Relations With Congress
In his inaugural speech, Fox said that his Presidency marked a new era of relations between the three political branches. "The President will propose, and the Congress will dispose", he said. This implied that Fox would respect the separation of powers and negotiate with Congress.
The first major controversy occurred during the discussion of comprehensive tax reform that included a value added tax of 15% on all products, including food and medicine, to replace the complex system of discretionary exceptions that still exists today. Congress rejected Fox's proposal.
From then on, relation between the Legislative and the Executive were strained. Lawmakers from opposition parties admitted they had a hard time dealing with Fox, while lawmakers from Fox's party claimed that there were "legislative excesses".
In his final state of the union address in September 2006, leftist lawmakers prevented Fox from speaking. He became the first president to not read his report before Congress and instead gave a televised address to the nation.
Read more about this topic: Fox Administration
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