May 17, 2013

Debt limit unlikely to be hit till after Labor Day, Treasury Secretary advises

Any confrontation  over the nation’s debt ceiling is now unlikely till after Labor Day.

The government is expected to hit the debt ceiling this weekend, but Treasury Secretary Jack Lew said in a letter Friday that “extraordinary measures” would likely allow the nation to continue
paying its bills “until after Labor Day.”

That means that any war over the debt limit—one that could involve limits on federal spending and perhaps higher taxes—is probably not going to occur in earnest this summer.

Two years ago, that fight not only led to a tense showdown between the Obama White House and congressional Republicans, and ultimately a debt-reduction deal, but saw a downgrading of the
government’s credit rating for the first time in 70 years.

Continue reading "Debt limit unlikely to be hit till after Labor Day, Treasury Secretary advises" »

May 06, 2013

Reid: "Why are my Republican colleagues so afraid?"

Senate Majority Leader Harry Reid opened the Senate session Monday by urging Republicans to name negotiators and start work on a budget deal.

Republicans have balked, saying they want some agreement on how the talks might proceed.

Reid began the Senate session, the first after a nine-day recess, noting of the sequester, "Democrats and Republicans voted for these arbitrary cuts and Democrats and Republicans will have to work together to reverse them.

"Why are my Republican colleagues so afraid?" the Nevada Democrat asked. "We know the two sides won't agree on every aspect of the budget. We know finding common ground won't be easy, but we can get it done."

Reid's bid to get GOP negotiators named fell short, since no Republicans were present on the floor. He said he'd bring the matter up again soon.

 

May 01, 2013

Gallup finds public "remains unsure" about sequestration's impact

Despite the recent furor over the impact of automatic spending cuts, or sequestration, on the nation's air traffic system, "the public remains just as unsure now as it was in early March about the effect of sequestration," according to a Gallup survey released Wednesday.

"These perceptions could change if sequestration dramatically affects Americans' daily lives in the months ahead. But even the high-profile air traffic controller dilemma did little to shift opinions," it found. "Americans' lack of outrage or discomfort may reveal that the threat of sequestration in the future will not prove to be an effective tool to motivate legislators to reach a budget compromise."

Siince early March, when the sequester went into effect, Gallup has been asking about its impact. Every time, about half of Americans were uncertain.

"Americans have become slightly more likely to feel unclear about the impact of sequestration on themselves personally, with 62% who say so now, up from 55% the first time Gallup asked about it in early March," Gallup found.

To read more: Gallhttp://www.gallup.com/poll/162128/majority-still-not-concerned-sequestration.aspx

.

 

 

April 24, 2013

Inhofe: Reid sequestration plan "an irresponsible budget gimmick"

Sen. James Inhofe, R-Okla., top Republican on the Senate Armed Services Committee, doesn't like the idea of cutting overseas contingency operations funding to help restore automatic spending cuts.

Senate Majority Leader Harry Reid, D-Nevada, is pushing the plan, but no resolution is expected this week.

Inhofe was not pleased with Reid's idea.

"Sen. Reid’s amendment to cut future Overseas Contingency Operation funding in order to offset current sequestration cuts is an irresponsible budget gimmick that undermines our national security and sends a terrible message to allies and adversaries alike at a time when we face the greatest array of threats in generations,” Inhofe said.

Here's the rest of his statement:

Continue reading "Inhofe: Reid sequestration plan "an irresponsible budget gimmick"" »

Reid pushes sequester replacement plan

Senate Majority Leader Harry Reid Wednesday pushed his plan to stop the automatic federal spending cuts that went into effect last month. But it was uncertain, and increasingly unlikely, the Senate will act until next month.

Reid made his case in his opening remarks to the Senate.

"We have seen the devastating impacts of these arbitrary budget cuts. Now it’s time to stop them," he said.  "Last night I introduced legislation that would roll back the sequester for the rest of the year. This bill would give Democrats and Republicans time to sit down at the negotiating table and work out an agreement to reduce the deficit in a balanced way."

Reid would pay for the restoration of funding with savings from the windown of the wars Iraq and Afghanistan.

"Before Republicans dismiss these savings, they should recall that 235 House Republicans voted to use these funds to pay for the Ryan Republican budget. They didn’t consider it a gimmick when it served their own purposes," Reid, D-Nevada, said.

 

April 23, 2013

Baucus, powerful Senate finance chairman, to retire

Sen. Max Baucus, the veteran Finance Committee chairman who's had a hand in major tax and health care legislation for decades, will not seek re-election next year.

"After  much consideration and many conversations with my wife Mel and our family, I have decided not to seek reelection in 2014. I will serve out my term, and then it will be time to go home to Montana," the Montana Democrat announced Tuesday.

First elected in 1978, Baucus heads the powerful Senate committee charged with writing tax and health care legislation. He was instrumental in crafting the 2010 law overhauling the federal health care system, and was embarking on a new effort to revamp the tax code.

But Baucus, 71, faced re-election trouble in his increasingly conservative state. Last week, he joined four other Democrats in voting against a gun control measure, toughening background checks, pushed hard by President Barack Obama.

Baucus had been painted as too friendly to Washington lobbyists, and some liberals Tuesday hailed a retirement.

"Goodbye, Senator K Street. Max Baucus has a history of voting with corporate interests and not the interests of Montana voters -- taking millions from Wall Street, insurance companies, and lobbyists. Montana will finally have a chance to have a senator with its best interests at heart, and we hope Brian Schweitzer jumps into the race immediately," said Stephanie Taylor, Progressive Change Campaign Committee co-founder.

Reactions from the two parties varied along predictable lines. Republicans were pleased that Baucus, who has the ability to raise millions, is stepping down -- though former Gov. Brian Schweitzer, a Democrat, could seek the seat.

Nonetheless, Rob Collins, National Republican Senatorial Committee director, chided Baucus over the health care law.
"Its architect Max Baucus waved the white flag rather than face voters," Collins said.
"The 2014 electoral map is in free–fall for Democrats, who were already facing a daunting challenge," he said. Republicans are defending 21 seats to the Democrats' 35. Republicans need a net gain of six seats to win control of the Senate.
Sen. Michael Bennet, Democratic Senatorial Campaign Committee chairman, disagreed. Bennet said Baucus would be "sorely missed," and noted that Sen. Jon Tester, D-Mont., won a tough race last year.
"Democrats built an unprecedented ground game in Montana in 2012 when Senator Tester was reelected, and we will continue to invest all the resources necessary to hold this seat," Bennet said.
Baucus said he would "continue to work on simplifying and improving the tax code, tackling the nation’s debt, pushing important job-creating trade agreements through the Senate, and implementing and expanding affordable health care for more Americans.

"Deciding not to run for re-election was an extremely difficult decision," he said. "After thinking long and hard, I decided I want to focus the next year and a half on serving Montana unconstrained by the demands of a campaign. Then, I want to come home and spend time with Mel, my son Zeno, and our family enjoying the Montana public lands we’ve fought hard to keep open and untarnished.

April 22, 2013

Is it the weather or the sequester?

As airline flights got backed up in New York, Charlotte, and Southern California Monday, lawmakers in Washington were quick to lay the blame on the sequestration-mandated furlough of thousands of  Federal Aviation Administration air traffic control personnel.

"The Obama Administration's failure to plan for sequestration is simply irresponsible," Sen. Roy Blunt, R-Mo., said in a written statement. "According to the FAA's own Administrator last week, these furloughs are unnecessary because the agency has the authority and flexibility to move funds from other accounts. Yet instead of protecting travelers from unnescessary delays, President Obama and his cabinet are making American families pay the price for their poor planning."

The comments Blunt and other Republicans Monday come after many Republican leaderes accused the White House of exaggerating the impact of sequester-mandated cuts on the everyday lives of Americans.

Senate Majority Leader Harry Reid, D-Nev., indicated that the White House claims were no bluff, as seen by the number planes slow to pull out of their gates Monday. "In airports across the country, millions of Americans will gett their first taste of the pain of sequestration," Reid said.

"Last week, the Federal Aviation Administration announced that, starting this week, thousands of flights every day will be delayed by up to three hours," Reid said. "Because of the devastating, arbitrary cuts of sequestration, the FAA is forced to furlough tens of thousands of workers. The furloughs could lead to 6,700 delayed flights every day this summer."

But were Monday's flights seuqester-related? No and yes, said Katie Connell, a spokeswoman for Airlines for America, an industry group.

"We are seeing some sequester-related delays in the New York area, combined with some weather (winds)," Connell said in an email interview. "We are also seeing some minor sequester-related delays in Southern California, but they are not significant."

Late Monday afternoon Connell added: "There are now Ground Delay Programs in place at all three New York City area airports, in part due to weather (wind) and controller staffing. Charlotte now has a Ground Delay Program in place due to staffing, with an average delay wait of about 20 minutes. There are other delays occurring in Denver and Minneapolis due to snow."

April 13, 2013

House GOP address: "The president's budget never balances"

Rep. Jackie Walorski, R-Ind., a new House of Representatives member, gave Saturday's weekly Republican address, and quickly criticized the budget plan presented earlier this week by President Barack Obama.

“Monday is April 15th, so hardworking families are sitting around their kitchen tables putting the finishing touches on their taxes.  It’s always a stressful and time-consuming exercise, figuring out how much we have to hand over to help cover our government’s bills," said Walorski, a House Budget Committee member.

“Unfortunately, many of the leaders you send to Washington want to make this time of year even harder on you and your family. Take the budget President Obama submitted to Congress this week.  He says it’s ‘responsible’– ‘a compromise....'''

She criticizes his proposed tax increase, and is not enthusiastic about his entitlement changes.

“Worst of all, the White House says the president’s budget never balances – ever, failing to meet the most basic principle of budgeting for every family and small business," Walorski said.

To read more:

Continue reading "House GOP address: "The president's budget never balances"" »

April 11, 2013

Most think tax system is too complicated

Sixty-four percent of Americans have someone else prepare their tax returns--and the same percentage thinks the federal tax system is too complex, according to a new Quinnipiac University poll.

Fifty-seven percent said they pay their fair share of taxes, but 36 percent said they paid more than their fair share.

Both parties want tax reform, and President Barack Obama offered ideas for changing the tax system in his budget proposal, released Wednesday.

 

Here's a breakdown by income group, as reported by Quinnipiac:

Continue reading "Most think tax system is too complicated" »

April 10, 2013

Ryan: "I don't think we should talk about a grand bargain"

House Budget Committee Chairman Paul Ryan, architect of the House of Representatives' Republican budget plan, was not optimistic Wednesday about a big budget deal.

"I don't want to foreclose any opportunities in the future by commenting on what the process should or should not be or the message that we get to getting something done.  That's point number one," he told reporters.

But, he added, "I guess point number two is I don't think we should talk about a grand bargain.  A grand bargain implies you could actually fix the entire problem.  Our budget does that.  It balances the budget.  It pays off the debt.  It saves Medicare from bankruptcy.  It reforms the tax system."

Ryan, though, thought "We're so far from that with what the president and the Senate has passed and the president has put out that I think we should rationalize our expectations to getting a down payment on the problem.  And the budget process is one of the great -- one of the many vehicles we could use to do that."

So, he said, "I don't think we should be talking about grand bargain because that implies the president and the Senate Democrats are ready to embrace fundamental entitlement reform, which they have shown absolutely no indication of doing so."

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