Republican members of the Nevada Congressional delegation Joe Heck (R-NV3) and Mark Amodei (R-NV2) are following the Tea Party script in the ever evolving rationale for the impasse created when the House passed a Continuing Resolution (defunding the implementation of the Affordable Care Act). The Senate received the CR, stripped out the defunding section, voted on the clean version, and sent it back to the House. The House has yet to vote on this measure.
Remember when, not so long ago that the House version of the CR was all about repealing “Obamacare?” That horrible no good terrible job killing freedom smashing liberty restricting socialist communist anti business law of the land to allow people to buy private health insurance policies in a competitive marketplace? Well, no longer — NOW the House refusal to bring a clean CR up for a vote is all about — The Debt and The Deficit.
Representative Heck tells the Las Vegas Sun his views on a clean Continuing Resolution:
“It would have to be a bill, and I don’t comment on hypothetical bills,” Heck said when the Sun asked if he might consider signing on.
But in theory, Heck is not on board.
“What is there associated with the clean (budget resolution)?” he asked. “How are we going to address our debt and our deficit?”
How are the debt and deficit to be addressed in the Senate version of the Continuing Resolution? How about like this?
What we have here is another instance of the Republicans refusing to take “YES” for an answer. The Clean CR is $217 billion less than the Obama Administration’s proposed budget. It is $109 billion less than the previous incarnation of the Ryan Budget. The Senate CR is $80 billion less than the 2011 Budget deal, and only $19 billion more than the proposed 2014 Ryan Budget. Is Representative Heck saying that he’s in favor of allowing the federal government to go into default for $19 billion? Just to put that number into perspective, the blundering F-35 program has cost the U.S. taxpayers some $400 billion since 2001, [Time] a number which comes down to about $30.76 billion per year.
“We ain’t repealing Obamacare, we ain’t defunding Obamacare, we get that,” Amodei said. “It’s not just health care. It’s $2 trillion more in debt. If you get policy concessions in order for having more debt, what’s the matter with that? What’s the evil in that?”
Amodei may not have as purple a district as Heck, whom, he surmised, has “gotta be mindful of who his folks are.” [Las Vegas Sun]
Herein, Representative Amodei engages in a bit of obfuscation. Where did that $2 trillion more in debt come from? It may be the total of all federal debt. It might be the number being bandied about in right wing circles for the national debt, or it might refer to the number the Congressional Budget Office projected as necessary to begin reducing the national debt in relation to the Gross National Product to 31% (below the 40 yr. average.) [Reuters] However, no matter the origin of the number, it represents long term budgetary goals and figures — and only tangentially relates to the Continuing Resolution to keep the government floating for the time remaining until the next GOP tantrum.
Bottom Line: IT, if by IT Representative Amodei means the Senate’s version of the Continuing Resolution, doesn’t add $2 trillion to the national debt.
Evidently, NOW the dismantling of the Affordable Care Act is reduced in GOP parlance to the status of a “policy concession.”
For the sake of clarity in this squabble, which threatens to take the United States of America into a default, let’s review some basic points:
(1) The raising of the debt ceiling has NOTHING to do with increasing the national debt. President Obama isn’t the first President to ask for a “clean CR,” President Reagan wanted one in a 1986 battle with a Democratically controlled Congress in 1986. [NYT] What President Obama understands now, and President Reagan understood then, is that a Continuing Resolution merely authorizes the Treasury to pay bills we have already incurred. It doesn’t increase the amount of future appropriations. Representative Amodei’s and Representative Heck’s concerns notwithstanding — the CR doesn’t add to the debt — it authorizes the payment of current debts.
(2) The Senate version of the Continuing Resolution IS a compromise between the Administration’s budget proposal, the Senate budget, and the House budget. In a normal environment, after the two versions of the budget were passed by the respective houses in March, a conference committee would have been appointed to work through the differences and to bring a compromise budget to the original houses. Senate Budget Chair Senator Patty Murray (D-WA) has asked 19 times for the Senate to appoint conferees to a budget compromise conference committee and has been rebuffed by Republicans each time. The House has not appointed any of its members as conferees to such a committee.
(3) We have been on a trajectory to significantly reduce the federal debt. IF we accept that $4 trillion target for budget reductions over the next ten years, then the Obama Administration has been remarkably well focused. There’s good news and bad news with this target, summarized as follows concerning the President’s budget:
“Cutting an additional $1.5 trillion would indeed stabilize the debt, leaving it growing at about the same rate as the broader economy for the rest of the decade, the CBO said. However, the debt would remain above 73 percent of gross domestic product — the highest level in U.S. history except for the period after World War II. [WaPo]
However, someone needs to ask the question: Is debt reduction an appropriate focus during a recessionary period or exceptionally slow recovery? It’s important to notice at this point that Austerians focus on cutting government spending — even though government spending is part of the GDP formula — to the exclusion of consideration of the possibility of tax increases, and the increased revenues available when wages and salaries are also increasing. This position is analogous to expecting a camp stool to balance on only one of its three legs.
Meanwhile back in the real world, Governor Sandoval is already feeling the bind:
“… the consequences have already started. In a meeting with his cabinet, Sandoval warned that Nevada would soon run out of money to process unemployment benefits or cover food stamps, and that National Guard vehicles had already been grounded because of a lack of funds to pay for basics, such as gas.” [LVSun]
So, Representatives Heck and Amodei continue their forward, backward, left face, right face, backwards march in step with the Tea Party leaders in the U.S. House of Representatives, while the Nevada National Guard isn’t going anywhere…