massive tax cuts for the wealthy. And year after year, the White House refused to provide the funding government experts said was needed to strengthen levees, beef up hurricane preparedness and get federal emergency response ready for an onslaught from Mother Nature. America's budget surplus, built in the '90s to serve as a rainy day fund, was robbed to provide more and more giveaways to the rich. When the rainiest day of them all came, our country was left totally -- and unnecessarily -- vulnerable.

2001 and 2002: Denial

Casual observers wouldn't expect Mike Parker to serve as a de facto spokesman for how the Republicans' tax-cuts-at-all-cost agenda has weakened America. As a conservative GOP Congressman from Mississippi in the '90s, Parker was an outspoken advocate for giving tax breaks to the wealthy.He served as one of Newt Gingrich's lead grassroots advocates for reducing the estate tax -- a levy that falls almost exclusively on the wealthiest 1.2 percent of Americans. In his 1999 run as Republican nominee for Mississippi governor, Parker made tax cuts the centerpiece of his campaign. His signature television advertisement featured him shooting pool, saying "When I say I'll fight to cut your taxes, well friend, that's something that you can bank on."

After narrowly losing that race, Parker was rewarded for his Republican service by President Bush, who appointed him to head the Army Corps of Engineers on June 7, 2001. That was the very same day Bush signed his massive $1.3 trillion income tax cut into law -- a tax cut that severely depleted the government of revenues it needed to address critical priorities. As Parker soon learned, one of the priorities that would be sacrificed was flood and hurricane protection.

Overall, Bush's first budget introduced in February 2001 proposed more than half a billion dollars worth of cuts to the Army Corps of Engineers for the 2002 fiscal year. To be sure, these budget cuts were one in a number of cuts to public priorities like health care, human services, infrastructure and job training.

And it is true that the cuts to the corps came as the agency was being legitimately criticized: Some of its projects in recent years had run roughshod over environmental concerns, and others had been unnecessarily expensive products of congressional pork. However, instead of reforming the corps and getting it back on track, the White House used the criticism as a cover to gut the entire agency. The cuts were so deep, Rep. Jo Ann Emerson (R-Mo.) broke ranks with her party and penned a nationally-syndicated op-ed in April 2001 saying that "lives very likely will be lost."

Consider just a few of the specific examples: In the same budget that provided more than a trillion dollars in tax cuts, Bush proposed providing only half of what his own administration officials said was necessary to sustain the critical Southeast Louisiana Flood Control Project (SELA) -- a project started after a 1995 rainstorm flooded 25,000 homes and caused a half billion dollars in damage. This 2001 budget proposal came in the same year that, according to the Houston Chronicle, federal officials publicly ranked the potential damage to New Orleans by a major hurricane "among the three likeliest, most catastrophic disasters facing this country."

David Sirota was the top spokesman for Democrats on the House Appropriations Committee. He is currently writing a book on the middle-class economic squeeze for Crown Publishers. Contact him at Davidsirota.com.

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