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WASHINGTON – The U.S. House is on track to approve a bill Thursday that would cut the deficit by $300 billion over 10 years in an effort to head off dramatic defense spending cuts scheduled to take effect in January.
By Win McNamee, Getty ImagesHouse Budget Chairman Rep. Paul Ryan, R-Wis., didn't include any tax increases in his plan.
By Win McNamee, Getty ImagesHouse Budget Chairman Rep. Paul Ryan, R-Wis., didn't include any tax increases in his plan.
The bill is likely to pass on the strength of GOP votes over strenuous Democratic opposition because it includes significant cuts to social programs such as Medicaid and food stamps but no new taxes.The bill is the latest example of the stark fiscal policy divide between the two parties, the next step in a battle that will probably be decided during a lame-duck congressional session after Election Day.The effort, led by Budget Committee Chairman Paul Ryan, R-Wis., will not pass the Democratic-controlled Senate, but it is a concrete step by House Republicans to rework the $1.2 trillion in across-the-board spending cuts — split evenly between defense and non-defense spending over 10 years — which will be triggered in January unless Congress acts to stop it.The trigger was put in place as a backup plan in the event that a special committee failed to come up with a deficit reduction package last year. The committee did fail, so the trigger remains in place.Congress seeks to rework the spending cuts out of broad concern that across-the-board cuts could hinder a slowly recovering economy. Republicans are concerned that the defense cuts will undermine national security efforts. Under law, defense programs will take a 10% reduction in spending beginning in January, while certain domestic programs will see an 8% reduction. The Republican plan would delay the scheduled cuts for one year, while Congress pursues the same deficit reduction through other legislation.The White House and congressional Democrats have expressed a willingness to rework the budget cuts, but they insist that increased tax revenue be part of any new proposal instead of further cuts to domestic programs, particularly those that provide resources to the neediest Americans. Republicans have rejected any efforts to raise taxes. The Ryan plan includes only spending cuts.The GOP bill, like Ryan's budget approved this year, is politically audacious and will be used by opponents in the fall elections.Republicans in competitive races weighed their votes Wednesday."[It's] always a tough vote, and all the more so now. I'm not objecting to it because of the toughness of the vote but because of the fairness of it," said Rep. Charlie Bass, R-N.H., who expressed reservations about cuts to food stamps and said he was still considering how to vote. Rep. Mike Fitzpatrick, R-Pa., was also undecided. "I'm concerned about the depth of defense cuts and at the same time the way we're cutting social programs. It's not yet as equitable as I think it needs to be," he said.Senate Majority Leader Harry Reid, D-Nev., called the GOP proposal "a set of truly unbalanced priorities" and said Democrats would not support any effort to undo the January trigger that does not include tax revenue.Democrats are keen to wait until November to find an alternative plan, counting on the scheduled Dec. 31 expiration of Bush-era tax cuts to give the party some leverage to negotiate with Republicans."By law, all those tax cuts expire. That's about $5 trillion over 10 years," Budget Committee Ranking Member Chris Van Hollen, D-Md., said Tuesday. "It takes an act of Congress to extend them all. There then is an opportunity for a negotiation where revenues are part of the plan."For more information about reprints & permissions, visit our FAQ's. To report corrections and clarifications, contact Standards Editor Brent Jones. For publication consideration in the newspaper, send comments to letters@usatoday.com. Include name, phone number, city and state for verification. To view our corrections, go to corrections.usatoday.com.
