Raiding U.S. Taxpayers’ Pockets

Raiding U.S. Taxpayers' Pockets

by Phyllis Schlafly
Eagle Forum
June 6, 2007

As the details of the Kennedy-Kyl (K-K) amnesty/guest worker bill unfold, it is becoming apparent that the globalists' plan for the economic integration of North America is not just a figment of the imagination of conspiracy believers, or an “urban legend” as one newspaper called it, or even just a pipe dream of far-out world federalists. The K-K bill will accomplish economic integration by legalizing 20 million aliens immediately and inviting tens of millions more (relatives of the amnestied plus guest workers) to enter legally in the coming years.

Not only does the K-K bill call for integrating millions of poor, uneducated Mexicans into the U.S. economy and giving them and all their distant relatives extraordinarily generous handouts of social benefits, it even calls for U.S. foreign aid to Mexicans still living south of the border.

The 600+-page K-K bill fails to mention its biggest effect: the immense tax burden it will impose on America's middle class. The K-K bill will require U.S. taxpayers to finance what is, in essence, a multi-billion-dollar purchase of Mexican poverty.

Title VI of the K-K bill will instantly turn the 20 million illegal aliens now in the U.S. into legal residents. Nobody knows the exact number, but since the bill has no cap and makes it advantageous to declare yourself an illegal alien, fraud will probably grow the number (as did the number who were granted amnesty by the 1986 law).

(Forget national security and our hope to exclude potential terrorists, criminals, and MS-13 gangs. Background checks are limited to what the government can find “by the end of the next business day.”)

The big majority of these illegal aliens are low-skill, low-wage high school dropouts. An in-depth Heritage Foundation study by Robert Rector estimates that the average low-skill household receives $30,160 in taxpayer-paid benefits (from all levels of government).

Heritage estimates that the average low-skill household pays only $10,573 in taxes at all levels. Each household, therefore, lays a net cost on U.S. taxpayers of $19,588 per year, which added up to $564 billion in 2004.

In addition to public schools, low-income Americans are the beneficiaries of over 60 federal means-tested aid programs, including Medicaid, EITC (Earned Income Tax Credit, a cash handout that averages $1,700 per year per household), food stamps, SSI (Supplemental Security Income), Section 8 housing, public housing, TANF (Temporary Assistance to Needy Families), school lunches and breakfasts, WIC (Women, Infants and Children) nutrition program, SSBG (Social Services Block Grants), and legal services. Most Americans are unaware of the enormous government transfers from taxpaying Americans to those who pay little or no income taxes.

About 45 percent of illegals work in the underground economy, thereby avoiding all income and employment taxes. And, since Mexicans send $23 billion a year of their earnings in remittances back to their home country, they are not even paying very much in sales taxes for purchases of U.S. products.

Title IV, Section 413, locks the K-K bill into the Security and Prosperity Partnership (SPP) of North America, which President Bush agreed to with Mexican President Vicente Fox at Waco in 2005.

SPP, in turn, is locked into the five-year plan spelled out in the Council on Foreign Relations document called “Building a North American Community,” which called for massive U.S. foreign aid as part of economic integration. It's no surprise that the K-K bill calls on American taxpayers to “improve the standard of living in Mexico.”

In addition to the heavy costs that the K-K bill would impose on current U.S. taxpayers, it is truly awesome to contemplate the burden put on our children and grandchildren when the amnestied aliens and their many relatives retire and collect Social Security and Medicare. Heritage estimates that the net retirement costs (benefits minus taxes) could be more than $2.5 trillion, which is five times the cost of the Iraq war.

The globalists try to tell us that bringing in more workers will expand and enrich our economy. That's nonsense. If millions of low-skill, low-wage workers could build a country's wealth, Africa and South America would be the richest countries in the world, and obviously they are not.

The influx of tens of millions of low-skill workers, who pay almost no taxes and send $23 billion of their earnings out of the country, will increase U.S. poverty and impose a tremendous burden on U.S. taxpayers. The increased supply of low-skill workers will also depress the wages of low-skill Americans who compete for low-wage jobs.

The terrible costs of the K-K buyout of Mexican poverty is not the legacy we want to leave our children and grandchildren. Since the K-K bill and its advocates never address the issue of costs, it's up to the voters to hold their Senators responsible.

Read this column online.