Economics

Federal Budget

We accomplished a monumental task in passing the budget resolution for fiscal year 2008. The budget serves as a blueprint for appropriations bills.  Overall, the budget I supported and that was passed, provides quality health care to our wounded soldiers and veterans expands health care for our families and provides all of our children with high quality education.

I believe that financial responsibility is one of the most important lessons we can teach our children.  It is imperative that they learn to live within their means. We must teach them not to spend more money than they earn and to save some of what they earn for a rainy day.  And today, we have set a tremendous example.  Most importantly, we have signaled to the world that we are a strong, viable nation."

Below you will find some highlights:

Ÿ The budget ensures access to health care services for Maryland's 486,000 veterans by providing $3.5 billion for these services.  This amount represents a 9 percent increase from what President Bush has proposed and would be the largest veterans' budget increase in American history. 

Ÿ The budget provides for implementing the recommendations of the "Walter Reed Commission," as well as the recommendations of other investigations into military and veterans' health care facilities and services.

Ÿ Passage of this budget allows Maryland to continue benefiting from the State Homeland Security Grant Program.  From 2003-2006, Maryland received over $97 million from this vital program. 

Ÿ The budget increases funding up to $50 billion for the State Children's Health Insurance Program (SCHIP, which would benefit Maryland's 137,000 children who are currently without health insurance.

Ÿ Finally, the budget provides substantially more funding for Maryland's 862,000 children enrolled in public elementary, middle, and high schools. Nearly $8 billion more in Fiscal Year 2008 for education and training programs than the amount requested by the President. Marking a substantial increase in resources for No Child Left Behind, special education and Head Start. 

College

Each year, more than 200,000 students miss out on college because they cannot afford it. Education is a right, not a luxury-and we cannot afford to allow the high cost of college to act as a roadblock to our children's futures any longer." That is why I supported the College Cost Reduction Act of 2007. Adjusting for inflation, tuition at four-year colleges has increased by nearly 40 percent in the last five years, making it increasingly difficult for families to afford college for their children. I support a reduction in interest rates, and an increase in Pell Grant awards.

In addition I support an increase in federal loan limits, making loan payments more manageable, and upfront tuition assistance to qualified undergraduate students who commit to teaching in our public school systems.

Homeownership

The housing market crisis and the sub-prime lending dilemma in particular are of grave concern to me. While sub-prime loans are geared toward borrowers with low credit scores, they are not in and of themselves dangerous; however, some abusive practices within the industry have resulted in a large increase in foreclosures. In Maryland we have had an incredible fall from 40^th to 22^nd in the nation in home foreclosures.

This hurts not only those being removed from their homes, but the foreclosures are an incredible drain on the economy as saturated markets drive the prices of homes down. In the last two years, foreclosures have cost the city of Baltimore approximately $1.8 billion in reduced property value. Right now, nearly 6,000 homeowners here in Maryland are facing foreclosure.