Alexah Rogge 

WASHINGTON, D.C. – Congressman Russ Fulcher and Governor Brad Little are working in conjunction to push back against a specific provision in the Biden Administrations American Rescue Plan Act,’ the massive spending bill signed into law earlier this year. Their focus is on a specific stipulation preventing reductions in state taxes through 2024. 

Congressman Fulcher is working with his colleagues in Congress to overcome this punitive restriction which removes Idaho’s ability to determine its own tax relief. First, cosponsoring the ‘Let States Cut Taxes Act to immediately suspend a portion of the ‘American Rescue Plan Act’ that restricts net tax revenue changes to state budgets. Under President Biden’s plan, “A State or territory shall not use the funds provided under this section or either directly or indirectly offset a reduction in the net tax revenue.”

Congressman Fulcher said, “Idaho took prescriptive action to ensure positive growth out of the most dire economic downturn since the Great Depression-- and simultaneously ensure Idahoans receive every available tool to build back a stronger Idaho. The ‘American Rescue Plan Act’ disregards these prudent budgetary actions taken by Governor Little and state legislators, and prevents Idahoans from reaping the benefits of living in a fiscally-responsible state.”

Governor Little joined this effort by publishing an editorial on the impact of President Biden’s American Rescue Plan Act, and this specific provision, on Idahoans. 

Governor Little commented, “Idaho should not have to subsidize poorly managed states simply because we are using our record budget surplus to pursue historic tax relief for our citizens. We achieved our record budget surplus after years of responsible, conservative governing and quick action during the pandemic. Simply put, any future federal relief funds directed to states should be allocated fairly.” 

In addition, Congressman Fulcher joined a letter to President Biden requesting termination of any further federal imposition upon unlawful state tax authority. The letter is similarly centered around the Administration's overreach on well-run states.

Successful states with healthy, vibrant, and growing economies should not be restricted from letting taxpayers keep more of their hard-earned money,” added Congressman Fulcher.  “There is a stark difference between Idaho’s balanced budget amendment and the budgets of liberal, poorly managed states that can’t control their own spending.”

Congressman Russ Fulcher and Governor Brad Little say they plan to diligently work together on this effort to preserve Idaho’s state sovereignty.