Higher Education Needs a HERO

December 15, 2017

The dawn of the 21st century has brought tremendous opportunities and changes to our economy. Everyone now needs some kind of education after high school.  Yet, only four in ten Americans achieve an associate’s degree or higher.
 
It’s a new game, and it’s essential that all citizens can still pursue their American dreams.  We need a higher education system that works better for more Americans and their families. We can begin this process by focusing on four key reform principles: accountability, affordability, transparency, and innovation. These principles are at the heart of the Higher Education Reform Opportunity (HERO) Act introduced in the Senate this past week.
 
Affordability
Between 1982 and 2007, the average cost of a four-year college education rose by 439%, according to the biennial report from the National Center for Public Policy and Higher Education—and costs have only continued to rise in the past decade. The typical solution to the unaffordability problem has been to increase the amount and types of loans that students can access.
 
However, this solution has actually contributed to the exponential rise in tuition rates. In 2015, the Federal Reserve Bank of New York issued a study that found “a pass-through effect on tuition of changes in subsidized loan maximums of about 60 cents on the dollar.” This means that for every additional dollar the federal government allows students to borrow, colleges and universities increase their tuition by 60 cents, thus increasing the number of students who “need” loans to “afford” college in the first place.
 
The HERO Act would address the affordability issue by streamlining the current duplicative menu of student loan programs into one option and creating one repayment period for undergraduate loans and another for graduate loans. Additionally, the act would establish caps on loan amounts, which would help to keep university rate increases in check and lower the amount of debt students need to repay once they graduate from college.
 
Transparency
Informed consumers are a critical component of a free-market economy. Yet when it comes to choosing a good college and major, parents and students are often left to make these life-changing decisions in the dark.
 
The HERO Act would ensure that parents and students have access to information about how effective their college of choice is in helping students graduate on time; how burdened by debt students are after obtaining their degrees; and how successful graduates in a particular major are at obtaining jobs that enable them to pay back their loans.
 
Accountability
Nearly half of borrowers today are not making payments on their student loans. This alarming statistic is one of the reasons some economists have predicted that student loans are the next financial bubble. It is time for a change.
 
One promising solution is to make sure that all parties in higher education have “skin in the game.” The HERO Act would ensure that colleges have a financial stake in their programs by requiring schools with poor student loan repayment rates to pay a fine. The possibility of a penalty would motivate schools to invest in the success of their students.
 
Innovation
Today’s post-secondary students come from a range of different backgrounds, from the traditional 18-year-old high school graduate, to the single mom going back to school, to the laid-off worker who needs to retrain mid-career. Meeting the needs of this diverse population means we need a lot more options than we did when current federal policies were first written decades ago.
 
The HERO Act would accomplish this by changing the way schools are accredited. The HERO Act would enable each state to accredit any institution that provides post-secondary education. With this new accreditation power, states would be able to authorize innovative new education options (for example, massive online open courses, competency-based offerings, and certification exams) for students in any learning situation.
 
Today’s students deserve an innovative higher education system that provides more and better options to prepare them for the challenges and opportunities of today’s job market. The HERO Act is an important first step toward building that new system. It would open the door to the American Dream for the millions of Americans who are pursuing it.

A Big Win for Utah’s Rural Communities

December 8, 2017

President Trump won the White House for many reasons. Perhaps the biggest reason is that rural Americans are sick and tired of rich coastal elites telling them how to live their lives.

President Trump may not be able to fulfill all of his campaign promises, but he has already delivered for Utah’s rural communities by coming to our state and limiting President Obama’s Bears Ears National Monument and President Clinton’s Grand Staircase-Escalante National Monument.

Make no mistake: President Obama’s Bears Ears monument was a project pushed and funded by wealthy East and West Coast liberals. The Hewlett and Packard foundations, as well as the Leonardo DiCaprio Foundation, gave tens of millions of dollars to supposedly “grassroots” Native American groups to campaign for a new monument.

But local Native Americans—the people who actually live near Bears Ears and use the land—did not take the money.

“The whole tone of it seems like the tribes are generally being used as pawns for the environmental groups to get what they really want,” Blue Mountain Dine’ Vice President Byron Clarke told the Deseret News. “They are being played. It is somewhat insulting.”

“It seems pretty clear that the federal government over time tends to close down access,” Clarke later told me. “So just as a local user of the land, I have to ask myself what’s wrong with how we are using it right now? We can go hunt now, we can go fishing and cut wood now and it’s pristine.”

Clarke is right. The federal government does restrict access to land where a national monument has been declared. That is the entire point of the Antiquities Act: to preserve cultural treasures on federal public land by restricting access to the land.

That is also why the Antiquities Act requires that monument designations be “confined to the smallest area compatible with the proper care and maintenance of the objects to be protected.”

Neither President Clinton nor President Obama respected that limitation. Instead of responsibly working with local communities to identify just the protections needed to preserve cultural sites in San Juan and Garfield counties, they made million acre designations that were designed to transform the economic life of surrounding residents.

“Creation of jobs for tourism will be a benefit to the community versus those that could be lost by some of the mineral and energy jobs,” Clarke told me. “I think for a lot of Navajos we are skilled people, we have skills other than restaurant workers and gas station attendants. We are engineers. We are heavy equipment operators. We are welders. Those are good jobs rather than the tourism type jobs which tend to be seasonal.”

Ranching families also are hit hard by the restrictions that come with monument designations. After land-use restrictions at the Grand Staircase-Escalante monument kicked in, Garfield County ranchers could no longer bring water in to their cattle. Their ability to fence in water resources and maintain roads was also limited. Many families were forced to signigicantly reduce their herds, sometimes by half.

The corporations pushing for monument land-use restrictions, like Patagonia and REI, claim that the monuments will create tourism jobs for the residents of Garfield and San Juan county. And they are right: the monuments do create tourism jobs.

But at what cost?

Moab resident Jon Kovash warns in the High Country Times that “Tourism also brings sprawling growth, crappy jobs, even-higher rents and home prices, and an increasingly unmanageable crush of visitors and traffic.”

Maybe the rich coastal liberals and their corporate pals are right. Maybe tourism is the answer for economic development in rural America.

But shouldn’t that choice be made by the residents who live there?

Shouldn’t the people who actually live near the land decide how best to use it?

And maybe, just maybe, the same people who used land restrictions in their own cities to create sky-high housing prices and crushing inequality shouldn’t be in the business of telling other people how to use their land.

More needs to be done to protect Utah’s rural communities from future Democratic presidents. We need Congress to give Utah the same Antiquities Act protections that Alaska and Wyoming have.

But until then, President Trump’s monument reductions are a good first step. Utah thanks him.

A Good Start for Utah Families

November 17, 2017

Things are looking up for Utah families.

This Tuesday, the Senate Finance Committee released a revised version of the Tax Cuts and Jobs Act. This version included two key changes that make the bill much better for Utah families.

First, the revised bill expanded the Child Tax Credit from $1,000 under current law to $2,000. This increase solved a potentially huge problem for working Utah families in tax reform. The original tax bill only increased the CTC to $1,650. It also eliminating the personal exemption, a tax provision that benefits many working families. This could have meant a tax hike for many Utah families, but by increasing the CTC to $2,000 the new bill avoided that mistake.

According to the Tax Foundation, a family of four making $85,000 per year would get a $1,554 tax cut under the new Senate bill. And thanks to economic growth, the average middle-income Utah family would eventually see an extra $2,969 in after-tax income every year.

The revised Senate bill also would repeal Obamacare’s individual mandate, a provision that the Supreme Court ruled was a tax in 2012. By eliminating this tax penalty, millions of Americans families will no longer be punished for not purchasing expensive health insurance policies they do not want.

Democrats claim that repealing the individual mandate would kick 13 million Americans off of their health insurance policies. But that claim could not be further from the truth, as a Washington Post fact check makes clear.

It is true that five million Americans will choose not to enroll in Medicaid when they are not forced to do so by a government mandate. It also is true that an additional two million Americans will choose to decline employer-sponsored health care in return for higher wages. But these seven million people are all choosing to forego health care of their own accord. Nobody is depriving them of anything.

If the individual mandate is repealed, another 5 million people who currently buy health insurance on the Obamacare exchanges will discontinue those policies. But many of those people would have gotten subsidies to cover the cost of Obamacare premiums. And those who do not qualify for premiums can buy unregulated health-care plans that better fit their needs.

The corporate tax cut in the original version of the bill will be more good news for working families. Yes, some of that tax cut will go to the stockholders of corporate entities—but a lot of that money will go instead to new jobs and higher wages.

Economists disagree on the precise breakdown, but the consensus is that lost wages make up between one-quarter and one-half of corporate tax revenue. According to the Tax Foundation, the Senate tax plan would lead to a 3.7 percent increase in economic growth, 925,000 more jobs, and 4.4% higher after-tax income.

As good as this bill is— and it is good—it is not perfect.

Many Utah families pay far more in Social Security and Medicare payroll taxes than they do in income taxes. As written, the current Senate bill would provide these families little relief.

There is a solution to this shortcoming. If we make the Child Tax Credit refundable up to the amount that families pay in payroll taxes, then the credit would be far more beneficial to those families that most need extra cash in their pockets.

The bill as written also reduces federal revenues by almost $1.5 trillion. By itself, this is not a problem: The federal government shouldn’t be taking so much of our money! But if this tax cut is not followed by significant spending cuts, it will hand the next generation an unacceptable debt burden

My colleagues have done a fantastic job on tax reform so far. If we can just make the Child Tax Credit refundable against payroll taxes—and if we can then pledge to address our nation’s spending addiction—it will be a huge win for Utah families.

Alexander-Murray is an Insurer Bailout

October 27, 2017

Earlier this month, President Trump told a conservative audience at the Heritage Foundation, “While I commend the bipartisan work done by Senators Alexander and Murray — and I do commend it — I continue to believe Congress must find a solution to the Obamacare mess instead of providing bailouts to insurance companies.”

The proponents of the Alexander-Murray health care bill have since tried to make the case that their legislation does not provide a billion-dollar taxpayer windfall to insurance companies. However, a Congressional Budget Office analysis of the legislation released earlier this week shows that is exactly what the legislation does.

The main component of the Alexander-Murray health care bill is an explicit appropriation for “Cost-Sharing Reduction” payments to insurance companies totaling approximately $18 billion from 2018 and 2019. The supposed purpose of this payout is to lower out-of-pocket health care costs for Obamacare customers.

These CSR payments were created by the Affordable Care Act in 2010, but Congress never appropriated money to fund the payments. Then in an illegal abuse of power, President Obama made the payments anyway. The House of Representatives eventually sued to stop him.

While President Trump continued to make CSR payments during the initial months of his presidency, a federal judge ruled this May that the payments were illegal. The Trump administration announced they would end the payments just this month.

According to the CBO, if CSR payments did end this month and Alexander-Murray did not become law, then insurance premiums eventually would rise for those buying insurance through the Obamacare exchanges. But since the vast majority of people buying insurance on the exchange also get subsidies, the actual price paid by many consumers would go down and the number of Americans with health insurance would go up.

If Alexander-Murray did become law, according to a new CBO report this week, premiums for 2019 would be lower while 2018 premiums, which already have been set, would not change. Insurers would still get CSR payments for 2018 even though many of them assumed they would not be getting CSR payments when they set their rates.

By allowing insurers to set rates without knowing they would get CSR payments, and then paying them CSR payments anyway, Alexander-Murray is a multi-billion-dollar windfall for health insurance companies.

Proponents of Alexander-Murray claim this insurer bailout is worth it because the bill also includes more flexibility for states and consumers. But nothing in the CBO report indicates that this new flexibility would do anything to lower premiums for consumers.

Shoveling billions of taxpayer dollars to health insurance companies that are already enjoying record-high profits is not a step in the right direction on health care reform. What American families really need is real regulatory relief from Obamacare’s draconian Title I regulations.

Only when states and families are allowed to set policies and choose insurance coverage that makes sense for them will we see meaningful decline in health insurance premiums.

Real Progress Towards Tax Relief for American Families

October 20, 2017

It’s not every day that good news comes out of Congress, but last night the United States Senate made firm progress on tax reform that included a strong bipartisan message that the final legislation must include real tax relief for working families.

Make no mistake: Any tax reform legislation that is produced this year will do so largely along partisan lines. That is why the Senate’s passage of a budget resolution last night was so important for tax reform. It checked the first box in the budget reconciliation process created by the 1974 Congressional Budget Act that allows the Senate to pass certain budget-related legislation by a simple majority vote.

Now the House must either pass the same budget the Senate did last night, or go to conference to reconcile the differences between the Senate budget and the House budget that passed earlier this month. However, all signs point to the House just voting on the Senate budget as is.

After the House passes the Senate budget, it will again be the House’s turn to initiate by introducing actual tax reform legislation. We got a glimpse of what that legislation will look like last month when the White House released its nine-page tax reform outline.

As we mentioned in September, that outline was a good start, but it also left one key policy area unclear: the size of an expected child tax credit expansion.

This is potentially a huge problem for tax reform since the most recent draft would eliminate the personal exemption, a tax provision that benefits many working families. According to analyses of the current tax outline, millions of working families could be facing a tax hike, not a tax cut.

That is not what President Trump or the Republican Party promised their voters.

Luckily, there is a simple fix to this problem, it is popular across party lines, and it received a unanimous vote of confidence in the Senate last night.

Sens. Marco Rubio (R-FL) and I introduced an amendment to last night’s budget resolution that created a “deficit neutral reserve fund” for future legislation that would increase per-child tax relief by amending the existing child tax credit.

In practical terms, this only made it slightly easier for an expanded child tax credit to become law. However, the unanimous bipartisan nature of the vote sent a strong signal to the House and White House that a robust child tax credit is central to getting tax reform done. Better yet, the child tax credit may be just the right policy to convince one or two red-state Democrats to vote with Republicans for tax relief.

Towards a Fairer and Safer Criminal Justice System

October 6, 2017

Violent crime did increase in the United States in 2016.

But not everywhere.

Baltimore, Chicago, and St. Louis have all suffered a large increase in murders the past few years, while communities like Omaha, Austin, and Miami have seen crime go down.

There are many explanations for why crime increased in some cities but declined in others, including the opioid epidemic and gangs. But there is another explanation for why some cities have seen large spikes in violent crimes: Their residents no longer trust the criminal justice system.

“There are any number of theories on what causes crime rates to swell, but nearly everyone agrees that public trust is essential to successful law enforcement,” Los Angeles Police Chief Charlie Beck wrote recently in the Los Angeles Times. “Police alone cannot reduce crime. Community partnerships, joint problem solving and open communication with the public are critical. When those links are weak, police are less effective, particularly at preventing crime.”

Chief Beck’s wisdom is corroborated by a 2016 survey of more than 2,000 Americans. That study found that 81% of people with a high level of trust in police said they would definitely report a crime, compared to just 54% of people with low trust.

In other words, if a community does not believe their criminal justice system is fair, then they are far less likely to cooperate with that system. And when a community does not cooperate with law enforcement, crime goes up.

That is why this week I cosponsored three criminal justice reform bills—the Smarter Sentencing Act, the Sentencing Reform and Corrections Act, and the Mens Rea Reform Act.

The Sentencing Reform and Corrections Act of 2017 is a bipartisan bill that would eliminate mandatory life sentences for three-strike drug offenses, give judges discretion when sentencing non-violent drug offenders, and allow federal prisons to create more programs to reduce recidivism.

The Smarter Sentencing Act of 2017 would give judges additional discretion when sentencing non-violent drug offenders and allows for more cases in which judges have to retroactively reduce sentences for non-violent offenders.

The Mens Rea Act of 2017 would require federal prosecutors to prove defendants actually had criminal intent when they violated a federal statute.

I would proudly vote for any of these bills, individually or packaged together, because I believe reforming our criminal justice system is good policy—and a moral imperative.

The United States has experienced a 500 percent increase in the number of inmates in federal custody since 1980. Almost 50 percent of those federal inmates are serving sentences for drug offenses.

Mandatory sentences, particularly drug sentences, can force judges to impose one-size-fits-all sentences without taking into account the details of individual cases. Frequently, the results of these policies are lengthy sentences for minor non-violent drug offenses that are far longer than the sentences given to criminals convicted of rape, assault, or even murder. These sentences disproportionately affect minorities and foster distrust of the criminal justice system.

We must safeguard the legitimacy of our criminal justice system by ensuring that the punishment fits the crime, while continuing to protect the public. Each of these bills is a step toward that ultimate goal.

If we can ensure that time given to criminals matches the crimes they commit, I am confident trust will be restored in our criminal justice system and crime rates will fall again.

One Weird Trick to Make Tax Reform Happen

September 29, 2017

Let’s face it: Republicans in Washington must pass tax reform.

The American people elected us expecting us to repeal Obamacare and bring about tax reform.

We haven’t repealed ObamaCare so if we don’t get tax reform done, we are in trouble.

We might as well flip up our tent and go home.

Fortunately tax reform looks to be off to a good start. The nine-page plan released by the White House Wednesday lowers rates, simplifies the tax code, and encourages businesses to invest in America again.

There is one problem though. The plan is not specific enough about how it will cut taxes for working families. And if those details aren’t filled in correctly then some working families would see no tax cut at all and others might even suffer a tax hike.

The hitch is that since the current tax plan eliminates the personal exemption, some families with children would actually pay less under the current system then they would under the White House plan.

This is simply unacceptable and it could spell doom for tax reform.

But don’t worry. There is a solution.

The White House tax plan does call for an increase of the child tax credit, it just doesn’t specify how much. If the tax reform legislation written by Congress fills in that detail correctly, if they at minimum double the child tax credit and make it applicable to payroll taxes, then Republicans can follow through on their promise to cut taxes for all working families.

“We’re going to cut taxes for the middle class, make the tax code simpler and more fair for everyday Americans, and we are going to bring back the jobs and wealth that have left our country,” President Trump said in Indianapolis, Indiana Wednesday. “We want tax reform that is pro-growth, pro-jobs, pro-worker, pro-family, and yes, pro-American. It’s time to take care of our people to rebuild our nation, and to fight for our great American workers.”

Republicans in Congress can follow through on this promise. They can show the nation they can govern. But none of that is going to happen if they leave working families out in the cold. If tax reform is going to pass it is going to have to benefit all working families.

And the best way to do that is a big increase in the child tax credit.

We can do this. Let’s get this done.

Make CBO Show Their Work

September 22, 2017

When Democrats passed Obamacare on a party-line vote in March 2010, the Congressional Budget Office estimated that by 2016, 21 million people would receive health insurance through the law's exchanges. In reality, just 10 million people did.

The CBO's model was off by more than 100 percent.

The same CBO estimate predicted that Medicaid would grow by 17 million enrollees to about 52 million. In reality, more than 34 million people have signed up for Medicaid since Obamacare became law, for a total of 74.5 million recipients today.

Again, the CBO's model was off by around 100 percent.

Now the CBO wants us to believe, based on the same models, that just repealing Obamacare's individual mandate, without a single dime's worth of cuts to Medicaid, would cause more than 7 million people to abandon their Medicaid coverage.

There are good reasons to be skeptical of the quality of healthcare that lower-income Americans receive through Medicaid, but why would 7 million voluntarily give up Medicaid coverage they receive for free? These CBO projections, and others like it, strain the boundaries of common sense.

When it comes to topics like the effectiveness of the individual mandate, there are sharp disagreements among experts. That's why, in the academic community, scholars have to "show their work" by publicly disclosing their data, estimates, and analysis to scholarly scrutiny, and most importantly, refinement and improvement.

Congress does need a scorekeeper to provide budgetary estimates for the policy changes it considers. But at a bare minimum, that scorekeeper should be forced to show how its models work. Currently the CBO doesn't have to do that. It's a "black box," a secret formula even Congress can't be allowed to see, yet which the House and Senate must treat as if they were handed down on stone tablets at Mt. Sinai.

It's an indefensible situation.

That is why I have introduced the CBO Show Your Work Act of 2017. This bill would require the CBO to publish its data, models, and all details of computation used in its cost analysis and scoring. CBO would keep its role as official scorekeeper of congressional budget proposals – but now the public and the economic community would be able to see what's going on in all those spreadsheets and algorithms.

That is, it would hold CBO to the same standard the American Economic Association's "Data Availability Policy" sets for all academic economists: requiring all paper authors to ensure their data "are readily available to any researcher for purposes of replication."

Consider again Obamacare's individual mandate. President Barack Obama opposed an individual mandate while campaigning in 2008, but saw the light later when the CBO started scoring Obamacare drafts.

A 2009 memo written by then-White House health adviser Nancy-Ann DeParle informed the president, "Based on our policy analysis, we believe that a weak requirement for all Americans to have insurance may come close to achieving the maximum coverage that can be achieved through aggressive outreach and auto-enrollment. Unfortunately, however, the Congressional Budget Office (CBO) will likely take the position that without an individual responsibility requirement, half of the uninsured will be left uncovered."

Following this memo, Obama chose to substitute the CBO's policy judgment for his own. The individual mandate became a pillar of the largest policy change in a generation.

Policymakers need data and data analysis to do their jobs. But to do their jobs well, they need the best analysis. And centuries of practical experience tell us that transparency and replicability are essential to the pursuit and acquisition of knowledge. There is simply no serious argument for insulating the most influential economic modelers in the United States from the academic standards that govern everyone from Nobel Prize-winning physicists to second graders "carrying the one" as they learn long addition.

We can do better as a Congress and a nation. We are never going to agree on what the best healthcare, tax, or energy policies should be. But when we make our arguments about the costs and benefits of our preferred policies, we should at least be willing to explain how and why our policies would work.


Making the CBO show its own work would be a great first step.

Op-ed originally published in the Washington Examiner

An Intolerant Secular Creed

September 15, 2017

Last week, Notre Dame Law Professor Amy Coney Barrett came before the Senate Judiciary Committee as a nominee to be a circuit court judge. Her nomination was endorsed by prominent legal scholars from across the political spectrum, including Neal Katyal, President Obama’s acting solicitor general.

Unfortunately a number of my Democratic colleagues insinuated that her Catholic faith would prevent her from applying the law freely and fairly.

“Dogma and law are two different things,” said Sen. Dianne Feinstein (D-CA). “When you read your speeches, the conclusion one draws is that the dogma lives loudly within you. And that’s a concern.”

Sen. Durbin (D-IL) later added, “What’s an ‘orthodox Catholic?’ Do you consider yourself an ‘orthodox Catholic’?”

These remarks unfortunately fit an emerging pattern from Democratic lawmakers.

Just a few months ago, another eminently qualified nominee, Russell Vought, appeared before the Budget Committee to be considered for a post at the Office of Management and Budget.

Sen. Bernie Sanders (I-VT) questioned the nominee, not about management or budgets, but about his evangelical Christian beliefs.

“In your judgment,” asked this senator, “do you think that people who are not Christians are going to be condemned?”

Mr. Vought explained that he was an evangelical Christian and adhered to those beliefs.

But that wasn’t good enough for Sanders who later stated he would vote against Mr. Vought’s nomination because he was not “what this country is supposed to be about.”

These strange inquisitions have nothing to do with the nominees’ competency, patriotism, or ability to serve Americans of different faiths equally.

In fact, they have little to do with this life at all. Instead they have to do with the afterlife. To my knowledge, the OMB and the Seventh Circuit have no jurisdiction over that.

This country is divided enough. Millions of Americans feel that Washington, D.C. and the dominant culture despise them.

And how could they not, when they see their leaders sitting here, grilling patriotic citizens about their faith like inquisitors?

Religious freedom is of deep concern to me as a Mormon. My church has weathered extraordinary religious persecution, much of it sponsored by the government.

The first Latter Day Saints were exiled from home after home. In 1838, the governor of Missouri ordered that Mormons be driven from the land or “exterminated.”

Our first leader, Joseph Smith, once said, “the civil magistrate . . . should punish guilt but never suppress the freedom of the soul.”

That, of course, was before he was martyred by a bigoted mob.

Our country’s ban on religious tests is a strong bulwark for religious freedom. As an original provision of the Constitution, it predates even the Bill of Rights. And it applies not just to some religious adherents, but to all of them, equally.

The religious tests raised against Mr. Vought and Ms. Barrett do not favor one sect of Christian over another, as was sadly common for much of our nation’s history.

Rather, they favor the secular, progressive creed clung to so confidently by the nation's ruling elites. This creed has its own clerics, its own dogmas, and, as these nominees have discovered, it has its own heresies, too.

More and more, the adherents of this creed seek to use the power of government to steamroll disfavored groups—especially dissenters from their political dogmas.

So they force evangelical caterers to bake cakes celebrating same-sex marriages, as in the case that is before the Supreme Court now. And they force nuns to purchase contraceptive coverage. And sue religious hospitals that won’t perform abortions or sex-reassignment surgeries.

Yes, the secular, progressive creed has proven that it is capable of triumphalism and intolerance, just like the creeds that have gone before it. Not because its adherents are uniquely wicked, to the contrary: Because they are human.

There is a way out of this vicious cycle of religious intolerance.

And that is for all of us to treat one another with civility and to respect the constitutional rights of citizens who come before it.

Because religious freedom puts all Americans on the same footing. It helps men and women stand upright, honest before the law—and before God.

Let's Get Tax Reform Done

September 8, 2017

There is no way to sugar coat it. The last few months have not been good for the conservative movement. This past summer Congress failed to repeal Obamacare and now Congress has yet again kicked the can down the road on tackling our uncontrolled spending and working to reduce our continually growing debt that is about to reach $20 trillion.

But what is done is done, and we must now do our best to salvage the year by passing real tax reform before the year is out.
I firmly believe that the best way to build a winning coalition to pass tax reform is to make sure the legislation explicitly and directly helps American working families. And the best way to do that is to expand the tax code’s existing child tax credit.

All conservatives should support tax relief for working parents because the current code unfairly overtaxes them.

I don’t mean this in the generic sense that Washington overtaxes everyone. Though that’s true, too, of course.

Rather, I mean that today, parents raising children are discriminated against and effectively penalized by federal tax policy.
This hidden “parent tax penalty” is not as well known as the marriage tax penalty, but it’s an even greater challenge to working moms and dads. And I believe conservatives should insist on addressing it in any tax bill this Congress considers.

The penalty works like this. Because of how our federal senior entitlement programs are set up, parents pay for them twice.

Parents of course pay their payroll taxes, like everyone else does. But then they also contribute again, by bearing the enormous costs of raising their children – who of course grow up to become the next generation of citizens, workers, leaders, and taxpayers on which the whole system depends.

Parents alone bear this double burden during the years they’re raising their kids. It’s not a natural consequence of having children – like sleep deprivation or mowing the lawn in shorts and over-the-calf dress socks. Rather, it’s a dysfunctional consequence of poorly written government policy.

And so it seems to me that policymakers need to figure out some way to offset that inequity.

The current, $1,000 per-child tax credit is a good start. But over 18 years, $18,000 barely makes a dent in the costs of raising a child – which runs to hundreds of thousands of dollars. And so I think it should be bigger. A lot bigger. Two-thousand dollars per child? Twenty-five hundred?

Furthermore, because the payroll tax is the real tax burden most middle class families face, the child credit ought to be applicable to payroll taxes, too - not just income taxes.

The child credit, thus, does not create an inequity in the tax code; it helps to correct one that already exists.
Americans voted for change last November, and frankly we have not delivered so far. But passing tax reform that would return billions of dollars to working families would be a great place to start.