Nelson issues statement on key stimulus bill

WASHINGTON -- Nebraska's Senator Ben Nelson delivered this statement on the Senate floor shortly before the Senate voted on the Economic Recovery Act, a package of tax cuts and job creation measures aimed at revitalizing the American economy. Nelson voted for the bill.

Senator Nelson: "Our nation's economy is in trouble. Over the course of America's history, our economy's been in trouble before. But rarely this much. Job losses in my state of Nebraska and across the nation are climbing and the recession that began some 13 months ago is accelerating. Of the 3.6 million Americans who have lost their jobs, nearly half received the pink slip in the last three months.

"Everyone in Congress knows we need to act, and to act soon to try to stop our economy's downward slide and ease the increasing hardship felt by millions of American families, business owners, workers, students and seniors.

"The time is now to begin turning this recession toward recovery. Congress cannot wait another three or six months to see if economic conditions worsen, for by then it could be too late and we could be in a depression from which it could take years to overcome. Now is time to provide the tools the American people will use with creativity and drive to rebuild the economy and return us to prosperity. The $789 billion economic recovery plan before us providing job creation and tax cuts for millions of Americans has the best chance to do that, I believe.

"It is timely.

"This plan is a vast improvement over the first proposal considered several weeks ago. In the Senate, we faced a reality that any economic recovery plan would require at least 60 votes to overrule a filibuster attempt and win passage. So, I and a number of colleagues came together to work across the political aisle with a shared goal: scrub as much pork, non-stimulative spending and fat as possible from the bill to focus it sharply on saving and creating millions of jobs.

"The group I dubbed the Jobs Squad included Senator Susan Collins of Maine and five other Republicans, and some 15 Senators in my party. I would like to thank each one of them for contributing to making the bill better and for helping Congress respond to a national economy in crisis.

"The legislation before us is targeted.

"There has been a lot of criticism of the final bill before us and I would agree that it is not perfect. One criticism I've heard is that it will leave just $13-15 dollars in people's pockets. Well, to many hardworking Americans that's between $700 and $800 a year, money they can use to pay electricity or gas bills, buy food or medicine, provide clothes for their children, to take a bit of the stress out of their lives.

"Let's look back a moment to recent history. In 2003, under the previous administration, Congress approved a major tax cut bill that included $20 billion in economic stimulus for the states. Senator Collins and I co-authored the provision to help states cope with a loss of state revenues tied to the tax cuts. The $20 billion in state aid was a one-time boost designed to end when it would likely no longer be needed. Eighteen months after the tax cut bill passed, the aid to states ceased. We have safeguards in the current economic recovery bill that will shut off spending in a similar time frame.

"Seventy-eight percent of the spending in this bill will be completed by the fall of 2010, overcoming one of the old wives' tales that this money will only be spent at the end of the legislation

"This legislation clearly is temporary.

"As I said, it isn't perfect but it has the support of such major organizations as the National Association of Manufacturers, the U.S. Chamber of Commerce, and in my state, the Omaha Chamber of Commerce, and others. Members of these groups will be able to use money from this legislation quickly to hire new workers, tackle infrastructure needs nationwide, expand their businesses and begin to get our economy moving again.

"The bill will have a major impact in states across the nation. For example, my state of Nebraska stands to receive a total of around $1 billion from the recovery plan. Nebraska's K-12 school districts will receive about $236 million to prevent cutbacks, teacher layoffs, to modernize schools and for other purposes. For state flexibility money, Nebraska will receive about $52 million to help rebuild vital educational and other state infrastructure. It also can be used to help our state government provide services and avoid layoffs of critical employees such as state troopers and public safety officers.

"Nebraska is estimated to receive another $310 million in additional Medicaid assistance, preserving needed health coverage for low income Nebraskans who will feel the economic downturn more than many others."