Talks Frayed Over Democrats’ Insistence That Both Be Part Of The Final Deal
With America’s debt now skyrocketing past $14.3 trillion, negotiations on Capitol Hill to increase the debt limit by another $2 trillion are currently stalled over Democrats’ insistence that tax increases and new “stimulus” spending be part of any final package, instead of the important reform measures that non-partisan experts say are needed to prevent Medicare from going bankrupt.
But it seems liberal U.S. Rep. Tammy Baldwin (D-WI) is more focused on raising money for her own political ambitions than on addressing the crisis facing Wisconsin families.
“America is on the brink of an economic crisis of historic proportions and yet Tammy Baldwin and her fellow liberal Democrats in Washington are insisting on job-killing tax hikes and even more ‘stimulus spending,’” National Republican Senatorial Committee (NRSC) spokesman Chris Bond said today. “Americans know that the problem with Washington isn’t that our government taxes too little, but that it spends too much. Instead of focusing on raising campaign cash to bankroll her own political ambitions, Baldwin should consider standing up to her party leaders on behalf of Wisconsin families”
Background…
“Baucus made clear that the talks frayed over Democrats’ insistence that tax increases of some sort be part of the final deal.” (“Baucus: Revenues In Debt Limit Deal Should Match Medicare Cuts,” TPM, 6/23/11)
VICE PRESIDENT BIDEN: “…the pieces most important to us Democrats, revenue.” “If we could agree on the pieces most important to us Democrats, revenue, we’re prepared to agree on some of the things that you (Republicans) want in discretionary spending…” (“Senate GOP Keeps High Bar In Debt Talks,” Politico, 6/20/11)
SEN. MAX BAUCUS (D-MT): “I think revenue is needed for a whole host of reasons, and more importantly, I think, leadership is needed — leadership is needed on both sides of the aisle, and on both ends of Pennsylvania Avenue…” (“Cantor Pulls Out Of Biden Debt Talks Over Dem Tax Demands,” The Hill, 6/23/11)
Q: “But it can’t be done without revenue enhancement, in your opinion?” SEN. HARRY REID (D-NV): “Well, it can’t be done without revenue enhancement…” (PBS’s “NewsHour,” 6/17/11)
- SEN. HARRY REID (D-NV): “I think we have to look at revenues, more — more fairly balance revenues. And I hope that that’s what the president will talk about tomorrow.” (Sen. Reid, Press Briefing, 4/12/11)
SEN. KENT CONRAD (D-ND): We “have a revenue problem.” “I hear all the time the other side of the aisle: It is a spending problem. When you have a deficit, that is the result of the difference between revenue and spending. We have a spending problem, yes, indeed–the highest spending as a share of national income in 60 years. We also have a revenue problem…” (Sen. Conrad, Congressional Record, S.3316, 5/25/11)
SEN. CHUCK SCHUMER (D-NY): “Some of our Republican colleagues don’t want to acknowledge that any revenue should be part of this. But that will be impossible to achieve, I think.” (Sen. Schumer And Former Deputy Secretary Of The Treasury Roger Altman, “News Teleconference On The Debt Ceiling,” 5/9/11)
- SCHUMER: “We have to come to the middle and deal with our deficit problem, and deal with it in a smart way. And you can’t do it alone with either tax — you know, revenue increases or spending cuts.” (MSNBC’s “Morning Joe,” 4/27/11)
- SCHUMER: “[M]ore importantly, there have to be revenues.” “You need to share sacrifice… You can’t — there’s waste there [in the defense budget] like everywhere else. And even more importantly, there have to be revenues.” (CBS’ “Face The Nation,” 4/10/11)
SEN. BERNIE SANDERS (ID-VT): “At least 50 percent of any deficit reduction plan must come from increased revenue from the wealthy and large corporations.” “As a Vermont Senator and a member of the Budget Committee, I will not support a plan to reduce the deficit that does not call for shared sacrifice. At least 50 percent of any deficit reduction plan must come from increased revenue from the wealthy and large corporations.” (Sen. Sanders, Congressional Record, S.3319, 5/25/11)
Dems’ ‘New Stimulus Spending’ Is A ‘New Hurdle’ For A Debt Deal
“Democrats call for new spending in debt deal.” (“Democrats Call For New Spending In Debt Deal,” Reuters, 6/22/11)
- “Efforts in the U.S. Congress to head off a debt default faced a new hurdle on Wednesday as Democratic leaders called for additional spending to boost the sluggish economy. Democrats’ demand for new stimulus spending is directly at odds with the efforts of negotiators, led by Vice President Joe Biden, who are trying to find trillions of dollars in budget savings as part of a deal that would allow Congress to sign off on new borrowing before the country runs out of money to pay its bills.” (“Democrats Call For New Spending In Debt Deal,” Reuters, 6/22/11)
SEN. CHUCK SCHUMER (D-NY): “This is a stimulus program.” (“Senate Democrats Push New Stimulus,” Roll Call, 6/22/11)
“Short-term proposals… could include new spending on infrastructure and clean energy…” (“Senate Democrats Wade Into New Spending,” Politico, 6/22/11)
Americans Want Washington To Spend Less
“Americans blame wasteful government spending for deficit.” (USA Today/Gallup, 4/20-23/11)
- GALLUP: “National adults: spending too much on programs: 73%” “Which do you think is more to blame for the federal budget deficit – [spending too much money on federal programs that are either not needed or wasteful, (or) not raising enough money in taxes to pay for needed federal programs]? National adults: spending too much on programs: 73%” (USA Today/Gallup, 4/20-23/11)
- “Thus, overall, 85% of Americans explicitly favor spending cuts as at least part of the solution to reducing the federal deficit, with more than half of these favoring only or mostly using cuts.” (USA Today/Gallup, 4/20-23/11)
