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Immigration Bill Sticker Shock (Senate Shamnesty Entitlement Costs Tip Of Iceberg Alert)
Frontpagemag.com ^ | 08/28/06 | Gail Russell Shaddock

Posted on 08/28/2006 2:00:36 AM PDT by goldstategop

WASHINGTON – The price tag for comprehensive immigration reform was not a key issue when the Senate passed its bill last May. But it is now. One reason: It took the Congressional Budget Office (CBO) - the gold standard for determining what a bill will cost - until last week to estimate that federal spending for this vast and complex bill would hit $127 billion over the next 10 years.

At the same time, federal revenues would drop by about $79 billion, according to the CBO and the Joint Committee on Taxation. If lawmakers fix a tax glitch, that loss would be cut in half, they add.

In field hearings across the nation this month, House GOP leaders are zeroing in on the costs of the Senate bill. It's a bid to define the issue heading into fall elections and muster support for the House bill, which focuses on border security. They say that the more people know about the Senate version, including a path to citizenship for some 11 million people now in the country illegally, the less they will be inclined to support it.

"We are now just beginning to see a glimpse of the staggering burden on American taxpayers the Reid-Kennedy immigration legislation contains," said House Judiciary Committee Chairman James Sensenbrenner, who convened a field hearing at the State House in Concord, N.H., Thursday on the costs of the Senate bill.

But business groups and others backing the Senate bill say that the cost to the US economy of not resolving the status of illegal immigrants and expanding guest-worker programs is higher still. "In my opinion, the fairer question is: How will illegal immigrants impact the costs of healthcare, local education, and social services without passage of comprehensive immigration reform?" said John Young, co-chairman of the Agriculture Coalition for Immigration Reform, at Thursday's hearing.

"Had we solved this problem in a truly comprehensive way in 1986 ... we would not have the daily news reporting outright shortages of farm labor threatening the very existence of agricultural industries coast to coast," he adds.

Experts are poring over the new CBO data - and coming up with radically different assessments of the social costs of reform, ranging from tens of billions of dollars higher to a net wash.

On the issue of border security - a feature in both bills - there is little disagreement. The CBO estimates that the cost of hardening US borders in the Senate bill is $78.3 billion over 10 years, or about 62 percent of the bill's total cost.

The fireworks involve new entitlement spending in the Senate version. The CBO sets the price tag for services for some 16 million new citizens and guest workers at $48.4 billion through fiscal year 2016. That includes $24.5 billion for earned income and child tax credits, $11.7 billion for Medicaid, $5.2 billion for Social Security, $3.7 billion for Medicare, and $2.4 billion for food stamps.

But it's easier to estimate the cost of a mile of fence than to assess the prospects for millions of workers, once they can work legally and claim benefits.

"The amnesty alone will be the largest expansion of the welfare system in the last 25 years," says Robert Rector, a senior analyst at the Heritage Foundation, and a witness at a House Judiciary Committee field hearing in San Diego Aug. 2. "Welfare costs will begin to hit their peak around 2021, because there are delays in citizenship. The very narrow time horizon [the CBO is] using is misleading," he adds. "If even a small fraction of those who come into the country stay and get on Medicaid, you're looking at costs of $20 billion or $30 billion per year."

Nonsense, say others who've studied the bill. Immigrant workers are also adding value to the economy, especially once they are working legally and paying taxes. Overall, it's a wash, they say.

"As you increase the number of immigrants to the US and as they get better jobs because a number of them will have attained legal status, they will pay higher taxes," says Leighton Ku, senior fellow at the Center on Budget and Policy Priorities in Washington. "On a longer-run basis, it looks as if the revenues will grow faster than the entitlement costs."


TOPICS: Constitution/Conservatism; Crime/Corruption; Culture/Society; Foreign Affairs; Front Page News; Government; Mexico; Miscellaneous; News/Current Events; Philosophy; Political Humor/Cartoons
KEYWORDS: 109th; aliens; cbo; cira; csm; entitlements; fedealspending; gailrussellshaddock; hispandering; illegalimmigration; immigrantlist; immigrationreform; mexico; pricetag; senateshamnesty; stickershock
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The Senate Shamnesty bill passed this spring, low-balled the entitlement costs. Liberals are trying to assure us when immigrants acquire legal status, they'll pay higher taxes. What a laugh. Why would they want to do that when native-born Americans already resent the current tax burden? "The amnesty alone will be the largest expansion of the welfare system in the last 25 years," says Robert Rector, a senior analyst at the Heritage Foundation, and a witness at a House Judiciary Committee field hearing in San Diego Aug. 2. "Welfare costs will begin to hit their peak around 2021, because there are delays in citizenship. The very narrow time horizon [the CBO is] using is misleading," he adds. "If even a small fraction of those who come into the country stay and get on Medicaid, you're looking at costs of $20 billion or $30 billion per year." And those costs are the tip of the shamnesty entitlement costs tip of the iceberg. We're talking immigration bill sticker shock here and its safe to say American taxpayers would be on the hook for all the goodies long after the current politicians are no longer around in office.

(No more Olmert! No more Kadima! No more Oslo! )

1 posted on 08/28/2006 2:00:38 AM PDT by goldstategop
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To: goldstategop

But but but I thought open borders were good for the market?!?!?!

My solution:

1 end the anchor baby policy

2 end welfare benefits for non-citizens

3 end subsidized health care and public education for non-citizens

4 swift and harsh jailtime for employers of illegals, plus seizure of assets

5 build a 1951 mile wall from the Pacific to the Gulf

6 allow non-citizens to cross into Mexico with impunity

7 Pass the FairTax

8 overthrow the current Mexican regime and install a non-corrupt, capitalistic government


2 posted on 08/28/2006 2:06:06 AM PDT by ovrtaxt (We gotta watch out for the Hellbazoo and the Hamas...)
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To: goldstategop

Fed spending = tax payer money.

Bend over, spread cheeks, here it comes.


3 posted on 08/28/2006 2:54:07 AM PDT by taxed2death (A few billion here, a few trillion there...we're all friends right?)
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To: goldstategop
The Senate Shamnesty bill passed this spring, low-balled the entitlement costs.

The Senate ALWAYS low-balls costs. Back in '69, Medicare was "supposed" to only cost 20-30 billion by now, instead of the 200+ billion it does now....

But when you're spending someone else's money....

4 posted on 08/28/2006 3:02:52 AM PDT by dirtbiker (I've tried to see the liberal point of view, but I couldn't get my head that far up my a$$....)
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To: goldstategop
Add the cost to the fact that many of these folks have no intention of assimilating...

Mexicans Raise Mexican Flag over US

5 posted on 08/28/2006 3:47:22 AM PDT by mewzilla (Property must be secured or liberty cannot exist. John Adams)
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To: goldstategop

As this article, and others on the subject, point out, the majority of the cost is in border enforcement.


6 posted on 08/28/2006 4:10:34 AM PDT by Ben Ficklin
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To: ovrtaxt

I like it. I like it.

Except, I'd like to end welfare entitlements to able-bodied citizens as well.


7 posted on 08/28/2006 4:32:04 AM PDT by HonestConservative ((It's SNOWING!))
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To: ovrtaxt

9. Kill ALL farm subsidy programs, including this shameful cheap labor subsidy the ag interests continue to insist upon.
I went to high school with a fellow from a farm family. He has continued to farm all these years. He and his several farm "entities" have harvested nearly $10,000,000 in various government welfare programs for farmers since 2001. Nice guy or not, that is totally ridiculous.


8 posted on 08/28/2006 4:53:46 AM PDT by thelastvirgil (Incumbent politicians: PUBLIC ENEMY NUMBER ONE.)
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To: ovrtaxt
My solution:


Let me add one more:

Make it impossible for an illegal or their proponents to sue anyone in this country, for any reason.
9 posted on 08/28/2006 4:55:30 AM PDT by wolfcreek (You can spit in our tacos and you can rape our dogs but, you can't take away our freedom!)
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To: goldstategop

Send all illegals home to their wonderful mother countries. They have no right whatsoever to be here.


10 posted on 08/28/2006 5:31:53 AM PDT by conservativecorner
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To: goldstategop

Mexification of America is a worrisome post at News with a view--links to a Gov website to validate his take on plan by Bush, Fox and Martin (Canada) to "blur" borders for sake of commercial interests. Does anyone know of this?
(The post found http://seraph.typepad.com)


11 posted on 08/28/2006 5:46:22 AM PDT by mj anderson
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To: goldstategop
"As you increase the number of immigrants to the US and as they get better jobs because a number of them will have attained legal status, they will pay higher taxes," says Leighton Ku, senior fellow at the Center on Budget and Policy Priorities in Washington. "On a longer-run basis, it looks as if the revenues will grow faster than the entitlement costs."

No, they will price themselves out of the market making illegals even more attractive thus increasing their demand and attracting more of them. The illegals who become legals will then go on welfare and become more of a burden on the social welfare system.

12 posted on 08/28/2006 5:53:47 AM PDT by kabar
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To: goldstategop
On the issue of border security - a feature in both bills - there is little disagreement. The CBO estimates that the cost of hardening US borders in the Senate bill is $78.3 billion over 10 years, or about 62 percent of the bill's total cost.

Little disagreement my patoot. I disagree.

  1. $78.3 billion is $7,800,000,000.00
  2. Divided by ten is $780 million ($780,000,000.00) a year
  3. Divided by a nominal 1500 mile 'buildable' border is $520.000.00 a mile, per year.
  4. Divided by 5280 feet is $98.49 a linear foot (or $8.21 an inch)
Now I don't care if this "border hardening" is done with 24K Gold Leaf. NO project, not even a gubmint one with their 6000 page noncontributory specifications (btw, that's why we have $700 hammers) will or can cost $98.49 a foot, per year, for ten years.

Jeez Louise, we're talking about building a freaking WALL, preferably concrete, not a Ritz Carlton Hotel, every ten to fifteen miles.

In any case, even is the $78 Billion was right, illegals COST us $10 to $12 BILLION a year. Over ten years that $100 to $120 BILLION dollars, which by my math is STILL cheaper.

13 posted on 08/28/2006 6:01:56 AM PDT by Condor51 (Better to fight for something than live for nothing - Gen. George S. Patton)
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To: goldstategop

14 posted on 08/28/2006 6:03:52 AM PDT by Gritty (Politics is the second oldest profession. It bears a striking resemblance to the first-Ronald Reagan)
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To: Ben Ficklin

". . . the majority of the cost is in border enforcement."

As the article states, those 'border enforcement' figures are from the Senate bill.
And as we know, the Senate doesn't give a damn about actual enforcement.
All they is amnesty.


15 posted on 08/28/2006 6:04:13 AM PDT by tumblindice
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To: Condor51
Stoo-pid spell check....

"6000 page noncontributory specifications" should be ... "contradictory specifications" ....

16 posted on 08/28/2006 6:04:27 AM PDT by Condor51 (Better to fight for something than live for nothing - Gen. George S. Patton)
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To: tumblindice

35,000 new govt employees.


17 posted on 08/28/2006 6:17:48 AM PDT by Ben Ficklin
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To: Ben Ficklin

All they is amnesty.=All the Senate wants is amnesty.
And Pence.
I noticed in this AM's paper there's another San Diego Union Ruben What'hisname OBL editorial out, in a nutshell:
`Give us amnesty. Now. Or you're a racist.'


18 posted on 08/28/2006 6:27:37 AM PDT by tumblindice
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To: tumblindice

Actually, pence would privatize some of it.


19 posted on 08/28/2006 6:30:26 AM PDT by Ben Ficklin
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To: Ben Ficklin

`Actually Pence would privatize some of it.'
To an arm of the US Chamber of Commerce?
And Old MacDonald is hiring a fox to guard the chicken-house....


20 posted on 08/28/2006 6:32:58 AM PDT by tumblindice
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