March 13,2003

Baucus Works Together to Achieve a Responsible Economic Stimulus Package

Today's agreement on the amount of economic stimulus is a real breakthrough forall of us who are worried about the economy and the growing deficit. By placing a floorand ceiling of $350 Billion for a fiscal year 2004 economic stimulus package, we'reproviding enough of a financial boost to strengthen the economy while not burdeningfuture generations with an overwhelming deficit.

Tax cuts can provide real benefits to the economy, but the President's $726Billion proposal is too big. Today's agreement will lay the groundwork for a responsible,immediate economic stimulus proposal that will provide real relief. I look forward toworking together in the Finance Committee to work out the details of the package.

March 13,2003
The Honorable Bill Frist
Majority Leader
United States Senate
Washington, DC 20510

The Honorable Tom Daschle
Minority Leader
United States Senate
Washington, DC 20510
Dear Majority Leader Frist and Minority Leader Daschle:

With the international challenges our nation faces, including a possible militaryengagement with Iraq, continuing tension on the Korean Peninsula, and the ongoing waron terrorism, coupled with sluggish economic growth, we believe it is critical a budg~tresolution for Fiscal Year 2004 (FY2004) be enacted this year. We are committed toworking in a bipartisan manner to this end.

We believe that our nation would benefit from an economic growth package that wouldeffectively and immediately create jobs and encourage investment. We appreciatePresident Bush's leadership in identifying this need and beginning this important debatewith his economic growth proposal.

Given these international uncertainties and debt and deficit projections, we believe thatany growth package that is enacted through reconciliation this year must be limited to$350 billion in deficit financing over 10 years and any tax cuts beyond this level must beoffset, All signatories to this letter are committed to defeating floor amendments thatwould reduce or increase this $350 billion amount.

We look forward to working with you on a bipartisan budget.