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Showing posts with label Discretionary Spending. Show all posts
Showing posts with label Discretionary Spending. Show all posts

Saturday, April 2, 2011

GOP ONLY Targeting Low Income Voter Discretionary & Entitlement Programs





GOP Leaders Appear To ONLY Be Targeting & Cutting Federal Spending For Discretionary/ Entitlement Programs (Pell Grants, Social Security, Disability, Medicaid, Medicare, Food Stamps & Mortgage Assistance).

Its No Secret That Such Programs Often Benefit America's Low Income/ Most Vulnerable Citizens.

Are The People Eligible To Benefit From Such Programs Being Targeted Due To The Fact That Most Of Them Were Obama Supporters Back In 2008?

So Now I Ask GOP Leaders Is What They're Doing Really Related To Reducing The National Deficit Or Politically Crippling Potential Future Obama Supporters?

Inquiring Minds Would Like To Know.






U.S. House GOP budget to call for big changes to Medicare, Medicaid



U.S. House Budget Chairman Paul Ryan, R-Wisconsin, will unveil a highly anticipated 2012 Republican budget next week that proposes dramatic changes to political lightning rods: entitlements.

The plan, to be released Tuesday, calls for a controversial overhaul of Medicare, the health care program for seniors, and imposes deep cuts in Medicaid, which provides health benefits to low-income Americans, according to House Republican sources with knowledge of the proposal.

Starting 10 years from now, in 2021, Americans would no longer enroll in the Medicare program, but instead receive vouchers for private insurance, according to the GOP sources, who stressed anyone 55 or older now would not be affected by the change.

The plan is modeled after one Ryan proposed last year with Alice Rivlin, budget director under President Bill Clinton.

Details of how Ryan's Medicare voucher program would work are still unclear, but the Ryan-Rivlin plan said the amount of the voucher -- a lump sum payment from the government -- would be calculated in part by taking the average federal cost per Medicare enrollee.

The GOP aims to save billions of dollars in revamping Medicare, a large contributor to the massive federal deficit and debt.

Sources said they did not yet know how much savings Ryan would project by drastically changing the Medicare program.

On Medicaid, Ryan's plan calls for deep cuts, as much as $1 trillion. The program would also fundamentally change -- the federal share of the Medicaid system would become block grants to the states.

CNN has been told that the House GOP budget plan does not call for significant change to the Social Security program. Republicans argue that while Social Security is a factor in the nation's fiscal crisis, it doesn't contribute as much to the soaring debt as Medicare.

Two House GOP lawmakers briefed on the proposal told CNN they and others on the House Budget Committee believe it's a mistake not to tackle Social Security.

As for so-called discretionary spending, one of the sources -- who would not speak on the record before the plan is publicly announced -- said Ryan's proposal promises to roll back spending to 2006 levels.

It's unclear how much that would slash, but it is expected to be far more than the roughly $61 billion in spending cuts House Republicans passed in February.

Ryan is expected to give specifics on how much savings the plan would create when it is unveiled Tuesday.

A GOP source said even with the major cuts and changes in Ryan's proposal -- essentially a blueprint that guides spending decisions and does not go to the president for his signature -- it would not bring the budget into balance for many years.

Still, GOP sources briefed on the plan said it would save hundreds of billions of dollars more than the president's proposed 2012 budget, and trillions over the next 10 years.

The budget would also cut the corporate tax rate, but at the same time do away with tax loopholes for corporations.

Ryan's plan also provides for a permanent extension of all the Bush-era tax cuts, which under a compromise with President Barack Obama were extended last year through 2012.

House Republican leaders have been signaling for some time that they plan dramatic and controversial changes to entitlement programs in order to rein in the budget deficit and debt.

Knowing that the proposed changes will be politically risky and elicit an onslaught of criticism, Ryan and Republican Whip Kevin McCarthy have been holding sessions two or three times a week with House Republicans to try to arm them with information about the gravity of the debt problem and why it needs to be fixed.

CNN was allowed into one of these meetings last month, and heard Ryan lay out for his GOP colleagues in stark terms what he calls the "tidal wave" of debt the country is facing.

"The Congressional Budget Office has this economic model where they measure the economy going forward, and they are telling us that the entire economy crashes in the year 2037 because their computer simulation can't conceive of any way in which the U.S. economy can continue," Ryan told the GOP group.

"By the time my kids are my age, just those three programs -- Social Security, Medicaid and Medicare --will consume all federal revenues. There will be no room for anything else in the federal budget," Ryan said.

When Ryan proposed a version of his Medicare overhaul idea last year, known as his "road map," Democrats skewered it and tried to use it as a campaign weapon against Republicans across the country.

Obama has often said it is important for Washington to address entitlement spending. But the president has not offered any specific proposals, and Republicans suggest he wants them to take the first risky steps.

Multiple GOP sources admit the timing of Ryan's 2012 budget proposal is tricky. It will be released in the middle of down-to-the-wire, contentious negotiations with Democrats about a spending measure to keep the government running for the rest of this 2011 fiscal year.

CNN has been told that GOP leaders considered delaying the release of Ryan's budget until this year's spending differences are resolved. However, they decided to go ahead with it in hopes showing major cuts and reforms planned for next year will calm rank-and-file conservatives who feel the leadership is too compromising on spending cuts.



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Sources: CNN, Google Maps

Wednesday, January 27, 2010

Pelosi Rejecting Obama's Freeze Plan?








Nancy Pelosi Cool To Obama's Freeze Plan


House Speaker Nancy Pelosi said Wednesday that defense spending shouldn’t be exempt from President Barack Obama’s proposal for a three-year freeze on federal spending.

In his State of the Union address Wednesday night, Obama is expected to address worries about the federal deficit by proposing a three-year freeze on all “non-security” spending. But just hours before the speech, Pelosi told POLITICO that any spending freeze should be “across the board.”

“Everybody has to make a sacrifice,” the San Francisco Democrat said in an interview conducted as part of POLITICO’s “Inside Obama’s Washington” video series. “If you’re asking everybody else in the country who has an interaction with the federal government — and that means our states and cities and all the rest, too — to cut back, then I think we have to subject every federal dollar to the very harshest scrutiny.”

Pelosi, an early Iraq War opponent who has championed increases in domestic spending programs, told POLITICO that it’s “hard to make the case” to completely exempt the Pentagon from a spending freeze, saying that there has to be “some room” to cut “5 percent” from the defense budget by targeting waste among contractors and the sprawling defense bureaucracy — provided such reductions had no direct impact on troops in the field, commanders or veterans.

Hill liberals, including Pelosi, have responded coolly to Obama’s proposal, which could save as much as $250 billion over the next decade by freezing spending on discretionary domestic programs that are close to Democratic policy priorities.

On the flip side, congressional Republicans have blasted the move as a political window-dressing that will reduce the aggregate deficit by about 1 percent and do nothing to impede the explosive growth of entitlement programs such as Medicare and Medicaid.

For her part, Pelosi questioned the fairness of Obama’s proposal, which is intended to shield spending on the Iraq and Afghanistan wars without arousing opposition from hawks.

“Well, I think that if there is going to a spending freeze, it should be across the board. That is to say, we all want a strong national defense, and we want to fund it in an appropriate way,” she said. “But we’re not here to protect defense contractors. … And the fact is, if we have to cut spending, we should subject every dollar to that same scrutiny.”

The full interview will be available Thursday morning at http://www.politico.com/insideobamaswashington/.



Sources: Politico, MSNBC

Monday, January 25, 2010

Obama Proposes Freezing All Non-Security Discretionary Funds For 3 Yrs




Visit msnbc.com for breaking news, world news, and news about the economy






Obama Wants To Freeze Discretionary Spending For 3 Years


President Obama will announce in Wednesday's State of the Union address that he's proposing to save $250 billion by freezing all nonsecurity federal discretionary spending for three years, according to two senior administration officials.

The proposed freeze, which could help position Obama in the political center by sharpening his credentials on fiscal discipline, would exempt the budgets of the departments of Defense, Homeland Security, and Veterans Affairs, along with some international programs.

"We are at war, and we're going to make sure our troops are funded adequately," one of the senior officials said.

The officials would not reveal the details of which domestic programs would be cut, as they prepare to face major pushback from liberals in the president's own party because popular education and health spending could be on the chopping block. The details will be officially unveiled February 1, when the president publicly releases his next budget blueprint for fiscal year 2011 -- which starts October 1 -- and beyond.

"We've got to make some tough decisions," the second senior official said. "Everybody is not going to get what they want."

Under the proposal, which would need to be approved by both houses of Congress, all federal discretionary spending would be frozen at its current level of $447 billion per year. Within that parameter, however, individual federal agencies would have the power to give some programs increases, while cutting money elsewhere.

Besides burnishing his fiscal discipline credentials, the move could also help the president force Republicans' hand on whether they're serious about meeting Obama halfway on some of his policy proposals.

Immediate Republican reaction was split, with some senior GOP aides saying the freeze is something they could support, while others said it did not go nearly far enough.

"Given Washington Democrats' unprecedented spending binge, this is like announcing you're going on a diet after winning a pie-eating contest," said Michael Steel, a spokesman for House Minority Leader John Boehner, R-Ohio. "Will the budget still double the debt over five years and triple it over 10? That's the bottom line."

The senior administration officials acknowledged that discretionary spending is only about one-sixth of the entire federal budget, and that much larger savings would come from cutting entitlement programs like Medicare, but the White House believes that cuts need to start somewhere.

"We're not here to tell you we've solved the deficit," said one of the senior officials, adding that the federal government has to go through the "very same process that families" across America have had to go through in their personal budgets.

The move will also spark a major debate within the president's own party, with senior Democrats already saying the cuts would be tough to swallow. A senior Senate Democratic aide said it will prompt a major fight after the Bush administration "underfunded domestic programs for so long."

"Why would we want to play into the Republicans' hands like this?" the senior Senate Democratic aide asked.

But it could also help Obama break ranks with an unpopular Democratic Congress. "Do I expect this to win us a lot of kudos on Capitol Hill? No," one of the senior administration officials said.



Sources: CNN, MSNBC, Rachel Maddow Show