Monday, December 27, 2004

Paying the Tab for Homeland Security

The Congressional Budget Office suggests Washington should pressure the private sector to spend more to guard against terrorist threats. A new report calls for increasing taxes or writing new regulations for the chemical and nuclear industries. Some of the report's suggestions include:

  • Establishing new regulations for tracking the ownership of hazardous chemicals that could be used as weapons
  • Tougher regulations for monitoring for toxic chemical releases or limiting spent nuclear material stored near reactors
  • Raising taxes or creating other financial disincentives for businesses or residents to locate in danger zones
  • Requiring additional insurance coverage.
The report, Homeland Security and the Private Sector also suggests:

"Businesses would be inclined to spend less on security than might be appropriate for the nation as a whole if they faced losses from an attack that would be less than the overall losses for society." (CBO)

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