GOP’s Payroll Tax Fiasco

Nickles Not Pickles
Nickles Not Pickles

Wow, when even the notoriously extreme right-wingers who run the Wall Street editorial pages are annoyed with John Boehner’s Tea Party led revolt against the Republican members in the Senate, the GOP must really be in trouble. Pass me the popcorn!1

GOP Senate leader Mitch McConnell famously said a year ago that his main task in the 112th Congress was to make sure that President Obama would not be re-elected. Given how he and House Speaker John Boehner have handled the payroll tax debate, we wonder if they might end up re-electing the President before the 2012 campaign even begins in earnest.

The GOP leaders have somehow managed the remarkable feat of being blamed for opposing a one-year extension of a tax holiday that they are surely going to pass. This is no easy double play.

Republicans have also achieved the small miracle of letting Mr. Obama position himself as an election-year tax cutter, although he’s spent most of his Presidency promoting tax increases and he would hit the economy with one of the largest tax increases ever in 2013. This should be impossible.

(click here to continue reading Review & Outlook: The GOP’s Payroll Tax Fiasco – WSJ.com.)

All Yesterday's Parties
All Yesterday’s Parties

except for the part where the WSJ is wrong:

A mostly irrelevant side note to the Wall Street Journal op-ed everyone’s talking about is that they don’t seem to know what policy they’re talking about.

“House Republicans yesterday voted down the Senate’s two-month extension of the two-percentage-point payroll tax holiday to 4.2% from 6.2%,” the editors wrote. “They say the short extension makes no economic sense, but then neither does a one-year extension. No employer is going to hire a worker based on such a small and temporary decrease in employment costs, as this year’s tax holiday has demonstrated.”

They seem to have their payroll tax cuts mixed up. The two percent holiday that’s been in effect for the past year, and the extension Congress is fighting about right now, are both to employees’ share of the Social Security FICA tax. The theory behind the policy is that by increasing worker take-home pay, the cut provides suffering consumers with additional purchasing power, and thus stimulates demand, which is exactly what this sluggish economy needs.

Earlier in the year, President Obama proposed broadening this tax cut to include the employer share of the Social Security FICA tax. That policy operates on the theory that reducing cost-per-employee will create the incentive for job creation. It’s a weaker theory — a lot of big employers are already sitting on a bunch of cash, but aren’t hiring because they don’t have enough customers (see above about demand). But this is what the Wall Street Journal’s editors seem to think has been going on all year — and they’re completely wrong.

(click here to continue reading Sidebar: Blistering Wall Street Journal Op-Ed Gets Payroll Tax Cut Wrong | TPMDC.)

Footnotes:
  1. as the cliché goes []

The Gingrich Group

Laugh Track
Laugh Track

Rep. Barney Frank returns serve to Newt Gingrich1. If you’re keeping score, Newt is losing.

“Well, he’s just lying,” Frank told MSNBC’s Chris Matthews on Thursday. “It is, of course, lobbying.”

He added: “He is clearly the highest paid historian in American history. People complain if you go into the humanities, you don’t make as much money, but this may do a lot for that career path.”

Gingrich has repeatedly accused Frank of helping to cause the subprime mortgage crisis by failing to stop Freddie Mac from loading up on bad loans while serving on the House Financial Services Committee. But he defended himself on Thursday, blaming Republicans for turning a blind eye to reforming the mortgage giant during their decade-plus in the majority.

“If Tom DeLay was taking my advice during the period when I was in the minority, Bill Clinton wouldn’t have been impeached, we wouldn’t have gone to war in Iraq, and he wouldn’t have gone on the dance show,” he said.

Frank brought up Gingrich’s recent comments that since the payments were handled by his firm, the Gingrich Group, he couldn’t recall all the details about them.

“Frankly, I thought the ‘Gingrich Group’ were his wives,” he said in a jab at the thrice-married Republican.

The comedy routine continued as Matthews brought up a recent interview with former lobbyist and convicted felon Jack Abramoff’s in which he said Gingrichs was “engaged in the exact kind of corruption that America disdains.”

“Don’t you mean ‘historian’ Jack Abramoff?” Frank deadpanned.

(click here to continue reading Barney Frank: ‘I Thought The Gingrich Group Was His Wives’ | TPM2012.)

and more:

Frank said Gingrich’s anger over his and Dodd’s role in the financial meltdown was absurd given that Republicans were in charge of the House and — excerpt for a brief period — Senate, from 1995 to 2007.He noted that he worked on reform legislation on mortgage in his first year as chair in 2007.

“It’s interesting, the charge is failure to stop Newt Gingrich and Tom Delay from deregulating,” he said. “This notion we caused the problem that started while they were in charge even by Gingrich’s standards is very odd.”

(click here to continue reading Barney Frank Slams Newt Gingrich For Calling For His Imprisonment | TPM 2012.)

Gingrich claims to be an historian, but he never claimed to be a good historian…

Footnotes:
  1. if you’ve forgotten, Gingrich fulminated that Barney Frank should be thrown in prison for his Freddie Mac involvement []

A Jobs Program In America

Restorative Harmony
Restorative Harmony

If only our politicians were as brave and bold as Franklin Roosevelt…I wouldn’t hold my breath

Bob Herbert writes:

Politicians have given little more than lip service to this terrible turn of events. If there was but one message that I would try to get through to the nation’s leadership, it is that we cannot begin to get the United States back on track until we begin to put our people back to work.

And there is so much work to be done. Start with the crying need to rebuild the nation’s aging, deteriorating infrastructure – its bridges and highways, airports and air traffic control systems, its sewer and wastewater treatment facilities, the electrical grid, inland waterways, public transportation systems, levees and floodwalls and ports and dams, and on and on. Lawrence Summers, until recently President Obama’s top economic adviser, has pointed out that 75 percent of America’s public schools have structural deficiencies. Twelve percent of the nation’s bridges have been rated structurally deficient and another 15 percent are functionally obsolete.

Three to four trillion dollars worth of improvements will be needed over the next decade just to bring the infrastructure into a reasonable state of repair. Meanwhile, we’ve got legions of unemployed construction workers, manufacturing workers, engineers and others who are ready and eager to step into the breach, to take on jobs ranging from infrastructure maintenance and repair to infrastructure design and new construction. It shouldn’t require a genius to put together those two gigantic pieces of America’s economic puzzle – infrastructure and unemployment.

Yes, it would be expensive. But the money spent  would be an investment designed to bring about a stronger, more stable economic environment. Putting people to work bolsters the economy and the newly-employed workers begin paying taxes again. Improving the infrastructure would make American industry much more competitive overall, and would spawn new industries. Creation of a national infrastructure bank that would use government funds to leverage additional investments from the private sector to finance projects of national importance would lead to extraordinary longterm benefits.

But even rebuilding the infrastructure is not enough. The employment crisis facing the U.S. is enormous and is taking a particularly harsh toll on the less well-educated members of the society. We need to take our cue from Franklin Roosevelt who understood during the Depression that nothing short of a federal jobs program was essential. The two-pronged goal was to alleviate the suffering of the unemployed and, as the workers began spending their wages, improve the economy.

Roosevelt put millions of Americans to work, including artists, writers, photographers and musicians. It was an unprecedented undertaking, and it worked.

(click here to continue reading HOME – PolicyShop.)

Broken History

Broken History

and meanwhile, the GOP’s prescription for creating jobs is laughable. Laughable if this wasn’t my country we are talking about. But we are discussing the US, so the joke isn’t very funny.

The Republicans think these things will be useful: destroying unions, more free trade agreements, lowering business taxes even lower, repealing EPA and other regulations, and cutting the minimum wage. If you think any of these policy ideas are going to jump-start our anemic economy, I have a beautiful bridge in Brooklyn to sell you.

Sarah Jaffe reports at Alternet:

Washington, nearly a year after the 2010 election that was supposedly all about jobs, finally seems to have woken up to the fact that the economy is still in the dumps and Americans are sort of angry about it. Make that very angry. And with Republicans in charge of at least part of Congress as well as many state governments, they know they’re about to take some of the blame for the continuing lack of any policy ideas on job creation–recent polls show only 24 percent of the country approves of how they’re doing their jobs. Not to mention the GOP primary field is loaded with contenders claiming they have the magic solution to the jobs problem.

So what is this masterful GOP jobs agenda? You won’t be shocked to hear that it’s more of the same—more deregulation, more tax cuts, more whining about deficits. “House Republicans are planning votes for almost every week this fall in an effort to repeal environmental and labor requirements on business that they say have hampered job growth,” says the Washington Post. But since you’re about to be hearing these same ideas, with minor variations, over and over again, we thought we’d count down the five worst ideas, and arm you with some reasons why they’re so very bad.

links for 2011-08-15

tumblr_lpob6ex4ZX1qcl7wao1_250.jpg

Rasputin with Bachman Eyes

Rick Perry and the Myth of the Texas Miracle

Lone Star Lame Duck
Lone Star Lame Duck

Another generated tale, in other words, which when examined by rationale minds isn’t so great after all. Just ask the Texas teachers who are about to be fired. Rick Perry is still going to repeat his so-called Texas Miracle fable thousands of times in the next few months though, facts be damned.

While Texas has created more jobs than any other state in the past two years, the increase is far less than advertised. The rate of increase is not much higher than a number of other states, including former rustbelt centers like Pennsylvania or liberal sanctuaries like Vermont.

Moreover, its recent performance is a classic case of “all hat, no cattle.” Texas lost 34,000 jobs in June, causing its unemployment rate to jump to 8.2 percent, which ranks it 25th among states and leaving it worse off than its immediate neighbors. Even as Texas’ unemployment rate rose along the lines of the entire country, the neighboring states of Louisiana and New Mexico saw their unemployment rates fall to 7.8 percent and 6.8 percent, respectively.

Moreover, to the extent Texas has succeeded in adding jobs over the past two years, most of its good fortune rests on conditions that are not replicable elsewhere. Soaring oil prices have provided a substantial number of new jobs and tax revenue since it is the nation’s leading oil- producing state, even as those $4-a-gallon gas prices drained consumers nationwide and put pressure on other states’ budgets. An influx of new government defense spending has also pumped up revenue, while the state has used oil revenue to postpone a sharp cutback in state and local government employment, which is about to hit in full force.

Two other factors that may not play well with Republican Party primary voters also contributed to the Texas   economic performance over the last decade and through the Great Recession. According to a recent analysis in the Ft. Worth Star-Telegram, state debt grew by 282 percent over the last decade, a slightly faster rate of increase than the ostensibly more profligate federal government. Local government debt in Texas grew by a heady 220 percent over the same period.

Texas also benefited during the downturn by having tighter housing finance rules – a stark contrast to the business-friendly regulatory environment Perry likes to tout. After the savings and loan crisis of the early 1990s, which hit Texas hard, the state legislature prohibited “cash out” mortgages. The state’s tough mortgage rules kept housing prices in check and saved it from the huge price declines and foreclosures that devastated many other areas of the country. Still, construction employment fell by 95,000 jobs during the recession and remains 14 percent below its pre-recession peak.

“Anyone who thinks the relatively strong performance in Texas has much to do with state government policy is wrong, except when it comes to housing, where regulation helped the state,” said Howard Wial, an economist and fellow at the Brookings Institution’s Metropolitan Policy Program. “In Texas, the worst is yet to come.”

(click here to continue reading Rick Perry and the Myth of the ‘Texas Miracle’.)

 

House Republicans Versus Environmental Protection

A Spy in the House of Sky
A Spy in the House of Sky

GOP assholes taking advantage of the distracted country to attempt to sneak in an eviseration of everything protecting the environment from corporate rape and pillage. A paint-by-the-numbers definition of what Naomi Klein called the Shock Doctrine, aka disaster capitalism…

With the nation’s attention diverted by the drama over the debt ceiling, Republicans in the House of Representatives are loading up an appropriations bill with 39 ways — and counting — to significantly curtail environmental regulation.

One would prevent the Bureau of Land Management from designating new wilderness areas for preservation. Another would severely restrict the Department of Interior’s ability to police mountaintop-removal mining. And then there is the call to allow new uranium prospecting near Grand Canyon National Park.

But Democrats argue that the policy prescriptions are proof that Republicans are determined to undo clean air and water protections established 40 years ago.

Many of these new restrictions, they point out, were proposed in the budget debate earlier this year and failed. They are back, the Democrats say, because Republicans are doing the bidding of industry and oil companies.

“The new Republican majority seems intent on restoring the robber-baron era where there were no controls on pollution from power plants, oil refineries and factories,” said Representative Henry A. Waxman, a California Democrat, excoriating the proposal on the floor.

Environmental regulations and the E.P.A. have been the bane of Tea Party Republicans almost from the start. Although particularly outraged by efforts to monitor carbon dioxide, the primary greenhouse gas linked to the warming of the Earth’s atmosphere, freshmen Republicans have tried to rein in the E.P.A. across the board — including proposals to take away its ability to decide if coal ash can be designated as a toxic material and to prevent it from clarifying rules enforcing the Clean Water Act.

Conservatives have been adding amendments at a furious pace. Earthjustice, an environmental advocacy group, counted more than 70 anti-environmental amendments filed as of Wednesday morning and was monitoring for more.

But Mr. Goldston of the Natural Resources Defense Council said that although most of the policy attachments would never become law, the Republican appropriations flurry was still unnerving — and could pose more reason for concern in coming months. ”We are then going to be in a situation again where the Senate and president face the question of whether they are willing to shut down the government or appease a motley group in the House over a spending bill,” he said. “No one knows how that plays out.”

(click here to continue reading House Republicans Try to Roll Back Environmental Rules – NYTimes.com.)

For a complete list of the proposed riders, click here

Boehner House GOP Is Delusional

A Monster Maker an Eye
A Monster Maker an Eye

The Republicans won’t be happy until the US turns into a sister economy to Somalia, Afghanistan, North Korea or Yemen. You know, free reign for businesses, zero social spending, except to make sure religious zealots are in charge of bedrooms, while our national infrastructure totters on collapse. Here’s more proof:

To secure enough votes from his own members for his plan, Speaker Boehner is amending it to basically turn it into Cut, Cap, and Balance Lite.

Here’s the key new provision that is apparently going to win enough GOP votes to pass the bill:

The debt ceiling would be raised immediately but not by enough to get the government through next year. To get the second debt ceiling increase, House Republicans want a balanced budget constitutional amendment to pass both chambers first and be referred to the states.

(click here to continue reading Practically Delusional | Talking Points Memo.)

Circumstantial Evidence - Panatomic X
Circumstantial Evidence – Panatomic X

and from the NYT:

House Republicans muscled through a revised debt limit plan without a single Democratic vote on Friday night and headed toward a confrontation with the Senate, where Democrats were anxiously awaiting the newly passed measure so they could reject it. President Obama has also threatened to veto it.

About 24 hours after the first Republican proposal backed by Speaker John A. Boehner stalled, the House voted 218 to 210 to approve a plan that would increase the federal debt ceiling in two stages, with the second installment of $1.6 trillion contingent on Congressional approval of a Constitutional amendment requiring a balanced federal budget. The Constitutional amendment provision was added to attract conservatives who balked Thursday.

 

(click here to continue reading House Passes Boehner’s New Debt Plan – NYTimes.com.)

Dirty politics sullies all involved

Dirty politics sullies all involved

So a Balanced Budget constitutional ammendment? Really? And what are the odds such a beast would pass into law? And how quickly? I did a little quickie research using Wikipedia and and a time and date calculator. The fastest amendment I found to pass was the 21st, which repealed the 18th Amendment (Prohibition). Even this took 289 days.

Others (I didn’t check all)

Bill of Rights: 533 days

13 Amendment (Emancipation): 608 days

16th Amendment (allows Congress to collect income tax, still in dispute by some zealots): 1,325 days

18th Amendment (Prohibition): 534 days

You get the idea – the GOP wants our economy to remain in a tailspin until at least the 2012 election, because political calculations trump governing the country.

and the Senate isn’t going along with this fake plan so quickly in any case:

The Senate has killed the latest effort by the House to raise the government’s borrowing cap.

Democrats and several Republicans killed the GOP measure by a 59-41 vote Friday night, just minutes after it arrived from the House. Democrats opposed the measure because it would require another painful debt-limit debate early next year.

(click here to continue reading Senate kills House debt limit bill – Chicago Sun-Times.)

Taxes and Billionaires

Curvaceous
Curvaceous

The Republicans are not really concerned with people like you and me1 – the GOP instead is worried that the filthy rich continue to pay 15% income tax…

Nicholas D. Kristof reports:

take a look at one of the tax loopholes that Congressional Republicans are refusing to close — even if the cost is that America’s credit rating blows up. This loophole has nothing to do with creating jobs and everything to do with protecting some of America’s wealthiest financiers.

If there were an award for Most Unconscionable Tax Loophole, this one would win grand prize.

Wait, wake up! I know that “tax policy” makes one’s eyes glaze over, but that’s how financiers have gotten away with paying a lower tax rate than their chauffeurs or personal trainers. Tycoons have bet for years that the public is too stupid or distracted to note that in many cases they’re paying just a 15 percent tax rate.

What’s at stake is the “carried interest” loophole, and President Obama is pushing to close it. The White House estimates that this would raise $20 billion over a decade. But Congressional Republicans walked out of budget talks rather than discuss raising revenues from measures such as this one.

…This carried interest loophole benefits managers of financial partnerships such as hedge funds, private equity funds, venture capital funds and real estate funds — who are among the highest-paid people in the world. John Paulson, a hedge fund manager in New York City, made $4.9 billion last year, top of the chart for hedge fund managers, according to AR Magazine, which follows hedge funds. That’s equivalent to the average per capita income of 184,000 Americans, according to my back-of-envelope calculations based on Census Bureau figures.

Mr. Paulson declined to comment on this tax break, but here’s how it works. These fund managers are compensated mostly with a performance bonus of 20 percent or more of the profits they make. Under this carried interest loophole, that 20 percent is eligible to be taxed at the long-term capital gains rate (if the fund’s underlying assets are held long enough) of just 15 percent rather than the regular personal income rate of 35 percent.

This tax loophole is also intellectually vacuous. The performance fee is a return on the manager’s labor, not his or her capital, so there’s no reason to give it preferential capital gains treatment.

“The carried interest loophole represents everyone’s worst fear about the tax system — that the rich and powerful get away with murder,” says Victor Fleischer, a law professor at the University of Colorado, Boulder, who has written about the issue.  “Closing the loophole won’t fix the budget by itself, but it gets us one step closer to justice.”

(click here to continue reading Taxes and Billionaires – NYTimes.com.)

Get that? The GOP is insisting the rich pay less in tax, percentage-wise, than average citizens, yet simultaneously the Rethuglicans want to destroy the social safety net because there isn’t enough revenue. Slime balls…

Footnotes:
  1. assuming you are not a billionaire. If you are, can you contact me about a business idea I have? []

The final nail in the supply side coffin

Hit From Below
If only…

The theory of supply-side economics tells us that if you cut taxes on rich people and corporations, the newly liberated moguls and businessmen will take their windfall and invest it, creating jobs and accelerating the rate of economic growth. The benefits of a light hand on the upper class, therefore, will “trickle down” to the working man and woman.

Ever since Ronald Reagan first attempted to make supply-side economics a reality and proceeded to inaugurate an era of persistent government deficits and growing income inequality, it has become harder and harder to make the trickle-down argument with a straight face. But we’ve never seen anything quite like the disaster that’s playing out right now.

The Wall Street Journal reported on Tuesday that corporate profits are looking quite strong for the second quarter of 2011. Even the Journal can’t sugarcoat the basic facts:

While the U.S. economy staggers through one of its slowest recoveries since the Great Depression, American companies are poised to report strong earnings for the second quarter — exposing a dichotomy between corporate performance and the overall health of the economy.

Wages are moribund, unemployment is stuck at 9 percent, and the corporate bottom line is doing just fine. You could be excused for thinking that if ever there was time to put the stake through supply-side economics, it would be now. Wall Street and big corporations are doing just fine, but absolutely nothing is trickling down. And yet Republicans are still pushing the same old song and dance, passionately holding the entire creditworthiness of the United States hostage in return for even lower taxes on corporations, adamantly refusing to countenance even the slightest revenue increase to help cushion the hard times for the Americans who are getting a raw deal out of the current recovery.

Democrats come in for their share of the blame, too. The worst economic recovery for American workers in history has happened on Obama’s watch, and he appears remarkably oblivious to it. He may live to regret this oversight.

(click here to continue reading The final nail in the supply side coffin – How the World Works – Salon.com.)

Doesn’t matter what actually happens, Republicans stick to their erroneous positions until they either get their way, or the world ends.

Daily Kos: Why Michele Bachmann will be the GOP nominee

Get Some Action

Get Some Action

Wow, what if this was true? I wouldn’t be surprised if Rick “Christian Taliban” Perry is thinking the same thing, and this is why he is considering entering the race. Given a choice between a Tea Bagger woman and a Tea Bagging man, most GOP faithful will choose a man every time. And yeah, that sounds a bit funny, but the Republicans often do endorse those sort of sexual-political dynamics, right?

Markos Moulitsas argues:

Michele Bachmann will be the GOP nominee.

Yeah, yeah—this could be wishful thinking. Bachmann would gift Obama a second term and would lead to another Democratic wave election in the House. And yeah, this assumes that Mike Huckabee or Sarah Palin don’t get into the race. But this is the age of Christine O’Donnell and Ken Buck. Republican primary voters don’t give a damn about electability, but about casting a vote for the purest candidate.

Currently, there are three real candidates in the race—Bachmann, Tim Pawlenty, and Mitt Romney. Newt Gingrich is history, Rick Santorum is yesterday’s news, Ron Paul is a niche product, John Hunstman has six supporters, and Herman Cain exists only to allow Republicans to say, “Some of my best friends are black!”

Of the three credible candidates, Bachmann easily wins the purity test. Romney has been on the other side of pretty much every issue of current importance to Republicans, while Pawlenty supported the individual mandate. They’re toast.

But it’s not just policy substance. The early GOP nomination calendar clearly favors Bachmann.

 

(click here to continue reading Daily Kos: Why Michele Bachmann will be the GOP nominee.)

Iowa caucusing is perfect for Rethuglican Teabaggery; WY (stripped of half of its delegates because it jumped ahead in line); New Hampshire; Michigan (minus any delegates); South Carolina -another Tea Bagger Friendly backwards state; NV. Who’s going to out-crazy Michele Bachmann in any of these primaries? Going to be a wild ride…

Corn Fed

Corn Fed

And the longer Ms. Bachmann is in the race, the more incidents like this we’ll see:

Rep. Michele Bachmann kicked off her presidential campaign on Monday in Waterloo, Iowa, and in one interview surrounding the official event she promised to mimic the spirit of Waterloo’s own John Wayne.

The only problem, as one eagle-eyed reader notes: Waterloo’s John Wayne was not the beloved movie star, but rather John Wayne Gacy, the serial killer.

Mrs. Bachmann grew up in Waterloo, and used the town as the backdrop for her campaign announcement, where she told Fox News: “Well what I want them to know is just like, John Wayne was from Waterloo, Iowa. That’s the kind of spirit that I have, too.” (Someone has already posted the clip to YouTube under the name BachmannLovesGacy)

John Wayne, the movie legend, is in fact from Iowa and the John Wayne birthplace is a celebrated landmark — only it’s in Winterset, which is a nearly three hour drive away from Waterloo.

Gacy, though, had his first taste of the criminal life in Waterloo, where he lived for a short time, and where he had his first criminal conviction for an attempted homosexual assault, which landed him in prison for 18 months.

(click here to continue reading The wrong John Wayne – Washington Times.)

GOP Plan To Stick It to Medicare

Don’t Call Me Yellow

According to Rupert Murdoch’s paper of record, the GOP just needs to stick to their plan of destroying Medicare, and eventually voters will flock to their side. Hmm, well, that’s an option I guess.

Republican lawmakers reaffirmed Wednesday their embrace of a controversial Medicare overhaul despite an electoral setback, ensuring the federal health program will remain a divisive issue through the 2012 election.

Republicans responded to Democrat Kathy Hochul’s Tuesday victory in a traditionally Republican New York Congressional district by saying they needed to attack the Democrats’ Medicare position more forcefully, rather than back off their own plan.

“We need to make it a choice between a do-nothing approach that will ultimately destroy Medicare, and life-saving reforms,” said Rep. Tom Cole (R., Okla.). Added Rep. Cliff Stearns (R., Fla.): “It’s a wake-up call on how you frame it. It obviously wasn’t framed right.”

Democrat Kathy Hochul defeated Republican Jane Corwin in a closely watched House race in western New York State. The race gained national attention when Corwin announced she favored an overhaul of Medicare.

Rep. Paul Ryan (R., Wis.), who authored the Medicare plan, said Democratic attacks on his plan were effective in Tuesday’s election to fill an open House seat near Buffalo. “They are shamelessly demagoguing and distorting it,” Mr. Ryan said, adding that Republicans would have a better chance to make their case over the next 18 months.

(click here to continue reading GOP Sticks to Plan on Medicare – WSJ.com.)

Everything's Been Returned Which Was Owed - Pinko version

The proof will come in 2012, especially now that Senator Reid finally scheduled a vote on the Ryan plan

The GOP continued its bloody walk into the Medicare buzzsaw Wednesday, when 40 out of 47 Senate Republicans voted in support of the House GOP budget, and its plan to phase out and privatize the popular entitlement program.

The test vote failed by a vote of 57-40. But the roll call illustrates that Medicare privatization — along with deep cuts to Medicaid and other social services — remains the consensus position of the GOP despite the growing political backlash against them.

Voting with all of the Democrats against debating the plan were Sens. Scott Brown (R-MA), Olympia Snowe (R-ME) — both 2012 incumbents — along with Sens. Susan Collins (R-ME) and Lisa Murkowski (R-AK). Rand Paul (R-KY) voted against it because it wasn’t radical enough.

Sens. Chuck Schumer (D-NY), Pat Roberts (R-KS), and Kay Bailey Hutchison (R-TX) did not vote.

Democrats intentionally scheduled the vote less than 24 hours after a Democrat won a special election in New York’s 26th — and heavily Republican — congressional district, on the strength of defending Medicare from a GOP onslaught. The outcome of that election heightened the political stakes, but sent few Republicans bolting for the exits.

“I’ve been surprised a lot of the times about how they’re voting here,” said Senate Majority Leader Harry Reid at a press conference after the vote.

(click here to continue reading Senate Republicans Vote Overwhelmingly To End Medicare | TPMDC.)

Che Guevara - Detail at Casa Aztlan Community Center

Parenthetical point: the WSJ used to attempt to be neutral in its non-editorial pages, but since Murdoch purchased it, that’s been scrapped. WSJ now operates in the Fox News model: note how many Democrats are quoted in the above article versus how many Republicans, and also notice that half the rest is regurgitated GOP talking points. Too bad. I dropped my print subscription, but am hanging on to the online WSJ because there is good business news there, sometimes.

GOP Whining as Voters Resist Medicare Destruction

I Would Not Feel So Alone

Queue the Nelson Muntz laugh 1. Looks like Senator Reid is finally scheduling the Senate vote on Paul Ryan’s Destroy Medicare To Give Tax Breaks to Oil Corporations Bill. Perfect timing since the topic is getting a lot of news coverage.

When they proposed just last month to overhaul Medicare, House Republicans were confident that the wind of budget politics was at their backs and that the country’s looming fiscal problems provided justification to begin reshaping the increasingly costly social welfare system. Blogs

But the last six weeks have left Republicans pointed into a stiff headwind. With polls and angry town hall meetings suggesting that many voters were wary if not opposed to the Medicare overhaul, party unity and optimism gave way to a slow-motion backtracking in the House and, in the Senate and on the presidential campaign trail, a bit of a Republican-on-Republican rumpus.

Even before the Republican loss Tuesday night in the race for a vacant House seat from New York — a contest fought in large part over the Medicare proposal — Democrats were clinging to the developments like koalas to eucalyptus trees, hoping that the plan’s toxicity among many voters would give them a shot at retaining control of the Senate and, in their most vivid dreams, taking back the House majority.

Eager to press their advantage, Senate Democrats will stage a vote on the Medicare plan as soon as Wednesday, forcing Senate Republicans into a yes-or-no choice that both sides know will become the basis of countless campaign commercials over the next year and a half.

 

Republicans have asked to have alternatives budgets also come up for an initial vote. Those alternatives include a plan crafted by Senator Patrick J. Toomey of Pennsylvania that contains many of the same cuts as Mr. Ryan’s plans but leaves Medicare out of the picture, and another by Senator Rand Paul of Kentucky, which includes a vast elimination of government services.

The Republicans would also like to write a bill reflecting Mr. Obama’s initial 2012 budget, which became an albatross for his party because it did not cut spending. However, because the Ryan plan already passed the House, Senator Harry Reid of Nevada, the majority leader, could send the Ryan plan for votes alone, without bringing up other budget bills.

 

(click here to continue reading G.O.P. on the Defensive as Voters Resist Medicare Plan – NYTimes.com.)

Bag o shallots

According to TPM, the long planned vote is scheduled for this afternoon. Soon the GOP will be crying their crocodile tears on all the Sunday morning talk shows…

But we’re hearing that Sen. Reid will likely call a vote this afternoon on the Ryan Medicare Phase Out plan. In a press briefing a short time ago, Sen. Reid (D) said that the vote could come as early as 5 PM. And his office tells our Brian Beutler that the vote is “very likely” to happen as scheduled.

Late Update: And it’s confirmed. Vote will be held at 5 PM along with votes on Obama, Toomey and Paul budgets.

 

(click here to continue reading Senate to Vote on Ryan Plan | Talking Points Memo.)

Footnotes:
  1. you know, the kid from the Simpsons []

Rejected Train Windfall by Florida

Leaving Train

One the one hand, as a resident of not-Florida, I’m amused by this:

After Gov. Rick Scott of Florida thoughtlessly rejected $2.4 billion in federal aid for a high-speed rail line, he claimed last month that he was doing a huge favor for the national Treasury, which he expected would give away the money in tax cuts. That was nonsense, of course; Mr. Scott was really doing a favor for train passengers in the Northeast, Midwest and California, which were given $2 billion of his money on Monday for better service.  Florida voters might want to think about that decision as they sit in traffic jams, burning up $4-a-gallon gasoline. In fact, some of them clearly have thought about it because Mr. Scott now has some of the worst approval ratings of a Florida official in the last decade.

He has joined other newly elected Republican governors so rigidly opposed to the Obama administration that they are willing to harm their states to score points. The result is a crazy quilt of state relationships with Washington, stitched more with ideology than reason.

None of the money in Monday’s announcement will be going to Wisconsin, for example, where Gov. Scott Walker has also decided that his strapped state could do without rail improvements and the construction jobs that go with them. Nor will it go to Ohio, where Gov. John Kasich preferred rejectionism to the improvement of rail service among the state’s largest cities, which could have produced 16,000 jobs.

Instead, it will go to 15 states that have more farsighted leadership, who understand the important role federal dollars can play in stimulating the economy, moving people quickly from place to place and reducing tailpipe emissions. Some of those states are led by Republicans: Gov. Rick Snyder of Michigan happily stood beside Transportation Secretary Ray LaHood on Monday to accept nearly $200 million to upgrade the rail line between Dearborn and Kalamazoo, the bulk of the Chicago-Detroit corridor.

(click here to continue reading The Rejected Windfall by Florida – NYTimes.com.)

but the whole point of having a national train network is that you can travel to any other point in the country reasonably quickly, and these teabagger morons are ruining this possibility.

Another Leaving Train

I’ve never heard a rational argument against upgrading our train infrastructure, other than mouth-dribbling anti-Obama spewing from the Republicans. Is it the asphalt industry? Automotive? Which corporate organizations are funding the Republican opposition? Curious.

Wouldn’t think it would be the energy companies, because trains need fuel too, but maybe ExxonMobile is afraid that if too many commuters don’t drive cars, their profits will be dinged?

Republicans Shelve Medicare Overhaul Plan

Watching the Cars

Republicans don’t seem to have the strength of their convictions, already flip-flopping on their planned destruction of Medicare. Maybe they’ll regroup later this summer.

House Republicans signaled Thursday that they were backing away from the centerpiece of their budget plan — a proposal to overhaul Medicare — in a decision that underscored both the difficulties and political perils of addressing the nation’s long-term fiscal problems. While top Republicans insisted that they remained committed to the Medicare initiative, which had become the target of intense attacks by Democrats and liberal groups in recent weeks, the lawmaker who would have to turn the proposal into legislation said he had no plans to do so any time soon.

The lawmaker, Representative Dave Camp, Republican of Michigan and chairman of the Ways and Means Committee, said that while he still supports the party’s Medicare approach, opposition from Democrats made it pointless to proceed.

“I’m not interested in talking about whether the House is going to pass a bill that the Senate shows no interest in,” Mr. Camp said in an appearance at the National Press Club. “I’m not interested in laying down more markers. I am interested in solutions.”

Coupled with remarks by other House Republican leaders, his statement suggested that the party’s Medicare proposal had been shelved, even though the party’s lawmakers had taken a risky vote to pass the budget in the House just last month, and in the past two weeks had attempted to sell it to constituents in often-stormy town hall meetings.

 

(click here to continue reading Republicans Shelve Medicare Overhaul Plan – NYTimes.com.)

No Stairs Do Not Enter

Still, Senator Harry Reid should bring the bill to the Senate floor as he planned so that Senate Republicans can embarrass themselves too. Why should House GOP have all the fun? Especially since the rank and file Republicans were still supporting the plan:

Some members — especially freshmen from districts with steep re-election hills to scale — were upset to hear that the plan could be scotched after they had voted for the budget proposal and then invested so much hard work trying to sell it back home over the spring recess.

“I would be very disappointed if we didn’t follow through,” said Representative Joe Walsh, whose district lies in the Chicago suburbs. “We have spent, gosh, a month or two now trying to educate the American people to a pretty good reception. I appreciate the chairman’s notion, but I would continue to respectfully challenge him to get this thing through committee.”

Representative Bobby Schilling of Illinois said backing down now would be giving in “to lies and deceit told by the other side.”

“We’ve just got to address this problem,” he said. “Is it going to be perfect? No, but it needs to be addressed.”

Wisconsin GOP senators Recall Likely

Phil Looks Cold - Blue

Wisconsin democracy in action! Politicians are elected to serve the interests of their constituents, if politicians instead brazenly serve the interest of their corporate masters, then they should suffer the consequences.

So how’s the drive to recall Wisconsin GOP state senators going? If these new numbers the Wisconsin Democratic Party shares with me are accurate, it’s already exceeding expectations in a big way.

Graeme Zielinski, a spokesman for the party, tells me that activists working on the recall push already collected over the weekend 15 percent of the total necessary signatures needed to force recalls in all eight of the GOP districts Dems are targeting. He says that the party — which is helping to coordinate and keeping track of outside efforts to gather signatures — set itself a goal of 10,000 signatures for the weekend, and has already exceeded it by 35 percent.

Zielinski also claims that recall forces over the weekend put more than 2,000 volunteers on the street to collect signatures. He also says volunteers have collected 26 percent of the signatures required in one district, and 20 percent in another, though he wouldn’t say which ones, because Dems want GOP senators to fret that they are the ones in question.

If these numbers are close to accurate, they are a surprising sign of the power of the grassroots energy uncorked by Scott Walker’s union-busting proposals. Under Wisconsin law, a recall requires a number of signatures totaling 25 percent of the number that voted in the last gubernatorial election.

…Also: As Ben Smith pointed out yesterday, the mechanics of recall drives favor unions, because of their organizing ability, and because many Republicans in Wisconsin occupy swing districts. Fourteen out of 19 GOP state senators preside over districts carried in 2008 by Obama.

(click here to continue reading The Plum Line – Drive to recall Wisconsin GOP senators gaining steam, Dems say.)

Freedom Feed Mill

From the Milwaukee Journal Sentinel, some details of the process:

Wisconsin requires petitioners to gather enough signatures to equal 25% of the votes cast in the most recent race for governor in the district of the targeted legislator, a daunting number. That barrier is even higher in some states – it’s 40% in Kansas – and lower in others – 12% in California for governor, 20% for state legislators.

Wisconsin law also dictates that a year must pass after the election of the targeted official before he or she can be recalled. In some states, that period is only 90 days.

That means that in the Wisconsin Senate, only the 16 members elected in 2008 are eligible to be recalled this year.

Recall drives have now been officially launched against every one, some by more than one committee, Kevin Kennedy, the state’s top election official, said Sunday. The other 17, elected in 2010, could be targeted for recall next year, as could the governor. It would take more than 540,000 valid signatures to force a recall election against Walker in 2011.

The other hurdle in Wisconsin for recall organizers is that they have only 60 days once they formally organize to gather the needed signatures – in some states that period is much longer. The signatures needed for the recall drives now under way range from 11,817 in Milwaukee Democrat Spencer Coggs’ district to 20,973 in the district of New Berlin Republican Mary Lazich.

In interviews last week, some experts said Wisconsin’s short window for petitions and the large number of signatures required means that recall efforts will need significant funding and paid canvassers.

On the other hand, social media offers today’s activists a tool that didn’t exist 10 or 20 years ago to rapidly mobilize and coordinate grass-roots political activity.

“I think this may actually become more common because of social media,” Moncrief said.

Under the timetables in state law, the 60-day petition period that’s under way in 16 Senate districts is followed by a 31-day period where signatures are challenged, defended and reviewed. That period can be extended by a court.

If enough signatures are declared valid, an election is scheduled for six weeks later. If more than one challenger in the same party files papers, then that election serves as the party primary, followed four weeks later by a general election.

(click here to continue reading Recall drives could make history – JSOnline.)