I wish I had better news to report to you from Washington this week. Unfortunately, on Wednesday, Speaker Pelosi brought an Adjournment Resolution to the floor, which allows Members to scramble home and campaign for reelection without dealing with some of the most important issues facing our nation, such as passing a budget and reforming Freddie Mac and Fannie Mae.
The House will not be back in session until after the November 2nd election, when they will hold a Lame Duck session – an opportunity for controversial legislation to come to the floor for a vote without the accountability of an election hanging over Members’ heads. Most discouraging, Congress is going home without preventing one of the largest tax increases in American history.
If tax cuts are not considered in a Lame Duck session, Americans will see a $3.9 trillion tax increase go into effect on January 1, 2011. This means employers will have to wait at least another month from now to plan for the future and hold off on hiring more workers while they wait on Washington. The business owners I have met with have repeatedly insisted one of the biggest challenges they continue to face is the uncertainty created by Congress.
While Congress can’t pass our own budget, creating a budget is not optional for most employers who have to maintain their credit and plan for the future. Small business owners will also be the ones who are most punished by Congress’ inaction on tax hikes. About 75 percent of all small businesses are taxed as individuals. These are the employers responsible for nearly two-thirds of all private sector job creation.
I firmly believe we should stay here to do the work that will bring some certainty back to our economy while ensuring there is relief for families. I am ready to vote on this now.