Budget Office reports that Senate immigration bill would cost taxpayers $50 billion, legalize nearly 20 million immigrants

June 2, 2006

A report from the Congressional Budget Office estimates that passage of the Senate’s immigration bill would legalize 20 million immigrants over the next ten years. It also says that paying for the guest worker program, as well as extra welfare, Social Security and public health costs would amount to $50 billion.

About eight million immigrants would enter the United States as temporary guest workers, and 11 million immigrants who now live in the country illegally would become permanent legal residents under provisions of the bill. The report also estimated that the newcomers would generate $66 billion in federal revenue from income taxes and payroll taxes, along with fees that immigrants must pay to participate.

Opponents of the Senate bill said crucial omissions in the CBO study greatly lowered its population and cost estimates. They said the report does not take into account the 950,000 newcomers who enter the country legally under current immigration law, bringing the 10-year total of new immigrants to about 30 million. Some say that number will double by 2026.

The report also does not consider the possibility of future mass illegal border crossings that may still occur, according to critics. An explosion of immigrants is one reason that House Republicans say they are strongly opposed to the Senate bill, and have vowed to fight it when members of the two chambers meet for negotiations in a congressional conference.

Will Adams, a spokesman for Rep. Tom Tancredo (R-Colo.), who opposes granting residency to illegal immigrants, called legal immigration 'the soft underbelly of the Senate bill.' It is overlooked in the debate, he said, 'but when it's exposed, the public is outraged.'

According to the Congressional Budget Office, 750,000 immigrants would be eligible to receive food stamps, and 1.3 million would be eligible for some form of Medicaid, in addition to other benefits.

The cost of providing food stamps, Medicare, Medicaid and visa fees for guest workers would total $5 billion between 2009 and 2016. An additional $6.5 billion would be needed for new residents who unite with families. Providing services to illegal immigrants who become permanent legal residents would cost $10 billion more.