In State of the Union address, President Bush made the case for tax reform and tax cuts to spur economic recovery, and for a strengthened and expanded private health care system.

WASHINGTON - As he has done so many times in the last two years, President Bush used his State of the Union address last night to seize the agenda and push forward with necessary, fundamental change. On the issues important to taxpayers, and to all Americans, George Bush is leading the country into the future.

Stressing the pain caused by economic stagnation, and the need to focus on growth, innovation, and entrepreneurship to guarantee our future prosperity, the President called for fast passage of his comprehensive tax reform and tax cut plan. His proposal would allow the average family to keep about $1000 more of their hard-earned income each year, providing needed relief to struggling families. More importantly, it would empower individuals, families, small businessmen, and corporations to save and invest for a more prosperous future.

"The President hit the nail on the head last night," said taxpayer advocate Grover Norquist, President of Americans for Tax Reform. "Restoring growth and prosperity is the number one domestic priority. We do not need a bloated, wasteful 'stimulus' bill, we need fundamental reform that will lift the burden off struggling families today, and that will accelerate growth and innovation in the future."

Also on track were the President's proposals for fundamental reform in other areas. He prioritized Medicare reform when he said, "Health care reform must begin with Medicare." Taxpayers contribute enormous resources to Medicare, yet the program shows serious administrative and financial deficiencies.

The President acknowledged the important role of innovative prescription drug development and medical services, and the importance of choice among doctors by health care consumers, which help to contain costs for public and private sector health care consumers alike.

"I applaud the President's strong statements regarding the importance of a competitive health care market, rather than a socialized, government-operated system of nationwide coverage," Norquist continued. "As he said last night, '[Health care cost containment] will not be solved with a nationalized health care system that dictates coverage and rations care.'"